Overview

• The university will reduce general operating funds by $140 million for the 2025–26 academic year, with the School of Medicine responsible for its own budget plan.
• Staff layoffs will extend beyond unfilled positions to meet targeted reductions announced by President Jon Levin and Provost Jenny Martinez.
• A hiring freeze on staff remains in effect following measures first imposed in February amid funding uncertainties.
• The endowment payout rate will increase from roughly 1.8 percent to 2.9 percent to support core research and educational programs.
• Administrators attributed the shortfall to declines in NSF and NIH research support and a pending 21 percent endowment tax proposal in Congress.