California's Proposition 13 set a maximum property tax of one percent of appraised market value, limited assessment increases to no more than two percent of cash value each year, and required that no new taxes be imposed to make up for lost revenues without a two-thirds vote of the state legislature or a two-thirds vote of all qualified voters. Five areas of concern for two-year college administrators have resulted from this situation: (1) the impaired planning abilities of local districts due to the short-term availability of funds; (2) the loss of authority by boards of trustees and college administrations through increased shared authority with the state legislature, the board of governors, the state chancellor, and special interest groups; (3) a transition period in planning resulting in the halt of fiscal growth and the renewed consideration of imposing tuition; (4) decreased public support of community colleges resulting in less innovation and in redefinition of community services; and (5) political aspects of affirmative action programs. Others facing budget reductions and voter-imposed funding restrictions would be well-advised to invest effort in contingency planning to insure smoother transitions in the future. (MB)