ASUCLA to present a $51 union fee hike

Monday, November 18, 1996

FEES:

Extra income necessary to bail association out of debt or face
takeover by universityBy Frances Lee

Daily Bruin Contributor

Recognizing the need for a student union fee increase, the
Associated Students of UCLA (ASUCLA) Services Committee met last
Thursday to decide by what amount the fee should rise.

After rejecting the $70 fee the association had proposed earlier
last week to the student council, the committee unanimously voted
to present a $51 student union fee to the ASUCLA Board at its Dec.
6 meeting.

The urgency with which the committee finalized their decision
came as a result of the board’s need to present their budget to the
UC Board of Regents in January, to secure their loan for the
renovation of Ackerman Union and the continued operation of the
association independent of the university.

"If we don’t (raise student union fees)," said ASUCLA Finance
Director Rich Delia, "the university will."

If the association does not turn its financial woes around, it
could potentially face an operations takeover by the university
­ removing control of the association from student hands.

During the meeting, Vice Chancellor of Student Affairs Winston
Doby reminded the committee that the fee increase will also have to
be presented to and supported by the Student Fee Advisory
Committee.

Also at issue was the committee’s desire that students should
have some say as to whether or not they supported an increase, and
debated the idea of putting the matter to a student vote in the
form of a referendum on the Spring 1997 graduate and undergraduate
elections ballots.

"We need to reflect (the opinions of) the students," said ASUCLA
Board Chairman James Friedman, stressing that if the association
didn’t make an attempt to get student input and simply imposed a
fee, "there would be no difference between us and the
university."

But Anita Cotter, the administrative representative to the
board, felt that "the board itself represents students. If (we)
make a recommendation, I don’t feel a referendum should be
necessary if everyone (on the board) is truly representing their
entities." She suggested using a survey as an alternative to an
actual vote.

Most committee members, however, felt that the students should
be allowed to voice their opinions, although some were concerned
that not enough students might turn out for a referendum vote.

No conclusion was reached during the meeting, but most committee
members supported the idea of implementing an advisory, or
non-binding, referendum.

Association Executive Director Patricia Eastman turned attention
back to the issue of the fee increase, reminding the committee that
"this is the most important issue the association faces. If we
don’t resolve this, we don’t have a board."

The committee members unanimously decided on a $51 student union
fee, as opposed to $70, because "our fee has to be such a number to
reflect what students are paying for," said Graduate Representative
Christine Wilson.

A $51 fee would be an accurate reflection of what students
should be charged for the maintenance and upkeep of space devoted
exclusively for students and student activities, according to the
association.

However, the committee attached a condition to the fee,
subjecting it to an annual evaluation by the Finance Committee
which could reduce the amount if the association had enough of a
positive cash flow to offset it.

The original $70 fee would have given ASUCLA some leverage to
build up cash reserves to buffer themselves against another such
financial crisis in the future, but with a $19 decrease, they face
an income shortage of about $600,000.

"A $51 fee is accurate because it recognizes (that) the
association can cut corners," said Friedman.

Those "corners" will not come without some difficulty, according
to Eastman. "We’re looking at two new venues ­ the Patio off
the Treehouse and the old offices of the Daily Bruin. If we
maximize those venues and market them, we think we can pick up
about $200,000."

In addition, she added, the association is exploring the
possibility of another off-campus UCLA Store like that at Universal
CityWalk, and Web sales from the on-line store, which could add
another $200,000. The reinstatement of the dorm meal coupons will
also help the association by providing about $150,000 of sorely
needed income. The rest of the shortage will most likely be funded
by reducing expenses.

If implemented, the $51 student union fee will become effective
in Fall 1997.