The Metropolitan State University of Denver Budget Office this week released the Fiscal 2026 Budget Circular, kicking off the University’s annual budget-development process.
The circular, along with the recently released presidential budget charge, is a guide for senior leaders, departmental budget owners and finance teams that will prepare budget proposals that will be reviewed by the University Planning and Budget Advisory Committee in February. UPBAC, which includes representatives from branches, schools and colleges campuswide, provides budget recommendations to President Janine Davidson, Ph.D., and other senior leaders.
This year, budget planners must navigate some challenging financial constraints. The circular assumes a 1% increase in state funding next fiscal year, far less than the 9% increase that MSU Denver received for the current fiscal year and the 13% increase it received in FY24.
Meanwhile, overall enrollment has been trending up about 2%, thanks in large part to concurrent enrollment. But concurrent-enrollment students pay lower tuition rates and don’t pay fees, which results in lower revenues.
“It’s critical that departments carefully review and optimize their budgets to align with President Davidson’s budget priorities, while taking into account these revenue challenges,” said Chief Financial Officer Jim Carpenter.
Budget-development phases
Here are major steps and milestones in the FY26 budget process, which starts this month.
- Preliminary preparation (November-February): University branches develop their budget proposals, integrating President Davidson’s FY26 priorities. These focus on student success, investing in employees, efficiency, sustainability and expanded student recruitment.
- Submission deadline (Feb. 14): Each branch must submit its budget proposal to the Budget Office by mid-February. Proposals include new funding requests and any mandatory expenses, ensuring they reflect Universitywide priorities.
- Review and prioritization (March-April): UPBAC reviews and prioritizes proposals, identifying efficiencies and ensuring they align with strategic priorities.
- Senior-leadership review (May): UPBAC submits its budget recommendations to Davidson and other senior leaders, who will develop a final proposal to be presented to the University’s Board of Trustees.
- Approval (June): The final budget proposal is presented to the Board of Trustees for final approval.
In addition to providing key milestones for the budget cycle, the circular provides a high-level overview of the process and detailed instructions for budget planners.
“Now is the time for any employee on campus to engage with the process and to discuss their budget needs with supervisors and department fiscal managers or UPBAC representative,” said Budget Director Andrew Rauch.
