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UR stresses resilience, celebrates milestones amid federal challenges

The University of Rochester's Rush Rhees Library. (File photo provided by the University of Rochester)

The University of Rochester's Rush Rhees Library. (File photo provided by URochester)

The University of Rochester's Rush Rhees Library. (File photo provided by the University of Rochester)

The University of Rochester's Rush Rhees Library. (File photo provided by URochester)

UR stresses resilience, celebrates milestones amid federal challenges

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Key takeaways: 

  • UR President emphasized that the university will endure current socio-economic and challenges, continuing its mission to “heal, discover and create.” 
  • UR ended fiscal 2025 on a strong note, with three consecutive years of record-breaking . 
  • The university lost $9M in funding because of federal cuts. 
  • URMC, despite looming Medicaid cuts in 2027, remains confident due to its regional network, fiscal stability and strong health care demand.
 

Over its 175-year history, the has survived many challenges, from wars and recessions to the Great Depression and two global pandemics.  

It will also survive the current socio-economic environment, according to Sarah Mangelsdorf, UR president.  

University of Rochester president Sarah C. Mangelsdorf. Photo by J. Adam Fenster / University of Rochester
Sarah Mangelsdorf

“We will continue to focus on our mission to heal, discover and create, and make the world ever better,” she said.  

Mangelsdorf made her comments last week on a webinar attended by more than 3,000 faculty and staff.

The purpose of the virtual event was to provide information on the university’s response to the ongoing federal policy and funding changes, and what their impact may be on the academic campuses, the medical center and its health care affiliates, and the greater Rochester community. 

Mangelsdorf was joined by MD, University of Rochester Medical Center CEO, and , university provost. It was moderated by Kathleen Gallucci, university senior vice president and chief human resources officer. 

During the hour-long webinar, the speakers provided an update on what’s changing at the federal level, identified areas of uncertainty and discussed potential implications for the university and the communities it serves.  

The topics addressed included the overall institutional outlook, workforce impacts and benefits programs, academics, research and enrollment, budgets and the health care landscape. 

The UR is the Rochester region’s largest employer, with more than 37,000 employees reported in 2024, according to the 2025 RBJ list. 

Despite the challenges this year, the university has landed its share of recent wins, including ending fiscal 2025 on a positive financial note and wrapping up three consecutive years of record-breaking fundraising, Mangelsdorf said.  

Additional milestones this year include: 

  • The National Cancer Institute (NCI) naming the UR’s as a designated cancer center, a distinction that places it in the top four percent of all cancer centers in the country. The designation also comes with $10 million in funding over five years to expand patient access to clinical trials and develop new research initiatives.
  • The university making an $8.5 million investment in four new transdisciplinary research centers, marking a first-of-its-kind commitment to solving complex global challenges through collaborative research, and
  • The National Institutes of Health Division of Aging Biology awarding the university a five-year to establish the Upstate NY Comparative Biology of Aging Nathan Shock Center. Rochester will receive nearly $1 million annually beginning in 2025 to fund the center, which works to uncover biological mechanisms of aging and finding answers to leading longer, healthier lives. 

Sampson said the university has been actively monitoring and planning for federal changes across the spring semester. Areas that leaders are watching include cuts to research funding, the increasing financial needs of students and the uncertainty surrounding international scholars.   

Nicole Sampson

“And although we’re always concerned, there’s also, I think, real cause for confidence in our collective ability to adapt and lead forward,” she said.  

She noted that the university has lost some $9 million in research funding out of a budget of $500 million. Sampson said recent actions, including the re-instatement of two grants, are encouraging.  

To help meet the increasing need for student funding because of the current economic climate, the university has plans to grow its endowment for student support, she added.  

Other ways the school is working to manage federal funding cuts include decreasing discretionary spending, reviewing strategic investments and managing employee attrition.  

David Linehan MD

Linehan stressed that the medical center’s services would always be needed, noting the health system is starting from a solid foundation and stable financial position.  

“Regardless of the shifting priorities of the federal and state governments, one thing is certain, and that is there will continue to be an enormous and growing demand for our services,” he said. “The patients will keep coming.” 

The university anticipates cuts to Medicaid funding, which are likely to hit in 2027 and could total some $20 million.  

Linehan said URMC’s growing regional network, which includes its rural hospitals, positions it well to handle the changes, as will being fiscally conservative.  

Managing challenging times will require a united front, Linehan noted, adding that the university has been working with politicians and area businesses on advocacy efforts.  

“This is a time when the ‘one Rochester’ approach really helps,” he said.  

[email protected] / (585) 653-4021 

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