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Senate approves audit of excessive reserves at selected California community colleges
Summary
Senator Bob Archuleta won committee approval to audit five community college districts and Calbright, seeking to determine why many districts hold unconstrained reserves and whether reserves have affected student services and staffing.
The Joint Legislative Audit Committee on June 24 approved an audit of selected California Community College districts and Calbright College to examine rising unrestricted reserves and their effects on student programs, instruction and staffing.
Why it matters: Senator Bob Archuleta told the committee the statewide average unrestricted reserve across community college districts had grown from roughly 17% guidance to about 37% of general fund operating expenditures by the end of 2024; some districts hold reserves exceeding 50% or higher. Archuleta and faculty union representatives argued that excessive reserves may be diverting money that could otherwise support instruction, part‑time faculty…
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