I can only speak indirectly, but I doubt UIUC will lose its accreditation due to lack of funding. They were asked about the state budget at one of the information sessions, and vet med will not be affected by the lack of state budget this year. Dr Foreman said in a "doomsday situation" (since he believe this will never happen) in which they continue to not have a budget in Illinois in following years, U of I will start taking funding from less popular classes/majors first, his example being Slavic languages. As vet med is very popular, historic to the school, and considerably "important", the school will not be affected.
Again I can only speak directly based on what Dr Foreman said at the info session, since I'm not currently even at Illinois, much less their vet program, but sounds like rumors to me.