The UW Board of Regents voted unanimously to give campuses the option to raise tuition by at least 5%, citing declining state support and the need to support higher wages for faculty and staff.
The move comes on the heels of the state budget providing a net increase of nearly $240 million in state aid to the system over the 2025-27 biennium after university officials had sought $855 million.
“We all hoped for a state budget more aligned with the board’s request, which would have negated the need to enact any tuition increase for Wisconsin students,” Regent Ashok Rai said at yesterday’s Board of Regents meeting. “But it is equally necessary to maintain exceptional academic quality and student support so that the Universities of Wisconsin can continue to deliver life-changing educational opportunities.”
Under the tuition increase, universities would raise tuition by 4% for the academic year, with an optional additional 1%. Only UW-Green Bay plans to not take the additional 1%.
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UW Vice President for Finance and Administration Julie Gordon said this would likely lead to an additional $49 million in one-time revenue.
Gordon said UW plans to allot $29.7 million of that revenue to general wage adjustments. UW had requested the state fully fund wage adjustments in the budget, but the state did not grant that request. Per accepted policy, the state budget will fund 70% of the wage adjustments and the university must provide the other 30%.
The budget included funding for general wage adjustments of 3% this year and an additional 2% on July 1, 2026.
It also includes $27 million annually for UW for merit and market-based compensation to attract faculty in high-demand fields. That provision requires the system to submit a plan to the Joint Committee on Employment Relations on how the funds would be used before the money is released.
Gordon argued that UW staff salaries are below what other states pay university employees.
UW President Jay Rothman emphasized that UW needs to keep wages up in order to recruit and maintain staff.
“In the long run, we’re going to miss out on opportunities,” Rothman said. “And I think that’s what is the biggest concern to me is are we going to attract those newer faculty members who are going to do great things at whatever university they end up at, we want to make sure we’re getting our share at the Universities of Wisconsin.”
Other revenue would cover inflationary pressures and response to the possibility of further federal funding cuts.
Regent Linda Terwilliger asked how regents should respond to concerns about UW increasing tuition right after receiving more money from the state, and after a recent tuition increase.
Rai said the decision was taken seriously with consideration to the impact of students. He said the decision was difficult but “one that needed to be made based on the budget that was passed.”
Senate President Mary Felzkowski, R-Tomahawk, slammed UW for raising tuition after an increase in state funding. “The last two tuition increases have been done in early spring so incoming students have complete information before the deadline to commit to a university; now, committed students are facing a shock tuition increase,” Felzkowski said in the statement. “Why is this year different? They had to first secure those billion dollars in the budget!”
