It’s hard to judge the proper pay and bonus structures for various organizations, but the public does have a right — maybe even a duty — to object when their tax dollars are used in irresponsible ways to placate the demands of public-sector unions. The California State University is funded in a variety of ways including tuition and philanthropic support, but the state provides more than half of its support to the “people’s” university system.
And its recently announced decision to fund hefty bonuses to faculty and staff should raise the hackles of every fiscally prudent Californian. As CalMatters reported, the system is seeking “a state loan of $144 million that it’ll have a year to repay at no interest, even though current projections show the system will have to add to its deficit to repay the debt.” This is fiscally irresponsible, but it’s no surprise that the faculty union is “cheering this decision.”
This is more than a request, as state legislators offered the loan after cutting funds from the system, per the report. But it’s unfathomable that the top priority in a tough budget situation would be to provide bonuses to the university’s workers.
Consider this summary from CalMatters in July: Cal State “says it’s short $2.3 billion, a staggering budget gap that’s grown sharply since the system first revealed two years ago that it didn’t have the money to properly educate its students.” The 22-campus system has been facing cuts in staffing, courses and services to stay afloat. Providing bonuses is an odd way to shore up the system.
The publication referred to this sleight of hand as “curious budgeting tactics.” Curious indeed. Basically, the Legislature slightly cut CSU funding to balance the state budget, then promised to restore funding next year while offering a bridge loan. That is indicative of the accounting gimmicks Gov. Gavin Newsom and the Legislature relied upon. But there’s no certainty revenues will rebound.
Compounding such gimmickry by using tight funds for a bonus is unconscionable. As those highway signs say, “Your tax dollars at work.