Cal Poly could face a $25.2 million state budget cut for the 2011-2012 academic year if Governor Jerry Brown’s prepared $500 million cut to the California State University system is passed.
This loss could double if California voters do not approve three tax extensions to raise money for the CSU system. Larry Kelley, vice president of administration and finance, said although Cal Poly will suffer losses, the university will get some funding from the government.
“We anticipated this,” Kelley said. “We still get 45 percent from the state, which is more than the national average.”
The CSU system relies heavily on state funding, making higher education available to all citizens.
“The original intent was that students pay little to nothing,” Kelley said.
Student fees continue to rise, with a 10 percent increase for the 2010-2011 calendar year. The tuition increase of $480 per student per year will generate an additional $142 million across the board for CSU campuses, and help fill some of the $25.2 million gap for Cal Poly.
“I think it’s gonna be a lot harder to keep learning by doing,” graphic communication sophomore Veronica Kopp said. “I better be getting my classes. I feel kind of cheated.”
As funding decreases every year, the CSU Chancellor’s Office must find creative ways to make ends meet.
“All the solutions we have are bad solutions,” said Erik Fallis, CSU media specialist.
The initial plans to fill the budget gaps include several strategies. CSUs will receive an estimated $142 million in revenue (net of financial aid) from the tuition fee increase already approved for fall to the budget reduction.
Across the system, campuses will be asked to reduce their budgets by a total of $281 million. Cal Poly was asked to reduce its budget by $25.2 million, the figure based off student enrollment.
In addition, funded student enrollment for 2011-2012 will drop by more than 10,000 students, representing a $60 million cost savings. The CSU Chancellor’s Office budget will be cut by $10.8 million, approximately 14 percent of its budget, a substantial reduction because the Chancellor’s Office does not receive student fee revenues.
Although the CSU program is being severely hit by the California recession, Cal Poly President Jeffrey Armstrong is hopeful for the future.
“I’m supportive of the governor’s budget because he’s doing his best,” Armstrong said. “I’m very proud about how faculty, students and staff have reacted and I hope it will be the end of the cuts.”
Faculty, students and staff alike are concerned about how the budget cuts will affect the campus.
“These people are morons,” said economics professor Eric Fisher. “I saw a woeful lack of preparation during the Baker presidency.”
However, as a Cal Poly professor for almost five years, Fisher is optimistic about Armstrong’s presidency.
“Armstrong seems to have the right idea that we’re going to have to raise more of a cushion in the future,” Fisher said.
Armstrong said he believes the university is well prepared for this budget cut. He said he wants to focus on Cal Poly’s future while managing what the campus has done in the past.
“There was great management of the university before I arrived,” Armstrong said. “People planned as well as possible for these cuts and realized that tough days are coming.”
Furloughs are not being considered for the 2011-2012 academic year, Fallis said. Since the majority of funding is spent on faculty and staff salaries, furloughs can produce a lot of income for the CSU system without having to fire a large number of staff members.
“How they’re gonna get by without furloughs is beyond me,” Fisher said. “I think furloughs are a much better solution than firing staff. We’re all in this together.”
However, Fisher believes furloughs can cause damage in the future.
“If they keep on jerking around the professors, people like me are gonna go get a new job because these jerks don’t know how to run a business,” he said.
Armstrong said the financial situation relies heavily on the decisions by those in Sacramento. Without the support of the state, the CSU system will continue to see more budget cuts in the future.
“We need several Republicans to step up and support the governor,” Fisher said. “That’s what it’s all about.”
Students, faculty and staff have made their voices heard across many CSU campuses.
“We are trying our best to educate people about the importance of higher education,” Armstrong said.
A CSU contingency plan presented Tuesday states that CSUs may have to raise tuition by 32 percent, in addition to the 10 percent increase for the 2010-2011 calendar year. Chancellor Charles B. Reed will make formal recommendations in July.