BLACKSBURG — Amid uncertain times for research funding, Virginia Tech leadership approved a budget for the next school year that is mostly unaffected by federal changes, officials said.
“The recommended internal budget for all operations is $2.5 billion,” university documents said. “This is an increase of $174.2 million, approximately 7.6 percent, over the adjusted FY25 budget.”
The university board of visitors approved the proposed budget during a quarterly meeting inside the Classroom Building on Tuesday afternoon. The new budget begins with the start of the new government fiscal year on July 1.
Virginia Tech Board of Visitors meets Tuesday inside the Classroom Building. The board approved a $2.5 billion budget for the upcoming fiscal year.
Most of the funding, $2.1 billion, is expected to come from state sources, according to documents. The difference from 2025 state allocations is incremental, increasing by about $8 million, the documents said.
Several members of the university board on Tuesday mentioned uncertainty surrounding federal funding for academic research, and facing international students.
Virginia Tech President Tim Sands said the university has lost 63 previously approved federal grants, worth a combined $32 million.
“While that number sounds large, it is only about 2% of our total active awards portfolio of $1.6 billion,” Sands said. “For those impacted, it’s a big deal.”
One of those affected was Rachel Miles, the faculty representative to the board of visitors. She said a grant awarded to her by the Institute of Museum and Library Services was terminated last month, along with most, if not all, of that institute’s grants nationwide.
She shared other examples of canceled or delayed grant funds, and said the university must be agile as the ground threatens to shift beneath it.
“It has been a very eventful year, full of uncertainty, chaos, volatility and evolving complexity,” Miles said. “How we as a university and institution of higher education respond to such changes in our status quo will shape our future in ways we cannot yet fully understand.”
International students are feeling pressure from federal authorities as well, board members said. Sands said 11% of students come to the university from other countries.
“I am concerned about the challenges international students will face this fall,” Sands said. “The delays in visa processing and then the direct and indirect messages they are receiving about the changing U.S. position on attracting top global talent.”
William Poland, graduate and professional student representative to the board, said 40% of the graduate student population is international.
“We must continue to support our international students and explore any available options so we do not lose that segment of our graduate student population,” Poland said.
Back on the budget, capital projects — which includes construction work on buildings, facilities, and other physical assets — total almost $1.2 billion, according to a report by board member Tish Long.
Virginia Tech students cross the Drillfield during a class change in early 2024. While the university has lost 63 federal research grants so far this year due to President Donald Trump’s actions, the amount of money involved represents only approximately 2% of the university’s active, awarded grants.
A tuition increased approved in March, along with increasing enrollment, created a $30 million budget increase for tuition and fees. That increase is a 4.1% difference from 2025 tuition and fee collections, according to university documents.
University staff, faculty, and graduate assistants are receiving 3% raises, according to documents.
Additionally, graduate assistant stipends are increasing to a minimum of $2,800 per month. Graduate assistants formed a labor union starting in 2023, partly in response to protests about low stipends.
Under federal pressure to disinvest from diversity, equity and inclusion efforts, the board of visitors voted to dissolve the university’s inclusion office in March.
Board documents say Virginia Tech identified “reinvestments and DEI Resolution savings totaling $10.7 million.” Those savings represent less than half of 1% of the university’s total operating budget.
Also Monday, the board elected Roanoke attorney John Rocovich as its next rector for a one-year term. Rocovich had previously served as rector from 2002 to 2004, making him term limited under the board’s bylaws.
The board voted to make an exception in allowing Rocovich to serve a third year as rector, but it was not a unanimous decision. Board members Anna James and Tish Long voted against it.
“I voted nay because I did not want to vote for an exception to the board’s bylaws,” Long said. “It’s bad precedent to set aside the bylaws. It was not a vote against Mr. Rocovich.”
Also, Sandy Davis, retired owner of BCR Property Management in Blacksburg, was elected as vice rector.