One of the continuing stories of the summer has been the difficult situation with the financially insolvent ASUC-run bookstore.
The issue is currently in Alameda County Superior Court, with the campus seeking a ruling ordering the ASUC to cease operations and move out of the space in the Martin Luther King Jr. Student Union.
The issue reached the courts after exhaustive efforts by the campus to seek a mutually agreeable solution failed and a declaration from the ASUC that it will not vacate the space without a court order.
Despite months of intensive efforts, ASUC officials have rejected all proposals by the campus ‚ including the possibility of buying back the store in five years if the ASUC is in a financial position to do so ‚ because of a seemingly irresolvable conflict over control of the business.
The students insist they must retain control of the operation, but the campus requires that the final authority rest with the chancellor.
On July 12, Chancellor Tien informed the ASUC that due to the financial insolvency of the bookstore, he was upholding an earlier decision to remove their authorization to conduct commercial activities on campus.
The action was precipitated by the accelerating financial deterioration of the student-run enterprise. The store had posted losses of more than $900,000 during the four months of February through May of this year, with a record loss of $248,000 in May alone. Last year, the store lost $671,500.
The action ‚ and a proposed new operating partnership with the ASUC ‚ are consistent with goals outlined by the campus, said Vice Chancellor Horace Mitchell. These include:
The campus envisions establishing a self-supporting auxiliary to operate a new bookstore that will meet the needs of the campus.