Chancellor Tien is expected to make a final decision on the fate of the ASUC-run bookstore by Thursday, July 11, following an appeal by student government leaders.
In late June, campus officials took action to halt the extraordinary financial deterioration of the insolvent student-run store by removing the ASUC's delegation to do campus business. The students appealed to the chancellor.
"We took this action to address three critical issues," said Vice Chancellor Horace Mitchell. "We needed to stop the ASUC's enormous financial losses, free student government to focus on student needs and make certain resources for our academic mission are available."
The store, operated independently by the ASUC for more than 80 years, lost more than $700,000 since the beginning of the fiscal year, including a record $248,000 in May. This comes on top of $671,000 an independent audit said was lost in 1995.
To replace bookstore services, the campus proposes to establish and manage a self-supporting auxiliary enterprise to provide textbooks and other essential services. The top priority now, say officials, is to ensure textbooks are available for the start of the fall semester.
Campus bookstores are typically profit centers and the campus anticipates that by running an efficient operation that focuses on the core business, the store can turn a profit.
When asked by a Daily Californian reporter what he intends to do about the store, Tien on Tuesday, July 9, said, "My whole goal is to help the students. I want to do everything to benefit the students."
Mitchell has said the university will develop revenue in addition to mandatory student fee funds to support student groups.
Each year, between $600,000 and $700,000 in funds from student fees are earmarked to support student groups and student government. This money is apart and independent of the ASUC's business operation.