No news is good news, except when it involves next year’s student fee increase of 8 percent.
In a teleconference with student reporters from Cal State campuses, Charles B. Reed, Chancellor of the CSU system, said that due to the fiscal frailty of California, which has an $8 billion budget deficit, student fees will still increase for the 2005-2006 academic year. Next year full-time students will pay approximately $2500 for two semesters.
The good news is that so far Governor Schwarzenegger is still honoring his compact with the CSU system to provide an estimated $211.7 million for the operations budget, Reed said.
Operations consist of costs such as building maintenance, transportation, utilities, and salaries for faculty and staff, said Clara Potes-Fellow, media relations manager for CSU.
The $211.7 million for operations is not a final figure, and is subject to change in May when Schwarzenegger provides a budget update, Potes-Fellow said.
Schwarzenegger’s proposed $211.7 million compact with the CSU is made up of $101.2 million from student fees, said CSU Student Trustee Eric Guerra at the Board of Trustee meeting in January 2005.
If the $211.7 million is included in the Schwarzenegger’s final budget, the CSU budget will total $2.6 billion for 2005-2006, up from $2.4 billion in 2004-2005, Potes-Fellow said.
With a total budget of $2.6 billion, students might wonder why fees are increasing, even as new structures are being built on campus.
Potes-Fellow said ballot measures, such as Proposition 55, fund these projects with stipulations on how the money is spent. She said student fee increases do not fund construction projects or land purchases, but go toward the operations budget.