Today, the Governor released his May Revision of the California state budget. This is the next step in the state budget process that started in January when the Governor first released his proposed 2025-26 budget. There were signs in January that the state budget was stabilizing after deficits last year, but federal instability driven by the Trump administration has already created new challenges for the state.

In a welcome change, Newsom reduced his planned cut the California State University (CSU) system’s state funding from 7.95% to 2.82%. This cut, originally totaling $375.2 million, would have significantly undermined the quality of education, economic vitality, and well-being of California for generations to come. Newsom’s proposal is now for a 2.82% cut, amounting to $143.8 million.

This is a direct result of CFA members who hand-delivered thousands of petitions, postcards, letters of advocacy from our community coalition, and a copy of our equity paper, “Shortchanging Students: How the CSU is Failing Our Future,” to the governor and legislators.

This is not the end of the fight to fully fund the CSU. The state budget proposal now passes to the legislature to determine the final budget, which is then sent to Newsom’s desk. The legislature has until June 15 to pass the budget. Which means the next two weeks are going to be critical to make sure that our funding is prioritized and included in the final budget negotiations.

Regardless of what happens in the next several weeks, we must hold CSU management accountable to how it will use the dollars the CSU receives. A 3% cut to state funding for the CSU represents a reduction of less than 2% to the overall CSU budget, but we anticipate management may use any reduction to stir up fear and motivate austerity measures. Despite years of budget increases by the state, CSU management has reduced spending on instruction, while setting record high amounts spent on consultants and debt service, and expanding administrative positions and pay.

As seen in Figure 2 from the paper, the CSU system has experienced a significant increase in state appropriations since 2018-19—the year during which Newsom assumed office. However, this influx of funding has not translated into greater support for instruction. In fact, instructional spending has declined as a share of total operating expenses, while spending on capital projects, management salaries, investments, and campus police has risen. These figures raise important questions about CSU’s true financial priorities—and whether students are benefiting directly from the state’s increased investment.

Investing in public higher education is a commitment—one that Chancellor Garcia and the Board of Trustees need to choose. Securing state funding for the CSU is one part, but the responsibility for how that funding is used rests with CSU management. Austerity is not inevitable; it is a choice—one that Chancellor Garcia is making.

Now is the time to be part of the fight! Sign the petition to save the state funding to the CSU. We will also be joining our SEIU allies to rally for the state to increase revenue on Wednesday May 21st. If you are in the area join us on the West Side of the capitol building, click here to register if you are able to attend, the rally and action starts at 10am.

Sincerely,

CFA Officers

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