Financial 'Mega Meltdown'
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SPORTS: Women’s soccer season opener DETOUR: Depeche Mode ends in loss to Utah, page 19 The new wave group rocked FEATURES: Jury duty: the verdict is in, Santa Barbara Bowl, page 12 guilty, page 6 Since 1960 Volume 85, Issue X Monday August, 24, 2009 The Student Voice of California State University, Fullerton Financial ‘mega meltdown’ hits CSU “Nothing short of a mega meltdown financially,” is how California State University Chancellor Charles B. Reed described the events that occurred over the summer. The CSU lost a fifth of its general fund support from the state. The student fee rose by nearly $1,000 for each full-time California resident. Each faculty member lost nearly 10 percent of their salary to furlough days. The CSU has closed spring enrollment, is planning potential impaction plans for the 2010-11 year, and will decrease its total enrollment by 40,000 students. Among these encroaching times, the Daily Titan attempts to do its part by supplying you, the reader, with insight from intellect fostered by Cal State Fullerton instructors, and with information aggregated from sources across the state. This is our continuing goal as CSUF perseveres through the work that begins today. DTSHORTHAND Excess Units General Faculty “Please do not respond to this email”. That was the closing re- mark in an e-mail sent out to stu- dents by CSUF’s Admissions and fund loses & staff Records, notifying students that no requests for excess credits will be allowed. The limits placed on paydays students for credit hours are: 16 $1.3 billion units for undergraduate students, 12 units for graduate students and 19 units for credential stu- By SERgIO CabaruvIAS Daily Titan News Director furloughed dents. [email protected] The only allowance will be By SERgIO CabaruvIAS for students who are candidates Faculty and staff furloughs, a 32 percent stu- Daily Titan News Director for graduation for the fall 2009 dent fee increase, enrollment cuts and class reduc- [email protected] term. tions are all in place as the California State Uni- Canceled classes and office hours, versity tries to grapple with its most significant along with campus-wide “reduced budget woes in its history. service” days, will become the norm “It’s the state!” Cal State Fullerton President during the 2009-10 academic year, Financial Aid Milton Gordon said before explaining that the as employees of the California State massive cut is derived from the state’s efforts to University are required to take fur- Most financial aid will be dis- eliminate the $26.3 billion budget gap. persed in a lump sum a few days lough days to help fill the CSU’s Over the summer, state general fund support $564 million budget deficit. before classes begin, according to to the CSU decreased from $2.9 billion to $1.6 the financial aid Web site. The “I absolutely support furloughs,” billion, an amount lower than that supplied a de- said Cal State Fullerton President first disbursement for fall 2009 cade ago when the university had about a fifth aid was scheduled on August 20, Milton Gordon. The furloughs are fewer students, states the CSU Web site. With aid expected to save about $275 million and there will be additional dis- from the federal government and other sources, bursements each week through- in labor costs this school year, reduc- however, the CSU is facing a revenue shortfall of ing the need for layoffs of hundreds out the semester. $564 million. The web site added that if of employees. To fill the “unprecedented” budget shortfall A furlough day is a day on which students are enrolled part-time it faced as a result of the state budget cuts, CSU they may only receive partial pay- an employee would normally be has taken measures that include furlough days for paid to work but has instead agreed ments of certain aid such as the nearly all of its 47,000 employees, a 32 percent Cal Grant, the Federal Pell Grant By Isa ghAnI/Daily Titan Multimedia Editor not to work and not be paid. The increase to the student fee, planned enrollment plan for faculty mandates nine fur- or the EOP Grant. However, in cuts that include the closure of spring enrollment, the case that a student increases lough days in the fall semester and and system-wide budget reductions, Vice Presi- closed several Fridays throughout the semester as A group of CSU students filed a lawsuit earlier nine furlough days in the spring se- their enrollment they may receive dent for Academic Affairs Ephraim Smith said. part of the furlough plan for CSU. (See related this month against the CSU’s Board of Trustees additional aid. mester. The 18 days total translates Because employee salaries and benefits account story on Page One and the furlough calendar on for raising fees after students had already been into a 9.23 percent pay decrease for for 85 percent of CSU’s budget expenditures, em- page 3.) billed. The lawsuit claims that the act was a breach faculty. ployee furloughs are expected to generate $275 Over the summer, the undergraduate fee for a of contract and cites a ruling by the California “They will not affect long term I would like to say to the million, Gordon stated in a letter to the CSUF full-time California resident student was increased Court of Appeals which found against the Uni- benefits or pensions. If you only students that if they continue the community. from $3,048 last year to $4,026 for this academic versity of California in a similar case last year, the went with salary reductions, they “collaboration that I’ve seen in The California Faculty Association, a union year. In 1999, the same fee was $1,428. CFA reported. would impact benefits and pensions. the past with the entire campus, that represents 23,000 CSU employees, stated on The total fee increase is an accumulation of The next hearing for the suit is scheduled on It is absolutely the best way to go. I July 24 that 54 percent of its voting members ap- Aug. 31. faculty, staff and administrators multiple increases that have been passed by the am in full support of them,” Gordon proved the furlough plan proposed by CSU. The A third of the increase to student fees will be working together that Cal State CSU Board of Trustees since May – the last of said. plan calls for faculty to take 18 normally paid funneled to financial aid. “This set aside, as well Fullerton is going to be as success- which was announced after many students had The California Faculty Associa- work days as unpaid days off, which decreases as increases in financial aid included in the federal tion, which represents 23,000 CSU ful as possible. “ registered, causing expressions of frustration from their salaries by 9.23 percent for the 2009-10 stimulus package, is expected to fully cover the fee employees, agreed to the furlough – Milton A. Gordon, Ph.D. year. the student body. increase for 187,000 of CSU’s 450,000 total stu- “I’m kind of S.O.L. because my financial aid plan after 54 percent of its mem- CSUF President Every other employee at CSUF will also be tak- dents,” Gordon said. bers voted this summer in favor of only gave me enough for books, but now that See Gordon, page 3 ing an equivalent of two furlough days per month The plan to fill the CSU shortfall includes cuts the plan, while 46 percent of the except campus police, graduate assistants and they increased (student fees) I don’t have enough to enrollment. 8,800 voting faculty members voted teaching assistants, Associate Vice President for for books. So I have to come up with that on my Last year, prior to the state’s proposed cut to against the plan, the CFA stated in a Academic Affairs James Dietz said. own,” Chris Brabant, a history major said before funding, CSU had already stated that it would cut “Winkers” Students can expect offices and services to be stating he would buy his books with credit. See BUDGET, Page 2 See FURLOUGH, Page 2 CSUF president addresses state-wide cuts Milton A. Gordon, Ph.D. tells the Daily Titan what effects the cuts will have Students react to budget Daily Titan: What was your reaction when you DT: What was your reaction to the news that only heard how large the deficit would be for the CSU? four percent of the voting members of the California shortfall President Gordon: Well, you know, I’m a mathemati- Faculty Association had confidence in CSU Chancel- cian, so I was stunned, personally, at the size of it. I’ve lor Reed’s leadership? “Since we pay our been through several state budget reductions in the state Gordon: Surprise. I have full confidence in Chancel- before, but never one of this size or of this magnitude. lor Reed. He is in a very difficult situation right now. university fees in our home universities, basically we’re Patent pending for the hippest I don’t think you can compare the previous state reduc- DT: Why do you think the faculty voted that way? new clothing accessory. It’s the tions to the current $584 million. For instance, it is the Gordon: I think misunderstandings explain it. I work not affected.” pants that wink as you walk. The first time in the history of the state that the Cal State closer with him. I know he’s going through a tough time.