What legislation is being proposed?
House Bill 1581 and Senate Bill 0013, known as the Adequate and
Equitable Public University Funding Act, would create a new formula
for distributing state funding to Illinois’ 12 public universities.
The formula sets an “adequacy target” for each institution and
directs new funding first to the schools furthest from that target.
The bill also calls for $135 million in additional annual funding
over 15 years.
Does the University of Illinois System oppose increased funding for
higher education?
No. The U of I System strongly supports increased state investment
in higher education. State appropriations for public universities
have fallen dramatically over the past two decades, and all
institutions need more support. What the System opposes is the
specific formula proposed in this legislation, which would
redistribute resources in ways that under-resource the state’s
strongest public universities—the ones that drive workforce
development, anchor the research enterprise, and power economic
competitiveness.
How would this formula affect the U of I System specifically?
Under the proposed formula, the Urbana-Champaign campus is
considered the most adequately funded institution at 89% of its
target, meaning it would be last in line for new funding. UIC and
UIS are at 56% and 57%, respectively. In practice, this means the
System’s three campuses—which educate 53% of all public-university
students in the state—would receive a significantly reduced share of
any new investment, even as demand for their programs continues to
grow.
Doesn’t the formula prevent any university from receiving less than
it currently gets?
The bill’s proponents say no university would receive less than its
current funding level. However, the issue is not a nominal cut—it’s
relative decline. If new state dollars flow disproportionately to
other institutions while the U of I System’s costs continue to rise
with inflation, enrollment growth, and research demands, the
practical effect is under-resourcing. A flat dollar amount in a
growing-cost environment is a reduction in real terms.
Why does funding for the U of I System matter to all of Illinois?
The U of I System is the backbone of higher education in Illinois.
Eighty percent of our students are Illinois residents. Seventy-four
percent of our graduates stay in the state, fueling the workforce,
economy, and civic life. One in 37 Illinois jobs is supported by the
universities and their students. We run the state’s only public
academic health system, deliver nearly $300 million in undergraduate
financial aid each year, and graduate more underrepresented and
first gen students than all other Illinois public universities
combined. Under-resourcing the System doesn’t just affect our
campuses—it ripples across the state.
What would happen if the U of I System is under-resourced?
The consequences would be far-reaching. Innovation would slow as
research capacity is constrained. Healthcare workforce pipelines
would narrow as fewer nurses, pharmacists, dentists, and clinicians
are trained. Communities would lose access to the teachers,
engineers, and research partnerships that drive local economies.
Students and families could face higher tuition, fewer academic
options, and reduced support services. Employers would see a smaller
talent pipeline. And Illinois as a whole would risk slower growth,
reduced competitiveness, and fewer opportunities for the next
generation.
Doesn’t the U of I System already receive the largest share of state
funding?
The System serves the largest share of students—more than half of
all public-university students in Illinois—and conducts the majority
of the state’s public-university research. Its share of funding
reflects its scale, mission, and statewide impact. A funding formula
that doesn’t account for these realities doesn’t achieve equity—it
undermines the institutions on which the entire ecosystem depends.
Isn’t this similar to the evidence-based funding model used for K–12
schools?
Proponents draw that comparison, but higher education is
fundamentally different from K–12. Universities have distinct
missions—research, healthcare, graduate and professional
education—that carry different cost structures. A formula that
treats all institutions as interchangeable, without adequately
accounting for scale, research intensity, and statewide reach, risks
weakening the very institutions that set Illinois apart nationally.
What kind of funding approach does the U of I System support?
The System supports a funding approach that is predictable,
balanced, transparent, equitable for all institutions and students,
and aligned with Illinois’ long-term goals. Equity and adequacy are
shared goals—but the path to achieving them should strengthen the
entire public higher education ecosystem, not weaken its strongest
assets.
Where does this legislation stand right now?
HB 1581 advanced out of the House Appropriations–Higher Education
Committee in late March 2026 and could face a full House vote. A
companion bill, SB 0013, is in the Senate. The legislation failed to
advance in the Senate last year. The U of I System continues to
engage with lawmakers and stakeholders on the need for a better
approach.
What can I do?
Contact your state legislator and urge them to oppose this
legislation in its current form. Ask them to support a funding
approach that increases investment in all of Illinois’ public
universities while recognizing the unique role and scale of the U of
I System. Every voice matters—this is about protecting what works
for Illinois and for every student.