The 2026-27 Budget: California State University

Feb 24, 2026 - Recommend Using Available One ‑Time Funding to Retire Payment Deferral. If one‑time funding becomes available, we recommend the Legislature retire this payment deferral either this year or in the coming years.
https://lao.ca.gov/Publications/Report/5142

The 2026-27 Budget: University of California

Feb 26, 2026 - Recommend Using Available One ‑Time Funding to Retire Payment Deferral. If one ‑time funding becomes available, we recommend the Legislature make retiring this payment deferral a high priority. Retiring the deferral would return UC ’s state payments to their regular schedule, eliminate the associated debt obligation, and reduce state budgetary pressures in the out ‑years.
https://lao.ca.gov/Publications/Report/5143

The 2026-27 Budget: Bureau for Private Postsecondary Education

Mar 25, 2026 - Under this time line, the administration estimates BPPE would make annual payments of $1.9  million from 2026-27 through 2031-32, with those payments totaling $11.5  million (including interest) across the six-year period.
https://lao.ca.gov/Publications/Report/5169

The 2026-27 Budget: Higher Education Overview

Feb 5, 2026 - These commitments stem from the state not providing the full year ‑four compact payment in 2025 ‑26. In addition, the Governor includes a new proposal to retire the CSU and UC deferrals in 2027 ‑28, providing an associated $274  million one ‑time General Fund payment.
https://lao.ca.gov/Publications/Report/5112

The 2026-27 Budget: California Student Aid Commission

Feb 17, 2026 - To do so, the state is using a General Fund cash loan to cover the payments to students. This approach only works if the state is in a strong cash position. If the state ’s cash position weakens, which has happened during previous fiscal downturns, the state could find that internal borrowing is no longer an option.
https://lao.ca.gov/Publications/Report/5127

The 2026-27 Budget: California Community Colleges

Mar 5, 2026 - This would restore the state ’s community college apportionments payments to their regular schedule and reduce future cost pressures. We  recommend prioritizing funding next for deferred maintenance projects.
https://lao.ca.gov/Publications/Report/5150