Regents Seek 4.5 Percent Increase in State Funding

In the second year of Gov. Pete Wilson's four-year compact with higher education, UC will consider seeking a 4.5 percent increase in state funding for its 1996-97 budget, or $83 million in additional funds over the current operating budget.

The goal of the 1996-97 budget request is to maintain fiscal stability and allow for modest enrollment growth, consistent with the governor's compact, according to the Office of the President.

Preliminary information from the Office of the President indicated that a 7.1 percent fee increase would be needed for 1995-96, but regents led by Gray Davis said at their Oct. 19 meeting in San Francisco that they would work hard to avoid any fee increases for students.

UC is requesting a 2 percent cost-of-living adjustment for all university employees and funding equivalent to an additional 3 percent salary increase for faculty.

The total faculty increase is the first step in UC's plan to restore by 1998-99 faculty salaries to the averages at comparison institutions.

If the 1996-97 recommendation is adopted, UC faculty salaries will lag five to six percent behind faculty at those institutions.

UC's budget is based on current state revenue projections. The regents are scheduled to adopt a spending plan at their November meeting. The board could act on the fee proposal then, but it is more likely that the action on student fees would come in January.

Also consistent with the governor's compact, the proposed budget includes a $10 million reduction through productivity improvements.

Final budget figures may be adjusted as California's financial picture focuses in the months to come.


Copyright 1995, The Regents of the University of California.
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