Mnookin, Isbell Jr., Cramer: Preserving UW-Madison’s mission amid financial uncertainty 

The following message was sent to all faculty, Academic Staff, University Staff and limited appointees from Chancellor Jennifer Mnookin, Provost Charles Isbell Jr. and Vice Chancellor for Finance and Administration Rob Cramer on March 21.

It is being translated into multiple languages. For updates, check back soon.  

Dear campus colleagues,

Late last Friday, the U.S. Congress passed an appropriations bill to keep the federal government running. Despite that continuing resolution, significant uncertainty remains as we face another appropriations deadline in September 2025, including potential federal funding cuts to research and other programs as well as ongoing uncertainty about indirect rates, stop work orders, and inflationary impacts from tariffs. We’re writing today to share an update on the steps we are taking to preserve UW–Madison’s short- and long-term ability to carry out our mission amid this uncertainty.

As you are well aware, the last couple of months have been filled with rapidly changing federal directives that could drastically impact our financial situation. We understand the stress this is causing and have been working with leadership across the university to plan for a variety of possible scenarios and to focus on protecting our mission of excellence in research, teaching, and service.

While we still have very few clear answers, we are now taking some additional prudent measures to help safeguard our financial future and our ability to carry out our mission in support of The Wisconsin Idea.

Financial actions going forward

For the remainder of FY25, all schools, colleges and divisions are expected to implement additional fiscal controls as outlined below. This applies to fund 101 and fund 150.

• Hiring reviews for FY25 – In addition to ongoing compliance with the process for position cap review, vice chancellors and deans in all units will need to review position vacancies to ensure filling them is critical. Units should anticipate that this process of hiring review will likely continue into FY26. Faculty hires will continue to be subject to existing practices, which generally already include dean-level authorization.

• Reduction in non-essential spending for FY25 – Units should take steps to reduce non-essential spending on travel, supplies, equipment, events FY25. Unit leaders may issue internal guidelines or limits on these categories as appropriate.

• FY26 scenario planning – As we look ahead to FY26, in order to be as well prepared as possible, we are requesting that all schools, colleges and administrative divisions develop 5% and 10% budget reduction scenarios for fund 101 for FY26.

• Funding reviews – We have begun a review of all central commitments for one-time funding for projects and activities to see what could be deferred.

None of these steps are being taken lightly, and we are weighing our responsibilities to the many communities we serve as we proceed with these actions. We have a shared institutional responsibility to maintain the health and safety of our campus, to provide an outstanding educational experience for our students, to engage in groundbreaking research that improves lives, and to be effective and responsible stewards of our resources.

Careful stewardship to safeguard our mission

We take these steps because we believe that careful consideration and stewardship of our expenditures will provide some of the necessary capacity to help protect our research enterprise, to maintain and enhance the student experience, and to provide continued support for faculty, staff, graduate and undergraduate students.

In addition to the financial safeguards we are putting in place, we must also continue to look at how we provide services efficiently across campus. To whatever extent we can increase efficiencies or reduce administrative costs, we will be able to direct a greater proportion of our resources toward our core mission areas.

Alongside the measures detailed above, we will also be working with schools and colleges to develop plans to provide some centrally sourced bridge funding for our research enterprise, alongside support from schools and colleges. It is important to recognize that available funding will be limited and, depending on what transpires, may well not meet all needs.

Federal Relations is our central source of information

The Office of Federal Relations is continuing to monitor these and other developments and the potential impact on UW–Madison operations. Campus community members are encouraged to reach out to University Relations, the centralized point of contact for resources and information related to emerging federal updates. Visit the Federal Updates page for updates, information and resources relevant to campus.

These are uncertain times, and our response today and in the weeks and months ahead will help us preserve our mission going forward.  UW–Madison has been one of our country’s leading research and educational institutions for 176 years, committed to serving Wisconsin and the world, and despite the challenges we are facing, our planning will, and must, focus on ensuring our strength in five, 10, and 50 years from now. By taking prudent financial action when and where possible, we can and will work together to minimize disruptive impacts and focus resources on our important academic, research and outreach missions.

We thank you for your attention to these important issues, and for your commitment to our students, our research, and the Wisconsin Idea.