Financial Transparency - Key Budget Highlights

FY23-24

  • We ended FY23/24 General Fund with a net operating surplus and a positive fund balance.
  • The state appropriation covered less than half of the employee compensation increases. To prioritize funding for personnel, divisions covered the remaining gap by reallocating base funding from salaries and operational expenses.
  • We utilized one-time funds held centrally to cover unfunded mandatory cost increases, including utilities and risk management.

FY24-25

  • Enrollment Growth
    • The CSU is expected to grow resident enrollment by 1%, or 3,484 resident Full-Time Equivalent Students (FTES). The responsibility to grow enrollment falls on eight high-demand campuses, mostly southern California campuses, including Cal Poly Pomona.
    • Cal Poly Pomona is on track to achieve the increased resident FTES target set by the Chancellor’s Office.
  • Increasing Costs, Reduced Revenue
    • We begin FY24/25 with a solid financial footing due to our strong fund balance. Nonetheless, several challenges remain.
    • While the state honors its $240 million compact to the CSU, the revenue is offset by a one-time cut of $75 million, reducing our proportional share of the allocation.
    • The cost of the employee compensation increase at Cal Poly Pomona is only partially funded by the state —approximately $4.1 million or 24%, which is even smaller portion than last year. Cal Poly Pomona is expected to close the funding gap again.
    • Other unfunded mandatory costs continue to escalate, with a 20% increase for utilities and a 11.7% increase for insurance premiums.
  • Funding Gap
    • We anticipate a funding gap of $4.2 million, even after redirecting one-time salary and benefits savings (based on an estimated 3.5% vacancy) and centrally managed mandatory costs.
    • Although this is not a significant amount, if left unaddressed, the funding gap grows in future years. The five-year tuition increase beginning in FY24/25 provides additional funds for the unviersity, but rising costs will still outweigh the revenue increase.

Historical Financial Reports