UIUC Carle Medicine Shortfall

[UPDATE - The News-Gazette had a blurb and a podcast of the WDWS Morning Show radio interviews of Carle President and CEO expressing his belief that donations will pick up now that the medical college is open: Carle CEO expects donations to UI med school to pick up now that it's open]

The recently opened Carle Illinois College of Medicine on the UIUC campus that merges Engineering and medicine education is running into budget hurdles according to the Board of Trustees. From the News-Gazette yesterday:

UI pledges $25 million to cover fundraising shortfall at med school
A slower-than-projected fundraising pace for the new Carle Illinois College of Medicine has prompted the University of Illinois to pledge up to $25 million of UI discretionary funds over the next decade to support medical-school operations.

The medical school is also hiring a chief advancement officer to "amplify" fundraising there, and the UI is recruiting a new associate vice chancellor to coordinate fundraising for all health sciences, including the Beckman Institute, a new Cancer Center and the Department of Biology, according to Provost Andreas Cangellaris.

The UI and Carle recently updated the budget agreement for the medical school's first 10 years, with the UI pledging to cover any shortfall resulting from the fundraising challenges.

The engineering-based medical school, which opened last week, was designed to be privately funded. The Carle Health System is carrying the financial load initially, pledging $100 million over 10 years as well as $1.5 million annually for operating costs.

But the university is about $25 million behind its target in an eight-year, $135 million fundraising plan to support the medical school.

So far, the UI has raised $20 million, but administrators had hoped to have $44.8 million in gifts and pledges by this time, according to the agreement signed with Carle in August 2015.

As a result, the school's endowment isn't generating as much income as planned, leading to a potential budget shortfall, said Cangellaris, who briefed UI trustees at a board committee meeting Monday afternoon.

The new agreement ensures the 10-year budget plan remains on track and "the college has the funds it needs," Cangellaris said.

More information at the full article here. More on the Carle Illinois College of Medicine at a previous article here.