California State University System Trustees Approve Multiyear Tuition Increases

• The California State University Board of Trustees voted to approve tuition increases.
• Tuition will increase 6% per year over the course of five academic years.
• The university system is facing a $1.5 billion deficit and says the additional funding will help bridge the gap between revenue and operating costs.

Students across all 23 campuses of the California State University (CSU) system can expect tuition increases each school year for the rest of the decade.

The multiyear tuition proposal approved by the CSU Board of Trustees late last week will increase tuition by 6% per academic year, for a total of five years, beginning at the start of the 2024-2025 academic year.

Tuition for the 2023-2024 academic year started at $5,742 for undergraduate students enrolled in 6.1 or more units. The proposed plan would increase the rate to $6,084 for the 2024-2025 school year and continue to go up each year, reaching $7,682 for the 2028-2029 school year.

Tuition for doctoral programs and nonresidents, as well as the Graduate Business Professional Fee, would also increase over the five-year period.

"The revenue from the tuition increase is essential to provide the CSU with the financial stability it needs to continue to serve students today and in the future," Steve Relyea, CSU executive vice chancellor and chief financial officer, said in a statement.

"Coupled with an expanded financial aid structure that will look more holistically at the total cost of attendance, the CSU is committed to keeping costs as low as possible and providing support for students with the greatest financial need."​​

The system generates revenue from two main sources: funding from the state and tuition paid by students. According to the CSU, tuition and fees makeup around 40% of the system's operating budget, with the state covering the rest.

A report released by the CSU in May showed a massive funding gap of $1.5 billion between how much the system brings in and how much it spends. Over five academic years, the increased tuition rates are expected to generate around $841 million in revenue, with $148 million expected in the first year of increases.

Additionally, the system has committed to setting aside one-third of the revenue, around $280 million, for financial aid.

Sixty percent of CSU undergraduates have their tuition covered through grants, scholarships, and other means and will be unaffected by the tuition increase, according to the CSU. Another 18% on top of that will have the increase partially paid for through non-loan aid.

In a statement, the Cal State Student Association said it has a "deep concern" over the approval of tuition raises, adding that the increased cost "could have profound consequences for our students, making higher education less accessible and imposing an additional financial burden on them."

"We urge the board to deeply consider the impact of their decision and work to explore alternative measures that prioritize the financial well-being and accessibility of higher education," the statement read.