FOR IMMEDIATE RELEASE
Monday, Jan. 5, 2009
University of California Office of the President (510) 987-9200
STATEMENT
University of California President Mark G. Yudof has issued the following statement on the 2009-10 state budget proposal of Gov. Arnold Schwarzenegger:
At both the state and federal levels, investment in human capital is the best investment our elected leaders can make to stimulate economic recovery. Public higher education in California has a proud record of contributing richly to our state's economic development by providing the educated workforce and research innovations that are critical for economic vitality.
In the context of the current state fiscal crisis, the governor's budget proposal does not provide the funding increase the Regents sought for 2009-10 in order to fund enrollment growth, cover increasing energy costs and other inflationary costs, and prevent a student fee increase at the University of California. This absence of funding will create substantial challenges for the university, coming on top of the historic underfunding that has affected all segments of public higher education in California. We also are concerned about the impact on UC medical centers of the Medi-Cal proposals in the budget.
The outlook is not entirely bleak. The budget avoids dramatically deeper cuts from present levels for the university's core academic operations, and it includes some bond funding for critical facilities projects. I believe these actions signify the governor's understanding of higher education's role in stimulating economic recovery.
The budget does include an assumption of substantial student fee increases for 2009-10, which of course come at a difficult time for many families. The Regents will discuss these issues further before settling on final fee levels for 2009-10, and we will continue to pay close attention to the role of financial aid in reducing the "sticker price" of student fees for many families. We will seek to preserve affordability to the greatest extent possible given the multiple financial pressures on the state and the university.
We look forward to working with the governor and Legislature in the coming weeks on a budget that addresses the state's immediate needs and also positions California to return strongly to a period of economic growth.
For more information: Summary of governor's 2009-10 budget proposal for UC
