California state budget could cut $200M from UC system - J.D. Morris, Daily Californian

U. California faces a $200 million state funding cut this year if voters do not approve Gov. Jerry Brown’s proposed tax increases in November, according to Brown’s January budget plan announced Thursday. Brown anticipates that California will face a $9.2 billion deficit through June 2013 in the state’s general fund. In order to help mitigate the deficit, he hopes to raise the sales tax and certain income taxes through putting a nearly $7 billion ballot initiative before voters. Should the November ballot initiative fail, the plan’s $200 million cut to the UC would follow a year in which the system saw its budget hammered by $750 million in state budget cuts. But if voters approve the initiative, the plan provides an ongoing $90 million General Fund increase to the UC for base operating costs — funding which the plan states could be used for retirement program contributions.