NewsLocal NewsIn Your NeighborhoodMSU Campus

Actions

MSU Board of Trustees approves 2026 budget, tuition increase amid state funding uncertainty

Michigan State University
Posted
and last updated

EAST LANSING, Mich. — The Michigan State Board of Trustees voted to approve the school's 2026 operating budget at its Friday meeting.

  • The tuition increase aligns with the current state cap of 4.5% and will take effect this fall semester.
  • For an in-state incoming freshman at MSU, tuition will cost nearly $8,500 per semester.
  • Michigan House Republicans recently approved a plan that would cut MSU's state funding by nearly 20%. That plan would need to win approval from the state senate and Governor Whitmer to take effect.

WATCH: MSU raises tuition as state funding remains uncertain

MSU Board of Trustees approves 2026 budget, tuition increase amid state funding uncertainty

According to Friday's agenda, the school's total operating budget for the 2025-2026 school year will be $3.68 billion.

Friday's vote came less than a day after state lawmakers voted 56-41 to approve a higher education budget plan, which would come with an 18% cut in state funding to the school. Republican lawmakers cited the university's large endowment as justification, but some also mentioned the school's "woke" policies.

MSU also approved a 4.5% increase in tuition for next year, which falls in line with the current state cap of 4.5% on tuition increases.

"We believe that this tuition increase, coupled with the university-wide budget reductions of 9% over the next two years that President Guskiewicz addressed in his opening comments, is the right balance of revenue enhancements and cost containment," MSU Trustee Sandy Pierce said.

Pierce acknowledged that the state's tuition increase cap has not been finalized yet, and said if that number goes down as the process continues, MSU's tuition would be adjusted to match it.

WATCH: Michigan lawmakers debate controversial school funding proposal

Michigan House GOP proposes school funding cuts to MSU, new requirements for K-12 districts

The state's funding plan still needs to pass through the state senate before any of the proposed cuts are finalized.