CSU is among many universities nationwide that have launched initiatives to assess, design, and implement budget model changes in response to limitations with their legacy models, such as a lack of transparency and limited flexibility around external impacts.
As a state institution, a large portion of our budget is decided year to year by the Colorado governor and legislature. State appropriations for higher education are finalized mere months before the July 1 start of the fiscal year, leaving little time for CSU to plan the upcoming FY budget and fostering the perception of a lack of transparency. Like other institutions, we seek to redesign our budget model to enable CSU to better align financial decision making with our strategic institutional priorities and to promote greater transparency.
Following best practices in university budget model redesign, the goal is not to replicate a budget model that has been implemented at another institution but to customize a model unique to our values, strategies, needs, culture, and priorities. This process will be further informed by feedback from our faculty, staff, and students, deans, budget officers, Faculty and Employee Council leadership, and other key stakeholder groups. It is important to note that a new budget model by itself does not generate more revenue, but it can stimulate growth with the possibility of increasing revenue such that other strategic priorities can be pursued.
The rationale for a budget model redesign include:
- CSU is experiencing success, but we must work to address our future.
- The higher education landscape is changing.
- CSU’s existing incremental budget model limits flexibility, adaptability, and innovation.
- A new budget model can provide new opportunities for renewal of our mission.
- The primary goal of a change is to enable delivery of continued educational and research excellence.