Last month, the Nebraska Legislature welcomed back state senators, introduced new legislative bills, and is holding legislative hearings. We have even started to see the advancement of new legislation from committee to the floor. In total, over 700 legislative bills and resolutions were introduced this session.
In January, Governor Pillen delivered his State of the State address, outlining his proposed biennial budget amidst projected declines in state tax revenues. As you likely read in local news outlets, the Governor’s plan includes cuts to many state agencies, including the University of Nebraska. While we are still in the process of advocating for the University’s state-aided budget for the next biennium, we want to provide an update on what this proposed cut could mean for our university system and the communities we serve.
We are grateful to Governor Pillen for including the release of previously allocated funding supporting Project Health in his proposed budget. This critical investment, approved in 2020 by the Nebraska Legislature, is an important public-private partnership to expand professional learner enrollment at UNMC and Nebraska Medicine by up to 25% and enhance healthcare education, research, and delivery statewide. The release of this previously appropriated funding will allow us to continue to move forward on this project.
However, the proposed budget also includes a 2.07% reduction in the University’s base state-aided core budget. The Governor’s plan removes all of the University’s $11 million share of the Nebraska Tobacco Settlement Biomedical Research Fund and maintains statutorily mandated tuition waivers that cost the University $6.25 million annually and continue to increase. In total, the result lays out approximately $31.5 million — or 4.55% — in negative budget impact across the NU system annually for each year of the biennium. Given the recently announced consumer price index from the U.S. Bureau of Labor Statistics of 3.1% inflation, this functionally deepens the cut to 7.8% in FY26.
On top of these reductions, there was no mention of the other budgetary requests for research growth, Presidential Scholars or for facility planning funds.
Our appropriations hearing will be held at the Nebraska Legislature on February 25th. If you are inclined, you can reach out to a member of the appropriations committee to express your support for funding the University and to share the value that it holds for you.
The University strives to be a good partner with the state. After all, one of the five pillars we developed to guide our strategic plan is “extraordinary stewardship and effectiveness.” But cuts of this magnitude would significantly impact the University at a time that our mission of research, teaching, and extension and engagement is critically important to the state.
Beyond the challenges at the state level, recent federal actions have introduced additional financial strain on the University. A series of executive orders and agency directives—some of which remain in flux—are creating uncertainty for higher education, impacting everything from research funding to overall university operations. Combined with state budget reductions, these federal actions add to the financial pressures facing the University at a time when its role in serving Nebraska has never been more important.
Over the course of the 2025 Legislative session, we will work to address these challenges strategically and collaboratively. We will continue to engage with state senators to advocate for the 3.5% increase in state-aided funding that was passed by the Regents in alignment with Nebraska’s state and community college systems and in consultation with the Governor’s office last August. We will continue to work with our congressional delegation to find proactive solutions that protect our ability to conduct world-class research and drive economic growth for the state. And we will do our best to make sure Nebraskans understand the University’s powerful role in driving Nebraska’s economy and delivering affordable, world-class education.
This ongoing work requires the support of our entire community—leaders, alumni and stakeholders and our faculty, staff and students. Each of you has seen first-hand the power of the University of Nebraska to transform lives. Please continue to share real life examples of the transformative power of the University with friends, family and neighbors.
We will be offering virtual legislative briefings for NU Advocates during the 2025 legislative session to keep you connected as we navigate the crucial day-to-day work of the Nebraska Legislature – and how it impacts your university.
To sign up to be an NU Advocate and receive ongoing updates on legislative priorities throughout the legislative session, click here.
We also want to invite you to a special online Alumni Town Hall with University of Nebraska President Dr. Jeff Gold this Thursday, Feb. 20 at 10 a.m. Central Time.
Dr. Gold will speak to alumni about his vision for a thriving NU System and answer your questions on topics like federal and state funding, reentry into the Association of American Universities, and how alumni can speak up for a stronger future for our state’s only public university.
We do ask alumni to register in advance for this special event. You will receive a Zoom link to the town hall after registering. You may also submit your questions in advance on the registration page. Dr. Gold will answer as many alumni questions as time allows. Click here to register.
On behalf of the University of Nebraska System, our four campuses and nearly 50,000 students, thank you again for advocating for accessible, affordable higher education in Nebraska.