1. Diane Brady, Fiscal Policy Specialist California Community Colleges Chancellor’s Office

2.  2.9 million students in 2008-09  112 colleges in every corner of the state  Three core missions: ◦ Career Technical Education & Workforce Preparation ◦ Transfer to 4-Year Institutions ◦ Basic Skills

3. Due to:  High unemployment  Students being displaced from UC and CSU  Record numbers of high school graduates

4.  CCC total funding cut by more than $520 million or 8 percent: ◦ $313 million cut to students services programs (counseling, tutoring, services to disabled students) ◦ $190 million cut to general purpose funds that support instruction

5. Primary Funding Sources:  State General Fund $3.4 Billion (59%)  Local Property Taxes $1.9 Billion (35%)  Student Fees $367 Million (6%)

6. Total Available Revenue$5.700 Billion District Entitlement $5.890 Billion Revenue Shortfall ($190 million)

7.  Budget cuts have forced most districts to make significant reductions in the number of course sections offered  Most districts have cut more than 5 percent of course sections - primarily those taught by part-time faculty

8.  Students are having difficulty accessing the courses they need  Course sections are full  Waiting lists are longer than ever  Many students are being turned away with no classes

9.  Many districts used one-time funds to protect categorical programs in 2009-10  Some reductions in counseling, tutoring, and other support services  Even more drastic reductions in student support services likely this Spring and next Fall.

10. 200,000 students beyond funded levels. Not sustainable; colleges will be forced to further reduce course sections in the coming year in order to balance their budgets. Absent additional funding being provided, over 200,000 students will lose access to a community college education over the next year.

11.  Assumes a $19.9 billion deficit over the 2009-10 and 2010-11 fiscal years  Despite this deficit, Governor promised to spare education from further cuts  Still far short of funding necessary to serve current students  Colleges probably would be forced to make more cuts under this scenario  Legislature will consider and weigh in on Governor’s budget

12. Categorical programs:  $10 million cut to EOPS  $10 million cut to Part-Time Faculty Compensation  $20 million increase in Career Technical Education  EOPS, Basic Skills, and Fund for Student Success are now included as “Flexibility” items

13. General:  2.2 percent enrollment growth ($126 million) to fund approximately 26,000 more full time equivalent students  Negative COLA of -0.38% (-$22.9 million)  Suspension of new Competitive CalGrant awards  Partial backfill of property tax and other revenue shortfalls

14.  Legislative hearings are beginning now for 2010-11 budget  The Legislature is advised by non-partisan Legislative Analyst’s Office, which presents its own proposal  Governor issues his May Revision in mid-May, after tax revenues are known  Sometime in summer (or even fall) the budget will be finalized and signed by the Governor

15. Diane Brady Fiscal Policy Specialist California Community Colleges (916) 327-1554 dbrady@cccco.edu www.cccco.edu