At the beginning of 2012, California State University's trustees expected to be able to pay new presidents 10 percent more than their predecessors. Fiscal realities have since set in, however, and $750 million in state funding cuts, as well as public criticism and another $200 million in potential cuts by the end of 2012, has convinced CSU trustees to keep the presidents' salary levels capped.
CSU has hired two presidents since implementing the 10-percent increase in January. Both Leroy Morishita, who was hired for $303,660/year at Cal State East Bay, and Mildred Garcia, who was hired at $324,500/year at Cal State Fullerton, will keep their current salary levels, according to a San Francisco Chronicle report.
As the proposed revision to CSU's policy currently stands, private foundation money could still be used to supplement frozen base-pay levels. Last year's presidential hire at San Diego State, former University of Maryland Provost Elliot Hirshman, resulted in a 34-percent salary increase for the position. Hirshman's $400,000 base pay and $50,000 in foundation money made him the highest paid president in the 23-campus CSU system.
With six of the CSU campuses currently seeking new presidents, the savings are bound to add up, even if offers to prospective hires take a hit.