As we begin a new year at the California State University, it is clear that 2008 will present significant budget challenges for the CSU system. Faced with a growing $14.5 billion state budget deficit, Gov. Schwarzenegger has proposed a $312.9 million cut to the CSU budget approved by the Board of Trustees for the 2008-09 fiscal year. The proposed budget fails to fund access for 10,000 students and puts at risk our ability to provide quality education for the nearly 450,000 students already enrolled.