July 2026

Universities

Changes in California State University General Fund Spending

Reflects July Budget Plan, 2026-27 (In Millions)

2025-26 Revised Spending $5,685
Ongoing Spending  
Base increase (5 percent) $265
Base restorationa 144
Base increase (2 percent delayed from 2025-26) 101
Retiree health benefits cost increase 66
Pension cost increase 6
Subtotal ($582)
One-Time Adjustments  
Remove 2025-26 one-time funding -$66
California-Mexican Initiative for New Opportunities 5
Physician Access Workforce Studyb 1
Subtotal -($59)
Total Changes $522
2026-27 Enacted Spending $6,207
a The 2025-26 Budget Act included a payment deferral from 2025-26 to 2026-27. The 2026-27 budget restores CSU's base funding in 2026-27 so that the size of the deferral does not grow.
b The 2026-27 Budget Act provides $5 million one-time General Fund to the Department of Health Care Access and Information for a new Physician Access Workforce Program. Of that amount, $1 million is for CSU San Luis Obispo to conduct a physician workforce study, including the potential need for a new medical school and residency programs in the Central Coast region.