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SB 50 is a $9.2 billion K-12 and higher education bond measure, which will provide $2.5 billion for higher education over the period 1998-99 through 2001-02. Assuming allocations are made to each sector in the same manner as in the case of recent higher education bonds, the following amounts should be available to community colleges: 1998-99 – $208 million, 1999-2000 – $208 million, 2000-01 – $181 million, and 2001-02 – $181 million. In the later two years of the four year period $165 million is available for new campuses and centers for UC, CSU and community colleges.

There were several modifications to the measure after its initial approval by the Assembly in late July. All of the amendments are to K-12 provisions and the developer fee language. The bond was increased by $200 million to provide additional funds for K-12 modernization projects. Other changes were technical to the K-12 facility funding program, developer fee provisions, and replacement of a developer assistance program with a program to assist new homebuyers in making down payments. Many of the amendments were technical to make the Assembly language work as intended.

This measure is more than triple the size of the largest bond measure ever placed on the ballot in California. It will not be possible to take a nonchalant approach to the campaign for passage of this measure. It is incumbent upon all of us in the community college sector to move mountains to make certain a well funded campaign is forthcoming. More to follow …

BUDGET VETO MESSAGE OF COMMUNITY COLLEGE PROJECTS CLARIFICATION — The unfortunate wording of the Governor's veto message on eleven projects in the Budget, implied that the colleges were involved in what are referred to as "end runs" around the project approval process. That is, in fact, not the case. All of the projects were approved for funding by the Chancellor's Office and submitted to the Department of Finance (DOF) for approval in the fall of 1997 for consideration for funding in the 1998 Budget Act. DOF, as usual, was willing to fund fewer projects than the request sought. Although the projects in question were submitted to DOF, they (DOF) did not review any projects beyond the level they were willing to include in the budget.

During the spring of 1998 bond proposals were made that suggested that the level of funding for community colleges could be increased from $150 million annually to as much as $250 million annually. In order to have projects in the queue in the event a higher level of funding became available, the Chancellor's Office submitted additional projects to utilize any increased funding that became available. In fact, when it appeared that $200 million would be available the Governor did not veto 3 projects that were added in the same manner as the eleven vetoed projects.

DOF and the Legislative Analyst may view these projects as "end runs", but they are not in the eyes of the Chancellor's Office, as they were put forth by the Chancellor's Office in anticipation of more than the normal amount of funding being available.