MADISON, Wis. — Cuts could be coming to several University of Wisconsin campuses just before the start of the fall semester.
According to data presented to a meeting of the University of Wisconsin Board of Regents Tuesday, 10 out of the 13 UW schools are dealing with structural deficits heading into the 2024 fiscal year. A structural deficit means ongoing expenses are exceeding current revenue coming into the universities.
UW-Parkside, UW-Platteville and UW Oshkosh are among the schools facing the most significant budget challenges.
UW-Parkside and UW-Platteville both sent letters to staff Monday highlighting the potential impacts their financial shortfalls could have on the upcoming school year — including potentially furloughing employees and halting new initiatives on campus.
Earlier this month, UW Oshkosh also highlighted similar measures being taken to cut costs on its campus.
During the Board of Regents meeting Tuesday, UW System President Jay Rothman talked about some of the contributing factors to the financial shortfall. Declining enrollment played a role, he said. He said not only is a declining birthrate leading to fewer high school graduates coming into the UW System, but fewer people in general are enrolling in university programs in the state.
“The decline in the participation rate has accentuated the birth rate leaving us with a perfect storm,” Rothman told the Board of Regents. “While that is a significant challenge to the UW System, it should be a bigger concern for our state as more of our high school graduates who will need to compete in the rapidly evolving, technology driven, knowledge economy will be doing so without the benefit of a university degree.”
Enrollment at UW-Platteville went from around 8,600 students in the fall of 2012 to around 6,200 in 2022.
UW-Parkside Interim Chancellor Scott Menke said that with recent state funding cuts to higher education, the campus has become more reliant on money coming from tuition. Menke said fluctuations in enrollment are more impactful to the school’s bottom line than in the past.