Sources and Uses of Funds

The CSU proposes an $8.5 billion operating budget for 2023-24, with $5.2 billion from the state General Fund and $3.3 billion from tuition and fee revenue. As shown in Table 1, this budget plan is an increase of $529.8 million over the 2022-23 operating budget. It includes significant investments so the CSU can continue to serve as the key to California’s prosperous economy, consistently ranked as one of the top ten largest in the world. Table 3 outlines the sources and uses of funds that make up the $529.8 million increase. Because of the multiyear compact, the 2023-24 budget plan is different than past budget plans: sources and uses of funds within the limits of the multiyear compact and sources and uses of funds above the compact. The 2023-24 budget plan reveals that within the compact, the CSU would prioritize Graduation Initiative 2025, compensation improvements for all employee groups, grow student enrollment, and cover fixed cost obligations. All budget priorities included in the plan could be supported by a combination of sources from within and above the compact.

Table 3: Sources and Uses of Funds

Within Compact
Above CompactBudget Request
Incremental ​New Revenue
State General Fund: Compact$227,302,000$227,302,000
Tuition from Strategic Resident Enrollment Growth16,068,00016,068,000
State General Fund: Above Compact
TOTAL NEW SOURCES$243,370,000$28​6,478,000$529,848,000
USES OF FUNDSWithin CompactAbove CompactBudget Request
Incremental New Expenditures
Graduation Initiative 2025
​Student Basic Needs

Workforce Investments
    Faculty and Staff Compensation Pool92,466,000168,444,000260,910,000
    Health Premium Increase50,524,00050,524,000
Academic Facilities and Infrastructure50,000,00050,000,000
Strategic Resident Enrollment Growth50,648,00050,648,000
Required Operational Costs
   Maintenance of New Facilities6,032,0006,032,000
   Liability and Property Insurance Premium Increases13,700,00013,700,000
Inflation on Non-Personnel Costs23,034,00023,034,000
TOTAL NEW USES$243,370,000 $286,478,000$529​,848,000