In response to Gov. Arnold Schwarzenegger’s proposal to make cuts in Cal Grants, the California State University announced on Jan. 15 that it would defer CSU fee payments for the spring 2009 term for those students who won’t receive their Cal Grants on time.
Cal Grants are a primary financial aid supplier to California higher education students. Approximately 65,500 CSU students receive Cal Grant awards. Other aid is provided by the federal government and by the institutions themselves.
The governor’s plan includes reducing the $880 million Cal Grant budget by about 10 percent, which would also get rid of an aid program for returning adult students and would hack grant money available for state students attending private institutions.
The State Controller and the California Student Aid Commission have informed California colleges and universities that there is a possibility of delaying payment of Cal Grants A and B for this spring term due to the state budget revenue crisis.
CSU Chancellor Charles Reed said that it is the goal of the CSU to protect access and enrollment of those students who are the “financially-neediest.”