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A Budget Update about the Governor's May Revise

May 14, 2015

As everyone hoped would happen, UC President Janet Napolitano and Governor Jerry Brown have reached a compromise resolution with respect to UC funding for the next few fiscal years that brings more resources into the UC and minimizes student tuition and fees.

According to the agreement, there will be no tuition increases for the next two years for in-state undergraduate students; in subsequent years, the increase will likely follow the rate of inflation.  

Students will still see a 5 percent student-services fee increase of approx. $48 next year, half of which will fund expanded student mental health services.

The agreement also includes additional revenues for the University of California, including a 4 percent increase to the budget base, $25 million for deferred maintenance, and $436 million over the next three years to help fund pension liabilities.

I will learn more about the potential impact of the governor's revised budget proposal during next week's UC Board of Regents meeting, but I wanted to share this preliminary good news with you today, as our academic year nears its end.

I applaud the work of these two seasoned political leaders, but also caution that the legislative session is not yet over. We hope the state budget, when finalized at the end of the session for the governor’s approval, will include not only the increases in funding agreed to by Gov. Brown but also funding for enrollment growth, which is particularly critical for our young, growing campus.

For more information, please see updates on the UC Office of the President’s budget website.

Sincerely,
Dorothy Leland
Chancellor

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