FY26 Budget Report Guidance
All university units are asked to use one of the following budget report guidelines, as appropriate, in the development of annual reports as part of the annual unit review process.
Introduction
As stewards of University resources, we must make investment decisions comprehensively and manage cash balances strategically. Strong student enrollment numbers inspire optimism and confidence in the University of Illinois brand. However, we must remain mindful of changing demographics that may impact future tuition revenues and inflationary pressures on expenses, including labor and utility costs.
The State of Illinois has an uncertain fiscal outlook. For FY2025, the University of Illinois System received an approximate 2% increase in funding for general operations. Additionally, the State budget re-appropriated capital funding for key construction projects, including Altgeld Hall/Illini Hall and quantum sciences initiatives. However, the State still faces substantial underfunded commitments, including an unfunded pension obligation of around $144 billion. The State is also considering adjusting its process for funding higher education with the Adequate and Equitable Funding Formula for Public Universities draft legislation. Therefore, we must continue to expect that we will reduce our reliance on state appropriations.
Submission Deadline
Units should submit their report to provostbudget@illinois.edu by Wednesday, February 12, 2025.