Yee’s legislation to freeze executive compensation set for first hearing this week

SACRAMENTO – Today, the California State University Board of Trustees is set to hand out more double digit pay hikes for two of their six-figure executives. The decision comes just two days before the Senate Committee on Education is set to consider legislation authored by Senator Leland Yee (D-San Francisco/San Mateo) to prohibit pay raises for top university administrators during bad budget years or within two years of a student fee increase.

Yee’s SB 967 will also stipulate that incoming executives can only receive five percent more than their predecessors.

The Trustees are expected to approve 10 percent hikes for two incoming campus presidents – $324,500 plus housing and a $12,000 per year car allowance for the next CSU Fullerton President and $303,660 plus $60,000 per year housing and $12,000 per year car allowance for the new CSU East Bay President.

“I wish I could say it is shocking that the Trustees would once again give double digit pay hikes to those making hundreds of thousands of dollars,” said Yee.  “Unfortunately, this is just par for the course at CSU. Rather than having competitive tuition and fair salaries for faculty, they are much more concerned with having the wealthiest administrators at taxpayer expense.”

“It is pretty simple – when the students are suffering, CSU should not be handing out pay hikes for executives,” said Yee.

This past year, the CSU Board of Trustees raised fall tuition twice – by 9.6 percent and then again by 12 more percent.

Yee, who voted against the state budget cuts to education, has long fought the executive compensation decisions by UC and CSU. In 2007, Yee passed SB 190 to ensure compensation decisions were made during a public session of the Regents and Trustees. Prior to the law, UC and CSU often made such decisions behind closed doors without public input.

In 2009, Yee passed a similar bill to SB 967 to stop executive pay hikes – SB 86 – which was vetoed by former Governor Arnold Schwarzenegger despite overwhelming bipartisan support. Yee expects Governor Jerry Brown to sign his latest effort.

SB 967 will be heard in the Senate Education Committee on Wednesday, March 21 at 9:00 AM in Room 4203 of the State Capitol.


Contact: Adam J. Keigwin,
(916) 651-4008