State Budget & League Trustees Conference - May 4, 2010
State Budget Update
I've been waiting to write until we get the official end-of-April personal income tax revenues, but perhaps the Controller is too depressed to post it http://www.sco.ca.gov/april_2010_revenue_tracker.html . It's fair to say at this point that the weak collections in the month of April will completely wipe out the $2.6 billion in extra revenue collected in the first three months of the year, dashing hopes of a multi-billion reduction in the state's current year budget deficit and improved outlook for next year. For more information, read Shane Goldmacher's article in today's Los Angeles Times, and expect the budget debate to pick up after next Friday's (May 14) anticipated release of the governor's May Revision.
We had a great Annual Trustees Conference in Long Beach last weekend. While college budget cutbacks reduced the number of people in attendance, it didn't reduce the weightiness of the issues being discussed.
Here are some of the highlights the attendees heard:
State Budget: Theresa Tena and I presented on the fiscal history of community colleges, the current budget situation and what community college reform efforts might mean for our budget. Here is our presentation in PDF format (2.6meg).
In summary about the budget:
- This year's (2010-11) community college budget will likely be flat, or flat with some growth funds. We should succeed in defeating the additional proposed cuts to EOPS and Part-time Faculty Compensation.
- Proposition 98 will likely begin growing in 2011-12 and for the next few years, but the state has $20 billion+ budget deficits in each of the next few years, assuming the governor's proposed budget is enacted. In other words, the constitution will require more funds for K-12 and community colleges, while the state is unlikely to have the cash to meet the obligation.
- There is significant desire by the Legislature to promote reform in community colleges and fund outcomes, and we need to design a funding model that addresses that concern while upholding our values, or something worse will be done to us.
President and Chief Executive Officer
Community College League of California
2017 O Street, Sacramento, California 95811