The 2026-27 Budget: California State University

Feb 24, 2026 - The state pays costs for the employer contribution associated with CSU’s 2013‑14 payroll level. CSU pays the employer contribution for any payroll growth above that level. The state adopted this arrangement in 2013‑14 to provide CSU with a stronger fiscal incentive to contain staffing costs.
https://lao.ca.gov/Publications/Report/5142

The 2026-27 Budget: California Student Aid Commission

Feb 17, 2026 - We recommend the state return to paying for MCS the way it pays for other state programs —in the year in which the costs are generated. Even  funding MCS in the traditional way, the state could still set the award coverage percentage for each award year.
https://lao.ca.gov/Publications/Report/5127

The 2026-27 Budget: Community College Facilities

Mar 17, 2026 - Figure 2 Governor ’s Budget Funds New CCC Capital Outlay Projects Proposition 2 Bond Funds (In Thousands) College $399,428 $747,686 a Community college districts issue local general obligation bonds to pay for a share of project costs. b Replacement buildings listed in this category involve adding space. c Center operated by Sequoias Community College District.
https://lao.ca.gov/Publications/Report/5159

The 2026-27 Budget: University of California

Feb 26, 2026 - Pay for nonpersonnel operating cost increases (such as for utilities and insurance). Potentially launch a few, small new initiatives. Assessment Unrestricted Base Increase Lacks Transparency and Accountability.
https://lao.ca.gov/Publications/Report/5143

The 2026-27 Budget: Higher Education Overview

Feb 5, 2026 - Specifically, within the higher education budget, we recommend retiring payment deferrals at CSU and UC and paying for MCS costs in the year in which those costs are incurred (rather than in arrears).
https://lao.ca.gov/Publications/Report/5112

The 2026-27 Budget: California Community Colleges

Mar 5, 2026 - If revenues meet the Governor’s estimates in 2025‑26, this would create a $5.6 billion settle‑up obligation to schools and community colleges that the state would need to pay in the future. State law does not specify what share of these funds would go to community colleges.
https://lao.ca.gov/Publications/Report/5150