The Western Illinois University administration will borrow $2 million from the WIU Foundation on April 1.
Ketra Roselieb, WIU Vice President for Finance and Administration, said daily cash on hand remains at a critical level.
“The university appreciates the foundation’s extension of this partnership and its approval of a distribution from unrestricted endowment to fund this loan, which will come with temporary cash flow shortages while the university continues to implement our significant budget adjustments,” Roselieb told the WIU Board of Trustees during its March 12 meeting.
BoT Chair Polly Radosh emphasized that the loan will come from the foundation’s unrestricted funds.
She also asked Roselieb whether there is a dire need to borrow the money.
Roselieb responded that WIU’s cash position has not been strong since prior to the two-year state budget impasse that began in July 2015.
“And, especially because of how we receive state and federal funds, we have to pay our university payroll, voucher that to the state, and then wait for reimbursement. We do not have cash on hand in case there’s a federal government pause and they haven’t reimbursed us, or there is a problem at the state level where we’re not getting reimbursed promptly,” Roselieb said.
“We are at a critical situation, which is why we are taking advantage of this loan at this time. And it will only be used, as stated in both the loan agreement and the authorization, for critical university expenses.”
She did note the Illinois comptroller’s office has been prompt with all reimbursements thus far this year.
BoT Vice Chair Carin Stutz said it appears expenses for this fiscal year will come in closer to $180 million rather than the projected $189 million. She lauded the financial stewardship of the administration and faculty. She said every department is being accountable and working together.
“It’s nothing short of incredible. This will be a case study for universities one day. It absolutely will be,” Stutz said.
Financial data for the quarter ending Dec. 31, 2025 show WIU had taken in $88 million, or about half of its projected revenue, during the first six months of the fiscal year.
WIU had spent $80 million, about 42% of projected expenditures.
“Continuing conservative spending, attrition, and future fiscal planning will mitigate the Fiscal Year ’26 budgeted deficit,” Roselieb said.
“The finance team continues to navigate the cyclical nature of our cash receipts alongside the reimbursement process as we receive both state and federal funds.”
The university’s budgeted expenditures mainly include personnel services, contractual services, and financial aid obligations.
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