Governor Brown released his 2017-18 State Budget proposal in mid-January. His budget proposal, relative to community colleges, includes:
- $94.1 million – a 1.48 percent increase in the cost-of-living adjustment (COLA)
- $79.3 million – a 1.34 percent increase for enrollment growth
- $23.6 million increase to the base to cover increasing operating costs for community colleges especially STRS and PERS increases
According to information provided by the Chancellor’s Office, between 2013-14 and 2020-21, pension costs for California’s the community colleges will increase by more than $400 million as the state reduces the gap between the assets and liabilities in PERS and STRS.
- $150 million for implementation of guided pathways. Specifics for these funds will be included in budget trailer bill language in June of this year. The intent of the funds will be to support community colleges in developing cohesive, integrated pathways to help more students achieve their educational objectives. These funds are one-time.
- A one-time $43.7 million augmentation for deferred maintenance, instructional equipment, and specific types of water conservation projects.
- $52.3 million for energy efficiency projects through the Proposition 39 program. This is also a one-time augmentation.
An important note regarding community colleges’ share of Proposition 98 funds – traditionally, community colleges have received 10.93 percent of the Proposition 98 guarantee. In 2014-15 the community college share was 10.92 percent; in 2015-16 the share was 10.94 percent; and in 2017-18 the share is proposed at 10.87 percent, which is approximately $45 million less than what is customarily anticipated.
It is important to remember the Governor’s January budget proposal is only the first step in the budget process. He will provide a Revised Budget in May, which will go through the legislative process with approval of a final budget in concurrence with the Governor and both houses of the Legislature by June 30, 2017.