51ĀŅĀ×

The following message was shared with OHIO faculty and staff on Oct. 21, 2025.

Dear OHIO Colleagues,

As I shared with you in my semester opening memo and in my State of the University address, one of the pressing challenges we face is the reality of rising costs that are outpacing our increases in revenue. This challenge isnā€™t unique to 51ĀŅĀ×, but one that most public institutions are facing in todayā€™s environment. As we move deeper into the fiscal year, I want to share a candid update about our financial outlook and the decisions that lie ahead. 

Despite strong enrollment, outstanding student outcomes and continued success across our campuses, our budgeted expenses exceed our total revenues and depend on the use of reserves. In some cases, we are using reserves appropriately for strategic, one-time investments. In other cases, we have dedicated reserve funding to support recurring expenses ā€“ a practice that would weaken our financial position over time.

Over the last several weeks, I have engaged Presidentā€™s Cabinet in discussions about how we can, and will, continue to fulfill our Dynamic Strategy and invest in innovation over the long term while also containing costs. Achieving that goal will require a new level of fiscal discipline across the University and a willingness to make choices in order to reinvest in programs, initiatives and activities that have the most impact.

My leadership team and I have made the decision not to wait but rather to act immediately in identifying areas for reduction and realignment that can be achieved in the current fiscal year.

Our near-term goal is to reduce expenses and/or increase revenues by 2 percent across the University operating resources and decrease our use of reserves in the current fiscal year. All divisions have been asked to contribute strategies toward that goal. Additionally, as we engage in budget planning for FY27, Iā€™m challenging our division leaders to think creatively about both expenses and revenues. In the years ahead, we need to achieve a positive operating margin to allow for flexibility and innovation.

I have also formed a Financial Planning and Sustainability Committee comprised of Executive Vice President and Provost Donald J. Leo (co-chair), Vice President for Finance and Administration David Moore (co-chair), Vice President for Enrollment Management Candace Boeninger, Vice President for Research and Creative Activity Eric Muth, Vice President for Student Affairs Lyn Redington, Vice President for Advancement Greg Simmons and Chief of Staff Carly Leatherwood. This group will explore ideas for revenue generation and cost containment that can be implemented in fiscal year 2027 and beyond.

I recognize, however, that great ideas just as often come from within the organization at all levels, and I encourage you to bring your ideas forward through our Employee Innovation and Efficiency Awards.

While we take these important steps to improve our financial outlook, we all must stay focused on our mission and the students we serve. We will remain committed to holding the door open to students, including minimizing increases in total cost and continuing to invest in activities that promote student success, improve retention and reduce time to graduation. As a public University, we will also continue to provide value to our state, including curricular innovation that responds to workforce needs and research that addresses challenges in Ohio and beyond.

This is a challenging time in higher education, and I am truly thankful to be leading a University that is well-positioned to meet the moment. I also feel the responsibility of that opportunity, and I am deeply committed to protecting OHIO and its incredible legacy of excellence. It is in that spirit that I ask for your bold ideas, your entrepreneurial creativity and ultimately your partnership and support so that we might together make OHIO stronger for the next generation.

Forever Thankful,

Dr. Lori Stewart Gonzalez 
President