Why getting more California students into top UCs carries a big cost to taxpayers

California taxpayers have spent $276 million to allow 3,000 more in-state students to enroll at UC Berkeley, UCLA, and UC San Diego, replacing non-resident students who pay three times the tuition. The Legislative Analyst's Office is questioning the program's high costs, suggesting an alternative that could save $36 million annually.
In 2022, California legislators and UC officials agreed to increase in-state student enrollment at UC Berkeley, UCLA, and UC San Diego by 900 students per year, with the state covering the lost revenue from non-resident students. The deal has cost taxpayers $276 million and allowed around 3,000 more students to enroll. The actual cost is higher than the expected $31 million annual figure cited by Gov. Gavin Newsom and state legislators. The Legislative Analyst's Office is now proposing that the state stop adding new resident students in lieu of out-of-state students, citing unnecessary expense and the state's projected budget deficits. Instead, it suggests directing the UC to enroll more resident students without limiting non-resident enrollment, which would cost $25 million annually. The three UC campuses have added 6,000 more Californians since the funding program began, aside from those who replaced non-residents, and have space to continue adding students.
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