'Beyond belt-tightening': WSU scrambles for revenue amid cuts, falling enrollment
(The Center Square) — As President Donald Trump cuts funding and Gov. Bob Ferguson juggles a $16 billion budget shortfall, Washington State University is bracing for up to 10% reductions across several departments.
The WSU Executive Leadership Team laid out the situation in a message to the community. According to WSU Insider, the university’s media relations outlet, leadership directed all 44 budgeted units, colleges and departments across the system to plan for upcoming cuts.
Even the “core budgets” and programs expect potential reductions from 1% to 10%, but the WSU officials said it won’t come through blanket cuts. Instead, they plan to prioritize mission-critical areas, with one-time and recurring funding available for “high-priority initiatives.”
“We know that state and federal revenues are tightening and that WSU experiences ongoing enrollment challenges,” the executive team wrote. “We must seek to design our own future, emerging from these financial challenges as an enduring and indeed thriving land-grant institution.”
Enrollment dropped nearly 19% systemwide from fall 2019 to last year, representing a loss of almost 6,000 students. Meanwhile, the Board of Regents voted to raise tuition by 3.3% last November, with undergraduate costs up nearly 19% since enrollment peaked around 2019.
After tuition and fees, in-state undergrads pay more at WSU than at the University of Washington. Tuition makes up about 19% of WSU’s $1.3 billion budget, the second highest source behind state appropriations at 26%, with the $16 billion shortfall in Olympia looming overhead.
“Declining reserves are primarily the result of lower enrollment during and after the COVID-19 pandemic,” the executive team wrote. “Fewer students means lower tuition revenue … At the same time, core expenditures at WSU’s 11 colleges have increased 11.6% since [2022].”
According to the message, average credit hours have dropped nearly 10% since then, so WSU used some reserves to stay afloat. Now, the executive team says it must go “beyond belt-tightening” and develop “new financial models” to achieve its mission.
The 44 units will present different scenarios through May 2, including ideas that provide new revenue streams. According to the message, the WSU Budget Committee won’t allow them to use existing balances to cover reductions but may allow it for initiatives with prior approval.
“As part of its planning, WSU Health Sciences is developing contingency plans for reductions of up to 15%, reflecting financial pressures specific to that campus,” the executive team warned as federal cuts loom overhead.
WSU Health Sciences faces additional cuts as Trump proposes extensive cuts to the National Institutes of Health’s budget, targeting overhead expenses and certain research areas. According to the NIH, WSU received more than $44.5 million in grants from the agency alone last year.
Attorney General Nick Brown joined several states in filing lawsuits against Trump’s executive orders. According to Reuters, a federal judge blocked one on Thursday after Brown and other attorneys general filed claims against an attempt to reduce the NIH by more than $11 billion.
The WSU Board of Regents will approve the 2026 fiscal year budget toward the end of May.
“Together, we will emerge stronger, ensuring that our institution continues to be a model land-grant university,” WSU leadership wrote. “One that leads with innovation, serves with purpose, and prepares the next generation of scholars and leaders.”