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Minnesota State presents scaled 2026 capital framework and recommends 5.5% tuition parameter for FY26

5749389 · May 21, 2025
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Summary

Karen Hewitt, system director for capital planning and analysis, presented a scaled 2026 capital framework focused on preservation and urged a smaller, more realistic slate of projects; staff also delivered a first reading of FY26 operating budget parameters and recommended a system-average tuition parameter of 5.5 percent.

The Minnesota State Colleges and Universities System’s Finance & Facilities Committee received first readings on the 2026 capital budget framework and the fiscal 2026 operating budget on a meeting continued from the prior day, with staff urging a narrower, preservation-focused capital request and recommending a tuition parameter for FY26 that would set a system-average increase at 5.5 percent.

Karen Hewitt, system director for capital planning and analysis, reviewed the system’s 2025 bonding request and explained why staff recommend a smaller, more targeted 2026 request. Hewitt said the 2025 request totaled $552.3 million, including $200 million for Higher Education Asset Preservation and Replacement (HEAPR), $352.3 million for 14 major projects, $25 million in an operating request for demolition and $13.5 million for equipment and program learning environments.

Hewitt said legislators signaled stronger support for asset preservation but at funding levels well below the system’s previous requests…

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