Today's budget news

Under the state budget plan proposed today by Governor Jerry Brown, resident undergraduate tuition at the University of California will remain unchanged for two years. The state will increase funding of UC's base budget by 4 percent each year for the next four years, and a one-time infusion of nearly $440 million to the UC pension system will reduce the university's contribution, providing some budget relief to campuses.

This proposal, developed by the governor and UC President Janet Napolitano, provides budget stability—and undergraduates and their families won't face tuition increases this fall or next. That's the good news.

However, the overall budget picture remains challenging. Before today, UC Santa Cruz was facing a $7 million deficit for the coming fiscal year; that amount will go down in light of today's news, but it will not disappear. Enrolling more out-of-state and international students has brought critical new funds to campus in recent years, but the plan announced today would increase nonresident tuition costs by 5 percent annually for the next two years—a strategy we fear could jeopardize our, and other campuses', ability to attract more students from outside California.

We will learn more about the full impacts of the governor's budget proposal as it moves through the Legislature in coming weeks. For now, we are pleased that his revised budget marks progress toward the persistent goal of securing long-term financial stability for the University of California. We hope UC gets sufficient support from elected officials in Sacramento to preserve excellence, access, and opportunity for all qualified California high school graduates.