A spokesman said the trustees wanted to gather more input before reviewing the matter.
The proposal called for three new fee hikes. They were designed to push students to earn their degrees faster and free up an estimated 18,000 enrollment slots.
Students planned to protest the proposed tuition hikes at the trustees' meetings on Tuesday and Wednesday.
Gov. Jerry Brown made a rare appearance at the board meeting Tuesday to recommend the fees discussion be postponed indefinitely.
"I want to keep fees down, and this gives us some breathing space to look at other ways of achieving the goal of getting students to graduate faster and not try to repeat so many courses," said Brown.
CSU officials say there are too many students who are retaking classes and too many students who remain enrolled long after they should have graduated. That means new students aren't able to get the classes they need. The proposed fees were meant to create an incentive to graduate.
"So if you're taking a course again, for the second or third time, that means I can't get it for the first time, and unfortunately with the budget the way it is, there is the fiscal reality that we just are not able to service as many students as we'd like to," said CSU Chancellor Spokesman Mike Uhlenkamp.
"We are just adamantly opposed, and we think there are other ways to accomplish the goal of I guess changing the behavior that CSU is trying to reach," said Cal State Student Association President David Allison. "We feel that there are other ways to do this other than going for fees first, charging students first."
CSU officials said the proposed system would have freed up 18,000 enrollment slots annually and would have generated $30 million. But for now those proposed fee hikes have been postponed indefinitely.