State audit calls out UC, CSU student housing and says $89 million should not be used for SJSU’s Spartan Village

A new state report released Tuesday alleges that San Jose State University officials are planning to use $89 million in state funds for an unauthorized housing project.

The report by the California State auditor evaluates the University of California, California State University and California Community Colleges systems and their efforts to provide affordable student housing. The audit was directed by the state Legislature, amid rising student homelessness and housing insecurity across the state.

In July 2023, San Jose State University was granted $89 million in the state budget through the Higher Education Student Housing Grant Program, which provides grant funding to California colleges and universities to construct affordable student housing.

The state audit alleges that the universi