1. SJSU’s Financial Plight, 2009 From president Whitmore’s address to the faculty, August 20, 2009 Why the loss of funding? Why the extra fees? Why the furloughs? Who is sacrificing, and how much?

2. Why the Loss of Funding Since the California master plan enacted in the 1960s, the CSU has depended heavily on state funding for its operations. Tuition, by state law, is zero. However, the CSU may charge ‘fees’, and these have steadily risen. See the next slide.

4. From 1998 through 2008, the CSU received between 2.8% and 3.7% of the net state revenues. Revenues increased from $58 billion to $100 billion in that time period, roughly matching the increase in student enrollment. This has dropped to 1.8% this year, and is not expected to rise in the future. The CSU state revenue has been cut in half. Note that the state revenues are projected at $91 billion this year.

5. Now look at the next slide. SJSU is facing a $44 million budget cut! 16% is being cut by reductions in classes and release of some temporary staff. 43% is money saved by asking the administration, staff and faculty to take furloughs, essentially a 9% cut in pay. 41% will be raised from increased fees. There are no other sources of income, or savings. Faculty are being hit in the pocket, along with the students.

7. Students Fees vs. State Funding The next slide shows how state funding has declined since 2006 (only 3 years)! In 2006, one student fee dollar was matched by nearly two state dollars. This year, one student dollar is matched by one state dollar. This is an unprecedented loss in funding for our state university system.

9. Loss of the California Dream The CSU is being forced to become a semi-private university. Higher education will be available only for those who can pay the high fees. The California voters and legislators have effectively decided that higher education need not be accessible for every student with the requisite skills. Whether this ugly situation will be reversed in the future is anyone’s guess.

10. Impact on the COE Major reduction in temporary faculty –Tenure/tenure-track faculty will be expected to fill in the gaps Controlled course registration. –Repeating a course may not be possible –Reductions in freshman admissions –Tougher deadlines on registration Faculty furlough days – 9% of time –Typically 2 to 4 classes cancelled per course, or without an instructor.

11. Impact on the COE Spring semester may bring even more fee increases. Spring semester may see many temp faculty layoffs, perhaps including your favorite professor. Spring semester may see many classes and programs cancelled. The COE, along with SJSU generally, is moving into survival mode.

12. What You Can Do Let your legislators know of your predicament, if you find you can no longer afford college, cannot get into the courses you need, or cannot graduate per your expected schedule. Let the governor know of your predicament. Let the CSU chancellor and trustees know of your predicament.