February 26, 2025
Dear Faculty, Staff, and Students,
Yesterday afternoon, I had the privilege of testifying before the Nebraska Legislature’s Appropriations Committee, along with several Regents and key leaders from across the state, about the University of Nebraska’s budget and the critical role state investment plays in our mission. My testimony underscored why supporting the University is an investment in Nebraska’s workforce, economy, and future.
State funding is essential to our operations. About two-thirds of our operating funds come from state dollars, with the remaining third from tuition. Our partnership with the state is vital to ensuring that we can continue providing high-quality, affordable education to nearly 50,000 students and driving research and innovation that benefits all Nebraskans.
Our budget request to the Legislature has not changed since it was developed and the Board approved last summer. It includes a 3.5% increase in state funding of the core operating budget—a necessary investment to maintain our momentum in teaching, research, and workforce development—roughly mirroring inflation. However, the budget proposal from the State includes a 2.07% cut, in addition to reallocating $11 million in tobacco settlement funds away from our biomedical research and mandating more unfunded tuition waivers.
These proposed cuts would be implemented at a time of fiscal uncertainty across all of higher education, in which federal funding and programs are already at risk and being cut or delayed on a daily basis. The proposed combination of federal and state reductions will force us to make difficult choices—choices that could affect academic programs, student support services, and statewide initiatives that contribute to a healthier, more prosperous Nebraska.
During my testimony, I reiterated that the University of Nebraska remains committed to fiscal responsibility. We have made more than $100 million in cuts and internal financial efficiencies over the past decade, and we will continue to make tough decisions to manage costs. However, we need the state’s continued partnership to uphold our promise to Nebraska: to remain a powerful engine of opportunity, education, and innovation.
You can read my full testimony here.
Following my testimony, the committee members asked me several direct, data-driven questions. These resulted in considerable heartfelt discussion, painting a clear picture of the current university status and potential outcomes of further cuts to the state-aided budget. The deliberations of the committee will result in a budget that will go to the body of the legislature on day 70 of the legislative session for consideration by all 49 senators. We will continue to keep you informed as additional steps are taken.
Thank you for your ongoing dedication to our mission. Together, we will navigate these challenges and continue building a future of opportunity and excellence for all Nebraskans.
Sincerely,
