National AAUP Provides Independent Financial Report

Tomorrow, UNL’s AAUP chapter will host a press conference on an independent financial report conducted by Bonnie Fox Garrity, Professor of Business at D’Youville University. Below is the press release about this event. We will follow up with a release of the report tomorrow and a summary.

FOR IMMEDIATE RELEASE

Citing New Financial Analysis, AAUP Questions $27.5 Million UNL Budget Cuts

LINCOLN, Neb. — The University of Nebraska–Lincoln (UNL) chapter of the American Association of University Professors (AAUP) is challenging the administration’s justification for $27.5 million in proposed budget cuts, citing a new five-year financial analysis that finds the university in strong financial health.

The 49-page analysis, conducted by Bonnie Fox Garrity, a national AAUP financial analyst and Professor of Business at D’Youville University, comes as UNL plans to eliminate six academic programs and terminate 58 full-time faculty positions. Additional teaching roles may be lost through voluntary senior faculty buyouts. The University of Nebraska Board of Regents is scheduled to vote on the proposed cuts in early December.

Summary of Findings from the AAUP Financial Analysis:

· Strong Financial Health: The University of Nebraska System remains financially strong, with nearly $7 billion in assets and an S&P Global ‘AA’ bond rating, placing it among the top 8% of public higher education institutions nationwide.

· Increasing State Support: The State of Nebraska Biennial Budget (August 2025) includes increased appropriations to the university system for both the 2025–26 and 2026–27 fiscal years.

· Shift in Spending (FY 2016–FY 2026): Institutional administration spending increased 53.1%, while instructional spending increased 30.3%.

· Shift in Staffing and Salaries (Since 2019): Full-time instructional employees declined 7.8%, while non-instructional employees increased 7.6%. Salary outlays for instructional employees rose 4.5%; for non-instructional, 31.7%.

Key Questions Raised by the AAUP Analysis:

· Why make historic cuts that harm students and faculty during a period of strong financial health?

· If state appropriations are increasing, why are faculty and academic programs—not administrative costs—being targeted?

· How will these cuts affect Nebraska’s long-term workforce development?

· Will the administration release the full financial data and metrics used to justify these cuts?

“Instruction currently makes up 22% of UNL’s budget, yet 69% of the proposed budget cuts target teaching – the core function of the university,” said UNL AAUP President Sarah Zuckerman.

“Budgets are an expression of values,” Zuckerman added. “This budget reduction makes clear University leadership does not value the teaching and learning that is central to UNL’s contribution to Nebraska.”

Concerns about the proposed cuts have been raised by the AAUP, UNL Faculty Senate, and other faculty and media organizations, who question the transparency of the process and the validity of the financial metrics used to justify reductions.

The $27.5 million proposal follows $75 million in cuts over the past five years, which the AAUP argues have weakened educational quality, reduced teaching capacity, damaged the university’s national standing, and contributed to rising tuition for students.

About the AAUP:

The American Association of University Professors (AAUP) is a national organization dedicated to advancing academic freedom, promoting shared governance, defining professional standards, and strengthening the economic security of faculty and higher education professionals.

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