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Chico State president says rising enrollment is easing budget deficit

Chico State President Steve Perez addresses the crowd during his presentation at the fall convocation on Aug. 20, 2025 in Chico Calif.
Erik Adams
/
NSPR
Chico State President Steve Perez addresses the crowd during his presentation at the fall convocation on Aug. 20, 2025 in Chico Calif.

Chico State held its annual fall convocation Wednesday, a formal event at the start of the academic year where campus leaders welcome faculty, staff and students, and reflect on achievements and outline priorities for the year ahead.

President Steve Perez struck an optimistic tone, saying Chico State’s financial outlook is improving as enrollment continues to climb.

Perez and university leadership highlighted recent achievements, including millions of dollars in grants, donor contributions and rising student numbers.

“We're getting close to the end of the tunnel that we need to be at.”
- Steve Perez, Chico State president

Perez said the university’s projected budget deficit — estimated at up to $32 million this spring — has dropped to between $11 and $20 million.

As he spoke about Chico State’s future, Perez stood in front of a projected image of a dark tunnel opening to bright light.

“We're getting close to the end of the tunnel that we need to be at,” Perez said. “I can feel it. I know we're almost there.”

Perez credited good fiscal planning and advocacy at the state level as part of the improvement in the university’s outlook, including lobbying by Chico State and CSU alumni to protect systemwide funding.

That alumni advocacy was a bright spot for Dawn Frank, senior director for the campus’ cultural affinity centers.

“I think a lot of that is the testament to the power of an education at Chico State, and that it really can be transformative and long lasting, and people believe in it,” Frank said.

Another major focus was enrollment. Last year, Chico State saw student numbers rise by more than 12%, and projections show that will continue next year.

“We're still growing. We're still going up,” Perez said. “We're bringing in more students. They're taking more classes. Average unit load is higher. That means you all have the classes out there that they need. That means advisers are getting them where they need to go, and they're getting good advice.”

"We are dependent on enrollments to make sure that we have classes, to make sure that we have jobs."
- Susan Frawley, Chico State lecturer

That sense of optimism was shared by Susan Frawley, a lecturer in the ethnic, gender and queer studies department. She said enrollment plays a key role in faculty job security, especially for those without tenured positions.

“We are dependent on enrollments to make sure that we have classes, to make sure that we have jobs,” Frawley said. “We had that dip … but I've been watching enrollments go up at Chico State, and that gives me so much hope because Chico State is a great university.”

President Perez feels the same way, closing his remarks by thanking faculty and staff and saying their achievements give him confidence in Chico State’s financial future.

Erik began his role as NSPR's Butte County government reporter in September of 2023 as part of UC Berkeley's California Local News Fellowship. He received his bachelor's degree in Journalism from Cal State LA earlier that year.