2026–27 Budget Approved

Dear Occidental Faculty and Staff,

At our June meeting, the Board of Trustees reviewed and approved the budget submitted by College leadership for the 2026–27 academic year. This budget reflects both the current strength of Occidental and our shared responsibility to plan thoughtfully for the future. Oxy enters this year with many advantages, anchored by an unparalleled academic experience, a deeply engaged community, and a transformative education that continues to distinguish the College. 

Building on that foundation, this year’s balanced budget secures essential funding for student-focused priorities, capital projects, academic excellence, and the people who make Oxy’s work possible. I'd like to thank the Budget Strategic Advisory Committee (BSAC) and all who engaged in the budget process by attending meetings, completing surveys, and participating in the Budget Town Hall. 

Investing In Our People 

Investing in our people is essential to sustaining the College’s mission and long-term success. To this end, we are pleased to announce a 2.5% pool allocated for faculty and staff salary increases and promotions. Individual allocations from this pool will be determined by supervisors and communicated by Human Resources by July 1 for staff, and by the Dean's Office during the month of July for faculty. 

Additionally, we’re maintaining employee benefits at current levels, including retirement contributions and subsidized health benefits. We’ll know more about the calendar year 2027 benefit costs when the plans are announced at Open Enrollment in November. 

Building for the Future 

At a time when many schools are retreating, we continue to prioritize Oxy’s growth, making significant investments in our future.

This year, through a combination of philanthropy and financial reserves, we will launch over $40 million in major construction projects: renovation of the Norris Hall of Chemistry, an upgrade of Booth Hall to create the Branca Institute for Music, and installation of a premier screening room for our Media Arts and Culture program. We’re also investing in Student Affairs and Academic Affairs through strategic initiatives that drive enrollment, including adding junior varsity athletic teams, expanding internships, and increasing grant support. 

During our community input discussions, I was reminded of our collective commitment to maintaining academic excellence. High-quality faculty are at the core of this work. Working with the Dean, we have approved four tenure-and-tenure-track (T3) faculty lines to replace existing vacancies in Urban & Environmental Policy, Politics, Kinesiology, and English. 

We’re also focusing on our future Tigers. We’re continuing our commitment to affordability by expanding our need- and merit-based aid, as well as growing our outreach and visibility to prospective first-year and transfer students.

Managing Resources Responsibly

While enrollment results for this year have improved substantially, last fall’s smaller than usual first-year class continues to impact the operating budget, requiring responsible management of our resources. The steps we took last year, including the interim spending policy, have helped us reduce non-essential spending and strengthen our financial discipline. These efforts to carry out cost-saving measures and support revenue-generating activities will continue this year. 

Based on feedback we received over the last year, we’ve taken a close look at programs, staffing patterns, and areas of overlap, and have streamlined those where possible. Some vacant positions will not be filled and that work will be downprioritized or eliminated. 

In a limited number of cases, we have also eliminated filled staff positions, and those individuals have been notified. These are very difficult decisions that affect valued members of our community and were made only after careful consideration.

Looking Ahead

Overall, Oxy is in a stronger position than many of our peers, with strong enrollment numbers this year, solid philanthropic support, and prudent fiscal management. The difficult decisions outlined above allow us to avoid the more disruptive measures we have seen elsewhere in higher education, such as reductions in academic programs, cuts to student services, or broad hiring freezes. Our goal in all budgetary decisions is to protect our academic mission, support our students, and continue investing in the areas most critical to Occidental’s future. At this time, there are no plans to shrink or eliminate academic programs or diminish our robust student experience. 

I am committed to transparency as this process moves forward. We will continue to examine our existing staffing pattern for faculty, staff, and administration, and map it against our institutional goals. We will seek your input, as we did this year, which will result in new investments, reallocations, and possibly future restructuring. These conversations will help shape not only the budget process but the future of Oxy, ensuring that the institution lives up to its potential and inspires our students to live up to theirs. 

Sincerely,
Tom