The California State University system essentially has no way to avoid painful cuts, university trustees were told Tuesday. In a budget presentation that illustrated just how untenable the 23-campus system's finances have become, administrators told trustees the university risks bankruptcy unless it cuts at least $130 million.
"We have to come up with a way to take our spending down, or we'll be joining our brothers in San Bernardino," said Chancellor Charles Reed, alluding to the Southern California city's recent decision to file for bankruptcy. The sobering discussion was meant to prepare trustees for a difficult September decision on how to prepare for a crucial statewide vote in November. The university's budget, like that of the 10-campus University of California system, is heavily dependent on a ballot initiative championed by Gov. Jerry Brown that would raise sales and income taxes.
http://www.mercurynews.com/education/ci_21095505/california-state-universitys-threatening-budget
