To cope with a $500 million reduction in state funding contained in Gov Jerry Brown’s initial budget plan, the University of California system is considering increasing tuition by up to 20 percent per year.
Under the most severe budget scenario, state funding would be cut at a rate of 2 percent per year starting in 2012-2013. This would result in annual tuition increases of 20 percent and capping enrollment at current numbers, according to the UC Office of the President.
However, even under the most optimistic proposal of increasing state funding by 8 percent per year, the UC system would still need to raise tuition by 8 percent per year to cover rising costs, according to the UC Office of the President.
Financial aid would be increased to help students cope with the increased tuition. Eligible students with family incomes under $90,000 would receive aid covering all tuition and fees, raised from the current $80,000 limit. Students with family incomes between $90,000 and $120,000 would receive aid for half of all tuition and fees, according to the UC Office of the President.
However, an all-cuts budget plan without any tax increases could result in up to $1 billion in state funding cuts, according to the UC Office of the President. “A cut of this magnitude would be unconscionable – to the university, its students and families, and to the state that it has served for nearly a century and a half,” said UC President Mark G. Yudof, in a press release on May 16.