Copyright© 1999 by School Services of California, Inc.

July 23, 1999

Final Update on The 1999-00 Community College Budget

The final Budget numbers are in and the community college system did not do as well as expected. The system received less additional or new ongoing funding in the 1999-00 State Budget than the previous three budget cycles.

The 1999-00 State Budget provided $234 million in new ongoing funding compared to the $295 million increase that was provided in 1998-99; the $360 million increase in 1997-98; and the $355 million increase in 1996-97. In addition, the system's share of Proposition 98 revenues was also eroded. In 1997-98, community colleges received 10.37% of Proposition 98 revenues, for 1998-99 the systems' share was essentially the same. However, due to the reduction in Proposition 98 funding in 1999-00 it is estimated that the colleges will only receive a 10.28% share.

During the recession years of 1992-95 funding for the community colleges was obviously not very good. By comparison 1996-97 and 1997-98 were two of the greatest funding years in history. As a result, the Chancellor's Office rates 1999-00 as not a great year, but a good year. The overall increase in funding for the past four budget cycles is about 33%. Student access has grown by nearly 15% during this same period of time.

The following is a comparison of the funding percentages received by all the systems of public education:

• K-12 education spending was increased approximately 6.6%
  
• Community college spending was increased approximately 6.6%
  
• The University of California spending was increased approximately 7.3%
  
• The California State University spending was increased approximately 5.9%

The Governor vetoed approximately $22 million from the community college budget that was sent to him by the Legislature. Some community college organizations are considering amending legislation to restore some of these cuts, specifically, the $8.3 million augmentation that was provided in the budget for the EOPS program and Puente Program. The quest to restore the line items vetoed by the Governor is likely a fruitless exercise, however. The Governor's veto message indicated that his support for the augmentation of $45 million for the Partnership for Excellence program provides resources for all districts to initiate and expand these successful categorical programs or any others which increase student outcomes at their discretion.

The system is already deep into the process of developing the 2000-01 community college budget. There are lessons to be learned from this year's budget - the system should focus on a minimum number of priorities that will get the positive attention of the Governor and Legislature. Specifically, the Governor is interested in increased accountability and more students transferring to UC and CSU. The system's priorities should be centered on those issues in order to maximize the amount of funding colleges may receive in 2000-01.

-- Arnold Bray