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
Incremental New Revenue
| | | |
| State General Fund: Compact | $227,302,000 | | $227,302,000
|
| Tuition from Strategic Resident Enrollment Growth | 16,068,000 | | 16,068,000 |
State General Fund: Above Compact
| | $286,478,000 | 286,478,000 |
| TOTAL NEW SOURCES | $243,370,000 | $286,478,000 | $529,848,000 |
| Incremental New Expenditures | | | |
Graduation Initiative 2025
| $30,000,000 | $25,000,000 | $55,000,000 |
Student Basic Needs
|
| $20,000,000
| $20,000,000
|
Workforce Investments
| | | |
| Faculty and Staff Compensation Pool | 92,466,000 | 168,444,000 | 260,910,000 |
| Health Premium Increase | 50,524,000 | | 50,524,000 |
| Academic Facilities and Infrastructure | | 50,000,000 | 50,000,000 |
| Strategic Resident Enrollment Growth | 50,648,000 | | 50,648,000 |
| Required Operational Costs | | | |
| Maintenance of New Facilities | 6,032,000 | | 6,032,000 |
| Liability and Property Insurance Premium Increases | 13,700,000 | | 13,700,000 |
| Inflation on Non-Personnel Costs | | 23,034,000 | 23,034,000 |
| TOTAL NEW USES | $243,370,000 | $286,478,000 | $529,848,000 |