In response to 1983-84 reductions in California community college funding, this report examines financial alternatives in light of different policy objectives. Following a background section on reductions in community college funding over the past 5 years, constraints on districts' flexibility in responding to reduced support are outlined, with focus on limits on instructional and non-instructional budget reductions. The next section considers the implications of five alternative levels of community college funding, i.e., leave Budget Act funding level intact, restore funding to 1982-83 base level, provide a 3% increase in funding for inflation cost increases above the 1982-83 base level, provide a 6% increase in funding for inflation and equalization cost increases above the 1982-83 base level, or fully fund the provisions of Senate Bill 851 calling for inflation cost increases and equalization aid. Next, four alternative sources of additional funding are discussed: the State General Fund, student charges, a mixture of general fund increases and student charge revenues, and additional revenue from other sources. Finally, the report addresses five policy objectives, analyzes the funding alternatives most likely to achieve each, and notes their implications. The objectives are to: (1) avoid additional General Fund expenditures; (2) preserve the current no tuition policy; (3) reduce the size and scope of the community colleges; (4) preserve access; and (5) maximize access and program quality. A summary of the impact of various student charge levels on community college enrollments and an overview of the methods and assumptions used in preparing the report are appended. (LL)