On June 19, the University of Guelph’s Board of Governors unanimously approved the 2024-25 budget plan. A community update on the budget was presented at a town hall on June 20, with the recording and presentation slides available on the operating budget web page.

2024-25 Budget Plan

The budget plan projects an operating budget deficit of $12.7 million for the 2024-25 fiscal year. This figure includes one-time grant funding from the Government of Ontario’s Postsecondary Education Sustainability Fund and $27.1 million of in-year savings from Strategic Transformation ($18 million) and unit funding of approximately 30% of compensation inflation ($9.1 million).

Distributed Resources

The 2024-25 budget plan strategically allocates resources to support various units across the University of Guelph. This includes key investments and revenue share agreements designed to enhance financial autonomy, address compensation inflation targets, and bolster specific areas of the University.

Based on current F24 enrolment projections, the undergraduate and graduate revenue share agreements (RSAs) will generate $15.9 million in tuition revenue, which will flow directly to colleges.

  • $15 million in Resource Allocation Guidelines (RAGs) funding is projected to be allocated to the colleges for 2024-25, based on domestic (thesis-based) graduate enrolment.
  • $2.5 million is set aside to invest in units who support the delivery of services across campus, especially those who do not generate revenue through compulsory student fees (e.g., Library, areas within Student Affairs and Physical Resources).
  • $1 million will be transferred from the Ancillary Fund to support student mental health and international student support and services.
  • $1 million is set aside to support graduate student financial accessibility.
    These distributed resources are integral to our proactive planning and commitment to fostering a thriving academic and operational environment. College deans will provide further details to their colleges about their revenue allocations and plans to achieve their compensation inflation savings.

June Budget Forecast

The 2024-25 budget plan was developed based on units’ budget forecasts and a series of assumptions formed during the 2023-24 fiscal year and submitted to the Board of Governors for consideration prior to the June 3 OUAC acceptance deadline.

Since then, our plan to increase enrolment has taken shape and positively impacted our projected financial results. We are now projecting a smaller operating budget deficit of $3.7 million for 2024-25. This result accounts for the distributed resources listed above, as well as the need to continue to achieve savings through Strategic Transformation and compensation inflation funding.

As we move forward, we remain committed to transparent and strategic financial planning to ensure the University of Guelph continues to thrive. The approval of the 2024-25 budget plan marks a significant step in our journey towards sustainable growth and academic excellence. We recognize the dedication and efforts of our entire community – faculty, staff, and students – in navigating these financial challenges together.

Further updates on the University’s financial status will be provided throughout the year, and we encourage you to stay informed and involved.

Gwen Chapman
Provost and Vice-President (Academic)