CMU Board adopts balanced budget to ensure fiscal strength

The Central Michigan University Board of Trustees voted unanimously Thursday to adopt an operating budget of $460.3 million for the fiscal year beginning July 1. The budget reflects cost reductions and reallocations and also includes strategic investments in vital academic and student success programs.

Trustee Edward Plawecki said a great deal of work went into creating a balanced operating budget that is fiscally responsible.

“We do not take cuts lightly or the consequences involved,” Plawecki said. “I can assure the budget proposal is both fiscally sound and will allow CMU to continue its core mission of providing a quality education to our CMU students.”

The budget is approximately $2 million less than the current fiscal year budget.  

Vice President of Finance and Administrative Services Mary Hill said along with a decline in international student enrollment, costs have increased for the university in areas like health insurance for employees, costs for supplies and equipment and contractually obligated salary adjustments. Uncertainty also surrounds the level of support CMU can expect from the state of Michigan, Hill said.

CMU President Neil MacKinnon said retaining CMU’s outstanding faculty and staff was one of the strategic investments the university would make this year. And, while faculty and staff will receive modest pay increases under the budget, he and CMU Senior Officers will not receive salary increases.

“We understand that budget reductions pose challenges for our faculty and staff, and, as the leaders of the organization, we want to demonstrate our commitment to alleviating some of the pressure,” MacKinnon said.

The budget adopted by the Board of Trustees also includes strategic investments in infrastructure, and key academic and student support programs. Hill mentioned investments such as the hiring of success coaches and additional academic advisors, as well as in resources in career development services and online student support programs.

“To remain competitive and to ensure we are offering our students an incredible educational experience, we must continue to invest in areas that will strengthen the university over the long term,” MacKinnon said.

Tuition rates for 2026-2027

CMU Trustees approved an adjustment of undergraduate and graduate level tuition rates for the 2026-2027 academic year. The rate increases fall within the estimated tuition restraint cap set by the state:

• Lower-level undergraduate tuition increase: $20 per credit hour
• Upper-level undergraduate tuition increase: $23 per credit hour
• Graduate tuition increase: $33 per credit hour
• Doctoral tuition increase: $33 per credit hour
• International undergraduate tuition increase: $25 per credit hour
• International graduate tuition increase: $33 per credit hour

MacKinnon noted that even with necessary increases, CMU continues to offer one of the state’s lowest undergraduate tuition rates and competitive rates for graduate education programs. 

“Not only are we working to keep education affordable, we are ensuring that it is impactful, too,” he said.

Projected tuition increases were already built into new and returning students’ financial aid packages, Hill said, and there was no increase to the student services fee.

Medical education building

The Board approved a resolution to fund the construction phase of the MyMichigan Health CMU Medical Education Building in Saginaw. The approval will allow CMU to break ground on the new facility in the fall of 2026. The resolution will keep the $100 million project on pace for an expected opening in the fall of 2028. 

“This is a project that forced the university to stretch its legs and its mind, but ultimately arrived at an outcome, supported by donors and the community, that is in the best interest of our students,” Trustee Jeff Stoutenburg said. “We don’t approve $100 million buildings often, so I think it is a moment to pause and appreciate all the work that’s gone into this. It’s a big moment.”

To honor the financial support of MyMichigan Health, Trustees also passed a resolution to officially name the building the MyMichigan Health CMU Medical Education Building. 

New degree offering 

The Board Thursday unanimously approved the creation of a new undergraduate Bachelor of Applied Science degree. Proposed by the Academic Senate, the degree provides an interdisciplinary, accessible online degree-completion pathway for post-traditional adult learners.

The BAS degree also allows additional certificates in high-demand fields to be easily added in the future as market opportunities arise, said Provost and Executive Vice President Paula Lancaster.

Increasing student mental health support 

During his report to Trustees Thursday, President MacKinnon announced a major gift that will bolster efforts to support student mental health through the COMPASS initiative, overseen by the CMU Counseling Center.

First created with a Go Grant, COMPASS stands for Community Outreach Mental Health Persistence And Student Success, and it is a program that builds a community of peer support and connection.  

Alumnus Bob Oros and his wife Lisa committed $650,000 to expand the program and rename it “COMPASS: Oros Well-th Scholars Program.” The Oros’ support  will allow the program to hire one full-time employee and a graduate assistant, as well as fund scholarships for students admitted into the COMPASS cohort. 

Trustee Sharon Heath thanked the Oros family for their generous support of a program she said will make a positive difference at CMU.

“Having your support in removing the stigma that some of us have grown up with around mental health is really important and is really key to students’ ability to thrive and belong here,” Trustee Sharon Heath said. “Thank you again.”

Campus infrastructure updates

Two major campus infrastructure proposals gained Board of Trustees approval Thursday. 

The first project is the demolition of Smith Hall, in accordance with the 2021 CMU Master Plan. The estimated $2 million demolition of Smith Hall, which was built in 1934, would reduce deferred maintenance costs by $2.8 million. With the Board’s approval, work to demolish the facility will begin in the fall of 2026.

The second item approved by Trustees was the Terminal Park Infrastructure project.  Originally outlined in the 2011 campus-wide tunnel analysis, the Terminal Park project will replace and upgrade utility infrastructure within the north central area of campus. It will include underground reconstruction of the utility tunnels serving north campus buildings such as Warriner Hall, Powers Hall, and Grawn Hall, as well as targeted electrical work. 

Andy Reihl, director of university engineering and planning, told the Finance and Facilities Committee that the Terminal Park project is overdue.

“We’ve gone through several surveys and evaluations in the past, and these critical utility tunnels are at a failing point and require replacement,” Reihl said.

Reconstruction of Terminal Park is scheduled to begin in the fall of 2026 at a board-approved cost of $9 million.

President’s report

President MacKinnon began his opening report by celebrating summer campus activity, including the Special Olympics Michigan State Summer Games and the 80-year anniversary of CMU’s Summer Specialty Clinic. 

MacKinnon also welcomed the new dean of the Covenant HealthCare College of Medicine at Central Michigan University, Dr. Joshua Nosanchuk, who will begin July 1. Dr. Nosanchuk comes to CMU after more than three decades with the Albert Einstein College of Medicine, where he developed a reputation as a highly regarded medical researcher and practicing physician. 

On enrollment and retention, MacKinnon pointed to substantial progress in the implementation of the university’s Strategic Enrollment Management plan. He said the plan is 51.8% complete and thanked those throughout the university who are working on its implementation.

“Not every facet of the plan will yield immediate results,” MacKinnon said. “It will pay off in the long run, and I am extremely grateful for the valuable work being done by individuals and groups across the university.”

MacKinnon said progress toward meeting the goals in CMU’s 2023-2028 Strategic Plan is also getting a boost this summer with the awarding of a second round of Go Grants. He said new Go Grant initiatives connect to all four priorities of the strategic plan, and include a leadership camp, recruitment technology upgrades, Indigenous storytelling, neurodiversity-affirming student support, a mentoring program, and more.

On top of new Go Grant initiatives, MacKinnon said several previous Go Grant recipients will continue their work with Keep Going Grants. These include the Charter to CMU Chippewa program, Paint the Town Maroon, Student Activity Center enhancements, Fire Up Fest, and more.

President MacKinnon concluded his report to Trustees by describing the value of a CMU degree, measured by the success of its students and alumni.

“The success of our students offers an optimistic view of our university as we navigate the current challenges facing higher education,” MacKinnon said. “The door to opportunity is open at CMU, the path is clear, and the value remains undeniable.”

Additional Board actions

In other Board business, Trustees approved a proposed name change for the unit known as Innovation and Online, formerly CMU Global Campus. With today’s approval, the unit’s name is now CMU Online, reflecting its core purpose to deliver online education through credit and noncredit programs.

Trustees also approved several consent agenda items Thursday, including:

• Emeritus rank for faculty and staff members 
• Faculty promotions and professor salary adjustments
• Office of Research and Graduate Studies quarterly report
• Public School Academy activities
• Radio tower lease agreements
• City of Mt. Pleasant well site easement
• Endowments and naming opportunity
• Traffic control orders and ordinances
• Campus map for 2026-2027
• Appointment of directors to the CMU Research Corporation
• Approval of the board meeting schedule through 2028

An electronic copy of the president’s report will soon be available on the Office of the President web page, and meeting minutes will be added to the Board of Trustees webpage following their approval at the next meeting.