State Appropriations

State Appropriations at the UO

State appropriations play a foundational role in the University of Oregon’s ability to provide an accessible, high-quality education, conduct groundbreaking research, and serve communities across the state. However, Oregon’s investment in higher education falls far short of what’s needed to support its public universities, forcing institutions like the UO to rely heavily on tuition revenue to cover operating costs.

Decades of state underinvestment have left Oregon’s public universities among the lowest-funded in the nation on a per-student basis. Compared to the national average, Oregon provides just 63% as much funding per full-time equivalent student to its public four-year universities. Neighboring states like Washington and California invest significantly more, allowing their public universities to keep tuition lower and maintain greater access for students.

Within Oregon, the University of Oregon receives the lowest level of state appropriations per resident student of all public universities, increasing the reliance on tuition to cover operating costs.

How State Funding Works

The University of Oregon receives state funding through several key mechanisms:

  • Public University Support Fund: The primary fund for state support of operational expenses to all seven of Oregon’s public universities, distributed through a formula based on state priorities.
  • Bonding for Capital Construction Projects: Through bonding capacity, the state allocates targeted funds to universities to maintain and renovate public buildings on campus and build new construction.
  • State Programs: Allocations for specific university programs and activities that align with state priorities.
  • Direct Appropriations: Oregon provides funding for other specific programs and activities at universities through either one-time or ongoing allocations.

The State Funding Gap

The State of Oregon continues to provide far less funding per full-time equivalent student to its public universities than neighboring states and the national average. This funding gap forces public universities to rely more heavily on tuition revenue to maintain operations and provide a high-quality education for students, shifting the cost burden onto students and families.

Quick Facts:

  • Compared to their peers in neighboring states, Oregon’s public universities operate with far less state funding per student.

Public Higher Education Appropriations per FTE by State at Four-Year Institutions, FY 2023 (Adjusted for COLI, HECA)

Five western states on a map showing $ amounts: Washington $11,498; Oregon $6,451; California $10,818; Idaho $10,250; Nevada $9,059

  • Even when combining state funding and tuition, the UO receives less revenue per student overall than most comparable institutions. 

State Appropriation per Resident Student and Resident Tuition and Fees among AAU Publics (FY2022) (bar chart)  

Bar chart showing AAU publics on the x-axis and dollars on the y-axis. Resident tuition and fees are shown on the bottom of each bar and state appropriations on the top. A total is also given. UO is the second lowest on the chart (above only University of Colorado Boulder). UO resident tuition and fees in FY2022 were $14,421 and state appropriations were $7,401, for a total of $21,822. For more details, message dsharp@uoregon.edu

  • Within Oregon, the UO receives the lowest state appropriations per resident student of any public university, which intensifies the reliance on tuition revenue.
Table of Comparative University Funding shows all 7 Oregon schools. UO has the lowest state funding per fundable resident student at $7,584. OSU has the highest at $16,798.

This dynamic increases the financial burden on students and limits the resources available to invest in programs and services that support student success.

While it’s true that state support and tuition revenue have increased over the past decade, these increases haven’t kept pace with the rapidly rising costs of providing a world-class education. Personnel costs, including salaries, benefits, and PERS, have grown significantly, as have institutional expenses such as insurance and utilities, and necessary investments in facilities, technology, and student support services. All these factors must be considered when assessing the university’s overall financial health in a national climate with considerable economic challenges for higher education.

What’s in the Governor’s Recommended Budget?

The Governor’s Recommended Budget (GRB) for 2025-27 proposes $1,068.8 million for the Public University Support Fund for distribution to Oregon’s seven public universities. This funding level represents just a 2.8% increase for FY2026 compared to FY2025—a marginal increase that does not keep pace with the rising costs of operating public universities. 

For the University of Oregon, this funding level falls far short of what’s needed to maintain even the state’s already very low share of the university’s Education & General (E&G) fund budget. The Higher Education Coordinating Commission (HECC) has cautioned that funding at this level would have serious implications for Oregon’s public universities, including tuition increases, reductions in services, and threats to institutional stability.

Why This Matters for Students and Families

State underfunding places a greater financial burden on students and families by increasing reliance on tuition increases to maintain university operations. This dynamic directly impacts the affordability of a public university education as well as the ability of universities to sustain critical programs and services that support student success.

Significantly increased state support would enable the University of Oregon to reduce its reliance on tuition to maintain operations, supporting broader access to the high-quality education and vital services that help students succeed.

Get Involved

If you are interested in joining efforts to increase funding for higher education in Oregon, please reach out to either your ASUO representatives or one of the TFAB representatives who can help connect you with legislative staff working on this issue.

Students, faculty, staff, alumni, and anyone else interested in supporting increased state funding for higher education can join the UO Advocates program. Advocacy efforts help ensure legislators understand the critical role public universities play in the state’s future. Join UO Advocates.

State Appropriation in Actual and CPI-adjusted Dollars, FY90 to FY24

Left: A table that shows the State appropriation in actual dollars and CPI-adjusted rates every year from FY90 through FY24. Right: A line graph with the State Appropriation in actual dollars (orange) and CPI-adjusted dollars (green). Dollars in millions are on the y-axis and the Fiscal Year is on the x-axis. In FY90, state appropriation is $62.4M in actual $ and $160.9M in CPI-adjusted dollars. In FY24, both equal $98.2M. For details, message dsharp@uoregon.edu
Note: Figures are expressed in inflation-adjusted 2024 dollars. The Consumer Price Index (CPI) values are obtained from the Bureau of Labor Statistics and represent the Urban-West annual CPI as of June 30, 2024.
Source: UO Office of Institutional Research.

State Appropriation and Resident Tuition (net: after remissions) Revenue per Student FTE FY99-FY24

A line graph compares the State Appropriation per FTE (green line) and the Resident Tuition Revenue per FTE (yellow line) between FY99 and FY24. The amount of money in increments of $2,000 is on the Y axis and the Fiscal Year is on the X axis. In FY99, the State Appropriation was $10,012 and in FY24 the Appropriation is $8,357. The Resident Tuition Revenue per FTE was $5,912 in FY99 and $11,401 in in FY24. For more details, message dsharp@uoregon.edu
Note: The chart compares state appropriation and resident tuition revenue on a per student FTE basis. Figures are expressed in inflation-adjusted 2024 dollars. The Consumer Price Index (CPI) values are obtained from the Bureau of Labor Statistics and represent the Urban-West annual CPI as of June 30, 2024.
Source: UO Office of Institutional Research.

State Appropriation and Resident and Nonresident Tuition (net: after remissions) Revenue per Student FTE FY99-FY24

A line graph compares the State Appropriation per FTE (green line), the Resident Tuition Revenue per FTE (yellow line), and the Nonresident Tuition Revenue per FTE (red line), between FY99 and FY24. The amount of money in increments of $2000 is on the y axis and the Fiscal Year is on the X axis. State Appropriation was $10,012 in FY99 and $8,357 in FY24. Resident Tuition Revenue per FTE was $5,912 in FY99 and $11,401 in FY24. Nonresident Revenue was $19,921 in FY99 and $28,226 in FY24. For more details,
Note: The chart compares state appropriation and resident tuition revenue on a per student FTE basis. Figures are expressed in inflation-adjusted 2024 dollars. The Consumer Price Index (CPI) values are obtained from the Bureau of Labor Statistics and represent the Urban-West annual CPI as of June 30, 2024.

Source: UO Office of Institutional Research.

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State Appropriation per Resident Student and Resident Tuition and Fees among AAU Publics (FY2022) (scatter plot)

A scatterplot shows the State Appropriations per Resident Student and Resident Tuition Fees among AAU Publics. State Appropriation per Resident FTE is shown on the y axis and Resident Tuition and Fees is shown on the x axis. University of Oregon is the second lowest on the chart (only above University of Colorado Boulder). University of Oregon's Resident tuition and fees are $14,421 and state appropriations are $7,401. For details, message dsharp@uoregon.edu

State Appropriations per Resident Student and Resident Tuition and Fees among Big 10 Publics (FY2022) - scatter plot

Scatter graph of state appropriations per resident student and resident tuition and fees among Big 10 Publics. State Appropriation per Resident FTE is on the y axis of the graph and Resident Tuition and Fees is on the x axis. The University of Oregon is the lowest on the graph, with resident tuition and fees being $14,421 and state appropriations being $7,401. For details, message dsharp@uoregon.edu

State Appropriations per Resident Student and Resident Tuition and Fees among Big 10 Publics (FY2022) - bar graph

Bar chart showing name of Big10 public colleges on the x-axis and $ on the y-axis. Resident tuition and fees are shown on the bottom of each bar and state appropriations on the top. A total is also given. UO is the lowest on the chart. Resident tuition and fees are $14,421 and state appropriations are $7,401, for a total of $21,822. For more details, message dsharp@uoregon.edu.

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