University of Iowa seeks revenue, efficiency ideas with new committee

IOWA CITY — Given changes threatening higher education norms — and the University of Iowa’s “strong financial position today” — the campus on Thursday announced a new strategic initiative focused on increasing revenue and improving operational efficiency.

The “Revenue and Efficiencies Strategic Plan Action and Resource Committee” — or “reSPARC” — will allow UI “to proactively plan for the future — rather than respond to crisis — by identifying ways to enhance revenue and manage resources wisely.”

To a question of whether “operational efficiency” means budget cuts and layoffs, UI officials said, “no.”

“This initiative is a proactive planning effort, not a response to a budget crisis,” according to an FAQ. “The goal of exploring ‘operational efficiency’ is to find ways to work smarter, improve processes, reduce administrative burdens, and better leverage our collective resources and technology.”

The UI campuswide initiative comes amid threats to state and federal aid, new international student barriers, political pressure, and a looming demographic enrollment cliff expected to amp up competition for incoming students.

“We have an opportunity to lead by being proactive rather than reactive,” UI Executive Vice President and Provost Kevin Kregel said in a statement. “Instead of waiting for challenges to dictate our choices, we are creating structures and strategies that position us for continued success.”

‘Strong financial position’

Where the university’s 2025 budget reached $822.8 million — up 3 percent over 2024’s $802 million — the new fiscal 2026 budget pushes that figure up to $871.2 million, or a 9 percent bump over two years ago.

Much of the increase comes from tuition revenue — swelling to $580.8 million, or 67 percent of the general university revenue budget this year, up $52 million from $529.2 million last year, when tuition accounted for 64 percent of the revenue budget.

About 25 years ago, when UI tuition and fees revenue hovered around $125.7 million — or 30 percent of the total resource budget — state appropriations sat at $255.1 million, higher than today’s $223,496,355, which saw no increase over last year.

Where state appropriations in 2001 made up 62 percent of UI’s operating funds, the Legislature today contributes 26 percent of the campus’ general fund budget.

And that figure could continue to fall if lawmaker priorities diverge from the campuses, which have come under fire of late for undercover videos showing staffers explaining ways they’re skirting new laws banning DEI spending, staffing, and training on campus.

“Taxpayers are seeing, firsthand, just how embedded the DEI bureaucracy has become at our institutions of higher education,” Rep. Taylor Collins, R-Mediapolis, said in reaction to the videos late last month. “The persisting issues at University of Iowa are a direct result of the board’s abdication of oversight to the universities themselves, and a lack of clear direction from University of Iowa leadership. The House Committee on Higher Education stands ready to act if additional steps need taken to rid these ideologically driven programs from our states universities.”

‘Nearly 100 faculty, staff’

In hopes of addressing declining state support, looming threats at the federal level, and new Board of Regent recommendations, UI launched its reSPARC initiative involving a committee of leaders and smaller focus area teams.

“Nearly 100 faculty, staff, and leaders from 35 units across campus have agreed to be involved in reSPARC,” which breaks focus-area teams into two categories: those involving revenue generation and those seeking efficiencies.

The teams have been asked to generate ideas and develop proposals that reSPARC committee leaders will review before advancing to the president and provost for final evaluation and potential implementation.

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“Collaboration has always been one of Iowa’s greatest assets,” UI President Barbara Wilson said in a statement. “reSPARC allows us to bring people together across disciplines and units to find innovative ways to strengthen our mission while planning for the future.”

The ideas aren’t meant to be “quick fixes,” she said.

“Our goal is to create a pipeline of actionable, well-vetted ideas that will have a real impact,” Wilson said. “It’s about building a foundation for sustained growth and excellence.”

The initiative involves five revenue generating teams and six charged with finding efficiencies.

On the revenue side, the teams include corporate sponsorship and philanthropy; new academic programs — both traditional and online; student enrollment mix; student retention; and other programming, co-led by Associate Vice President for Operations and Decision Support Emily Campbell and Hancher Executive Director Andre Perry.

On the efficiencies side, teams cover academics, financial operations, human resources, information technology, marketing and communications, and “other operations” — another catchall group co-led by UI Health Care Senior Associate Dean for External Affairs Gerry Clancy, College of Pharmacy Dean Jill Kolesar, and UI Vice President of Student Life Sarah Hansen.

Vanessa Miller covers higher education for The Gazette.

Comments: (319) 339-3158; vanessa.miller@thegazette.com