Fiscal Solutions For The Uc
Saturday, August 29, 2026
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I accept adopted these basic solutions to produce the electrical current UC budget from AFSCME:
Reduce the Top 2% of Earners = $220 MILLION
Applying sensible reductions to the University’s summit earners volition costless over $220 1000000 to role for preserving essential services. The alternative—levying reductions on UC’s employees, including low-wage service workers whose families are 1 stride from poverty—will ultimately damage to a greater extent than inwards populace dollars.
Use Short-Term Borrowing every bit a Stop-Gap = $200 MILLION
If UC tin borrow $200 1000000 to lend to the field for continued construction, it sure tin borrow $200 1000000 to hold essential services at campuses together with medical centers. Prioritizing centre services is a smart budget motility that saves coin past times averting the liability together with costs of dangerous campus conditions. UC tin afford this extraordinary stop-gap mensurate during unprecedented times.
Utilize Medical Center Profits = $100 MILLION
UC’s 5 medical centers made meaning net gains inwards 2009. According to UCSF CEO Mark Laret, inwards FY 2009 that unmarried campus “exceeded [the] outstanding degree goal… amongst a bottom trouble that may tumble out $100 1000000 this year.” Other campuses written report similar gains, averaging a 5.2% operating margin for the showtime 3 quarters of FY 2009 (California hospitals accept averaged less than 1% over the terminal 5 years reported). If UC borrowed medical centre profits inwards a higher house a 3% operating margin, this would costless roughly $100 1000000 for UC’s full general operations.
Restructure Debt = $75 MILLION
We back upward the University’s efforts to restructure a division of its bond debt service, together with believe UC should proceed amongst its plans to relieve $75 1000000 through such means.
Utilize Unrestricted Investments = $50 MILLION
The University holds a massive, $8.5 billion investment portfolio, almost of which is highly liquid, unrestricted funds. Although UC earmarks these funds for programs, roughly fraction is discretionary together with designated at the volition of the Regents. In FY 1993, UC together with the State of California tapped into the University’s investments to fund $43 1000000 of a shortfall inwards UC’s operating budget. Borrowing less than 1% of UC’s unrestricted investments would costless $50 1000000 to bargain amongst critical operational needs inwards this unprecedented field budget situation.
Cut Wasteful Spending = $40 MILLION
UC must proceed to cutting non-essential spending—including, simply non express to, renovations of UC mansions, executive rentals of non-UC property, non-essential travel, together with consultants’ contracts—before whatever consideration of cutting vital services. UC’s receipt of American Reinvestment together with Recovery Act funds necessitates an peculiarly judicious approach to reigning inwards excessive non-core spending.
Pressure must likewise go pose on President Yudof to negotiate straight off amongst the governor to ensure UC funding for adjacent yr together with the future. We likewise stand upward amongst our students together with pass upward the possibility of the Regents approbation a pupil fee hike of 15% for this January.
Reduce the Top 2% of Earners = $220 MILLION
Applying sensible reductions to the University’s summit earners volition costless over $220 1000000 to role for preserving essential services. The alternative—levying reductions on UC’s employees, including low-wage service workers whose families are 1 stride from poverty—will ultimately damage to a greater extent than inwards populace dollars.
Use Short-Term Borrowing every bit a Stop-Gap = $200 MILLION
If UC tin borrow $200 1000000 to lend to the field for continued construction, it sure tin borrow $200 1000000 to hold essential services at campuses together with medical centers. Prioritizing centre services is a smart budget motility that saves coin past times averting the liability together with costs of dangerous campus conditions. UC tin afford this extraordinary stop-gap mensurate during unprecedented times.
Utilize Medical Center Profits = $100 MILLION
UC’s 5 medical centers made meaning net gains inwards 2009. According to UCSF CEO Mark Laret, inwards FY 2009 that unmarried campus “exceeded [the] outstanding degree goal… amongst a bottom trouble that may tumble out $100 1000000 this year.” Other campuses written report similar gains, averaging a 5.2% operating margin for the showtime 3 quarters of FY 2009 (California hospitals accept averaged less than 1% over the terminal 5 years reported). If UC borrowed medical centre profits inwards a higher house a 3% operating margin, this would costless roughly $100 1000000 for UC’s full general operations.
Restructure Debt = $75 MILLION
We back upward the University’s efforts to restructure a division of its bond debt service, together with believe UC should proceed amongst its plans to relieve $75 1000000 through such means.
Utilize Unrestricted Investments = $50 MILLION
The University holds a massive, $8.5 billion investment portfolio, almost of which is highly liquid, unrestricted funds. Although UC earmarks these funds for programs, roughly fraction is discretionary together with designated at the volition of the Regents. In FY 1993, UC together with the State of California tapped into the University’s investments to fund $43 1000000 of a shortfall inwards UC’s operating budget. Borrowing less than 1% of UC’s unrestricted investments would costless $50 1000000 to bargain amongst critical operational needs inwards this unprecedented field budget situation.
Cut Wasteful Spending = $40 MILLION
UC must proceed to cutting non-essential spending—including, simply non express to, renovations of UC mansions, executive rentals of non-UC property, non-essential travel, together with consultants’ contracts—before whatever consideration of cutting vital services. UC’s receipt of American Reinvestment together with Recovery Act funds necessitates an peculiarly judicious approach to reigning inwards excessive non-core spending.
Pressure must likewise go pose on President Yudof to negotiate straight off amongst the governor to ensure UC funding for adjacent yr together with the future. We likewise stand upward amongst our students together with pass upward the possibility of the Regents approbation a pupil fee hike of 15% for this January.