University of Illinois

The Board of Trustees and University leadership remain committed to protecting academic quality, serving well the University’s students and others who depend upon the services and resources of the institution and minimizing adverse effects on students, faculty and staff.

2011 - 2012 Actions

Fiscal year 2012 is expected to be challenging. The state of Illinois has a budget deficit of $9 billion and a $4.6 billion backlog of unpaid bills. Medicare costs will likely increase. The state is borrowing to cover unfunded state pension liabilities.

The University of Illinois continues its conservative approach to spending used since FY 2009. An online chart shows the current status of lagging state payments to the University.

As of August 2011, the Administartive Review and Restructuring (ARR) iniatitive had produced $26 million in annual reccuring savings.

The Board of Trustees approved a $5 billion budget, a 5 percent increase from the University's $4.8 billion fiscal 2011 budget, in September of 2011.

2010 - 2011 Actions

In January 2011, the Board adopted a tuition setting policy that seeks to hold increases to the rate of inflation to address affordability while retaining the University’s purchasing power.

2009 - 2010 Actions

In November 2009, then President Ikenberry established the Administrative Review and Restructuring Working Group with representatives from University Administration and the three campuses.

The group delivered its final report in mid-June. The report, publicly released on June 23, contains 43 recommendations identifying $60 million in savings while concurrently improving administrative performance over three years.

The report’s recommendations cover administrative functions in University Administration and campus administrations. The report recommends clarifying and reducing the number of administrative positions; crafting stronger relationships among University advancement units (alumni and fund-raising functions); and capturing savings in procurement and information technology areas.

In January 2010, then President Ikenberry announced the implementation of a furlough program and other cost-saving measures. Travel limits, strict controls on new hires, and sustainability initiatives, first announced in late 2008, helped the University and the campuses weather financial challenges. University staff continue to work on plans to reduce non-academic administrative costs to focus resources on academic and strategic priorities.

Sept. 2011