Washington state universities and other colleges are grappling with significant financial difficulties
Washington's public colleges and universities are grappling with significant financial pressures due to a combination of state budget cuts, federal research funding reductions, and decreases in international student enrollment.
In the 2025 legislative session, the Washington state legislature enacted a 1.5% cut in funding for public universities, resulting in a $2.9 million loss over two years for Eastern Washington University (EWU) alone. To help balance their budgets, institutions like EWU have raised tuition, with the maximum allowed increase of around 3.3% at EWU[3].
On the federal level, the Trump administration has imposed severe cuts to research grants, affecting over 600 institutions and resulting in a loss of approximately $6.9 billion to $8.2 billion[1][2][4]. This has had a particularly major impact on federally funded biomedical research at schools like the University of Washington (UW). Additionally, federal aid programs have been reduced or restructured, further straining resources available to students and institutions.
Regarding international student enrollment, there has been a notable decline as students opt to study in Europe, Canada, and other countries instead of Washington state. Since international students typically pay higher tuition rates that help subsidize in-state students, this drop contributes significantly to the financial challenges faced by public colleges and universities[1][2].
Institutions are taking various measures to cope with these pressures. Washington State University (WSU) is reviewing academic programs to better meet student demand and long-term sustainability[5]. The state's system of 34 community and technical colleges has faced a 0.5% reduction in state funding for the biennium[6].
Staffing changes are also prevalent. WSU has offered early retirement to 760 people, with 34 having taken the offer so far[7]. UW has had to implement layoffs, reduce full-time positions to part-time, and put staffers on furlough due to financial constraints[8]. To manage costs, WSU has centralized teams in marketing, communications, athletics, and student affairs[9].
The UW could lose millions more in federal Medicaid reimbursements due to changes in the program made by Congress[10]. The cost of providing health care and other benefits to staff is rising, adding to the financial stress[11].
These pressures have created a fiscal environment described as a "new era of austerity," resulting in institutional measures such as hiring freezes, layoffs, increasing tuition fees, and reductions in financial aid and program offerings[1][2][3]. This financial strain could make medical school inaccessible for students who cannot afford the increased costs.
In conclusion, Washington's public higher education institutions are navigating a difficult financial landscape, forced to implement cost-saving measures and tuition hikes to maintain operations in the face of combined state and federal budget cuts and decreased international enrollment.
- Eastern Washington University (EWU) faced a $2.9 million loss over two years due to a 1.5% cut in funding from the Washington state legislature.
- Federally funded biomedical research at the University of Washington (UW) has been significantly impacted by cuts to research grants under the Trump administration.
- WSU is reviewing academic programs to better meet student demand and ensure long-term sustainability due to financial pressures.
- Washington State University (WSU) has centralized teams in marketing, communications, athletics, and student affairs to manage costs.
- The UW could lose millions more in federal Medicaid reimbursements due to changes in the program made by Congress.
- In Seattle, the University of Washington (UW) and other institutions are grappling with the rising cost of providing health care and other benefits to staff, adding to the financial stress.
