In what is being called a temporary solution to an increasing problem, Connecticut State Colleges and Universities Board of Regents unanimously voted to approve its $1.2 billion budget, using $162.4 million in reserves to balance its spending plan.
Still, the state colleges and universities system, which includes its 12 community college campuses and four regional universities, must make $39 million in spending cuts for fiscal year 2026 to compensate for the expiration of one-time funding, inflation, decreased state funding and limited revenue growth from tuition and fees.
What remains unclear is how the cuts, which are at the discretion of the individual colleges’ leaders, may impact the schools. Last month, members of the CSU-AAUP urged the CSCU Board of Regents to use its reserve funds in the millions to stave off potential cuts as they worried about potential faculty layoffs and up to 750 course section eliminations.
Eastern Connecticut State University President Karim Ismaili and Board of Regents member Colena Sesanker expressed their own deep concerns at the board meeting.
Speaking to the Board, Ismaili said higher education is under attack and that in his estimation, the state and nation are losing the battle.
“We need to assert value in what we do, confidently and unapologetically,” he said. “At Eastern, what I want you to know is that we are committed to doing everything we can to deepen our commitment to providing students with the best chance to access an affordable, exceptional education and developmental experience, ensure those students progress and complete their degrees and set those students up for post graduate success.”
But Ismaili said the deficit mitigation exercises over the past few years have made this increasingly difficult.
“At Eastern we have depleted faculty and staff,” he said. “They are doing the best they can under challenging circumstances. They are the heroes in this story and my job as president is to say here for the first time we need a sustained investment …”
Eastern Connecticut State University has experienced a 27% decline in undergraduate enrollment, resulting in the loss of 1,250 students and $11 million in net tuition revenue, according to Board documents.
“What we provide — I want to stress — is not easily measured but is hugely powerful,” Ismaili said.
CSCU requested $555 million for the state college and university system. The governor recommended $471.7 million, according to board documents. The state legislature approved $478.9 million for CSCU. The state budget is still awaiting the governor’s signature.
Sesanker expressed concerns that resources are down at CSCU including staffing. She said these things weren’t clear concerning the presentation of the spending plan at Thursday’s meeting.
“While enrollment is increasing modestly, we are looking at these efforts of dual enrollment, getting more students on campus without, it seems, the ability to spend commensurately,” she said. “While this all looks wonderful on paper it is unfortunate. I hear the thanks to the governor and legislature, etc. I have to say I don’t believe we are even remotely adequately supported by them for many reasons.”
Sesanker continued: “What we are detailing in this report is that we have found ways to spend less on our students. To give our students less. It is unfortunate that the job you have to do here is to figure out how to give our students less. I really feel there is a need to express what a tragedy it is that we are in this situation in this system.”
In response, Board Chairman Marty Guay said 80% of CSCU’s costs is payroll, adding that he is confident in the institutional presidents and that everyone needs to form a team this summer to address the issue including critical infrastructure repairs at the higher institutions.
Board of the Regents documents state that “the deficit is expected to increase, rising from 11% to 13% of expenditure annually for next five years.
“With state support lagging behind inflation and cost increases and with the significant cost shift in fringe benefits, the system continues to face ongoing fiscal challenges,” Board documents state. “The reliance on reserves is a temporary solution, protecting students from further tuition hikes. However, it underscores the need for long-term sustainable support.”
In a presentation to the board, Lloyd Blanchard, interim vice president for administration and CFO said, “We face both declines in expenditures and revenue largely as a result of the fringe policy change in 2024 and the expiration of one-time funds.”
He added that revenue for the university fell by 1.4% after the pandemic compared to a growth in revenue of 3.4% before the pandemic.
While the presidents of the colleges and universities presented their goals at the Board of Regents meeting this week, they did not specifically speak about how the reduction in spending will impact their respective higher education institutions.
Louise Williams, president of CSU-AAUP and history professor at CCSU, said in an email statement, said that “once again, the students and faculty within the CSCU system are set to suffer from system mismanagement and state indifference. Students, members, and the people of Connecticut deserve better.”
Williams said further in her email that the root of the system’s funding issues is the “consistent lack of adequate state funding for our public university and college system.
“Governor Ned Lamont and his Office of Policy and Management claim that funding for public higher education has increased, but it is not the case,” she said. “It is time that the governor and all our politicians wake up. Our state leaders’ refusal to adequately invest in public higher education means the financial burden has been shifted to students and their families. Our system must choose time and again to either raise tuition prices or cut services and programs. Students are left paying more for less.”
Williams said the fiscal year 2026 spending plan makes clear that there have been ongoing efforts by all institutions to reduce spending.
“We have felt this on the ground and in the classroom with reduced faculty numbers, larger class sizes and fewer student services,” she said. “There is very little left to cut without permanently damaging our system and its ability to provide access and opportunity for the residents of Connecticut.”
She added that a permanent increase in the block grant is necessary to solve the problem.
“The future of public education is in the governor’s hands,” she said.