University of Idaho presents budget outlook, reports financial recovery, DEI office reorganization and Phoenix talks

University of Idaho President C. Scott Green told the Joint Finance‑Appropriations Committee on Jan. 27 that the university’s finances have materially improved after a multi‑year cost‑reduction effort, but balance‑sheet effects from legacy retiree benefit liabilities and other restricted accounts continue to affect measured reserve ratios.

The University of Idaho reported an enrollment of 12,286 and a base budget figure presented as $196,300,000 during the committee briefing. President Green described an aggressive $26 million base reduction undertaken in FY2021 to align expenses with revenues and said the university now maintains sufficient cash reserves to meet obligations while continuing work to meet state board reserve expectations.

On financial reporting and liabilities

President Green told the committee, "I met with [the CFO] and he told me that we're about 18 months from running out of cash," describing the position U of I faced when he arrived and the subsequent right‑sizing that included voluntary separations and structural changes. He also explained that an accounting move related to retiree medical benefits (OPEB) required a one‑time reduction to unrestricted reserves; the university reported figures in committee comments of roughly a negative $17,000,000 unrestricted net position, about $31,000,000 in restricted net position, and a total net position cited as $319,000,000.

Any proceeds or breakup fees related to the proposed University of Phoenix transaction would be held in university reserves. President Green said the university received $5,000,000 after signing an agreement with the Phoenix sellers and that the sellers extended the deal deadline to June 10; he said a breakup fee could be up to $20,000,000 and that the initial $5,000,000 has been used to offset the university’s expenses related to the potential transaction.

DEI offices and student support

Asked about the State Board of Education resolution on diversity, equity and inclusion, President Green said the university has eliminated or reorganized several campus offices cited in the board action, including the Office of Equity and Diversity, the Office of Multicultural Affairs, the Black/African‑American Cultural Center, the LGBTQA office and the Women’s Center. He said staff were reassigned to roles under the Dean of Students and that the Chief Diversity Officer role was repurposed as Executive Director of Tribal Relations. "Our goal throughout this process is to lead with care and intentionality," he said, and noted the university is expanding first‑generation and broad student success services to serve all students.

Research, partnerships and workforce programs

President Green outlined ongoing partnerships with Idaho National Laboratory (INL), including an incoming agreement to emphasize nuclear materials and fuel cycling engineering, integrated energy systems and power engineering with secure cyber‑physical systems. He highlighted applied research projects such as 3‑D printing replacement parts for molten salt reactors and work on hydrogen supply chains and cyber resilience for electrical systems.

Medical education and WWAMI/MD programs

The university discussed ongoing work with WWAMI (the regional medical education partnership) and potential new collaboration with the University of Utah School of Medicine. President Green said the University of Utah was the most compatible partner examined and that any transfer or change in partnerships would require State Board approval and possible legislative review.

Water research and other statewide work

Responding to questions from committee members, Green described the university’s Water Resources Research Institute and applied projects in the Palouse Basin, Lake Coeur d’Alene watershed work, the Portneuf River region and recharge and adjudication studies. He said the university seeks to be a statewide hub for water research and data.

Ending

President Green closed by citing enrollment growth over eight consecutive semesters, the university’s role as Idaho’s land‑grant research institution, and the statewide economic impact the university reported. No formal votes were taken during the hearing; the committee postponed completion of the system‑wide colleges and universities budget hearing to continue questioning at a later date.