With talk of trigger cuts circulating, it is increasingly obvious that a guideline or formula needs to be in place to allow University of California students and families to plan for college payments.
If state revenue falls $1 billion short of projections by the end of the year, Gov. Jerry Brown could trigger a cut of up to $100 million from the UC and California State University systems.
That would represent about 2 percent of the UC’s overall state funding.
The UC is already engaged in discussion with the Department of Finance to create a framework for a longer-term funding commitment from the state. These talks should continue.
Dealing with issues piecemeal in response to crisis, however, is no way to form an effective strategy.
In September, UC President Mark Yudof put forth a multiyear budget plan. With contributions from the state, tuition would increase about 8 percent annually. Without, that number would go up to closer to 16 percent annually.
As scary as the numbers are, the thinking is in the right direction.
The fact is that the UC contains a revenue stream that K-12 education and the state prison systems simply do not have: tuition. It’s where the money is.
But this is a much larger issue than the trigger cut. The question for the UC should not be about the size of its slice of the pie, said Steve Boilard, director of higher education with the nonpartisan Legislative Analyst’s Office. It’s how the entire pie can be enlarged.
Reforming the tax structure ““ getting rid of tax loopholes or extending the sales tax to services ““ may be places to start, Boilard said.
Students and families, meanwhile, need to drum the call for long-term stability. A larger discussion needs to be taking place between not just the state and the UC Board of Regents, but all involved with the university. Public support will be crucial in upcoming years, especially when it comes to the question of raising revenue through tax measures.
Above all else, one trend has become painfully obvious in recent years. Tuition stays flat or decreases when times are good, and ramps up dramatically in times of crisis ““ at a time when families are least capable of paying the full price tag, Boilard said.
In the wake of the recession, families saw multiple tuition increases in a single year. The scope of the increases is unlike anything we have seen before. And this year, tuition revenue surpassed the general fund investment by the state for the first time.
In essence, long-term planning should have begun a long time ago.
Trigger cut or not, the problem will not be going away soon until officials begin to acknowledge it for what it is ““ a systemic one.
Unsigned editorials represent the majority opinion of the editorial board.