Dear Colleagues:
I am writing to update you on the pending state budget, recent federal actions and the UC systemwide hiring freeze, along with the steps we are taking to navigate these issues. We are currently assessing their impacts on our people and programs.
State budget outlook
In his 2025-26 budget proposal, Gov. Gavin Newsom proposed nearly an 8% reduction in operational funding for the entire UC system. In addition, we continue to face rising costs. While this presents a challenge, UC ANR is well-equipped to navigate the situation, thanks to the discipline and careful planning we’ve maintained in recent years, particularly during the budget challenges of 2020. It’s important to remember that UC ANR’s financial structure is distinct from other UC locations and the financial strategies recently announced by campuses may differ from actions taken by UC ANR.
What you need to know:
- UC ANR’s strategic efforts to diversify revenue streams and practice of prudent resource management have helped to lessen the immediate impact of these financial pressures by distributing the financial impacts over time.
- We are making thoughtful adjustments to FY2025-26 budgets, ensuring we continue to advance programs and stay aligned with our strategic plan.
- While some initiatives may need to be deferred or adjusted due to budget constraints, we remain committed to executing our strategic plan, staying focused on our long-term goals and 2040 Strategic Vision.
- In May, the governor will revise his proposed budget. We will continue to provide updates as the situation evolves.
Federal funding uncertainty
Uncertainty surrounding federal funding has created challenges in programmatic and financial planning. Programs that depend on this funding are facing delays and potential funding reductions, which may impact both the planned scope of work, and the workforce necessary to carry out these essential initiatives.
What you need to know:
- We are collaborating with UC Office of the President, state and federal partners to assess the situation and advocate for continued funding.
- We are exploring options to support programs affected by stop-work orders, including temporarily transitioning impacted personnel to alternative funding sources or assignments where feasible.
- To stay informed of and responsive to the numerous federal changes that may affect UC ANR, the emergency response team (ERT) meets weekly to share information, coordinate communication and take action. The team will disseminate relevant updates or changes as needed.
Systemwide hiring freeze
President Drake has announced several measures, including a systemwide hiring freeze to ensure financial stability across the UC system. UC ANR will implement this temporary hiring freeze effective April 1, 2025. While we recognize the importance of staffing, we must take a measured approach and prioritize critical positions.
What you need to know:
- All positions are subject to the hiring freeze, with exceptions for:
- Positions approved through the position management process prior to April 1, 2025
- Positions approved as part of the 2023-24 academic position call process
- Positions fully funded by a contract or grant
- Mission-critical positions (subject to additional approvals)
- More information on the process to request an exception and FAQs will be distributed shortly.
Our approach and next steps
Despite these financial challenges, we are committed to ensuring that our research, outreach and services continue to operate effectively. Moving forward, UC ANR will:
- Prioritize job stability and explore every option to retain our workforce
- Strategically adjust budgets to optimize resource allocation while minimizing disruptions
- Monitor federal funding closely and assess its impact on research
- Actively pursue new funding opportunities to support critical programs
- Maintain transparent communication to keep everyone informed
We recognize that the overall situation is contributing to heightened levels of uncertainty and remind you that support is available. We appreciate your patience and continued dedication as we navigate these challenges.
Thank you again for your commitment to UC ANR’s vital mission.
Glenda Humiston
Vice President