Why It Matters
Iowa’s public universities will provide the Iowa Board of Regents with additional information about fiscal year 2026 budgets and longer-term financial planning. Athletics finances were the central concern raised during the board’s review.
What Happened
The University of Iowa, Iowa State University, and the University of Northern Iowa presented fiscal year 2026 revenue and expense information to the board’s investment and finance committee on Nov. 11.
Regent Christine Hensley and other board members focused on athletics department budgets. UNI is operating with a deficit, Iowa State is using its reserve fund, and Iowa is making minimum loan payments.
Robert Cramer and Kurt Tjaden plan to meet with university leaders about athletics budgets. Cramer, the board president, said, “We do need to take a look at all of it, and so we’ll come back to the board with a plan of how we’re going to address it … It’s a big deal.”
At Iowa, athletics expenses and revenues exceeded the budget by more than $655,000. The department had budgeted $2.5 million for loan repayment and made a payment of just under $2.43 million.
UNI’s fiscal year 2026 athletics budget began a three-year plan to balance the program. The budget contemplated a $2.2 million operating deficit, while the program ended the fiscal year with a $5.3 million deficit.
Iowa State’s athletics budget was balanced, and revenue exceeded the budget by $4.4 million. Revenue sources cited for the department included ticket sales, fundraising, premium seating, multimedia rights, licensing income, and auxiliary revenues. The university’s need for cash reserves was $17 million lower than projected in its original budget.
By the Numbers
Fiscal year 2026 — university budgets and financial reports
Nov. 11 — investment and finance committee meeting
More than $655,000 — amount by which Iowa athletics expenses and revenues exceeded its budget
$5.3 million — UNI athletics’ actual deficit
$4.4 million — amount by which Iowa State athletics revenue exceeded its budget
$17 million — reduction in Iowa State’s need for cash reserves compared with its original budget
Zoom Out
The board also received an update on the Revenue Enhancement and Productivity Study, known as REAPS. The review is examining possible revenue-enhancement and cost-efficiency opportunities across the three universities.
REAPS has met with shared-governance groups on the campuses. Opportunities under review include expanding community college transfer programs such as UNI@IACC, changing bachelor’s degree completion programming, and aligning or centralizing information technology services.
What’s Next
REAPS meetings are scheduled for December and January, with recommendations expected for the board’s February meeting. No final decisions have been made on the opportunities under review.
Jake Nicholson, the board’s chief efficiency officer, said, “I’m very confident that in February, REAPS will deliver vetted, validated, and actionable recommendations for the board.”