FAMU board OKs nearly $460M operating budget amid concerns over federal funding cuts

Florida A&M University's Board of Trustees has put its stamp of approval on an operating budget of nearly $460 million for the 2025-26 fiscal year budget.

But while the budget is an increase from last year, it leaves out millions in funds for contracts and grants compared to last year amid ongoing changes at the federal level. 

The approval also comes amid financial concerns from the university's Marching 100 band students regarding a separate budget still being reviewed by the FAMU Foundation.

Within the new operating budget for the upcoming fiscal year, which begins July 1, approximately $459.8 million was approved as trustees met June 12 in the Grand Ballroom on campus. The figure is more than last year's $451.3 million , and it includes $96.2 million for contracts and grants for activities in support of research, public service and training − a nearly $4 million drop compared to $100 million in 2024-25. 

The decrease comes as federal efforts continue to be made to cut all federal assistance that may conflict with U.S. President  Donald Trump's  recent executive orders, including ending diversity, equity and inclusion (DEI) programs.

Since January, Trump's executive orders have consisted of various governmental changes, which came with the threat of pausing federal assistance altogether and include " Ending Radical and Wasteful Government DEI Programs and Preferencing ." 

And now, Florida's own version of the Department of Government Efficiency (DOGE) is also reviewing the state's universities and their grants. While FAMU has over 900 grants, the most recent number of its terminated grants is unclear, but appeals have been made in efforts of retrieving loss funding that include a $16.3 million federal grant cut within FAMU's  College of Pharmacy and Pharmaceutical Sciences, Institute of Public Health .

Related news: FAMU fighting for funds after pharmacy school loses $16.3M federal grant amid Trump cuts

The change from last year in the contracts and grants category of the budget was highlighted during the board's June 11 Budget and Finance Committee meeting after FAMU trustee Nicole Washington asked if the proposal reflected "any changes in our finances due to what's happening at the federal level." 

"What we wanted to do was to be safeguarded because of how things are fluctuating," FAMU's Chief Budget Officer Nichole Murry told trustees, referring to the current federal climate and changes in available funding. 

"We wanted to make sure we maintain a level where, if all the appeals do still happen, we're able to still maintain our budget without having to have an emergency meeting for you to increase that part," she added. 

In addition, the approved budget includes $208.6 million for salaries and benefits compared to $214 million last year and $54.9 million for student financial aid compared to $54.2 million in 2024-2025. 

"Any of those dollars that are reduced by the federal government will impact student awards significantly, and that may have a ripple effect on enrollment," Murry said with regards to the student financial aid budget. "It's a situation that we've technically never been in, in this federal space, so we don't know whether that's going to fluctuate up or down." 

FAMU band students express concerns about separate budget 

As trustees met and approved the university's operating budget, a single concern from several FAMU Marching 100 band students about the possibility of them losing scholarship money due to President-elect Marva Johnson's high-paying salary became the main topic of discussion at the June 12 board meeting. 

While FAMU's $459.8 million operating budget was approved with ease, the FAMU Foundation's 2025-26 fiscal year budget approval has been delayed as its board of directors is going back to the drawing board to determine how it will cover the rest of Johnson's salary in the budget – a task that could mean reallocating money from areas such as scholarship funds. 

"If Marva claims to care for the spirit of the students as well as our general well-being, she would never be able to sleep at night knowing this action is being attempted," third-year FAMU band student and cymbals player Apollo Crear said. He was one of about a dozen Marching 100 students who gave public comments during the June 12 meeting. 

The need for an amendment comes as the foundation's proposed budget covers only $388,562 of  Johnson's compensation , which in total includes a $650,000 base pay along with annual retention bonuses and other benefits. At the same time, it is not yet clear if reallocations will be the foundation board of directors' solution for covering the new president's salary.

More: FAMU Foundation budget OK is delayed over Marva Johnson pay shortfall

"We are making a mess and misleading these students into believing that, because this lady's the president-elect, we're taking money from them," FAMU board vice chair Deveron Gibbons said. "That's not the case, so let's just stop and be responsible. We're not being responsible stewards of this university by doing this. Stop misleading these students. Stop getting them all riled up over something that has not happened or is not going to happen."

It is unclear when the foundation will meet to review its proposed budget before presenting updates to trustees, but it may not be approved before Johnson's expected confirmation by the  Florida Board of Governors'  meeting on June 18.

"We have these students sitting here thinking that this board does not care about their scholarships," FAMU trustee and Faculty Senate President Jamal Brown told trustees. Following the meeting, he huddled with the group of band students outside the ballroom to let them know he hears their concerns.

While giving a report during the meeting, FAMU board chair Kristin Harper said she would donate $500 to the Alpha XI Gives scholarship campaign , which directly supports FAMU students. Her commitment was followed by similar declarations from FAMU interim President Timothy Beard as well as trustees Craig Reed, Belvin Perry, Jr., and vice chair Deveron Gibbons who pledged amounts of $500 to $1,000.

"I encourage everyone to hear the cries of these students and to donate in a restricted fund so that it will go directly to student success," Harper said.

Tarah Jean is the higher education reporter for the Tallahassee Democrat, a member of the USA TODAY Network – Florida. She can be reached at  tjean@tallahassee.com . Follow her on X:  @tarahjean_ .

This article originally appeared on Tallahassee Democrat: Money moves: FAMU trustees approve nearly $460 million budget