The state Legislative Analyst’s Office released a report on Wednesday advising against some of Gov. Jerry Brown’s proposals for the higher education system in the state.
The report suggests changes to a number of the features of Brown’s proposal, including changes to Cal Grant eligibility criteria and the removal of earmarks on state funding to the UC and the CSU.
The decision to remove earmarks on state funding for the UC and the CSU is also questioned. This is because it would give the school administration less freedom on spending choices.
The outline also recommended that Brown forgo raising Cal Grant eligibility GPA requirements. According to statistics in the report, the GPA requirement proposed would eliminate aid for roughly one third of current Cal Grant recipients.
Under Brown’s plan, the GPA requirements for Cal Grants would increase, thereby reducing state expenditures by an estimated $131 million. Nearly one-third of current recipients would be cut off from grant money, according to the report.
Holding off on the GPA requirements in favor of more modest requirements would avoid disproportionate harm to students in need of financial aid, according to the report. Still, the report does not specify an alternate threshold, citing a lack of “data linking financial aid to student outcomes.
Cutting the incentives in the form of earmarks and admission targets would decrease the liability of administration and reduce the legislature’s role in regulating school spending, the LAO said.
“While we can appreciate the governor’s attention to higher education accountability, we think many aspects of the governor’s plan would reduce the legislature’s ability to allocate higher education funding according to its priorities,” the report said. “The elimination of enrollment targets and the promise of automatic funding increases are of particular concern.”
Among other recommendations, the report suggested cuts to the community college fee waiver program and seriously weighing options in the case that voters strike down Brown’s proposed tax hikes. UC and CSU systems would each be dealt $200 million in funding cuts if the tax increases fail.

