South Carolina Commission on Higher Education August 6, 2009 T HE C ITADEL

2 The Citadel Mission Educate and prepare graduates to become principled leaders in all walks of life by instilling the core values of The Citadel in a challenging intellectual environment.

3 U.S. News & World Report 2009 ratings: No. 2 best public master's degree-granting institution in the South No. 5 among all master's degree-granting colleges and universities, both public and private, in the South Projected freshmen class: 700 Four-year graduation rate: 59 percent Athletes’ GPA/Corps GPA Further development of the Krause Center for Leadership and Ethics 1300 Graduates have served in the Global War on Terror One of the primary commissioning resources for the U.S. Army and the U.S. Marine Corps in the country The Citadel

4 “Leveraging Higher Education” “South Carolina must prepare to compete in today’s knowledge economy on a local and global level” Improve access to higher education Improve quality of higher education Improve research capacity

5 The Citadel Blueprint Prioritizes resources Enhances leadership Expands student base Improves profile in Lowcountry Supports fundraising By advancing the Blueprint, we will advance the State Plan for Higher Education

6 Blueprint Initiatives 1.Develop principled leaders in a globalized environment 2.Enhance the learning environment 3.Strengthen the college through institutional advancement 4.Develop the student population 5.Enhance the facilities and technological support for the campus 6.Improve institutional effectiveness 7.Ensure the college has the leadership and talent to accomplish these strategic initiatives 8.Provide outreach to the region and serve as a resource in its economic development

77 The Budget Challenge: Base State Appropriation$16,287,740 FY08/09 Reductions July 08 ($386,973) October 08 ($2,353,314) December 08 ($948,322) March 09 ($251,983) Total Dollar Reduction ($3,940,592) Total Percent Reduction % Revised State Appropriation$12,347,148

8 Percent State Appropriations of College Budget 18.5% 13.6% 12.5%

9 The Budget Challenge : Absorbing the State Appropriation Cut Budget ActionFiscal ImpactEmployees Affected Operating budget cuts $2,275,000 All Employees Position Actions Hiring delays and freezes; print shop closure $893, Salary increase Delay $400, Temporary position cuts $118, Two-day furlough $252, $3,938,000

10 Tuition In-state Proposed ApprovedDifference % increase6.4% 3.6%2.8% Revenue$5,966,444 $5,745,465$220,979 Out-of-State % increase9.7%7.2%2.5% Revenue$22,029,496$21,442,947$586,549 TOTAL LOST REVENUE:$807,528

11 E&G Cuts, Personnel Reductions$1,100,000 Operation Cuts and Efficiencies $2,900,000 $4,000,000 Further cuts in the state appropriation will necessarily result in forced reductions of operational expenditures and personnel costs, which may include furloughs, salary reductions and RIFs or a combination of the three

12 Capital Needs Capers Hall replacement Built 1951 Number One priority when bond funding available $39.1 million plus construction cost escalation Daniel Library expansion/improvement Built1960 Number Two priority when bond funding available $25.5M Backlog of deferred maintenance projects: $70 million

13 Request for CHE Support: Bond Bill Higher Education Regulatory Reform Library Technology (PASCAL) Replace outdated administrative software STEM Center of Excellence

14 Questions