Final CA State Budget Fully Funds the CSU

WE DID IT! Gov. Gavin Newsom signed the state budget and the $321 billion spending plan includes full funding for the CSU. 

Our stories, our advocacy, our calls and emails these past months all contributed to a united message that state leaders clearly heard and support: The CSU promise to help students advance - and its commitment to Salary Steps for staff -  deserve full state funding.

Budget highlights:

• Prevents the pending 3% cut to the CSU for 2025 but defers payment of $144 million to 2026-27 fiscal year.
• Improves the deferral of the 2025 Compact funding by splitting it into 2 years (pays 2% increase in 2026-27 and pays a 3% in 2028-29) and also provides a lump sum payment in 2027-28 of $252,255,000.
• Creates a state finance line of credit to support the CSU in 2025-26 for any cash flow challenges during the deferral period (a new item).
• Allocates $45 million for Sonoma State University.
• Provides $5 million to low-enrollment campuses for recruitment.
• Requires each enrollment-challenged campus to submit a strategic enrollment plan to the CSU Chancellor by Dec. 31, 2025, and the Chancellor to submit the entire set of plans to the Legislature by March 1, 2026.

With this budget, legislative leaders and the Governor are also telling the CSU and Board of Trustees they are not getting a blank check. Commitments to staff students must be honored.

In July, the CSU should inform us of their position to either fully implement steps or implement partial steps and re-open the CSUEU contract.

Two actions all members can take to show the CSU we demand Salary Steps this year:
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