برچسب: hike

  • Cal State trustees decide this week on 6% tuition rate hike, but with a sunset provision

    Cal State trustees decide this week on 6% tuition rate hike, but with a sunset provision


    Students, faculty and staff protest a potential tuition increase across the California State University system.

    Credit: Michael Lee-Chang / Students for Quality Education

    California State University trustees will decide this week on whether students will see a 6% tuition rate increase over the next five years. 

    But ahead of their Wednesday vote, the nation’s largest public university system has already tweaked the proposal: Any tuition rate increase will sunset after five years and be reevaluated for the 2029-30 academic year.

    The proposal would go into effect in the fall 2024 semester and affect the system’s 460,000 undergraduate and graduate students. The first increase would be $342 for full-time undergraduate students. 

    Last year, CSU assembled a work group to examine sustainable funding in the 23-campus system and found the costs of operating the university system exceeded its revenues. The work group also found that Gov. Gavin Newsom’s multiyear financial compact, made with the CSU to increase enrollment and improve graduation rates in exchange for annual 5% funding increases, did not fully meet the system’s funding needs, said Steve Relyea, chief financial officer for the Cal State system, during a recent call with reporters. 

    “The absence of tuition increases in 11 of the past 12 years has prevented the CSU from having sufficient resources to help keep up with rising costs,” he said. 

    The new tuition proposal would generate $148 million of new ongoing revenue in its first year, said Ryan Storm, the system’s assistant vice chancellor for budget. Over five years, the system would see about $840 million in new funding.

    The increase would also allow CSU to invest more dollars into financial aid. About 60% of undergraduate students would not be affected by the tuition increase because their tuition is covered by grants, scholarships and waivers. Eighty-one percent of undergraduate students receive some form of financial aid.

    “The additional revenue would be invested in the budget priorities that reflect the values and the mission of the university,” Storm said, adding that those priorities include academic and student service support for basic needs and mental health services, improving Title IX practices, improving maintenance and building new facilities, and improving compensation to attract and retain faculty and other CSU employees. 

    Cal State is currently facing a $1.5 billion funding gap, in addition to demands from its faculty and employee unions to improve compensation and wages. Students who are vehemently against the rate increase will rally and protest the proposal during the board meeting Tuesday and Wednesday. 

    The California Faculty Association, which represents the system‘s professors, is against a tuition rate increase even though it has reached an impasse in contract negotiations to improve wages. Currently, CFA is demanding a 12% increase in compensation, while Cal State is offering 5%. The association is also advocating for a semester of paid parental leave and workload relief. It also wants to be involved whenever faculty have contact with campus police

    “We’re not buying the austerity message that the CSU is sending out,” said Charles Toombs, president of the faculty association. “We know that the CSU has plenty of money in reserves and in investments, so we know they can fund not only our salary increases in our proposals but also the salary proposals that the other unions are demanding. We just don’t buy that they need to put our salary increase on the backs of students.” 

    But Cal State only has about 33 days of funding — or about $766 million — in its reserves, and the board’s policy is that the system has about three to six months of funding, which it doesn’t, said Relyea, CSU’s chief financial officer. 

    He underscored that the system needs the new tuition revenue to increase salaries. About 70% to 80% of any university’s budget is driven by faculty and staff salary and benefits, Relyea said, adding that the tuition rate increase is “driven by wanting to and needing to compensate faculty and staff at a fair rate that represents the market.” 





    Source link

  • Cal State students will see 6% tuition hike

    Cal State students will see 6% tuition hike


    Students, faculty and staff protest a potential tuition increase across the California State University system on Sept 12, 2023.

    CREDIT: MICHAEL LEE-CHANG / STUDENTS FOR QUALITY EDUCATION

    California State University students will see a 6% annual tuition increase starting fall 2024.

    The system’s board of trustees voted 15-5 for the five-year tuition rate hike Wednesday despite vocal opposition from students, faculty and staff during more than 2 1/2 hours of public comment. The rate increase will affect the system’s 460,000 undergraduate and graduate students. The board also agreed to sunset the increase after five years and be reevaluated for the 2029-30 academic year.

    The vote means that the first annual increase would be $342 to $6,084 for full-time undergraduate students in 2024. Full-time graduate students will see tuition increase by $432 to $7,608.

    CSU outlined its need for the new revenue from the tuition hike. CSU is facing a $1.5 billion deficit. The increase will generate $148 million in new, ongoing revenue in its first year and about $840 million over the five years.

    “This is really a difficult decision for all of us,” trustee Leslie Gilbert-Lurie said. “I reluctantly support raising tuition because, for the moment, I don’t feel we have found an alternative path, and I think part of the reason that we heard the anger and the anxiety from the public is that it is shocking that we have created a culture where people don’t expect tuition to be raised.”

    California State University Tuition Rate Approved Increases

    Cal State tuition has only been raised once in the past 12 years, according to the chancellor’s office.

    “Somewhere along the way, we gave people the impression that this system is magically going to create money to sustain itself, and what we see instead, as I have toured campuses, is shocking disrepair of buildings and salaries we can’t pay,” Gilbert-Lurie said.

    The CSU is facing demands to improve its Title IX policies and close equity gaps in student academics and graduation rates. It also has about $30 billion in capital maintenance and construction needs, enrollment challenges and demands to improve employee compensation and wages, trustee Jack McGrory said. “We start with a $1.5 billion dollar structural deficit that accumulated over the years because we didn’t take tough actions along the way,” he said.

    The board also approved a new tuition policy that requires that any future tuition hike be assessed 18 months before it goes into effect and increases institutional financial aid by at least a third of any expected additional revenue received from tuition increases or enrollment growth. The trustees will also review the tuition policy every five years because rate increases will not be longer than five years.

    “The system is facing revenue shortfalls,” interim Chancellor Jolene Koester said. “We have also proposed a salary step structure for our staff, and the bottom line is that the total new proposed financial commitments that have been offered to our faculty and staff for the current year, 2023-24, far exceeds the entire amount of new funding available to the CSU in the 2023-24 state budget.”

    Koester said the university presidents must make “extremely difficult, extremely painful decisions regarding how they’re going to reallocate their already limited financial resources” to meet those compensation obligations.

    Student-trustee Diana Aguilar-Cruz offered trustees an alternative solution to shorten the tuition rate hike from five years to three or four, but the other trustees rejected that idea.

    “This will benefit students in the long term and in the years to come,” she said. “But right now, it will harm our students.”

    With students applying to CSU campuses for admission starting Oct. 1, Steve Relyea, the system’s chief financial officer, said the trustees could not delay voting on a tuition rate increase.





    Source link

  • CSU tuition hike creates more debt, longer time to graduate for neediest students

    CSU tuition hike creates more debt, longer time to graduate for neediest students


    Credit: Baona / iStock_

    The graduation stage at all California State University (CSU) campuses are vibrant tableaus of dreams achieved. Each cap and gown tell a unique tale of persistence, ambition, and hope. But beneath the prestige and pride lies a sobering reality. For many students, obtaining a diploma also means accumulating debt.

    The CSU’s recent decision to increase tuition by 34% over five years, at an annual rate of 6%, might intensify these disparities, potentially impacting the trajectory of many students’ dreams and futures.

    While the CSU cites fiscal imperatives for the increase, it’s crucial to consider its effects on students, particularly those from marginalized backgrounds. Higher education, once the beacon of hope and socio-economic mobility, is slowly being priced out of reach for many. Making this path more expensive threatens to sideline those who are meant to benefit from it the most.

    The data doesn’t lie, so let’s dive into it. Our recent collaborative report with The Institute for College Access and Success (TICAS) on the CSU system illuminates disturbing trends. While the CSU’s efforts to boost graduation rates are commendable, the cost of these achievements disproportionately impacts students from racially marginalized communities. We found that from the academic year 2021-22 a disconcerting 63% of Black bachelor’s degree recipients are grappling with student debt. In contrast, only about a third of their white and Asian peers face similar financial burdens. Moreover, only 48% of Black students secure their degree within six years. As these stats indicate, the increase in tuition could threaten the very essence of CSU, known for its diversity and inclusivity.

    The data tells a story that reaches far beyond mere statistics. Picture the path of a first-generation college student from a marginalized background. They step onto campus, buoyed by dreams and shouldering the weight of their family’s expectations. As they navigate the academic world, they confront both systemic obstacles and personal challenges.

    Yet, as graduation draws near, a looming debt casts a shadow over their achievements. Each loan statement they receive isn’t merely an invoice; it’s a stark reminder of the price of ambition, of wanting to change your life for the better.  These are dreams recalibrated or paused, not because of a lack of drive, capability, passion, or talent but for the sake of survival. Thus, the narrative shifts from higher education being a bridge to dreams to a poignant query: Is the investment truly worth its promise?

    Add to this the ramifications of the CSU’s recent decision. Annual tuition increases totaling 34% can lead to longer work hours, fewer academic credits, or even postponed semesters. Each subsequent loan statement, irrespective of graduation status, serves as a somber reminder of the tangible costs of dreams and the yearning for a brighter future. Such decisions don’t just delay dreams; they risk derailing them.

    At this defining moment, the CSU must introspectively reassess its foundational principles. The recent tuition hike decision has resonated like an unsettling alarm throughout the CSU community. While certain factions might view this as a necessary step to counteract fiscal deficits, for many students, it’s an added layer to an already challenging academic climb. To paint a clearer picture, on most campuses, our most economically disadvantaged students would need to clock in twenty or even upwards of thirty hours of paid work a week, in certain regions, just to afford the cost of attendance.

    Beyond individual concerns, society must recognize wider ramifications. Those students we’re most committed to elevating may increasingly feel academia’s gates slowly creaking shut. If financial burdens eclipse the dream of higher education, the entire society loses out. We risk sidelining tomorrow’s innovators, thinkers, leaders, and agents of societal change. The budding poet, poised to inspire an era, might remain silent; the aspiring scientist, on the brink of groundbreaking discoveries might opt for more immediate financial gains by taking a job instead. The community advocates, starting their journey in student leadership and deeply attuned to their community’s historical narratives, might never fully realize their potential to uplift and lead.

    This is a rallying cry for unity. As the CSU system charts its course, it is vital that policymakers, educators, students, and the wider community actively participate in this critical dialogue. We must also confront the sobering truth that members of our community will disproportionately bear the inequitable burden of a college degree. It’s crucial that we safeguard against making the pursuit of dreams financially untenable. After all, dreams cultivated within the halls of academia should ignite, illuminate, and elevate – not ensnare.

    •••

    Dominic Quan Treseler is president of the Cal State Student Association and a political science major at San Jose State University. 

    The opinions expressed in this commentary represent those of the author. EdSource welcomes commentaries representing diverse points of view. If you would like to submit a commentary, please review our guidelines and contact us.





    Source link