Financial Analysis of Rutgers: Revenue Distribution and the State - - PowerPoint PPT Presentation
Financial Analysis of Rutgers: Revenue Distribution and the State RBHS Employee Compensation Priorities Athletics Howard Bunsis Professor of Accounting, Eastern Michigan University Past Chair, AAUP Collective
Howard Bunsis Professor of Accounting, Eastern Michigan University Past Chair, AAUP Collective Bargaining Congress November 2017
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Financial Analysis of RBHS
Overall Financial Condition
Where is the money going? Priorities of the Administration: Are there too many administrators?
Athletics – Is athletics close to self-supporting? Is the Big Ten bet working? Where is the money coming from? Revenue Analysis for the different entities: Analysis of Employee Compensation: PTL and
Rutgers 2016 Revenue Distribution
Source: Audited Financial Statements Total Revenue = $3.6 Billion
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25%
16%
15%
12% 9%
9%
5%
4%
3%
1%
Tuition and Fees, Net Grants and Contracts Patient Services State Appropriation State Appropriaiton, Fringes Auxiliaries Student Aid All Other Revenues Contributions and Gifts Investment Income
Rutgers 2017-18 Budgeted Revenue Distribution
Source: Rutgers Budget Total Revenues = $4.390 Billion
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RBHS New Brunswick Newark Central Camden
Percent of Total 40% 38% 9% 9% 4%
$1.760 $1.670 $0.397 $0.390 $0.174 $0.000 $0.200 $0.400 $0.600 $0.800 $1.000 $1.200 $1.400 $1.600 $1.800 $2.000
RBHS New Brunswick Newark Central Camden
2017-18 Budgeted Revenue in Billions
Rutgers 2016 Expense Distribution
Source: Audited Financial Statements
Total Expenses = $3.418 Billion
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26%
20%
19%
8% 7%
6% 4% 4% 3% 2% 1% Instruction Patient Care Services Research/Sponsored Programs Auxiliary General Administration Plant Depreciation Academic Support Student Services Scholarships Public Service
Rutgers 2017-18 Budgeted Expense Distribution
Source: Rutgers Budget Total Expenses = $4.372 Billion
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47% 21% 68% 8% 6% 6% 5% 4% 3% 1%
0.3%
0% 10% 20% 30% 40% 50% 60% 70% 80%
Benefit Rates Using Different Data Sources:
Benefit Rates per the Budget are Suspect
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Salaries Fringes Benefit Rate (Fringes/Salaries)
Per 2018 Budget: New Brunswick 634,897 279,235 44% Newark 154,711 67,555 44% Camden 85,955 36,055 42% RBHS 882,290 380,129 43% Admin 287,535 143,154 50% Total 2018 Budget 2,045,388 906,128 44% All per Audited Statements 2016 1,824,819 536,735 29% 2015 1,775,349 514,457 29% 2014 1,752,152 543,132 31% Per 2015 IPEDS: New Brunswick 1,535,926,000 507,132,000 33% Newark 147,944,000 48,396,000 33% Camden 91,508,000 26,782,000 29% TOTAL IPEDS 1,775,378,000 582,310,000 32.8%
8 This presentation is NOT about the Rutgers budget It IS about the financial situation at Rutgers Budgets are plans, with numbers that are estimated by administrators to make things look as bad as possible – so they can be heroes when the results happen and there is a surplus. All that matters is what actually HAPPENED
What about the new RCM model? It is just a way to allegedly make departments and divisions more financially responsible; at most universities, it is a way to take money away from liberal arts
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Good:
Budgets tell us where the money will be spent in the current year, as audited financial statements tell us about the past
Bad:
Budgets are just plans. Budgets always balance; Real life never balances Expense categories can be whatever the admins want; audited statements and IPEDS use standard categories
Ugly
Admins often exclude many revenue and expense items from budgets Admins Under-estimate revenues and Over-estimate expenses Assertions of “budget holes” and “structural deficits” are created and “fixed” so the admins look like stars to the Board
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Source: Office of Legislative Services, Tax and Revenue Outlook 2017-18, April 2017
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Income Tax 40% Sales Tax 27% Corporate Tax 7% Insurance Premiums 2% Inheritance Taxes 2% Petroluem 2% Casino Revenues 1% All Other Sources 19%
Source: Office of Legislative Services, Tax and Revenue Outlook 2017-18, April 2017
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19.9 21.0 20.6 23.5 24.9 28.0 28.7 31.2 32.6 28.9 27.9 28.7 29.1 30.9 32.3 32.5 33.7 34.1 35.4
15.0 20.0 25.0 30.0 35.0 40.0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
US and New Jersey Unemployment Rates, 1978 to 2017
Source: US Bureau of Labor Statistics
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0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11%
1978 1979 1980 1981 1982 1983 1984 1985 1986 1987 1988 1989 1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017
New Jersey US
Source: US Bureau of Labor Statistics: 4th Q 2016 to 3rd Quarter 2017 Average
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Metric NJ Rate US Rate Definition U-3 4.5% 4.5% Official Unemployment Rate U-4 4.9% 4.8% U-3 + discouraged workers U-5 5.5% 5.5% U-4 + Marginally attached U-6 9.0% 8.9% U-5 + part time workers who want full time 0% 1% 2% 3% 4% 5% 6% 7% 8% 9% 10%
U-3 U-4 U-5 U-6 NJ Rate US Rate
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2013 2014 2015 2016 2017 Rutgers Aa3 Aa3 Aa3 Aa3 Aa3 State of New Jersey Aa3 A1 A2 A2 A3
10 11 12 13 14 15 16 17 18 19 20 2013 2014 2015 2016 2017
Rutgers State of New Jersey
State Appropriation for All NJ Senior Publics
Source: NJ Higher Education Services; In Millions
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Nominal 1998 2003 2008 2013 2017 2018 Operating 747 805 902 717 703 699 Fringe 293 374 593 672 694 729 Total 1,040 1,179 1,495 1,389 1,397 1,428
100 200 300 400 500 600 700 800 900 1,000
1998 2003 2008 2013 2017 2018
Operating Fringe
State Appropriation for All NJ Senior Publics Adjusted for Inflation, In Millions
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Adjusted for inflation 1998 2003 2008 2013 2017 2018 Operating 1,212 1,170 1,133 792 721 699 Fringe 475 543 746 743 711 729 Total 1,687 1,713 1,879 1,535 1,432 1,428
300 500 700 900 1,100 1,300
1998 2003 2008 2013 2017 2018 Operating
Fringe
State Operating Appropriation to Rutgers:
2013 to 2018 per NJ Higher Education Services, In Millions
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Operating: 2013 2014 2015 2016 2017 2018 New Brunswick 241.0 338.5 338.5 325.9 325.9 325.9 Newark 0.0 31.8 31.8 30.6 30.6 30.6 Camden 0.0 17.1 17.1 16.5 17.5 16.5 UMDNJ 164.3 0.0 0.0 0.0 0.0 0.0 Total Rutgers 405.3 387.5 387.5 373.1 374.1 373.1
100 200 300 400 500 2013 2014 2015 2016 2017 2018
New Brunswick Newark Camden UMDNJ
State Operating Appropriation in Total per Audited Financial Statements
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IN MILLIONS
2014 2015 2016
Operating Appropriation 387.5 387.5 373.1 Agriculture Extension 21.7 21.7 20.9
Total NJ Department of State (DOS) 409.2 409.2 394.0
Dept.. of Health for Rutgers Cancer Institute 28.0 28.0 28.0
Health Care 18.0 18.0 18.0
Grand Total Appropriation 455.2 455.2 440.0
State Appropriation to ALL of Rutgers per Student, 2014 to 2017: Sources: Higher Ed Report and Bond Report
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$5,915 $5,870 $5,522 $5,426 $4,000 $4,500 $5,000 $5,500 $6,000 $6,500
2014 2015 2016 2017
NJ Appropriation to Rutgers per Student
2014 2015 2016 2017 Operating Appropriation $387,501,000 $387,501,000 $373,053,000 $374,053,000 Enrollment 65,512 66,013 67,556 68,942 Approp per student $5,915 $5,870 $5,522 $5,426
New Jersey Higher Ed Appropriation vs. Other States: Level Per Capita per Grapevine Study, 2017
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$0 $100 $200 $300 $400 $500 $600 $700
Wyoming North Dakota Hawaii Alaska New Mexico Nebraska North Carolina California Mississippi Arkansas Maryland Connecticut Alabama Utah Georgia New York Minnesota South Dakota Idaho Iowa Texas Indiana Kansas Kentucky West Virginia Tennessee Washington Wisconsin Delaware Virginia Montana Louisiana New Jersey Massachusetts Maine Florida South Carolina Oklahoma Oregon Ohio Nevada Michigan Missouri Rhode Island Colorado Vermont Pennsylvania Arizona Illinoise New Hampshire
New Jersey Higher Ed Appropriation vs. Other States: Level Per $1,000 of Income per Grapevine Study, 2017
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$0 $2 $4 $6 $8 $10 $12
Wyoming New Mexico North Dakota Mississippi North Carolina Hawaii Arkansas Nebraska Alaska Alabama Utah Georgia West Virginia Idaho Kentucky California Indiana Tennessee Iowa South Dakota Montana Texas Maryland South Carolina Kansas Wisconsin Minnesota Louisiana Delaware Maine Florida New York Washington Oklahoma Virginia Connecticut Nevada Ohio Oregon Michigan Missouri New Jersey Massachusetts Rhode Island Arizona Colorado Vermont Pennsylvania Illinois New Hampshire
New Jersey Higher Ed Appropriation vs. Other States: Change from 2012 to 2017 per Grapevine Study
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0% 10% 20% 30% 40% 50%
New Hampshire California Oregon Idaho Washington Colorado Utah Wisconsin South Dakota Massachusetts Hawaii South Carolina Virginia Florida Montana Tennessee Maryland North Dakota Connecticut Georgia Michigan Nevada Minnesota New York Nebraska Texas Rhode Island Missouri Iowa Ohio Indiana Wyoming Maine North Carolina Delaware New Mexico Mississippi Alabama New Jersey Pennsylvania Vermont Arizona Kansas Arkansas Kentucky Alaska West Virginia Louisiana Illinois Oklahoma
5-Year change 2012 to 2017
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All U.S.: 2009 2017 Change Governors 26-24 33-16-1 +9.5 State Senates 28-21-1 36-14 +14.5 State Houses 34-15-1 33-17 +17.5 All U.S.: 2009 2017 Change States All Red 9 25 +16 States Split 25 20
States All Blue 16 5
All U.S. State Houses 2009 2017 # Change % Change Senate Dem. 1,021 795 (226)
Senate Rep. 893 1,124 231 26% House Dem. 3,026 2,340 (686)
House Rep. 2,353 3,053 700 30% All U.S. 2009 2017 # Change % Change Senate and House Dem 4,047 3,135 (912)
Senate and House Rep 3,246 4,177 931 29%
state allowed collective bargaining by public unions. Eight years later the state adopted an income tax with a 2.5% top rate to boost spending on education and reduce property taxes. Thus began the state’s road to fiscal perdition.
worker salaries and benefits. The state’s 8.97% top rate on households earning more than $500,000 is the highest in the Northeast after New York City.
employers, which could save $3.7 billion. Replacing defined-benefit plans for current workers with a defined-contribution hybrid could yield an additional $1.5 billion.
little political capital into persuading the legislature and public to support more
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Schools Centers and Institutes
Ernest Mario School of Pharmacy Brain Health Institute New Jersey Medical School Center for Advanced Biotechnology and Medicine Robert Wood Johnson Medical School Environmental and Occupational Health Sciences Institute Rutgers School of Dental Medicine Institute for Health, Health Care Policy and Aging Research School of Graduate Studies Rutgers Cancer Institute of New Jersey School of Health Professions Rutgers Institute for Translational Medicine and Science School of Nursing School of Public Health
Behavioral Health Care Network
University Behavioral Health Care
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In Millions 2014 2015 2016 Patient Service Revenues $487.6 $518.0 $533.9 All Other Revenues $2,987.7 $3,032.6 $3,069.3 Total Rutgers Revenues $3,475.3 $3,550.6 $3,603.2 Patient Revenue as % of Total Revenue 14.0% 14.6% 14.8% Dollar Change 2014 to 2015 2015 to 2016 Patient Service Revenues $30.4 $15.9 All Other Revenues $44.9 $36.7 Total Rutgers Revenues $75.3 $52.6 Percentage Change 2014 to 2015 2015 to 2016 Patient Service Revenues 6.2% 3.1% All Other Revenues 1.5% 1.2% Total Rutgers Revenues 2.2% 1.5%
– RBHS behavioral healthcare – Faculty practice operations – Community healthcare centers – Cancer and contract activities, under contractual arrangements with governmental payers and private insurers
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Breakdown of RBHS Revenues per Audited Statements
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In Millions 2015 2016 $ Change % Change Faculty Practice Plans $233.7 $239.0 $5.3 2.3% NJ Dept.. of Corrections $145.9 $149.4 $3.5 2.4%
Other Professional Contracts
$80.0 $77.8 ($2.2)
UBHC $58.4 $67.7 $9.3 15.9% Total Patient Care Revenues $518.0 $533.9 $15.9 3.1% Percent of Total: 2015 2016 Faculty Practice Plans 45% 45% NJ Dept.. of Corrections 28% 28%
Other Professional Contracts
15% 15% UBHC 11% 13% Total Patient Care Revenues 100% 100%
UBHC is University Behavioral Health Care, and provides care to patients
Different Breakdown of RBHS Revenues Why Patient Revenues are Less than Patient Expenses
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2014 2015 2016 Gross Charges $776.1 $820.3 $848.8 Deductions from Gross Charges: Contractual and Other Allowances ($260.7) ($271.4) ($294.7) Provisions for Bad Debts ($27.8) ($30.9) ($20.1) Total Deductions ($288.5) ($302.3) ($314.8) Net Patient Service Revenues $487.6 $518.0 $533.9 Deductions as a % of Revenues: 2014 2015 2016 Contractual and Other Allowances 33.6% 33.1% 34.7% Provisions for Bad Debts 3.6% 3.8% 2.4% Total Deductions 37.2% 36.8% 37.1%
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2014 2015 2016 Patient Care Expenses 613.5 653.4 684.2 Gross Patient Care Revenue 776.1 820.3 848.8 Net Patient Care Revenue 487.6 518.0 533.9 Dollar Changes 2014 to 2015 2015 to 2016 Patient Care Expenses 40.0 30.8 Gross Patient Care Revenue 44.2 28.5 Net Patient Care Revenue 30.4 15.9 Percentage Changes 2014 to 2015 2015 to 2016 Patient Care Expenses 6.5% 4.7% Gross Patient Care Revenue 5.7% 3.5% Net Patient Care Revenue 6.2% 3.1%
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2018 Budget Dollars % of total Healthcare Revenue 546.1 31.0% Affiliated and House Staff 266.0 15.1% State Fringes 249.3 14.2% Grants and Contracts 240.3 13.7% NJ State Appropriation 183.3 10.4% Student Tuition and Fees 173.8 9.9% Facilities and Admin Recoveries 52.0 3.0% Other 14.2 0.8% Auxiliary 13.8 0.8% Gifts and Contributions 11.9 0.7% Investment Income 8.9 0.5% Total Revenue 1,759.6 100.0%
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31% 15% 14% 14% 10% 10%
3%
Healthcare Revenue Affiliated and House Staff State Fringes Grants and Contracts NJ State Appropriation Student Tuition and Fees Facilities and Admin Recoveries Other Auxiliary Gifts and Contributions Investment Income
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2016 Campus Summary 2018 Healthcare Revenue 735.9 546.1 Affiliated and House Staff 266.0 State Fringes 249.3 Grants and Contracts 240.3 NJ State Appropriation 130.2 183.3 Student Tuition and Fees 155.8 173.8 Facilities and Admin Recoveries 35.7 52.0 Other 223.1 14.2 Auxiliary 7.7 13.8 Gifts and Contributions 11.9 Investment Income 8.9 Restricted 226.2 Healthcare University Support (1.1)
TOTAL RBHS REVENUES 1,513.6 1,759.6
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% OF % OF % OF % OF BUDGET UNRESTRICTED EXP TOTAL EXP CAMPUS EXP UNIVERSITY EXP DIRECT EXPENSES UNRESTRICTED Personnel 361,665,659 $ 86.8% 23.6% 23.9% 9.6% Non Personnel 54,868,338 $ 13.2% 3.6% 3.6% 1.5% TOTAL UNRESTRICTED 416,533,997 $ 100.0% 27.1% 27.5% 11.0% RESTRICTED Sponsored Research 204,278,388 $ 13.3% 13.5% 5.4% Scholarships and Fellowships 8,717,078 $ 0.6% 0.6% 0.2% Other Sponsored Programs 13,333,973 $ 0.9% 0.9% 0.4% TOTAL RESTRICTED 226,329,439 $ 14.7% 15.0% 6.0% HEALTHCARE (excludes indirect) 692,627,575 $ 45.1% 45.8% 18.3% TOTAL DIRECT EXPENSES 1,335,491,011 $ 87.0% 88.2% 35.3% INDIRECT (COST POOL) EXPENSES Academic Support 9,781,834 $ 0.6% 0.6% 0.3% Debt Service 32,690,523 $ 2.1% 2.2% 0.9% Facilities O&M 32,174,591 $ 2.1% 2.1% 0.9% General and Administrative Service 61,620,982 $ 4.0% 4.1% 1.6% Information Technology 13,396,741 $ 0.9% 0.9% 0.4% Libraries 8,745,091 $ 0.6% 0.6% 0.2% Research Support 9,319,238 $ 0.6% 0.6% 0.2% Strategic Funds 22,911,152 $ 1.5% 1.5% 0.6% Student Service 2,417,937 $ 0.2% 0.2% 0.1% Utilities 37,298,255 $ 2.4% 2.5% 1.0% TOTAL INDIRECT (COST POOL) EXPENSES 230,356,344 $ 15.0% 15.2% 6.1% ADJUSTMENTS Transfers (unrestricted) 9,254,361 $ 0.6% 0.6% 0.2% Provision for Initiatives and Contingencies (17,356,973) $ 1.1% 1.1% 0.5% Use of one time funds (22,370,374) $ 1.5% 1.5% 0.6% TOTAL ADJUSTMENTS (30,472,986) $ 2.0% 2.0% 0.8% TOTAL EXPENSES 1,535,374,369 $ 100.0% 101.4% 40.6% COST POOL ALLOCATION/ REALLOCATION (10,216,419) $ 0.7% 0.7% 0.3% STRATEGIC FUNDS (11,545,740) $ 0.8% 0.8% 0.3% TOTAL NET EXPENSES 1,513,612,210 $ 98.6% 100.0% 40.0%
NOTES: RBHS Responsibility Centers per 2016 Budget There is no 2017 or 2018 Budget on the Budget Website
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Total Revenues Personnel NEW JERSEY MEDICAL SCHOOL 313,826,957 75,409,237 ROBERT WOOD JOHNSON MEDICAL SCHOOL 305,499,298 57,525,410 UNIVERSITY BEHAVIORAL HEALTH CARE 288,949,582 RBHS HYPERION BUDGET RECONCILED TO BOG 188,750,168 Cancer Institute of New Jersey 105,678,897 749,817 SCHOOL OF NURSING 79,888,250 20,540,308 RUTGERS SCHOOL OF DENTAL MEDICINE 58,911,816 33,015,274 ERNEST MARIO SCHOOL OF PHARMACY 45,490,461 13,310,341 SCHOOL OF HEALTH RELATED PROFESSIONS 37,077,543 19,112,739 PUBLIC HEALTH RESEARCH INSTITUTE 24,453,417 2,878,420 SCHOOL OF PUBLIC HEALTH 20,724,380 9,468,590 GRADUATE SCHOOL OF BIOMEDICAL SCIENCES 13,919,435 3,559,674 CENTER FOR ADVANCED BIOTECHNOLOGY AND MEDICINE 13,001,176 1,826,182
INSTITUTE FOR HEALTH, HEALTH CARE POLICY AND AGING RESEARCH
10,958,890 1,688,391
ENVIRONMENTAL AND OCCUPATIONAL HEALTH SCIENCES INSTITUTE
7,802,710 1,567,381 Parking 3,441,000 258,456 Brain Health Institute 1,223,644 534,988 RBHS Office of the Chancellor (COST CENTER) (5,985,413) 12,755,116 Sum of the above 18 items 1,513,612,211.0 254,200,324 RBHS Campus Summary 1,513,612,211 361,665,659
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Source: Audited Financial Statements; Amounts in Millions
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1,000 2,000 3,000 4,000 5,000 6,000 7,000
2008 2013 2014 2015 2016 Total Assets Total Liabilities Net Assets
(Does not include the $119 million in the Rutgers Foundation and UPA)
Source: Audited Financial Statements; Amounts in Millions
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1.3 1.6 2.1
1.7 2.3 3.4 0.0 1.0 2.0 3.0 4.0 5.0 6.0 7.0
2008 2013 2016
Cash and Investments Capital Assets Receivables/Other
Investment Portfolio of Rutgers per Audited Statements
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In Millions 2015 2016 2015 2016 Level 1 Investments 287.0 406.8 21% 27% Level 2 Investments 683.6 705.8 50% 47% Level 3 Investments 7.6 12.5 1% 1% Alternative Investments 387.0 361.5 28% 24% Total Investments 1,365.2 1,486.5 100% 100% 2015 2016 Fixed Income Fund 24.8 0.0 Private Equity 47.6 48.7 Real Estate 49.6 57.1 Real Assets 21.6 22.9 Venture Capital 33.7 33.5 Credit Hedge Funds 41.1 44.6 Long/Short Equity Hedge Funds 45.9 47.9 Global Macro Hedge Funds 27.8 12.8 Multi-Strategy Hedge Funds 94.4 93.6 Other Hedge Funds 0.4 0.3 Total Alternative Investments 387.0 361.5
companies with the intent of improving their portfolio companies by investing in their
the real estate industry.
including energy, infrastructure, metals and mining, and other commodity-related industries.
typically at the cutting edge of innovation in their specific fields. These are typically higher risk/reward opportunities in the fields of technology and medicine of which the companies will generally have negative cash flow at the start.
products, and distressed debt strategies that take advantage of corporate securities in default, under bankruptcy protection, in distress, or in liquidation.
event driven, etc. in order to lower and diversify risk as well as reduce volatility.
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Source: Audited Financial Statements; Amounts in Millions
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health or flexibility of Rutgers
are the two components of reserves
In Millions 2014 2015 2016 Invested in Capital Assets 1,351.4 1,457.5 1,601.5 Restricted Non-Expendable 548.1 563.9 582.0 Restricted Expendable 460.0 470.9 471.9 Unrestricted 708.8 770.6 804.4 Total Net Assets 3,068.4 3,263.0 3,459.8 In Millions 2014 2015 2016 Unrestricted 708.8 770.6 804.4 Restricted Expendable 460.0 470.9 471.9 Total Reserves 1,168.8 1,241.5 1,276.3
Source: Audited Financial Statements; Amounts in Millions
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708.8 770.6 804.4
460.0 470.9 471.9
200 400 600 800 1000 1200 1400
2014 2015 2016
Unrestricted Restricted Expendable
Rutgers Reserves in Context: Primary Reserve Ratio: Solid Reserves for RU
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0% 10% 20% 30% 40% 50%
2014 2015 2016
Excellent Very Good Rutgers Solid OK Questionable Trouble
In Millions 2014 2015 2016 Total Reserves 1,168.8 1,241.5 1,276.3 Total Operating Expenses 3,407.1 3,424.0 3,502.2 Primary Reserve Ratio 34% 36% 36%
Does Rutgers Have Too Much Debt? Viability Ratio: RU Has Lots of Debt
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In Millions 2014 2015 2016 Total Reserves 1,168.8 1,241.5 1,276.3 Debt 2,186.7 2,074.8 2,034.9 Viability Ratio 53% 60% 63%
0% 50% 100% 150% 200% 250%
2014 2015 2016
Excellent Very Good Average Rutgers Questionable Trouble
48 2014 2015 2016 Total Revenues 3,475.3 3,550.6 3,603.2 Total Expenses 3,407.1 3,424.0 3,502.2 Change in Net Assets 68.2 126.6 101.0 Net Income Ratio 2.0% 3.6% 2.8%
excellent
the accrual method of accounting
What is the Difference Between The Change in Net Assets and Cash Flows?
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The change in net assets = Total Revenues – Total Expenses for the year; Total net assets (some of which are reserves) get built up if the change in net assets is positive Add back depreciation expense and other non-cash expenses Add or subtract paper gains on investments Operating Cash Flows; This includes all cash coming in, less all cash going out for recurring items
Source: Audited Financial Statements
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In Millions 2014 2015 2016 Cash from Operations (584.2) (459.4) (404.2) Cash from Non-cap financing (mostly state appropriation) 707.2 722.2 731.7 Interest Paid on Debt (87.6) (91.7) (98.0) Total Operational Cash Flows 35.5 171.2 229.5 Total Revenues 3,475.3 3,550.6 3,603.2 Cash Flow Ratio 1.0% 4.8% 6.4%
35.5 171.2 229.5 50 100 150 200 250 2014 2015 2016
Excess Operational Cash Flows in Millions
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consecutive years below 1.50
Rutgers Ratios Detail (5 is the highest for each category)
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2014 2015 2016 Primary Reserve Ratio 34% 36% 36% Viability Ratio 53% 60% 63% Net Asset Ratio 2.0% 3.6% 2.8% Cash Flow Ratio 1.0% 4.8% 6.4% Primary Reserve Score 3.87 3.95 3.96 Viability Score 2.28 2.49 2.57 Net Asset Score 2.98 3.78 3.40 Cash Flow Score 2.51 4.41 5.00 Rutgers Composite Score 3.13 3.69 3.78 Solid reserves Lots of debt Cash Flow best
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1.00 1.50 2.00 2.50 3.00 3.50 4.00 4.50 5.00 2014 2015 2016
Perfect Very Good Rutgers Solid Ok Trouble
Rutgers Strengths and Weaknesses per Moody’s: June 2017 Aa3 Rating and Outlook Upgraded to Stable
https://www.moodys.com/research/Moodys-revises-Rutgers-the-State-Univs-NJ-outlook-to-stable--PR_904077660
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Modest operating cash flow growth; stabilizing operations at slightly better than break-even levels The university will be able to absorb some reductions in state and federal funding
Large scale operations; critical role in the State of New Jersey's; flagship and land grant university and member
Increase the university's already sizeable financial resources through fundraising
High leverage (debt level) Increasingly pressured state environment Ambitious capital plan and aging facilities require significant capital investment
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3 10 20 30 40 50 60 70 Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3
RU is at Aa3
The 2017 Budget is from the Bond report; The 2018 budget is from the RU website 56
In Millions 2017 2018 $ Change % Change Tuition and Fees 1,108,283 1,249,060 140,777 12.7% State Fringes 349,508 633,588 284,080 81.3% Healthcare Revenue 599,819 546,092 (53,727)
Grants and Contracts 575,586 465,776 (109,810)
Admin Recoveries 106,047 106,047 State Appropriation 439,929 428,420 (11,509)
Auxiliary Revenue 366,459 304,173 (62,286)
Affiliated and House Staff 266,038 266,038 Student Aid 189,191 186,798 (2,393)
Other 196,284 104,433 (91,851)
Investment Income 40,086 54,432 14,346 35.8% Gifts and Contributions 34,661 40,086 5,425 15.7% Federal Appropriation 6,500 5,335 (1,165)
TOTAL REVENUE 3,906,306 4,390,278 483,972 12.4% RU Operating Appropriation per State Legislature 374.1 373.1 (1.0)
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Total Revenues Over Time, in Billions 2017 Audited statements not available
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In Billions 2014 Audit 2015 Audit 2016 Audit 2017 Budget 2018 Budget Total Revenues 3.475 3.551 3.603 3.906 4.390 $$ Change 0.076 0.053 0.303 0.484 % Change 2.2% 1.5% 8.4% 12.4%
3.475 3.551 3.603 3.906 4.390 1.0 1.5 2.0 2.5 3.0 3.5 4.0 4.5 5.0
2014 Audit 2015 Audit 2016 Audit 2017 Budget 2018 Budget
Source: Audited Financial Statements
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200 300 400 500 600 700 800 900 1,000
2014 2015 2016
Tuition and Fees, Net Grants and Contracts Patient Services State Appropriation State Appropriaiton, Fringes Auxiliaries
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2014 to 2016 $ Changes % Changes Tuition and Fees, Net $85.5 10.4% Patient Services $46.4 9.5% Auxiliaries $26.0 8.9%
State Appropriation, Fringes
$13.5 4.2% Grants and Contracts ($4.5)
State Appropriation ($15.3)
Total Revenues $127.9 3.7%
0% 2% 4% 6% 8% 10% 12%
Tuition and Fees, Net Patient Services Auxiliaries State Appropriaiton, Fringes Total Revenues Grants and Contracts State Appropriation
Percentage Changes 2014 to 2016
Research Grants and Contracts, Pre and Post Merger per Audit and Bond Report
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Grants and Contracts (Revenue) per Audit 2012 2013 2014 2015 2016 Rutgers 448.6 439.4 UMDNJ 296.0 293.9 0.0 0.0 0.0 Total 744.6 733.3 597.7 584.4 575.2 Research and Sponsored Grants and Contracts per Bond Report (not audited) 2012 2013 2014 2015 2016 Federal 237.8 221.8 272.1 303.2 335.5 State of New Jersey 57.5 35.5 130.0 177.8 148.9 Corporate 19.3 19.8 23.8 31.0 39.7 Foundation/Other 82.6 84.3 91.8 100.5 113.8 TOTAL 397.2 361.4 517.7 612.5 637.9
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Sponsored Research Expense 2012 2013 2014 2015 2016 Sponsored Research 222.0 228.9 358.2 355.8 348.1 Separately Budgeted Research 74.3 84.7 76.5 95.8 101.7 Other Sponsored Programs 88.8 82.9 88.0 206.8 196.7 Total 385.1 396.5 522.7 658.3 646.4 UMDNJ 169.0 159.6 Total 554.1 556.2 522.7 658.3 646.4
Up to 2013, RU + UMDNJ Combined
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300 400 500 600 700 800 900 1,000 2008 2009 2010 2011 2012 2013 2014 2015 2016 State Operating Appropriation Tuition and Fee Revenue
Source: Bond Report and RU Today for 2018
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0% 1% 2% 3% 4% 5% 6% 7% 8% 9% $5,000 $7,000 $9,000 $11,000 $13,000 $15,000 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018
Rutgers Press Release, 10/31/2017 Announcing the 1.85% Tuition Increase
65
“Tuition increases at Rutgers, with a $4.39 billion budget in 2017-2018, are driven by increasing expenditures, primarily personnel salaries, and moderated by any increased appropriations in the annual state budget.”
66
New Brunswick Camden Newark Tuition and Fees $14,638 $14,501 $14,085 Room and Board $12,452 $12,093 $13,264 Total $27,090 $26,594 $27,349
$14,638 $14,501 $14,085
$12,452 $12,093 $13,264
$0 $5,000 $10,000 $15,000 $20,000 $25,000 $30,000
New Brunswick Camden Newark Tuition and Fees Room and Board
Source: RU Bond Report
67
$64,261 $60,622 $39,661 $37,791 $27,059 $16,536
$0 $10,000 $20,000 $30,000 $40,000 $50,000 $60,000 $70,000
NJ Dental Non-Res NJ Med/RWJMS Non-Res NJ Dental Resident NJ Med/RWJMS Resident UG Non- Resident Grad Resident
(Excludes Nebraska and Northwestern)
68
UG Resident Tuition and Fees Room and Board Non-Resident Tuition and Fees
Penn State $18,436 $11,280 $33,664 Illinois $15,868 $11,308 $31,988 Michigan $14,826 $11,198 $47,476 Rutgers $14,638 $12,452 $30,059 Michigan State $14,460 $9,976 $39,405 Minnesota $14,417 $9,852 $26,603 Ohio State $10,591 $12,252 $29,659 Indiana $10,533 $10,258 $34,845 Wisconsin $10,533 $10,842 $34,782 Maryland $10,399 $12,082 $33,606 Purdue $10,002 $10,030 $28,804 Iowa $8,575 $10,108 $28,813 Peer Average $12,604 $10,835 $33,604 Rutgers vs. Peer Average in $$ $2,034 $1,617 ($3,545) Rutgers vs. Peer Average in % 16.1% 14.9%
Rutgers Rank (of 12) 4 1 8
Percentage Changes in Tuition and Fees, 2016 to 2018 Big Ten Peer Average = +3.9%
69
7.0% 6.6% 5.8% 5.5% 5.4% 5.3% 4.5% 3.6% 1.4% 1.1% 0.1% 0.0%
0% 1% 2% 3% 4% 5% 6% 7% 8%
Source: Audited Financial Statements
70 2014 2015 2016 Tuition and Fees, Gross 1,011.7 1,068.4 1,121.0 Scholarship Allowances 191.5 205.3 215.2 Tuition and Fees, Net 820.2 863.1 905.8 Discount Rate (Scholarship Allowances / Tuition and Fees Gross) 18.9% 19.2% 19.2%
Source: Bond Report, December 2016
71
2013 2014 2015 2016 2017 Total Enrollment 58,788 65,512 66,013 67,556 68,942 # Change 6,724 501 1,543 1,386 % Change 11.4% 0.8% 2.3% 2.1%
35,000 40,000 45,000 50,000 55,000 60,000 65,000 70,000 75,000 2013 2014 2015 2016 2017
Source: Bond Report, December 2016
72
5,000 10,000 15,000 20,000 25,000 30,000 35,000 40,000
2013 2014 2015 2016 2017
New Brunswick UG New Brunswick Grad/Prof Newark UG Newark Grad/Prof Camden UG Camden Grad/Prof RBHS UG RBHS Grad/Prof
2017 Enrollment Distribution by Campus and Level
Source: Bond Report, December 2016
73
49%
13% 12% 6% 7%
2% 4% 8%
New Brunswick UG New Brunswick Grad/Prof Newark UG Newark Grad/Prof Camden UG Camden Grad/Prof RBHS UG RBHS Grad/Prof
74
Change 2014 to 2017 2014 2015 2016 2017 Number Percent New Brunswick UG 31,400 32,206 33,060 33,653 2,253 7%
New Brunswick Grad/Prof
8,553 8,514 8,639 8,661 108 1% Newark UG 7,217 7,408 7,713 8,170 953 13% Newark Grad/Prof 3,995 3,906 4,007 4,151 156 4% Camden UG 4,842 4,857 4,899 5,021 179 4% Camden Grad/Prof 1,422 1,464 1,509 1,454 32 2% RBHS UG 2,501 2,338 2,424 2,515 14 1% RBHS Grad/Prof 5,582 5,320 5,305 5,317 (265)
TOTAL 65,512 66,013 67,556 68,942 3,430 5%
Changes in Tuition Price, Enrollment, and Tuition Revenue
(2017 and 2018 tuition revenue are budget amounts’ We do not have the 2017 audit – though the admin has it)
75
1% 2% 2% 2% 2% 2% 2%
5% 5% 13% 0% 2% 4% 6% 8% 10% 12% 14%
2014 to 2015 2015 to 2016 2016 to 2017 2017 to 2018
Total Enrollment Tuition and Fee Price Tuition Revenue
76
77
Postsecondary Data System of the U.S. Dept.. of Education). This data was submitted to the Feds in April of 2017, but will not be on the IPEDS website until January of 2018. We requested the data, and were denied.
number of part time employees, enrollment and class size, is not publicly available
There are some ”Fast Facts” available, but those are not significant. The most recent Fact Book behind the firewall seems to be 2015-16
78
79
80
2014 2015 2016 2014 2015 2016 Instruction 849,438 853,879 871,492 25.6% 25.5% 25.5% Patient Care Services 613,492 640,942 669,267 18.5% 19.2% 19.6% Research/Sponsored Programs 522,675 658,329 646,392 15.7% 19.7% 18.9% Auxiliary 292,991 284,349 282,701 8.8% 8.5% 8.3% General Administration 260,811 236,294 254,052 7.8% 7.1% 7.4% Plant 207,167 200,607 209,647 6.2% 6.0% 6.1% Depreciation 147,629 152,525 151,254 4.4% 4.6% 4.4% Academic Support 123,342 122,398 124,799 3.7% 3.7% 3.7% Student Services 107,332 90,717 101,834 3.2% 2.7% 3.0% Scholarships 52,517 53,986 58,316 1.6% 1.6% 1.7% Public Service 146,128 48,945 48,166 4.4% 1.5% 1.4% Other 494 784 398 0.01% 0.02% 0.01% Total Operating Expenses 3,324,016 3,343,755 3,418,318 100.0% 100.0% 100.0%
Source: Audited Financial Statements
81
In thousands of dollars 2014 2015 2016 Salaries 1,752,152 1,775,349 1,824,819 Fringe Benefits 543,132 514,457 536,735 Supplies and Services 815,680 838,553 838,059 Scholarships 65,423 62,871 67,451 Deprecation 147,629 152,525 151,254 Total Operating Expenses 3,324,016 3,343,755 3,418,318 As a % of total 2014 2015 2016 Salaries 52.7% 53.1% 53.4% Fringe Benefits 16.3% 15.4% 15.7% Supplies and Services 24.5% 25.1% 24.5% Scholarships 2.0% 1.9% 2.0% Deprecation 4.4% 4.6% 4.4% Total Operating Expenses 100.0% 100.0% 100.0% Salaries + Fringe Benefits 69.1% 68.5% 69.1%
82
53% 16% 25% 2% 4%
Salaries Fringe Benefits Supplies and Services Scholarships Deprecation
Source: Audited Financial Statements 83
Salaries Only 2014 2015 2016 Instruction 582,823 574,345 582,735 Sponsored Research 147,174 141,231 141,094 Other Research 51,287 51,066 58,535 Other Sponsored Programs 33,810 101,931 114,081 Public Service 95,991 27,771 29,647 Academic Support 72,658 70,847 70,863 Student Services 51,172 47,745 49,117 Plant 80,254 80,928 90,744 General Admin and Institutional 133,363 139,508 149,946 Scholarships 680 4,706 4,464 Patient Care 393,078 424,107 425,791 Auxiliary 109,862 111,164 107,802 TOTAL 1,752,152 1,775,349 1,824,819
Percent Change in Salary Component of Expenses, 2014 to 2016 Admin Salaries Increasing; Instruction Salaries Decreasing
84
12.4% 7.7%
0% 2% 4% 6% 8% 10% 12% 14%
Administration All Other Salaries Instruction Sponsored Research
85 0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55% 60%
Instruction Research Inst Support Hospital
Rutgers University- Camden Rutgers University- Newark Rutgers University-New Brunswick
86
Data Obtained by AAUP/AFT Per Open Records Request 87
Union Non-Union AAUP-AFT FT Faculty 3,113
Hourly Employee
2,537 AAUP-AFT PTL 2,115
Admin Assembly
2,234 AAUP-AFT TA/GA 1,665
Coadjutants
806 AAUP-AFT Postdocs 518
MPSC (Mgrl. Prof, Supervisory)
502 AAUP-AFT EOF Counselors 25
Health Care Prof Per Diem
430 Total AAUP-AFT 7,436
Faculty Administrators
340 AAUP-BHSNJ 1,223
Short term assignments
253 URA-AFT Admin 2,568
Executives and Directors
153 HPAE-AFT (Health Professionals) 2,561
Admin Confidential
151 AFSCME 2,465
Pre Post doc
145 Teamsters 97 1,700
Contract Administrators
122 CIR (Committee Interns Residents) 1,072
Faculty Ineligible
117 CWA 1031 and 1040 543
Senior Administrators
73 IUOE (Operating Engineers) 165
Sr Exec Central Admin
62 FOP 136
Other (Ineligible)
267 OPEIU 153 (Office and Prof Employees) 95
Total Non-Union Employees
8,192 NJEA 24 Inter Assoc Firefighters 15 Doctors Council 11 Total Union Employees 20,014 Total Union 20,014 Total Non-Union 8,192 Total Employees 28,206
Salaries of Union and Non-Union Employees, 2017
88
All Non-Union Employees Number Dollars Average 0 to 50% 3,347 $27,753,070 $8,292 50% to 99% 401 $12,140,973 $30,277 Full Time 4,433 $471,401,980 $106,339 TOTAL 8,181 $511,296,023 $62,498 All Union Employees Number Dollars Average 0 to 50% 2,279 $5,493,218 $2,410 50% to 99% 659 $20,026,609 $30,389 Full Time 17,087 $1,247,753,579 $73,024 TOTAL 20,025 $1,273,273,407 $63,584
89
Total PTL Salaries $17,143,320 Total Rutgers Salaries $1,784,569,431 PTL as % of Total 0.96%
$17,143,320 $1,784,569,431 $0 $200,000,000 $400,000,000 $600,000,000 $800,000,000 $1,000,000,000 $1,200,000,000 $1,400,000,000 $1,600,000,000 $1,800,000,000 $2,000,000,000
Total PTL Salaries Total Rutgers Salaries Total 2017 Salaries
90
$305,014 $284,191 $203,247 $157,861 $166,043 $121,076 $25,850 $8,106 $0 $50,000 $100,000 $150,000 $200,000 $250,000 $300,000 $350,000
Sr Exec Central Admin Faculty Admins Sr Administrators Exec Directors AAUP BHSNJ Faculty AAUP/AFT Faculty AAUP/AFT Teaching/Grad Assts AAUP/AFT PTL
Newark: Number of Full Time Instructional Employees per IPEDS and AAUP Compensation Survey
91
Newark per IPEDS 2013 2014 2015 2016 Professor 160 179 191 181 Associate 104 109 125 127 Assistant 139 118 158 142 Instructor 63 70 59 50 Lecturer 5 8 14 14 No Rank 1 Total Full Time Instructors 471 484 547 515 Tenured 227 260 275 274 Tenure-Track 132 123 120 111 Total T/TT 359 383 395 385 Non-Tenure Track 112 101 152 130 Total Full Time 471 484 547 515 Newark per AAUP SURVEY 2013 2014 2015 2016 2017 Professor 162 179 N/A 181 183 Associate 107 109 N/A 127 144 Assistant 141 118 N/A 142 150 Instructor 64 70 N/A 50 52 Lecturer 5 8 N/A 14 2 No Rank N/A 1 TOTAL 479 484 N/A 515 531
Camden: Number of Full Time Instructional Employees per IPEDS and AAUP Compensation Survey
92
Camden per IPEDS 2013 2014 2015 2016 Professor 104 103 102 103 Associate 76 71 69 73 Assistant 71 87 95 90 Instructor 20 27 31 25 Lecturer 2 3 No Rank 1 Total Full Time Instructors 273 291 297 292 Tenured 154 151 149 151 Tenure-Track 65 80 87 84 Total T/TT 219 231 236 235 Non-Tenure Track 54 60 61 57 Total Full Time 273 291 297 292 AAUP Survey Camden 2013 2014 2015 2016 2017 Professor 107 103 N/A 103 104 Associate 79 71 N/A 73 78 Assistant 74 87 N/A 90 102 Instructor 18 27 N/A 25 21 Lecturer 2 3 N/A 1 5 No Rank 1 N/A TOTAL 281 291 N/A 292 310
New Brunswick: Number of Full Time Instructional Employees per IPEDS and AAUP Compensation Survey
93
New Brunswick per IPEDS 2013 2014 2015 2016 Professor 733 791 799 823 Associate 434 513 525 529 Assistant 306 447 455 514 Instructor 167 267 250 235 Lecturer 74 77 30 34 No Rank 1 2 Total Full Time Instructors 1,714 2,095 2,060 2,137 Tenured 1,068 1,387 1,389 1,387 Tenure Track 326 410 376 366 Total T/TT 1,394 1,797 1,765 1,753 Non Tenure Track 320 1,325 1,333 1,405 Total Full Time 1,714 3,122 3,098 3,158 Does not match AAUP Survey 2013 2014 2015 2016 2017 Professor 748 1076 N/A 823 827 Associate 439 773 N/A 529 523 Assistant 311 901 N/A 514 511 Instructor 169 356 N/A 235 233 Lecturer 75 77 N/A 34 42 No Rank 4 N/A 2 TOTAL 1,742 3187 N/A 2,137 2,136
94
Change 2013 to 2016 Newark 2013 2014 2015 2016 Number Percent Part Time Teaching 326 364 396 333 7 2% Part Time Research 92 18 14 22 (70)
Grad Asst Teaching 178 186 181 170 (8)
Grad Asst Research 53 53 54 66 13
25%
Camden 2013 2014 2015 2016 Number Percent Part Time Teaching 252 286 306 345 93 37% Part Time Research 9 8 5 23 14
156%
Grad Asst Teaching 20 28 43 40 20
100%
Grad Asst Research 41 39 38 42 1
2%
New Brunswick 2013 2014 2015 2016 Number Percent Part Time Teaching 1,127 1,485 1,558 1,676 549 49% Part Time Research 701 130 183 180 (521)
Grad Asst Teaching 967 1,260 1,139 1,157 190 20% Grad Asst Research 559 513 475 471 (88)
Percentage Change in Full Time Instructors 2014 to 2016 per IPEDS: Trend towards NTT
95
5% 0% 0%
5%
29%
6%
0% 10% 20% 30% 40% Newark Camden New Brunswick
Tenured Tenure Track Non-Tenure Track
Percentage Change in Part Time Lecturers and Graduate Assistants 2014 to 2016 per IPEDS
96
29%
21%
6%
0% 5% 10% 15% 20% 25% 30% 35%
Part Time Teaching Grad Asst Teaching Grad Asst Research
Newark Camden New Brunswick
Employee Categories per IPEDS, 2016 by Campus
97
Newark Camden New Brunswick Instruction 868 637 5,695 Business and Finance Ops 184 95 1,972 Service 159 150 1,927 Office Admin support 148 103 2,019 Student/Acad Affairs 80 73 403 Research 69 29 824 Computer Eng 65 40 1,726 Community Legal Arts 58 26 757 Librarians 43 32 182 Maintenance 40 23 656 Management 32 15 370 Healthcare 12 11 2,907 All Other 102 Total FT Employees 1,758 1,234 19,540
2016 Employee Distribution per IPEDS by Campus
98
0% 10% 20% 30% 40% 50% 60%
Instruction Research Biz/Fin/Svc/Office Support Healthcare All Other
Newark Camden New Brunswick
2017 Top 25 Administrators per OPRA Document: Busch, Livingston, Off Campus
99
Job Title Department
Comp Campus RECRUITING ASSISTANT Football $1,250,000 Busch COORD OLYMPIC SPORTS OPERS Football $575,000 Busch RECRUITING ASSISTANT Football $500,000 Busch DEPT ADMIN OPTHALMOLOGY UBHC-Administration $465,000 Busch ASST COACH Football $463,500 Busch PRESIDENT SAS - Dean's Office $444,565 Busch Vice Chancellor Enrllmt Mgt-NB Intercollegiate Athletics $615,000 Livingston HEAD COACH Mens Basketball $550,000 Livingston HEAD COACH Womens Basketball $550,000 Livingston DEAN Intercollegiate Athletics $459,000 Livingston Asst Coach Strength & Cond Mens Basketball $455,000 Livingston
NJMS-Radiology $625,000 Off Campus CHAIR NJMS-Orthopaedics $463,357 Off Campus VICE PRESIDENT Institutional Planning & Ops $450,000 Off Campus
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EXEC VP STRATEGIC PLNG OPS&COO Camden Chancellor's Office $338,130 Camden DEAN Sch of Law-Cmd, Dean's Office $305,000 Camden ASST DEAN NJMS-Ophthalmology $632,131 Newark ASST DEAN NJMS-Surgery $620,217 Newark ASST DEAN
NJMS-ENT-Otolaryngology Head N
$596,307 Newark DIV CHIEF NJMS-Anesthesiology $570,933 Newark DIV CHIEF NJMS-Surgery $568,886 Newark DIV CHIEF NJMS-Medicine-Cardiology $568,300 Newark DIR NJMS-Medicine-Gastroenterology $550,572 Newark DIR NJMS-Dean's Office $532,039 Newark CHAIR NJMS-Ob/Gyn $525,000 Newark ASSOC DIR NJMS-Anesthesiology $498,735 Newark ASSC DEAN NJMS-Cell Biology & Molecular $463,849 Newark ASSOC DEAN NJMS-Anesthesiology $463,204 Newark ASST DEAN NJMS-Emergency Medicine $450,000 Newark DEAN Newark Chancellor's Office $408,565 Newark ASST PROF-PROF PRAC VICE CHAIR NJMS-Office of Education $403,637 Newark ADJ PROF - BS - DIRECTOR NJMS-Pathology $400,000 Newark
101
Job Title Department
Comp Campus PROF PRAC-DIR RWJ-Thoracic Surgery-Meb $1,239,760 College Av CLIN-DIR RWJ-Thoracic Surgery-Meb $1,132,452 College Av DIR CINJ-Surgical Neuro Oncology $976,629 College Av ASSOC DEAN CINJ-Director's Office $900,000 College Av VICE PRES Otolaryngology-HNS $825,000 College Av Prof Prac-Dir RWJ-Surgery-Acute Care Surgery $749,000 College Av CHAIR CINJ-Radiation Oncology-Admin $739,285 College Av CLIN-DIR RBHS Chancellor $716,315 College Av DEAN OF GSAPP President's Office $689,785 College Av Provost RWJ-Urology-Meb $662,766 College Av Dean RWJ-Surgery Pediatrics-Meb $658,080 College Av CLIN-DIV CHIEF RWJ-Plastic Surgery-Meb $650,000 College Av ASST DEAN RWJ-Dean's Office-Cab $628,320 College Av DIV CHIEF RWJ-Neurosurgery-Meb $566,367 College Av Prof-TE-Vice Chair RWJ-Medicine-Chairman's Office $529,100 College Av DIR CINJ-Precision Medicine $525,000 College Av DEAN CINJ-Urology Oncology $521,804 College Av VICE CHAIR RWJ-Surgery General-Meb $519,789 College Av DIV CHIEF RWJ-Medicine-Cardiology 5-Meb $516,170 College Av DIR RWJ-Ob/Gyn-MFM/Atu Spmc $513,055 College Av RAC-CHAIR RWJ-Neurology-Meb $500,000 College Av
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DIR CINJ-Radiation Oncology-Clinic $495,000 College Av DIV CHIEF RWJ-Emergency Medicine $494,329 College Av VICE CHAIR RWJ-Medicine-Chairman's Office $480,832 College Av DIR RWJ-Deans Office Research $480,000 College Av DEAN New Brunswick Chancellor $480,000 College Av SrVP/Ent,Risk,Ethics&Compl Off Exec VP Finance & Admin, Treas $480,000 College Av Vice Chair CINJ-Surgical Gastroinstestina $462,155 College Av DIR RWJ-Surgery-Acute Care Surgery $458,080 College Av VICE CHAIR RWJ-Medicine-Cardiology 5-Meb $453,648 College Av ASST DEAN BMT PROGRAM $452,489 College Av DIV CHIEF CINJ-Medical Breast Oncology $442,182 College Av DIR CINJ-Surgical Melanoma $432,852 College Av DIV CHIEF RWJ-Vascular Surgery-Meb $430,664 College Av CHAIR BMT PROGRAM $430,046 College Av DIV CHIEF RWJ-Anesthesiology-Meb $429,233 College Av DIV CHIEF RWJ-Neurology-Meb $427,685 College Av DIR RWJ-Anesthesiology-Meb $426,622 College Av EXEC DIR RWJ-Ob/Gyn-General Div-Meb $426,489 College Av DIR RWJ-Anesthesiology-Meb $422,627 College Av DIV CHIEF Surgical-Endocrine $420,000 College Av SENIOR VICE CHANCELLOR New Brunswick Chancellor $419,177 College Av ASSOC DEAN RBHS Chancellor $419,177 College Av DIR, ACCREDITATION & DOC RBHS SVC for Finance & Admin $413,559 College Av DIV CHIEF RWJ-Medicine-Pulmonary-Meb $412,919 College Av SPECIAL COUNSEL Sr VP Academic Affairs $408,303 College Av DIV CHIEF CINJ-Bertino Office $400,914 College Av VICE DEAN CINJ-Rad Onc Residency Program $400,000 College Av ASSOC DEAN RBHS Chancellor $400,000 College Av
Number of Administrators Over $250,000 in 2017
103
Category Number More than $500,000 43 $400,000 to $500,000 43 $300,000 to $400,000 75 $250,000 to $300,000 86 Total Admins Over $250,000 247
104
Title Dept. Location Salary Total Comp
Vp Health Sci Partner Cy SAS - Dean's Office Busch $435,848 $433,356 Sr Vp Chief Info Officer Office Information Technology Busch $300,000 $324,035 Vp Phy Sci Eng Ptnrs Dir Inst Adv Material Dev&Nanotech Busch $321,202 $319,365 President & Ceo Ubhc/uchc UBHC-Administration Busch $414,795 $287,135 Vp For Enrollment Management Vice President for Enrollment Busch $251,511 $285,073 Vice Pres RWJ-Biochemistry&Molecular Bio Busch $248,223 $267,594 Assoc Vp Pharm - Pharmaceutics Busch $236,742 $235,388 President & Ceo Ubhc/uchc UBHC-Administration Busch $465,000 $228,955 Assoc Vp Advanced Research Computing Busch $225,000 $188,504 Assoc Vp Enrollment Mgmt Vice President for Enrollment Busch $186,846 $185,778 Prof-te-vice Chancellor CINJ-Director's Office Busch $399,341 $168,145 Assoc Vp Enrollmt Mgmt Undergraduate Admissions Busch $168,543 $167,579 Vp Information Tech VP Chief Info Officer Busch $234,120 $95,614
105
Title Dept. Location Salary Total Comp
Chancellor Newark Chancellor'sOffice Newark $400,554 $477,924 Prof-te-provost NJMS-Medicine-Hematology Newark $335,150 $348,679 Provost & Exec Vice Chancellor Newark Chancellor'sOffice Newark $260,000 $258,513 Executive Vice Chancellor Newark Chancellor'sOffice Newark $250,000 $251,070 Assoc Vp Health SciencesIt OIT-IT Health Services Newark $234,121 $233,914 Vp Government Fiscal Affairs State Government Relations Newark $185,000 $184,836 Vp State Govt Affairs & Policy State Government Relations Newark $184,657 $184,494 Asst Vp Info Svcs-dir Hsci Lib EVPAA-GF Smith Library Nwk Newark $181,339 $181,179 Asst Vp State & Loc Govt Affrs State Government Relations Newark $170,562 $169,755 Asst Vice Chanclr Development Development Newark $156,000 $155,108 Asst Vice Chanc Acad&stud Aff RBHS - REGISTRAR Newark $150,000 $149,867 Chancellor Camden Chancellor'sOffice Camden $331,500 $360,103 Provost Camden Chancellor'sOffice Camden $265,489 $263,971 Sr Vp Human Resources&org Eff HR & Org Effectiveness Cook $290,700 $319,271 Assoc Vp Economic Developmt SEBS-NJ Agr Experiment Station Cook $182,484 $185,765 Exec Vp Strategic Plng Ops&coo VP Facilities&Capital Planning Off Campus $400,000 $370,498 Sr Vp Research & Economic Devt Sr VP ORED Off Campus $364,140 $362,058 Vp Finance & Assoc Treasurer Treasury Off Campus $247,500 $257,507 Assoc Vp Translational Science Rutgers Translational Sciences Off Campus $228,471 $227,164 Assoc Vice Chancel Facilities VP Facilities&Capital Planning Off Campus $128,804 $128,067 Asst Vp-budget & Admin Budget & Administration Off Campus $180,559 $44,106
106
Title Dept. Location Salary Total Comp
President President's Office College Av $676,260 $901,775 Prof-clin-sr Vice Chanc RWJ-Surgery-Acute Care Surgery College Av $736,000 $833,062 University Prof-chancellor RBHS Chancellor College Av $702,270 $833,035 Prof-te-vice Chancellor CINJ-Radiation Oncology-Admin College Av $710,431 $726,275 Sv Chanc For Fin & Admin Rbhs RBHS SVC for Finance & Admin College Av $405,450 $483,822 Executive Vp Finance & Admin Exec VP Finance & Admin, Treas College Av $430,000 $470,541 Chancellor Rutgers New Bruns New Brunswick Chancellor College Av $410,958 $451,759 Prof-clin-vice Chanc RBHS Chancellor College Av $410,958 $431,143 Pres Ru Found/vp Dev&almn Rels Rutgers University Foundation College Av $384,948 $401,994 Prof-te-vice Chancellor SVC Clinical & Translational R College Av $375,000 $396,591 Prof-te-provost RWJ-Medicine-General Internal- College Av $335,000 $357,051 Sr Vp Academic Affairs Sr VP Academic Affairs College Av $300,000 $331,585 Sr Vp And General Counsel General Counsel College Av $395,000 $329,270 Senior Vp External Affairs Sr VP External Affairs College Av $328,312 $328,042 Provost New Brunswick Chancellor College Av $302,080 $300,353 Vp Academic Aff & Admin Sr VP Academic Affairs College Av $284,964 $283,335 Vp Inst Diversity & Inclusion Offic Inst Diversity Inclusion College Av $253,262 $281,259 Assoc Vp & Dpty Genl Counsel General Counsel College Av $260,100 $258,613 Vice Chancellor Student Affrs SA-Student Affairs, VP College Av $256,500 $255,033 Vp For University Budgeting University Budgeting College Av $248,430 $247,009 Assistant Vice Chancellor Rutgers Health Services College Av $246,505 $245,095 Vp Ru Foundation Rutgers University Foundation College Av $244,494 $243,096 Assoc Vp Gen Counsel Ops General Counsel College Av $223,686 $239,261 Vp Info Svcs & U Librarian University Librarian College Av $240,000 $238,628 Vp International & Global Affr GAIA Centers College Av $235,000 $223,413 Assoc Vp & Sr Labor Counsel General Counsel College Av $223,686 $222,407
107
athletics at Rutgers–New Brunswick.
reducing support for athletics from the University’s operating budget.
2021, when Rutgers will become a full equity partner of the Big Ten conference. Executive Vice President Mike Gower and Athletic Director Pat Hobbs understand this expectation and have finalized a four-year financial roadmap for Division I Athletics that will help
responsible and strategic spending.
distributions in FY16-17 recently confirmed in the national press, with the New Brunswick Faculty Council later this fall.
108
Athletic Revenues, Expenses, and Deficit: Averaging a $28.6 MILLION Deficit in 2016
109
$0 $20,000,000 $40,000,000 $60,000,000 $80,000,000 $100,000,000
Athletic Expenses Athletic Revenues Athletic Deficit
2016 Athletic Expense Breakdown per USA Today Total Expenses = $84 Million
110
COACHING / STAFF $22,779,171 SCHOLARSHIPS $12,898,975 FACILITIES / OVERHEAD $13,256,017 OTHER $35,039,996 TOTAL EXPENSES $83,974,159
27% 15% 16% 42%
COACHING / STAFF SCHOLARSHIPS FACILITIES / OVERHEAD OTHER
Another Breakdown of 2016 Athletic Expenses Total Expenses = $79 Million
Equity in Athletics Database (US Dept.. of Education) 111
Football $25,236,282 Men's Basketball $6,147,089 Women's Basketball $4,420,669 All Other Men's Sports $6,320,895 All Other Women's Sports $11,715,032 Admin/Other $25,005,927 Total Expenses $78,845,894
32%
8% 5% 8% 15%
32%
Football Men's Basketball Women's Basketball All Other Men's Sports All Other Women's Sports Admin/Other
2013 to 2016 Revenue Breakdown per USA Today
112
$0 $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 $60,000,000 $70,000,000 $80,000,000 $90,000,000 Contributions Rights Fees Ticket Sales Other Total Expenses
2013 2014 2015 2016
Rights fees and revenues: Not Keeping Up With Expenses
113
$0 $2,000,000 $4,000,000 $6,000,000 $8,000,000 $10,000,000 $12,000,000 $14,000,000 $16,000,000
2013 to 2016 2015 to 2016
Rights Fees Ticket Sales Contributions Total Expenses
The Athletic Subsidy: Students and The Core Mission Prop Up Athletics
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Year Student Fee School Funds $$ Subsidy Total Athletic Expenses % Subsidy (% of Expenses subsidized) 2005 $5,314,905 $14,567,049 $19,881,954 $37,997,629 52% 2006 $5,807,996 $14,384,303 $20,192,299 $41,824,257 48% 2007 $6,447,790 $13,849,266 $20,297,056 $44,819,848 45% 2008 $6,980,728 $15,256,553 $22,237,281 $51,748,813 43% 2009 $7,794,629 $17,937,921 $25,732,550 $58,354,222 44% 2010 $8,441,092 $18,426,587 $26,867,679 $64,203,255 42% 2011 $9,032,350 $19,443,173 $28,475,523 $60,190,100 47% 2012 $9,518,734 $18,477,322 $27,996,056 $64,038,720 44% 2013 $9,877,989 $37,118,708 $46,996,697 $78,989,475 59% 2014 $10,323,090 $26,017,575 $36,340,665 $76,656,339 47% 2015 $10,863,906 $12,939,997 $23,803,903 $70,558,935 34% 2016 $11,421,897 $17,188,776 $28,610,673 $83,974,159 34%
2016 Top 15 Dollar Subsidizers: Rutgers Has the 5th Largest Athletic Deficit in the County
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SCHOOL CONFERENCE TOTAL EXPENSES
Total Dollar Subsidy
James Madison CAA $47,442,648 $38,123,416 Connecticut AAC $79,211,704 $35,270,821 Massachusetts A-10 $42,792,280 $34,255,086 Old Dominion C-USA $43,998,223 $28,745,710 Rutgers Big Ten $83,974,159 $28,610,673 Delaware CAA $34,309,705 $28,054,846 Central Florida AAC $59,379,453 $26,838,366 Stony Brook Am East $30,968,765 $26,807,295 San Diego State
$55,285,535 $26,282,799 California-Davis Big West $31,837,452 $25,952,269 Houston AAC $52,204,566 $25,155,485 Texas State Sun Belt $31,268,882 $25,052,143 Cincinnati AAC $57,977,434 $24,892,123 Buffalo MAC $34,219,719 $24,811,219 Eastern Michigan MAC $30,212,703 $24,307,633
Percent of Athletic Expenses Supported By the Core Academic Mission: Rutgers vs. Big Ten
2016 Data per USA Today
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0% 5% 10% 15% 20% 25% 30% 35% 40%
$0 $5,000,000 $10,000,000 $15,000,000 $20,000,000 $25,000,000 $30,000,000 $35,000,000
$$ Subsidy % Subsidy
These institutions do not use any subsidy from students or the academic side to support athletics