To the University of Nebraska Community,
As the academic year draws to a close, I want to take a moment to reflect on recent developments across our university system. While some present real challenges, others are reasons for celebration and all represent significant opportunities—each one a testament to the dedication, resilience, and excellence of our faculty, staff, students, and supporters.
As we reflect on these developments, it’s clear that we are navigating a uniquely complex landscape that includes both state and federal challenges and opportunities:
- Our state budget request has moved through several key legislative stages. Initially developed with the governor’s office and state senators, it sought a 3.5% increase each year in state funding. Due to economic constraints, the governor instead recommended a cut and proposed reallocating millions of dollars in tobacco settlement funds that support our biomedical research. In response, our leadership team has engaged in active discussions with the governor and legislators to advocate for the critical mission of the university. The Appropriations Committee ultimately voted to restore the biomedical research funds and recommended a slight increase in the budget. The full Legislature is set to debate and adopt the budget by May 15. We will continue advocating for the resources needed to fulfill our mission and support Nebraska’s future.
- The National Science Foundation and the Department of Energy recently joined the NIH in capping Facilities & Administration (F&A) rates at 15%. These caps, which help cover research infrastructure like lab maintenance and staff, if enacted on all federal awards, would result in an estimated $60 million annual revenue loss for the university system.
- Since Jan. 22, 74 federal grants totaling $91.6 million have been terminated across our campuses—representing a loss of over $46 million in incomplete work. While we continue to assess the full impact, these changes reflect broader shifts in federal funding priorities.
- The recent release of the federal preliminary budget suggests reductions in federal support for sponsored research programs and many other key areas. While this is just a recommendation at this time, it does signal a desired direction for further cuts that could impact universities nationwide.
These developments will require us to think strategically and make key decisions in the months ahead. But I also want to note that despite these challenges, we are continuing to make progress in a number of very important areas:
- The Board of Regents recently approved the five pillars and 16 strategies of our new University of Nebraska Strategic Plan, focused on: 1) Extraordinary Teaching and Learning; 2) Extraordinary Research and Creative Activity; 3) Extraordinary Partnerships and Engagement; 4) Extraordinary Culture and Environment; and 5) Extraordinary Stewardship and Effectiveness. Implementation planning is now underway, and we look forward to engaging you in that process.
- We’ve identified Dr. Neal Schnoor as the priority candidate for Chancellor of the University of Nebraska at Kearney. A Nebraska native and long-time UNK leader, Dr. Schnoor brings over 30 years of experience and a deep connection to the campus. He will visit UNK this week to meet with students, faculty, and staff.
- A final application for joint accreditation between UNL and UNMC has been submitted to and accepted by the Higher Learning Commission. This effort continues to bring us into alignment with the AAU and many others.
- We remain closely engaged with our congressional delegation and have seen continued success in restoring federal funding across several key areas.
- The Nebraska Legislature and Governor continue to support releasing the first $100 million of a $300 allocation to Project Health, following through with appropriation legislation approved in 2020. Site work is already underway on this transformative project that will address critical healthcare personnel shortages across the state.
- Over the next weeks more than 11,000 students will graduate with undergraduate, graduate and professional degrees and go forth to serve widely across our state in every corner and every county.
- The economic impact of our university system continues to grow year over year, now exceeding $6.4 billion and supporting over 56,000 jobs in the state. Our university remains a key educational, research and economic driver for the future, representing just under 9% of the Nebraska GDP when combined with our partner health systems.
This has been a year filled with both challenges and opportunities. The strength of the University of Nebraska system lies not only in our programs or partnerships—but in you. The resilience and excellence of our community drive our momentum, even in uncertain times.
I’m deeply grateful to our faculty, staff, students, alumni, and supporters for your continued belief in the power of higher education to transform lives and communities. Thank you for your work, your advocacy, and your commitment to our mission. I look forward to continuing this work together in the year ahead.
With appreciation,
Jeffrey P. Gold, M.D.
President, University of Nebraska System