This is a difficult question because the statement is almost completely true. One part of it is completely true and the other part is mostly true but not exactly. I would think that would mean the answer is “true,” but you might want to check your class materials. This seems like the sort of question that is probably answered clearly in your book.
To see how this is so, follow the link below and scroll down about one page to Figure HED-01. There, we can see that the state dedicates less money to higher education from the general fund than it did in 2007. Therefore, the first part of this statement is true. In addition, we can see that tuition and fees have almost doubled in that time. That would make us think that the second part of the statement is true as well.
But here is the problem: the statement says that California has raised tuition and fees “year after year.” That implies that they have raised tuition and fees every year. That part is not true. The figure in the link shows that tuition has essentially not been raised in the last four years. On p. 34 of the text in the link, it says that “tuition and fees have been flat since 2011‑12.” So, even though tuition and fees are much higher now than in 2007, they have not been raised every year. That might mean that the second part of the statement is false.
It seems most likely that “true” is the correct answer. However, I do suggest looking it up in your textbook because it sounds like a question that is based on a specific passage in a book.