University of Windsor warns of future 'viability' concerns without funding overhaul
Post-secondary groups say it's a problem across the province as minister teases future announcement
The University of Windsor is warning the provincial government the day may come when it can no longer operate as a regional institution because of a dated funding model.
In a submission to the Ontario government, the university stated it is "confronting a future in which it may no longer be viable" without significant changes to how it is funded.
University president J.J. McMurtry said it's a problem fueled by the federal cap on international students.
"That doesn't mean that we're on the brink of disaster this year or next year or the year after," McMurtry said.
"But we're raising our hand and saying, 'We need some attention.'"
The warning comes after a year of aggressive cost-cutting. Last year, citing rising costs, the university eliminated dozens of union and management positions and paused admissions to an acting program to help close a projected $40-million deficit.
Despite those measures, a mid-year update shows a $4.9-million deficit remains. The school warns the shortfall for the next academic year could climb as high as $18.5 million.
The university says half of that figure is a structural deficit it hopes to resolve within three years under a new budget framework.
How the school is funded
UWindsor is projected to receive $105 million in provincial grants and $3.6 million in federal grants this school year, according to the mid-year budget document.
The largest chunk of revenue comes from tuition which is projected to drop to $183.5 million this school year.
Expenses total more than $326 million.
McMurtry said it's a challenge that schools are facing across the province and country.
"My predecessor had to deal with it. Other universities have had to deal with it. We continue to have to deal with it going forward," said McMurtry.
"But we're looking for partnership with the province to make sure that we work on those problems together for a better and stronger Ontario."
Funding review 'forthcoming' says minister
Both the Council of Ontario Universities and Colleges Ontario have warned the province about structural deficits that continue at institutions despite cuts.
Universities in Ontario have made $550 million in budget cuts, according to the Council of Ontario Universities, but face a $265 million deficit that is rising.
Colleges Ontario said in pre-budget submissions that colleges are facing a $1.5-billion deficit within the next two years despite cutting hundreds of programs and thousands of staff positions.
Nolan Quinn, minister of colleges and universities, said an update of Ontario’s post-secondary funding formula is forthcoming.
“It's been over a decade since our funding formula has been really reviewed at this level and we want to ensure that our post-secondary institutions are sustainable moving forward,” he told reporters in Toronto last week, noting that review work has been going on for about a year.
“We're just wrapping up the consultations at this point. Looking forward to announcing further funding for the sector in the coming months.”
In response to questions about UWindsor, a spokesperson for the minister said that the provincial government is working with post-secondary institutions to ensure their financial sustainability.
The spokesperson said that federal policy changes have 'destabilized' the sector.
What UWindsor wants to see happen
The University of Windsor wants Ontario to expand a grant for northern schools and make a sustainability fund set to expire next school year permanent.
That sustainability fund grants Windsor $7.9 million this year and is now "sustaining day-to-day operations rather than supplementing them," according to the school's submission.
McMurtry said expanding the northern grant is a key ask they have of the provincial government because of how the school is relied upon in the region.
"We're the number one university in Ontario in terms of having regional participation from our students," he said.
Eighty per cent of students in Essex County that pursue university choose Windsor, according to the report, with 76 per cent of domestic students coming from Windsor-Essex or Chatham-Kent.
"We're trying to make the argument to them that we, like the northern universities, deserve a specific recognition in terms of the funding package to support that role," said McMurtry.
The school's submission would see the grant program expand beyond Algoma, Lakehead, Laurentian, Nipissing and Hearst to include schools outside the Greater Toronto-Hamilton Area and Ottawa.
Those schools would need to have at least half of the domestic enrollment be from the region and more than half of the region's university-bound students attend the school.
This would cost the province an additional $15.5 million a year indexed with inflation.
The university also wants to see Ontario create a new, $30-million fund that will allow regional and northern schools to create new programs that match labour market needs.
It states that 43 per cent of students were enrolled in STEM during the 2024-25 year with most working in Windsor-Essex in their field of study within two years of graduation.
President's message to students, staff
"Windsor's long-term economic growth depends on the strength of the University of Windsor," states the report.
The authors write that if the school no longer operates as a regional operation, students would leave for other schools and not return.
"The result would be an erosion of access and local talent pipeline, and the weakening of a regional economy that is essential to Ontario's long-term prosperity."
McMurtry said that he's hopeful that the province will be able to address these concerns amid a "whole plethora of financial challenges."
His message to current and prospective students and staff is that while this is a challenging time, the university will "remain an outstanding university and we continue to innovate and grow."
"Students can rely on the university to provide them world class education, to provide them the tools that they need to engage in and thrive in the workforce and to address the challenges that are coming down the pike."
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