SAN FRANCISCO (AP) – California’s auditor says the University of California has undermined residents by admitting a growing number of nonresident students, some of whom were not as qualified as in-state students.

Out-of-state students pay more than in-state students, providing much-needed money to the financially beleaguered University of California. But in a scathing report released Tuesday, Auditor Elaine Howle says those admissions come at the expense of California students who are meant to benefit from the public university system.

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UC President Janet Napolitano blasted the audit as unfair and misleading.

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In a written response, she says the university has consistently provided a spot for the top one-eighth of California’s high school graduates.

She says nonresident fees help keep doors open for resident students at a time when state assistance has dropped considerably.

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Copyright 2016 The Associated Press.