Update on University Budget Planning for FY 2026

January 16, 2025

Dear Faculty and Staff,

As we begin 2025, we find ourselves at a crucial juncture that challenges us to address immediate realities while preparing for a stronger, more sustainable future. Building on the budget update shared in December, I would like to provide additional context about the decisions ahead and reaffirm our collective commitment to navigating this period with transparency and purpose.

This afternoon, the University Planning and Budget Committee met and one of the options under consideration is a Voluntary Separation Incentive Program (VSIP), which we are exploring as part of our FY 2026 planning. A VSIP is designed to allow eligible employees to voluntarily separate from the university under specific terms. This is one of several measures being evaluated to ensure that we align our resources with our strategic priorities and enrollment realities.

To the extent we need to take the VSIP to the UH System Board of Regents, we plan to do so at their February meeting.

Our focus remains clear: while we are optimistic about an eventual rebound in enrollment, our decisions today must reflect the realities of our current situation. The path forward will require us to make some difficult choices, which are necessary to align with our long-term goals and commitments.

Transparency remains at the heart of our approach. I am committed to keeping you informed and engaged as we navigate these challenges together. Please know that every step is being considered carefully, with the best interests of our students, faculty, and staff in mind.

Thank you for your dedication to UHCL and to the students we serve. Your contributions remain vital to our shared success, and I am confident that together, we will navigate this period with strength and resilience.

Sincerely,

Richard Walker, Ed.D. 
President