With the Legislature and governor still battling over a multi-billion-dollar budget hole, higher education is only going to get more costly, student aid less likely and the availability of college classes stretched thin… In its "Closing the Gap" report, the Public Policy Institute of California recently concluded California will have 1 million fewer college graduates than it needs in 2025. Only 35 percent of working-age adults will have a college degree in an economy that would otherwise require 41 percent of workers to have a college degree. Researchers at PPIC point out that expected school funding cuts are coming at a bad time. To keep growing, California’s economy needs more college graduates; it needs more money, not less, invested in education.

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by Frank Gornick, The Bakersfield Californian.

Posted: August 15th, 2009, by: admin. Categories: . Awaiting Comments.

Facing drastic budget reductions this year, UCLA has begun implementing cuts across its departments to make up for an estimated $131-million shortfall. Among the proposed victims is one of Los Angeles’ largest cultural resources — the arts library on the Westwood campus… The UCLA library system supports 12 facilities on an annual operating budget of about $40 million, according to the university. A spokeswoman at UCLA said study teams are being organized to examine the operational effect of closing the arts and chemistry branches.

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by David Ng, The Los Angeles Times.

Posted: August 15th, 2009, by: admin. Categories: . Awaiting Comments.

Sometimes public officials do things that make you ask, are they really that tone deaf or do they simply not care what it looks like? This was the scenario when it was recently reported that on the same day the UC Board of Regents decided that its 180,000 employees must take unpaid days off as it finds ways to cut $813 million from its budget, the board also approved increases in pay and benefits for 28 executive positions… To put this absurdity into perspective, Secretary of State Hillary Clinton earns $186,000 as the nation’s top diplomat. Federal Reserve Chair Ben Bernanke earns $191,000 to set economic policy to help guide the nation out of its current recession…

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by Byron Williams, The Oakland Tribune.

Posted: August 13th, 2009, by: admin. Categories: . Awaiting Comments.

Some of the state budget cuts need to be permanent, and some will have to be long-term because it’s going to take years to correct the massive deficit. But some of the reductions need to be as short- lived as possible. We count in that last group the enrollment limits, larger classes and reduced offerings at state colleges and universities. California needs more college graduates, not fewer. Study after study indicates that improving the state’s economy rests on having a better educated workforce.

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by The Editors, The Modesto Bee.

Posted: August 13th, 2009, by: admin. Categories: . Awaiting Comments.

The way things work, UC gets roughly $1 in "overhead" for every $2 of grant money. That means that UC got approximately $3.3 million of overhead, free and clear, as a result of my grants over the years. That’s more than I’ve earned since coming to Cal. In other words, the university and the state come out ahead – my 25 years of teaching and research haven’t cost taxpayers a cent. Moreover, my grants have provided Cal with graduate student support, postdoctorate salaries and tons of other things to the tune of more than $6 million. If I’m induced to leave because there’s no staff support for my teaching or research, or because Cal salaries are subpar and I can do better elsewhere, UC and the state will actually lose money… Every single department can point to ways that the state is richer, oft-times financially, always intellectually, for our efforts. The university generates much more income for the state than it gets. It’s time for people to understand what a precious resource UC is for the state, and how much it’s in jeopardy.

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by Alan H. Schoenfeld, The Sacramento Bee.

Posted: August 12th, 2009, by: admin. Categories: . Awaiting Comments.

UC leaders offer a familiar argument to justify the actions: retention and recruitment. Unless the system pays more, its top people will leave and new prospects won’t come. It would be easier to accept this reasoning if UC didn’t work so hard to mask the pay increases as stipends that go on top of existing salaries and to reclassify existing jobs into higher pay categories. These top earners may be handling extra duties, but so are many other workers in a shrinking economy where colleagues have departed. The timing for these higher wages couldn’t be worse. The university must rethink its stance on higher pay for higher-ups. If employees and students are asked to sacrifice, then everyone should do the same.

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by The Editor, The San Francisco Chronicle.

Posted: August 12th, 2009, by: admin. Categories: . Awaiting Comments.

California’s financial crisis isn’t cyclical. It’s structural – the connection between California’s politics and California’s economy is broken. So where’s the opportunity for Texas? At the same time that California politicians are unable and unwilling to support higher education, Texas has increased its investment. The recent legislative session boosted state support for all higher education by $1.3 billion, or 11 percent. The University of Texas System alone will receive $107 million, or 7.2 percent more dollars, for its academic institutions such as UT-Austin and $225 million, or 13.2 percent, more for its health-related institutions. Our state and its universities have dominant income statements and balance sheets. This means that we can compete for talent when California can’t.

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by Isaac Barchas, The Austin American-Statesman.

Posted: August 12th, 2009, by: admin. Categories: . Awaiting Comments.

In a report summarizing the budgetary actions taken by the legislature and governor, the California Legislative Analyst’s Office noted that both the UC and CSU systems had $1 billion cut from their General Funds. This brought their state funding "to the minimum level required for federal stimulus funding." When seen in conjunction with the additional reductions in education funding, this marks the legislature’s collusion with the governor to cut corners without heeding the dire future consequences that come with an undereducated workforce. While the state has been chipping away at funding for higher education since the Master Plan was created, this drastic cut — amounting to about 8 percent of both UC and Cal State funding — has forced each to look elsewhere for financial support…

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by The Editors, The New University.

Posted: August 10th, 2009, by: admin. Categories: . Awaiting Comments.

…even bankruptcies of colleges that took on too much debt, based on a unbalanced system of student loans paying for rising tuitions. And we agree. The next bubble to burst will be higher education. No doubt about it. You see, higher education is big money for institutions and lenders alike — and they’re in big trouble. What most people who are not involved directly in higher education fail to understand is that these institutions and lenders are in the same sinking boat that banks and other financial companies are in. Assets are drowning. And debt and costs are rising. Under-capitalized colleges are staring down threats to solvency, too (just as banks are), as penny-pinching students and parents go for cheaper alternatives (community college, online colleges, etc.) and sources of funds dry up.

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by Ian Cooper, Examiner.com.

Posted: August 10th, 2009, by: admin. Categories: . Awaiting Comments.

Chanting "lay off Yudof," about 100 protesters in Santa Barbara gave a "Bad Business of the Year Award" Thursday to University of California President Mark Yudof for his budget-slashing plan because they claim it will further hurt the South Coast economy. Ironically, Yudof was speaking at Fess Parker’s DoubleTree Resort to about 200 area small business owners and their friends who were receiving awards. "His plan will hurt small businesses in this area," said Elizabeth Robinson, spokeswoman for University Professional and Technical Employees Local 9119, a labor union that represents many workers at the University of California, Santa Barbara, which is the South Coast’s largest employer.

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by Ray Estrada, The Santa Barbara Daily Sound.

Posted: August 6th, 2009, by: admin. Categories: . Awaiting Comments.