Editorial: LAO recommendation a student opportunity

    Though the general theme of the recent budget study from the Legislative Analyst’s Office may not be good — urging less money for California universities and slower enrollment growth — students should think twice about discarding the entire document. In particular, another little-noticed recommendation may offer students some much-welcomed protection from future tuition hikes.

    That recommendation would require lawmakers to subtract the amount of money UC and CSU campuses raise in new fees from the annual growth in state funding promised in the governor’s compact. For example, though Gov. Arnold Schwarzenegger has promised the UC system 3 percent more funds next year, the LAO has suggested that this 3 percent should also include new money the university will receive through fee hikes.

    In the short run, this will likely mean less money from the state. However, students need also consider the remaining years of the compact. Starting in 2007 and continuing for the following three years, the compact promises the university 5-percent annual funding growth while leaving fee hikes to the discretion of the UC Board of Regents.

    Under the current system, this means the regents could jack up fees anytime they need more cash. However, the LAO’s plan would essentially remove all incentive for the regents to raise tuition, because the new proceeds would have to be subtracted from the guarantee in state funding growth. And if more fees do not translate into more money, why would the regents bother with them?

    Though the UC Students Association has criticized other portions of the LAO’s analysis, it should certainly embrace this recommendation and protect the UC campuses from higher tuition.

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