Showing posts with label UC. Show all posts
Showing posts with label UC. Show all posts

Tuesday, May 22, 2012

California Higher Education: Not Enough Support from Taxpayers or Not Charging Enough Tuition?

There are plenty of complaints about the fast-rising costs of tuition and fees at California's many fine public institutions of higher education.  Due to crumbling tax revenues and annual multi-billion dollar budget cuts, California has imposed massive increases on tuition and fees for in-state students.  Due to budget cuts, there are fewer slots available in required classes, lengthening the time required to graduate.

I have a crazy and controversial question:  Is the problem a lack of funding at these institutions due to a decrease in tax revenues or are California's public institutions of higher education simply not charging enough tuition and fees? I recently came across a benchmark study by Washington State, by a group called the Washington Higher Education Coordinating Board.  The study lists the cost of in-state tuition for students for 47 states across the United States by type of institution.

Flagship Universities and Colleges

California boasts some of the world's best public universities.  The University of California Berkeley (UC Berkeley) is affiliated with more Nobel Prizes than most nations.  Despite some of the nation's highest cost-of-living expenses, expensive real estate, high taxes, and high housing costs, the in-state tuition for California residents at one of these world-class facilities ranks 14th highest in the nation--above the national average, but nearly 35% less than Pennsylvania--the nation's highest.


Comprehensive Colleges and Universities

While California has a few world-renowned public universities, it also has a broad network of excellent mainstream colleges and universities.  Despite high living costs and a whopping 26.2% increase from the prior year, California had only the nation's 35th highest (12th lowest) tuition  and fees for residents attending these facilities.  The 26.2% increase was the 2nd biggest year-to-year increase, second only to Georgia.  California residents tend to remember the massive increase and likely don't know the great value they receive in reduced tuition compared to residents in other states.


Community Colleges

Besides its flagship universities and comprehensive colleges and universities, California also enjoys a vast network of community colleges.  These facilities often provide needed vocational training and skills building necessary to become successful in today's job market.  They also offer a way for low-income students to pass required classes before transferring to one of California's mainstream facilities.  Where do tuition and fees ranks for California residents?  California has the nation's lowest-cost tuition and fees for residents studying at community colleges even after a 30% year-to-year increase--the third fastest increase after Georgia and West Virginia.


How does California maintain such low tuition and fees for residents?  Because the costs of public higher education is subsidized by California taxpayers.


To combat the funding shortfalls and the increases in tuition and fees, Governor Jerry Brown and various teachers unions propose to increase California's already high income taxes on upper-income taxpayers and to raise the state sales tax for all Californian's--already the nation's highest.




The question remains: Do we impose even higher taxes on California taxpayers to further subsidize our public institutions of higher learner or--given the evidence that California's public institutions are generally  priced below the national average--do we allow additional increases to tuition and fees?

Wednesday, November 9, 2011

Who is ReFund California?


A new group called the ReFund California Coalition is actively organizing on California's university campuses as part of the Occupy Wall Street movement.

They're asking the University of California Regents, California State University Trustees and other political and corporate leaders to sign the Refund California Pledge.


The problem is NOT that California's taxes are too low.  The problem is that California has a structural deficit that cannot be solved by raising taxes on a small percentage of taxpayers.

Never mind that California ALREADY has the nation's second highest marginal tax rate.

Never mind that the top wage earners ALREADY pay significantly higher effective income tax rates than the majority of other Californians. Never mind that California ALREADY treats capital gains just like ordinary income (part of the so-called "Buffett Test").


Never mind that the vast majority of California's income tax revenues (94%) comes from just 33% of taxpayers while the other 67% contribute just 6%.

Never mind that most of California's General Fund also comes from just 33% of taxpayers while the other 67% of taxpayers contributes just 3%.  If unions understand one thing, it's the power of mobs.

Never mind that, for all of the class warfare rhetoric about "The 99%" and "The 1%", the top 1% of California taxpayers pays 42% of all income taxes, at over three times the average tax rate, but have less than 1% of the voting power.


Never mind that "The 1%" by themselves contribute 24% of California's entire General Fund.


Never mind that, despite all the budget cuts due to our smaller economy, education still receives the lion's share of revenue, as it should.

Their motives are probably clearer if you see the group's URL, www.makebankspaycalifornia.com, and some of the site images.


If the ReFund California wants to fight corruption in the U.S. financial system and its too cozy relationship with cronies in national and state government, then I'm with you.  However, many of Refund California's strategies are seemingly misguided and counterproductive.  City squares in Oakland, Sacramento, Los Angeles, and San Francisco are a LONG WAY from the seat of real power and corruption in Washington, D.C.  Likewise California's campuses.

Who are the ReFund California Coalition?  According the group's web site, ReFund California consists of the following organizations, many listed only by acronyms.


Let's explore these organizations and see who they are.

AFT 1521
  • AFT 1521 is the American Federation of Teachers, Los Angeles College Faculty Guild.
  • The American Federation of Teachers has been pushing to increase the top marginal income tax rate for California's top income earners, despite that California already has one of the most income-progressive tax systems in the nation.  A whopping 94% of California's income taxes are paid by just a 33% minority of taxpayers. See also, "American Federation of Teachers: Part of the Solution or Part of the Problem?".
  • Nationally, the American Federation of Teachers is the #11 top political spender with 91% of their member's funds going to one political party.
Alliance of Californians for Community Empowerment (ACCE)
  • The group was previously part of ACORN, but changed its name (see this and this) after the scandal-plagued national organization lost access to federal funding.
  • SEIU and ACORN have had a long financial relationship.
  • ACORN has had a long history working against banks.  Ironically, many partially blame ACORN's supposedly well-intentioned push for subprime loans to unqualified, low-income borrows as one of the many driving forces behind the subprime mortgage crisis.
California Calls

Includes ...
California Partnership

Includes ...
  • California Immigrant Policy Center
  • Coalition for Humane Immigrant Rights in Los Angeles
  • Libreria de Pueblo
  • LIFETIME
  • Parent Voices
  • PUEBLO
  • SEIU 721 (see below)
  • Service, Immigrant Rights & Education Network (SIREN)

Clean Carwash Campaign

California Nurses Association



Oakland Education Association


    POWER
    • People Organized to Win Employment Rights (POWER)

    San Diego and Imperial Counties Labor Council
    • An affiliate of the AFL-CIO


    SEIU 1021
    • Service Employees International Union, Local 1021 

    SEIU 721
    • Service Employees International Union, Local 721 representing Southern California Public Service Workers

    SEIU ULTCW
    • Service Employees International Union, representing United Long-Term Care Workers

    SEIU USWW
    • Service Employees International Union, Local 1877, representing United Service Wokers West
    UAW 2865
    • United Auto Workers, Local 2865
    • Representing academic student employees at the University of California
    • Few realize that the United Auto Workers also represents student employees--it's not just for auto workers anymore.
    • For a group against government bailout of the banks, it is ironic that the UAW is protesting.  The UAW was one of the bigger beneficiaries of the federal government's multi-billion dollar bailout of General Motors in 2009.
    • In the 2008 Presidential election, the students, faculty, and staff of the University of California were the single largest block of donors to Barack Obama.
    • Nationally, the UAW is #17 on the top political spenders list.
    UAW 4121
    • United Auto Workers, Local 4121
    • Representing academic student employees at the University of Washington
    United Students Against Sweatshops (USAS)

    The New Bottom Line

    Includes ...
    • National People's Action (NPA)
    • People Improving Communities through Organizing (PICO National Network)
    • Alliance for a Just Society (AJS)
    • Right to the City Alliance
    • Main Street Alliance
    • Alliance of Californians for Community Empowerment (ACCE)
    • Oregon Action
    • Washington Community Action Network (Washington CAN) 
    • Contra Costa Interfaith Supporting Community Organization (CCISCO) 
    • People Acting in Community Together San Jose (PACT SJ) 
    • Inland Congregations United for Change Inland Empire (ICUC) 
    • Oakland Community Organizations (OCO) 
    • L.A. Voice 
    • People Improving Communities through Organizing California 
    • Faith in Community (FIC - Fresno)
    • Faith Action for Community Equity (FACE Hawaii)
    • Progressive Leadership Alliance of Nevada (PLANevada) 
    • Colorado Progressive Coalition 
    • Communities Creating Opportunity Missouri (CCO) 
    • Harriet Tubman Center/ Michigan Organizing Collaborative Detroit 
    • Lakeview Action Coalition Chicago 
    • Grassroots Organizing Missouri (GROMO) 
    • Illinois People's Action 
    • Iowa Citizens for Community Improvement (Iowa CCI)
    • Working in Neighborhoods Cincinnati (WINCincy)
    • Communities United for Actions Cincinnati (CUFACincy)
    • Take Action Minnesota 
    • Federation of Congregations United to Serve Orlando (FOCUS) 
    • Industrial Areas Foundation Southeast 
    • Virginia Organizing 
    • Voices Of Community Advocates & Leaders (VOCAL - NY)
    • Brockton Interfaith Community (BIC - MA) 
    • Brooklyn Congregations United (BCU) 
    • Maine People's Alliance