When Dr. Judith I. Bailey became the seventh President of Western Michigan University on June 9, 2003, the State of Michigan was experiencing major budget shortfalls, and strategies to address these financial problems included significant funding cuts for all the State's universities. In addition, no monies would be applied to university capital projects (state-funded large building projects). However, WMU was able to continue work on the building project for a new facilty for the College of Health and Human Services. which had already received funding approval in a previous legislative session. The new CHHS building, located on the Oakland Drive Campus, was scheduled for completion in the summer of 2005 in time for Fall 2005 classes.

Even though the outlook for capital funding in the foreseeable future was poor, the University continued to address its classroom and facilities issues. It was rewarded for this diligence with a May 2005 Executive Order from Governor Jennifer Granholm to start planning for the renovation of Brown Hall, a major classroom building built in 1967. WMU also kept busy with preparations for a new chemistry classroom building, to be located just east of Wood Hall, and an addition to Kohrman Hall for visual art galleries and classrooms. Groundbreaking for both these structures took place in the spring of 2005.