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Illinois State University held a town hall on Wednesday in the Bone Student Center’s Prairie Room to discuss its new budget model. The event was open to faculty, staff, and students interested in learning how ISU plans to manage its finances moving forward.

For years, the university used an incremental budget model which set budgets and allocations based on the previous year’s funding levels. Now, administrators are shifting to a hybrid, performance-based approach designed to give departments more flexibility and encourage community partnerships that generate revenue.

“With our prior budgeting model, there was no incentive for a dean or department to pursue those kinds of activities,” said Dr. Glen Nelson, one of the university leaders involved in the change.

Nelson added that programs with lower enrollment may receive less funding, as the university adjusts budgets based on both expenses and revenue. “We’re anticipating that this new model will really empower our faculty and staff to make informed decisions that help grow ISU’s impact, both on campus and in the community,” he said.

Administrators say the new system will also help colleges explore funding sources that are not tied to credit hours.

More details about the RISE Initiative can be found at rise.illinoisstate.edu.