Positioning CU Anschutz for the Future, 4-8-2026

Dear colleagues,

Over the past several decades, CU Anschutz has grown dramatically in size, scope, complexity and impact. To ensure we can continue advancing our research, education, innovation and clinical care missions for decades to come, we are implementing an updated campus budget model ‒ taking effect July 1, 2026 ‒ that better reflects the institution we are today and positions us for the future.

This new budget model represents the first comprehensive update to our financial framework in more than 40 years. Developed over the past 18 months through national benchmarking and extensive collaboration with key stakeholders, the model is designed for the increased scale and complexity of our campus and provides a more global, modern and aligned financial approach for the long term. This change has the broad support of our schools, is conceptually sound and supports our historical collaborative nature.

At its core, this update is about preserving what works ‒ while making thoughtful, targeted adjustments to better support our people, programs and shared infrastructure as CU Anschutz continues to grow.

Why This Matters

Our institution has grown from a $300 million enterprise in 1983 to a more than $3.3 billion campus today. Alongside that growth, we rely on an increasingly complex network of shared services and infrastructure that support our people and strengthen research, education, innovation and clinical care across campus. 

Updating our budget model brings greater clarity to how these campuswide services and facilities are funded, better aligns support costs with the scale of our enterprise, and strengthens our ability to invest responsibly in what comes next. 

What Is Not Changing

Many aspects of our current budget model will remain the same:

• Schools will continue to retain the majority of the revenue they generate
• State funding distribution to the schools and central departments will continue as it does today
• All tuition and fees will continue to flow directly to the schools

What is Changing

Beginning July 1, 2026, the updated model introduces:

• A simplified and reduced general administrative recharge (GAR) rate of 5% on applicable expenses
• Expansion of this recharge structure to gift funding sources, consistent with national practices
• An increased distribution of research-related indirect cost dollars (F&A) per policy, from 10% to 15%, to further support research priorities 

Learn More

We recognize that many in our campus community are learning about this budget model update for the first time. In the coming weeks, we will launch a dedicated webpage with additional details, FAQs and resources. In May, we will host an Educational Toolbox Series presentation on the new budget model for our campus community. Campus leadership also welcomes the opportunity to meet with schools, units and teams to answer questions and continue the conversation. Contact Terri Carrothers and Ryan Davis with questions.

Our gratitude goes to the campus leadership team, financial administrators and all those who contributed to this ambitious effort over the past year and a half. Their time and expertise have been essential in establishing a clear framework to support our mission well into the future.

Thank you for your partnership as we take this historic step toward a strong and sustainable future for CU Anschutz.

Sincerely,

Don Elliman,
Chancellor

Terri Carrothers
Executive Vice Chancellor, Administration and Finance
Chief Financial Officer