Charitable giving to the California State University declined 7.6 percent in 2002-2003, the university’s first decline in more than a decade. The reduction reflects a national trend in charitable giving—and in giving to higher education specifically—due largely to donor uncertainty in a period of slow economic recovery.

What is important to note, however, is that although current year gift receipts dropped to $237.83 million, many donors expressed their strong commitment to the CSU’s mission of providing high-quality teaching and learning through multiyear pledges and testamentary commitments.

When these contributions are considered, philanthropic support grew to $302.15 million. Additionally, $538.83 million was received in special revenue that includes sponsored grants and contracts.

Alumni and friends also realized the importance of supporting the CSU’s mission to provide access to all qualified students: of support to current operations, $10.5 million went directly to student aid and more than $14 million was received to build scholarship endowments.

As the CSU continues to face financial challenges from larger-than-expected enrollment increases and diminishing state resources, the need for external support becomes more prevalent. Record enrollment of 409,000 students increased the need to expand the physical capacity of our universities. Friends of the CSU took notice and responded generously: Campus capital improvements to buildings and equipment were enhanced by gifts totaling $36.62 million. Libraries and physical plant operations also each received $11 million in restricted support. While these contributions have helped the CSU significantly, they do not fulfill the funding gaps created by severe state budget cuts and the continuing need for state bond support.

As the demands for the CSU’s programs and services have increased, so have the needs of our institutions. To provide authentic access to the classes students need to graduate and to maintain the integrity and quality of our academic programs, the California State University must succeed in acquiring more financial resources. We are grateful for the support of individuals, corporations and foundations that recognize our success in preparing a well-educated workforce and the impact higher education has on California’s economic prosperity. This support provides a margin of excellence that will allow us to enhance our programs, serve more students, and encourage new donors and friends to invest in the CSU.