Dear Colleagues,
Now that the California Legislature has passed the 2025 Budget Act (AB 101 and SB 101), many of you are wondering about its impact on the CSU and our future negotiations with the University.
First of all, while the Legislature has presented the Governor with a budget, he has until June 30 to work with the legislature to reduce or eliminate any item on the bill. However, given the economic uncertainty at the federal level, it is expected that negotiations and possible modifications to the State budget may occur throughout the summer or even early autumn. Nevertheless, we have encouraging news to share regarding the State allocation to the CSU which is, in no small part, attributable to the advocacy campaign we and our Union allies have carried out in the last few months.
These are the highlights:
* The Legislature’s plan would forego the remaining 3% proposed cut to the CSU (equivalent to $144 million) and would, instead, defer those funds until fiscal year 2026-27.
* If enacted, the budget bill would improve the Governor’s plan to defer Compact Funding (5%) by splitting the deferral in two phases; in fiscal year 2026-27 an increase of 2% in base funding AND a final 3% increase in fiscal year 2028-29.
* The Legislature’s proposal would also provide for a one-time back payment to the CSU of $252,255,000 in fiscal year 2027-28.
* The bill also provides for a mechanism whereby the University would be able to seek short-term loans from General Fund sources to remedy cash-flow problems because of the deferrals.
Once we have more certainty on the status of the State budget, APC will notice the CSU on our intention to start contract bargaining per the terms of our current CBA. In the meantime, it is imperative we keep the momentum that has permitted us to reduce projected budget cuts. Visit this site to find information on how to contact the Governor of California to urge him to sign the budget bill as passed by the legislature.
In Union,
Dagoberto Argueta
APC President
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