You are here: American University President Announcements The Approved FY26 Budget and Continuing Work
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Dear AU Faculty and Staff,
After six outstanding commencements celebrated the hard work and achievements of more than 3,500 graduating Eagles, the academic year is now concluded, and we continue working to build AU’s bright future. A key milestone occurred last week as the Board of Trustees approved the FY26 budget. The financial blueprint supports our mission, the development and implementation of our new strategic plan, and the exciting and impactful endeavors that we pursue every day.
The FY26 budget reflects collaboration and creativity throughout our community. Together we achieved nearly $80 million in revenue enhancements and expense savings. We will continue investing in future- and mission-focused priorities that further our momentum such as research, innovative academic offerings, and student financial aid. Importantly, the budget also provides a strong foundation as we navigate complex and changing dynamics in federal policy and higher education. Thank you for contributing to this constructive, community-based effort that helps us move effectively into our inspiring next chapter.
In the April community forums, we discussed how we would work through the end of the semester to address the remaining savings and complete the budget. These recent efforts yielded an additional $1 million in savings and lowered the final amount required for a balanced budget to less than 5 percent of the total alignment goal that we set out to achieve this year. This outcome is a testament to the ingenuity of the AU community.
Throughout the budget process, the VRIP, vacancy savings, and other workforce realignment measures played a significant role in minimizing impacts on our people and achieving budget objectives. The remaining budget savings target will be met through continued workforce realignments currently being finalized within individual schools and units.
Our work continues through the summer as we track enrollments and address federal policy developments. Contributing to these priority efforts is essential for all of us, and we encourage you to talk with your teams about opportunities to help engage students and prepare us for the fall. The ongoing strategic planning process will continue to illuminate our future path, and we will share updates from the working groups on ideas for our “big bets.”
Thank you for a successful 2024-2025 academic year and for your many contributions to our continued progress. Our mission has never been more important, and the shared commitment to education and excellence across our community ensures that American University will thrive now and for future generations of Eagles.
Sincerely,
Jonathan Alger
President
Vicky Wilkins
Provost and Chief Academic Officer
Bronté Burleigh-Jones
CFO, Vice President, and Treasurer