We have just learned that the Governor has signed the 2008-09 budget for California, bringing the lengthy budget impasse to an end.
Even though it will take some time until we know the full impact to the
University of this budget compromise, I would like to share with you what
we know to date--as well as steps campus leadership have already taken to
prepare for an expected budget shortfall:
. The Governor's January budget proposed significant cuts to the
University. The May revision restored $98.5 million to UC's budget. I am
pleased that the budget signed by the Governor today preserves funding to
the University consistent with the May revise.
. While this budget, in conjunction with mandatory costs, results in
significant reductions to the University's budget, the campus has been
engaged in early planning that has allowed us to make sound budget
decisions to date.
. In June of this year, minimum 2008-09 budget reduction targets for each
division were established based on the May revise, estimating a campus
budget shortfall of $4.5M in funding needed to cover increases in mandated
costs and to continue conservative investments in high priority areas.
. In late July, even without the certainty of an approved state budget, I
asked principal officers to take steps to implement these minimum budget
reductions for 2008-09.
. Budget reductions to instruction were minimized, resulting in an average
reduction of 1 percent to the academic divisions.
. Pending further actions by the State and/or Regents, I am hopeful that
we will not, in the current year, need to make further budget reductions
beyond those implemented in July.
. Despite the challenges, we have been able to continue investment in key
areas: providing support for TAs and core courses, strengthening advising,
upholding earlier commitments made to IT to improve services, investing in
specific areas to improve safety and security, and continuing investment in
University Relations to ready us for a Comprehensive Campaign to increase
private support for the campus.
As noted by President Yudof, the final budget for UC is probably the best
we could have achieved in the current fiscal environment. Chancellor
Blumenthal and I share his concern about the erosion of state support for
the UC system and our campus. This diminished support will require us to
continue to make difficult choices in order to balance academic quality,
access, and affordability.
Further, we understand that this creates challenging circumstances for all
of us the campus community, particularly since funding was not provided for
faculty or staff salary increases. We will continue to make every effort to
minimize the impact of the state budget shortfall, including preserving
employment to the extent possible, as we move forward during this academic
year.
We thank you for your patience and continued commitment to UC Santa Cruz
during this time. Updates will be forthcoming as we learn more budget
details in coming weeks.
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University of California news release about the 2008-08 state budget:
