financial analysis and collective action for hbcu’s …...financial analysis and collective action...

FinancialAnalysisandCollectiveActionforHBCU’sandHigher

EducationInstitutionsinGeorgia

HowardBunsisProfessorofAccounting,EasternMichiganUniversity

Chair,AAUPCollectiveBargainingCongressOctober2016

1

Roadmap• HowistheStatedoingfinancially?• CanwejudgewhetherGeorgiasupportspublichighereducation?

• WhatDatashouldyouaskforandacquiretobecomebetterinformedaboutfinancialmattersatyourinstitution?

• ExaminingStateHBCUs,ComparedtoOtherInstitutionsinGAo FinancialSituationoWherethemoneycomesfromo Howisthemoneyspent?

• ImportanceofHBCU’s• HowCanWeActCollectivelytomakeourinstitutions,state,andcountrybetter?

2

3

TheStateofGeorgiaHowisthestatedoing

financially?

StateGeneralFundTaxRevenues,2007to2017,inBillionsSource:GeorgiaDepartmentofRevenue

4

0

5

10

15

20

25

OtherTaxes/Fees

VehicleTax/Fees

CorporateTax

Sales

IndividualIncome

AnnualPercentageChangesinTotalGeneralFundTaxes

5

-1.0%

-10.5%-9.1%

7.8%

4.8% 5.9% 5.2%6.4%

9.4%

3.6%

-12%-10%-8%-6%-4%-2%0%2%4%6%8%

10%12%

2007to

2008

2008to

2009

2009to

2010

2010to

2011

2011to

2012

2012to

2013

2013to

2014

2014to

2015

2015to

2016

2016to

2017

ComparisonofGATaxRateswithBorderingStatesSource:TaxFoundation,2016

6

• Incometaxisthehighestpersonalincometaxrate;FLhasnostateincometax;TNhasataxoninterestanddividendsonly

• Salestaxistheaveragestatepluslocalrate

0%1%2%3%4%5%6%7%8%9%10%

Income Sales Corporate

SC GA NC AL FL TN

StateandNationalUnemploymentRatesSource:BureauofLaborStatistics

7

0%1%2%3%4%5%6%7%8%9%10%11%

1980

1983

1986

1989

1992

1995

1998

2001

2004

2007

2010

2013

2016

Georgia National

Moody’sBondRating:Aaa on7/15/2016• Georgia'sAaa GeneralObligationratingreflectsitsrobusteconomy-- whichremainsaregionaloutperformer- solidtaxrevenuetrends,conservativefiscalmanagement,andmoderatedebtandpensionliabilities.• TheoutlookforGeorgiaisstablebasedonthestate'sconservativefiscalmanagement,thecurrentstrongtrendsinrevenuegrowth,andmanageablelong-termliabilities.• Georgiaisthe8th-largeststate,withapopulationof10.2million.Ithadagrossdomesticproductof$474.7billionin2014,whichranks10thintheUS,andpercapitapersonalincomeof$40,551.• GeorgiahashadaAAAS&Pbondratingeveryyearsinceatleast2004

8

StateS&PBondRatings,2016Source:PewCharitableTrust,6/6/2016

9

AAA AA+ AA AA- A+ A A-AK ID AL CA KY NJ ILDE MA AZ MIFL MN AR PAGA NM COIN NY CTIA OH HIMD OK KSMO OR LANE SC MENC TN MSND VT MTSD WA NVTX NHUT RIVA WVWY WI

2016HigherEducationAppropriationPerCapitaSource:Grapevine

10

0

100

200

300

400

500

600

700

800

Wyoming

NorthDa

kota

Alaska

NewM

exico

Hawaii

Nebraska

Illinois

NorthCarolin

aMississippi

California

Conn

ectic

utArkansas

Utah

Alabam

aMaryland

Georgia

NewYork

Minne

sota

Kansas

Iowa

Texas

Indiana

Kentucky

WestV

irginia

Oklaho

ma

SouthDa

kota

Wisc

onsin

Louisia

naIdaho

Tenn

essee

Washington

Delaware

Mon

tana

NewJe

rsey

Virginia

Massachusetts

Florida

Maine

SouthCarolin

aOregon

Ohio

Nevada

Michigan

Missou

riRh

odeIsland

Colorado

Verm

ont

Penn

sylvania

Arizo

naNe

wHam

pshire

2016StateAppropriaitonperCapitaperGrapevine

2015 2016GA $288 $295USAverage $270 $278GARank(of50) 16 15

2015-16InStateTuitionandFeesbyStateSource:CollegeBoard

11

$0$1,000$2,000$3,000$4,000$5,000$6,000$7,000$8,000$9,000$10,000$11,000$12,000$13,000$14,000$15,000$16,000

NH VT PA NJIL MI

SC VA DE MA

CT RI MN

AZ WA

OH HI AL CO ME

KY ORCA TN MD

IN TX WI

MO

KS GASD IA AR LA ND NYNE OK WV

MS

NCID NVAK FL UT MT

NM WY

Georiga $8,450USMean $9,410GARank 31

2016AppropriationandIn-StateTuitionforGeorgiavs.BorderStates:

Lowertheappropriation,higherthetuition

12

$0

$100

$200

$300

$400

$500

$0$2,000$4,000$6,000$8,000$10,000$12,000$14,000

NC AL GA TN FL SC

In-StateTuition PerCapitaAppropriation

• Correlationbetweentuitionandtheappropriationforthese6states=-0.37• Correlationforall50states=-0.52

CollegeAttainment:PercentofAdultsWithaBachelor’sDegreeorHigherSource:USCensusBureau

13

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Massachusetts

Colorado

Maryland

Conn

ecticut

New

Jersey

Virginia

New

Ham

pshire

Vermon

tNew

York

Minne

sota

Washington

Illinois

California

Kansas

Utah

Haw

aii

Delaw

are

Oregon

Rhod

eIsland

Neb

raska

Maine

Mon

tana

Geo

rgia

Penn

sylvania

NorthCarolina

Wisconsin

Alaska

SouthDakota

Texas

Iowa

Arizona

Missouri

Michigan

NorthDakota

Florida

Ohio

Wyoming

New

Mexico

SouthCarolin

aTenn

essee

Idaho

Indiana

Oklahom

aAlabama

Nevada

Louisiana

Kentucky

Arkansas

Mississippi

WestV

irginia

Georgiarank:23rd highestGeorgia:29%U.S.Average:28%

14

TheStateofGeorgia• Isthestatecommittedtopublichighereducation?• IsthestatecommittedtopublicHBCU’sinGeorgia?

StateAppropriationtoalloftheUniversitySystemofGeorgia(USG)inBillionsSource:http://www.usg.edu/fiscal_affairs/financial_reporting

15

1.81 1.70 1.74 1.88 1.94 2.02 2.09

0.00

0.50

1.00

1.50

2.00

2.50

2011 2012 2013 2014 2015 2016 2017

SameGraph,DifferentScale

16

1.81

1.701.74

1.881.94

2.022.09

1.60

1.70

1.80

1.90

2.00

2.10

2.20

2011 2012 2013 2014 2015 2016 2017

AnnualPercentageChangesinAppropriationandTotalStateTaxRevenues

17

-6%-4%-2%0%2%4%6%8%10%

2011to2012

2012to2013

2013to2014

2014to2015

2015to2016

2016to2017

%ChangeAppropriation %Changetaxrevenues

2011to2017PercentageChangesinStateAppropriationtoUSGandStateTaxRevenues

18

16%

41%

0%

10%

20%

30%

40%

50%

%ChangeAppropriation

%Changetaxrevenues

StateAppropriationtoUSGasaPercentageofTotalStateTaxRevenueSource:http://www.usg.edu/fiscal_affairs/financial_reporting

19

InBillions 2011 2012 2013 2014 2015 2016 2017USGAppropriation 1.81 1.70 1.74 1.88 1.94 2.02 2.09TotalTaxRevenues 15.31 16.05 17.00 17.88 19.03 20.81 21.56%ofTaxRevenues 11.8% 10.6% 10.3% 10.5% 10.2% 9.7% 9.7%

8%9%10%11%12%13%14%15%16%

2011 2012 2013 2014 2015 2016 2017

PerStudentAppropriationtotheUniversitySystemofGeorgia(USG)

Source:http://www.usg.edu/research/enrollment_reports 20

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016USGAppropriaitoninBillions 1.86 2.03 2.02 1.69 1.81 1.70 1.74 1.88 1.94 2.02HCEnrollmentUSG 259,945 270,022 282,978 301,892 311,442 318,027 314,365 309,469 312,936 318,164

AppropriaitonperStudent $7,164 $7,536 $7,139 $5,608 $5,803 $5,351 $5,549 $6,077 $6,208 $6,338

$4,000

$4,500

$5,000

$5,500

$6,000

$6,500

$7,000

$7,500

$8,000

2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

AppropriaitonperStudent

BasicSetupofHigherEducationInstitutionsinGeorgia• UniversitySystemofGeorgia(USG)• TechnicalCollegeSystemofGeorgia(TCSG)• IndependentPublicInstitution(GAMilitary)• PrivateCollegesandUniversities• WheredoHBCUsFitinGeorgia?

o3arepartofUSGo4areprivateinstitutions

21

InstitutionsAnalyzed

22

HBCUGeorgiaPublic

GeorgiaPublicNonHBCU

HBCUGeorgiaPrivate

GeorgiaPrivatenonHBCU

SavannahState Augusta Morehouse Emory

FortValleyState ClaytonState Spelman Mercer

AlbanyState ColumbusState ClarkAtlanta Wesleyan

GeorgiaCollege Paine AgnesScott

GeorgiaTech GeorgiaPerimeter

GeorgiaState YoungHarris

KennesawState SavannahCArt&Design

UofWestGeorgia BerryCollege

ValdostaState Oglethorpe

UofGeorgia

ConsolidationsintheUniversityofGeorgiaSystem

23

GeorgiaStateUniversity AugustStateUniversitymergeswith mergeswithGeorgiaPerimeterCollege GeorgiaHealthSciencesUniversityandbecomes andbecomesGeorgiaStateUniversity GeorgiaRegentsUniversity

In2015,changesnameto:AugustaUniversity

KennesawStateUniversitymergeswithSouthernPolytechnicStateUniversityandbecomesKennesawStateUniversity

2016EnrollmentandRacialCompositionofPublicHBCU’sandOtherGAPublics

Sources:http://www.usg.edu/research/enrollment_reports andhttp://www.chronicle.com/section/Facts-Figures/58/ 24

%Black %Hispanic Combined Enrollment2015State

AppropriationAppropriationperStudent

FortValleyState 94.1% 1.2% 95.3% 2,594 23,309,344 $8,986

SavannahState 87.2% 2.5% 89.7% 4,915 19,458,854 $3,959

AlbanyState 88.2% 1.1% 89.3% 3,910 19,326,043 $4,943

ClaytonState 61.3% 2.5% 63.8% 7,022 24,192,783 $3,445

GeorgiaState 41.2% 8.4% 49.6% 53,927 239,977,179 $4,450

StateofGeorgia 31.7% 9.4% 41.1%ColumbusState 35.7% 5.3% 41.0% 8,192 33,300,304 $4,065

UofWestGeorgia 35.1% 4.1% 39.2% 12,206 48,167,093 $3,946

ValdostaState 33.4% 4.2% 37.6% 11,563 49,347,815 $4,268

Augusta 21.1% 5.0% 26.1% 8,530 187,452,806 $21,976

KennesawState 18.8% 7.2% 26.0% 32,500 107,782,189 $3,316

UofGeorgia 8.0% 4.7% 12.7% 35,197 400,083,488 $11,367

GeorgiaCollege 7.5% 4.9% 12.4% 6,772 29,636,189 $4,376

GeorgiaTech 5.6% 5.6% 11.2% 23,108 227,216,008 $9,833

GeorgiaPublics:EnrollmentandMinorityPercentageGraphically

25

0%10%20%30%40%50%60%70%80%90%100%

05,00010,00015,00020,00025,00030,00035,00040,00045,00050,00055,00060,000

Enrollment %Black+Hispanic

CorrelationsforGeorgiaPublics

26

-0.56-0.42

-0.27

0.74

-1.00-0.75-0.50-0.250.000.250.500.751.00

Minority%andAppropriation

Minority%andEnrollment

Minority%andPerStudentAppropriation

AppropriationandEnrollment

2015AppropriationtoGeorgiaPublicsSource:http://www.usg.edu/fiscal_affairs/financial_reporting

27

025,000,00050,000,00075,000,000100,000,000125,000,000150,000,000175,000,000200,000,000225,000,000250,000,000275,000,000300,000,000325,000,000350,000,000375,000,000400,000,000425,000,000

2015StateAppropriationperStudent

28

02,0004,0006,0008,00010,00012,00014,00016,00018,00020,00022,000

HBCUAverage $5,438NonHBCUAverage $6,769NonHBCUMedian $4,322

RacialDataandEnrollmentofGeorgiaPrivateInstitutions

29Sources:http://www.usg.edu/research/enrollment_reportsandhttp://www.chronicle.com/section/Facts-Figures/58/

%Black %Hispanic Combined Enrollment Endowment

Morehouse 94.3% 0.6% 94.9% 2,109 $137,985,811

Paine 88.9% 1.7% 90.6% 848 $9,329,221

Spelman 86.9% 0.3% 87.2% 2,135 $367,036,697

ClarkAtlanta 84.1% 0.4% 84.5% 3,485 $66,719,772

AgnesScott 33.0% 8.9% 41.9% 873 $272,331,405

Wesleyan 31.9% 4.4% 36.3% 711 $63,251,978

Mercer 29.8% 3.9% 33.7% 8,552 $256,919,032

Oglethorpe 18.5% 10.3% 28.8% 1,094 $19,664,387

SavannahCArt&Design 11.2% 7.6% 18.8% 11,347 $18,629,324

Emory 10.0% 5.9% 15.9% 14,769 $6,981,307,921

BerryCollege 4.3% 6.2% 10.5% 2,177 $925,698,267

YoungHarris 6.2% 4.0% 10.2% 1,218 $117,372,377

GeorgiaPrivates:EnrollmentandMinorityPercentageGraphically

30

0%10%20%30%40%50%60%70%80%90%100%

0

2,000

4,000

6,000

8,000

10,000

12,000

14,000

16,000

Enrollment %Black+Hispanic

Correlations:PrivateInstitutionsinGeorgia

31

-0.37 -0.32

0.69

-1.00-0.80-0.60-0.40-0.200.000.200.400.600.801.00

Minority%andenrollment

Minority%andendowment

EndowmentandEnrollment

ChangesinAppropriation:2011to2015and2015to2017

32

-10%

-5%

0%

5%

10%

15%

20%

25%

%ChangeinAppropriation2011to2015

%ChangeinBudgetAppropriation2015to2017

GeorgiaState -0.4% 8.3%2011to2015 2015to2017

HBCUAvg 8.2% 8.7%Non-HBCUAvg 5.6% 9.6%

ChangesinEnrollmentandPerStudentAppropriation,2011to2016

33

-12%

3%

25%

6%

-30%

-20%

-10%

0%

10%

20%

30%

40%

50%

SSU

HBCUTotal

AlbanyState

FVSU

GeorgiaTech

Kennesaw

WestGeorgia

Clayton

UofGeorgia

NonHBCU

Total

GeorgiaCollege

Columbus

GeorgiaState

Valdosta

Augusta

%ChangeinEnrollment %ChangeinAppropriationperStudent

34

FinancialAnalysisofHBCUsandOtherInstitutionsin

Georgia

DataNeededandWheretoGetIt

35

Item Description WhereDoYouFindtheInfo?

AuditedFinancialStatements

Reportassets,liabilities,netassets;revenues,expenses;cashflows,allaffirmedbyanoutside,independentauditor;whatactuallyhappened

Universitywebsite;bondwebsite(emma.org);asktheadministration

IRS990

Forprivateuniversitiesonly:Reportsfinancialinformationatagenerallevel;numberofcontractors;revenuesandexpensesatbroadlevel;salariesoftopadministrators

www.guidestar.org;butonly2014maybeavailablenow;asktheadministration

IPEDSfinancesubmissionfor2015

IPEDS=IntegratedPostsecondaryEducationDataSystemoftheU.S.Dept.ofEducation;thefinancesubmissiontellsusthecashspentonsalariesandbenefits

Allyearsupto2014areavailableontheIPEDSsite;2015willnotbepubliclyavailable

until2017,buttheadmincreatedandsubmittedthistothefedsinAprilof2016

IPEDSHumanResourcesubmissionfor2015-16

Informationonthenumberoffaculty,numberofemployees,breakingdownfacultybytenurestatus,parttime;salariesoffacultyandnon-instructionalpersonnel

Allyearsupto2014areavailableontheIPEDSsite;2015willnotbepubliclyavailable

until2017,buttheadmincreatedandsubmittedthistothefedsinAprilof2016

CommonDataSet

Dataonenrollment,admissions,degreesconferred,graduationrates,retentionrate,numberoffulltimeandparttimefaculty,classsize

Mostprivateandpublicuniversitieshavethesepubliclyavailableontheinstitutional

researchwebsite

Budgetfor2016-17andprioryears

Reportsfuturerevenuesandexpenditures;italwaysbalances(revenuesexactlyequalsexpenditures);notauditedbyanoutsideparty;theadmincanincludeorexcluderevenuesorexpensesastheylike

Thisishitandmiss;someinstitutionsputsomesortofbudgetontheirwebsite;but

watchoutforbudgetsthatareGeneralFundonly- theydonotincludeallrevenuesand

expenditures

ComparisonofDataSources

36

Auditedfinancialstatementsarecertifiedbyanindependentoutsideauditor,usingstandardaccountingrulesandprinciples

Bondratingsaredeterminedbyexaminingnumerousstandardratiosfromauditedfinancialstatements,aswellasotherdatasuchasenrollment,applications.Thisisalldonebyanoutside,independentparty.

Budgetsarecreatedbyuniversityadministrators,arenotrequiredtobeauditedorreviewedbyanoutsideparty,andbudgetsarenotsubjecttostandardaccountingrulesandprinciples.

AuditedFinancialsforUSGInstitutions• http://www.usg.edu/fiscal_affairs/financial_reporting• Picturesonthefirstfewpages• Officialletters– noticetheFebruarydate• ManagementDiscussionandAnalysis(MD&A)

oReservesonpage12/18andpensionissueoPiechartofrevenue(page14/20)o Expensedistributiononpage15/21

• System-widefinancialstatements,pate21/27o StatementofNetPosition(BalanceSheet)o StatementofRevenues,Expenses,andChangeinNetPosition(IncomeStatement)

o StatementofCashFlows

37

IndividualInstitutionDataintheUSGAuditedFinancialStatements• StartswithSupplementalInformation,page87/93• Assets,Liabilities,NetPositionpages88-90/94-96• Revenuebreakdownonpages92-93/98-99• Differencebetweenrevenuesandexpenses:page94/100• Verylittleindividualexpensedata– wewillneedIPEDSforthat• Thelast20pagesofthereportareforthefoundationsandaffiliatedorganizations

38

DataforWesleyanCollege• AuditedstatementsarenotontheCollege’swebsite;noristhereanybudgetdataofanysignificance• TheIRS990for2015isonwww.guidestar.org

o TopSalariesonpage7oRevenuesonpage9o Expensesonpage10oBalancesheetonpage11o Endowmentonpage22

39

40

RevenueDistribution:

Publics:USGAuditedStatementsorIPEDS

Privates:AuditedFinancialsorIPEDS(NotIRS990)

2015RevenueDistributionofGAPublicsSource:USGAuditedStatements

41

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

100%

Other

StateAppropriation

Grants&Contracts

Auxiliaries

Tuition&Fees,Net

2015RevenueDistribution:AllHBCUsandNon-HBCUs

42

0%

5%

10%

15%

20%

25%

30%

35%

40%

Tuition&Fees,Net

Auxiliaries Grants&Contracts

StateAppropriation

Other

HBCU Non-HBCU

UndergraduateIn-StateTuitionandMandatoryFees

Source:http://www.usg.edu/fiscal_affairs/tuition_and_fees 43

$0

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000HBCUAverage=$6,547NonHBCUAverage=$9,011

DiscountRateAppliedtoTuitionandFeesSource:IPEDS

44

0%

10%

20%

30%

40%

50%

60%HBCUAverage=43%NonHBCUAverage=19%

Publics:%ofStudentsReceivingPellGrantsSource:IPEDS

45

0%10%20%30%40%50%60%70%80%90%

HBCUAverage=74%NonHBCUAverage=40%

2016PrivateUniversityTuitionandFeesSource:IPEDS

46

$0

$5,000

$10,000

$15,000

$20,000

$25,000

$30,000

$35,000

$40,000

$45,000

$50,000

HBCUAverage=$22,325NonHBCUAverage=$33,384

PrivateUniversityPellRateperIPEDS

47

0%10%20%30%40%50%60%70%80%90%

HBCUAverage=63%NonHBCUAverage=34%

48

ExpenseAnalysis:IstheAdministrationCommittedtotheCoreAcademicMission

2015ExpenseDistributionforallofUSGSource:USGAuditedFinancialStatements;HospitalcostsofGSUtakenout

49

26%

17%

5%8%5%

15%

10%

4%

11%Instruction

Research

PublicService

AcademicSupport

StudentServices

InstitutionalSupport

Plant

Scholarships

Auxiliary

ExpenseCategoryDefinitions

50

Instruction Salaries.of.those.who.teach;.academic.admins.are.out

Academic.Support Deans.and.Libraries;.Advising

Auxiliaries Housing,.dining,.bookstore,.parking,.athletics

Institutional.Support Upper.level.administration

Scholarships/Student.Aid Direct.aid.to.students

Plant Buildings.and.grounds

Student.Services Admissions;.student.orgs

Research Includes.external.grants.and.internal.spending

Depreciation Estimated.decline.in.value.of.buildings

Public.Service Conferences.and.institutes

Publics:InstructionandResearchExpensesas%ofTotalExpensesperIPEDS,2014

51

Institution Instruction% Research% CombinedGeorgiaTech 21.8% 53.3% 75.1%GeorgiaState 35.8% 20.2% 56.0%UofGeorgia 23.8% 28.4% 52.2%Augusta 38.5% 11.6% 50.1%Columbus 43.7% 0.1% 43.8%Kennesaw 39.7% 0.4% 40.1%WestGeorgia 39.0% 1.0% 40.0%Albany 36.1% 2.7% 38.8%Valdosta 37.4% 0.2% 37.6%Clayton 36.8% 0.1% 36.9%GeorgiaCollege 34.1% 0.5% 34.6%FVSU 20.8% 8.6% 29.5%SSU 24.0% 1.6% 25.6%

Non-HBCUAverage 35.1% 11.6% 46.6%HBCUAverage 27.0% 4.3% 31.3%

InstitutionalSupportasa%ofTotalExpenses

52

PublicInstitution InstSupport% PrivateInstitution InstSupport%Albany 18.5% Spelman 26.7%Augusta 17.1% PaineCollege 25.2%FVSU 16.6% ClarkAtlanta 24.6%Valdosta 13.0% Morehouse 24.1%Columbus 12.8% SCAD 22.6%Kennesaw 11.7% Berry 19.6%WestGeorgia 11.7% AgnesScott 19.3%GeorgiaCollege 11.5% Wesleyan 18.7%SSU 11.4% YoungHarris 17.3%Clayton 11.4% Emory 11.2%UofGeorgia 6.3% Oglethorpe 10.2%GeorgiaState 6.2% Mercer 9.6%GeorgiaTech 5.8%

HBCUAverage 15.5% HBCUAverage 25.2%NonHBCUAverage 10.7% NonHBCUAverage 16.1%

HBCUInstitutionalSupportDollarsAboveAverage:ExtraDollarsSpentonUpper-LevelAdministration

53

HBCUSavingsifAdmin

CostsWereAverageAlbany $5,317,264FVSU $4,166,296SSU $627,154

Spelman $9,160,829ClarkAtlanta $7,310,316Morehouse $7,015,190Paine $2,224,618

InstructionSalariesandBenefitsinContextforPublicsperIPEDS

54

InstitutionName

InstructionandResearchSalaries+Benefitsas%of

TotalExpenses

InstructionandResearchSalaries+Benefitsas%ofTotalSalaries &Benefits

GeorgiaTech 45.4% 75.3%GeorgiaState 39.7% 65.3%UofGeorgia 36.1% 53.8%Augusta 35.1% 50.3%Kennesaw 31.6% 53.7%Columbus 31.3% 55.3%Albany 29.6% 50.5%Valdosta 28.9% 52.9%Clayton 28.3% 47.8%WestGeorgia 28.0% 51.1%GeorgiaCollege 24.2% 47.9%FVSU 23.1% 41.4%SSU 19.0% 42.1%

HBCUAverage 23.9% 44.7%NonHBCUAverage 32.8% 55.4%

InstructionSalariesandBenefitsinContextforPrivatesperIPEDS

55

InstitutionName

InstructionandResearchSalaries+Benefitsas%of

TotalExpenses

InstructionandResearchSalaries+Benefitsas%of

TotalExpensesMercer 38.0% 61.3%ClarkAtlanta 28.5% 53.2%Paine 26.8% 54.1%Wesleyan 25.3% 45.4%Spelman 24.2% 44.9%Morehouse 22.2% 50.4%SCAD 21.9% 49.1%Berry 21.4% 45.9%YoungHarris 20.3% 44.6%AgnesScott 19.1% 40.3%Emory 18.1% 29.5%Oglethorpe 14.1% 48.0%

HBCUAverage 25.4% 50.6%NonHBCUAverage 22.3% 45.5%

InstructionalClassCoverageDistribution2015perIPEDSforPublicInstitutions

56

27%

11%

11%

33%

17%

Tenured

TenureTrack

FullTimeNTT

PartTime

GradTeaching

ChangeinInstructionalStaffforGeorgiaPublicsFrom2011to2015perIPEDS:HugeIncreaseinPartTimeFaculty

57

2011 2015 #Change %Change

Tenured 3,876 3,806 (70) -2%

TenureTrack 1,948 1,587 (361) -19%

FullTimeNTT 1,680 1,577 (103) -6%

PartTime 1,356 4,658 3,302 244%

GradTeaching 1,817 2,301 484 27%

TOTAL 10,677 13,929 3,252 30%

ChangesatFVSU

58

FortValley 2011 2015 #Change %ChangeFull 46 25 (21) -46%Associate 26 28 2 8%Assistant 66 18 (48) -73%Instructor/Lecturer/Other 6 15 9Total 144 86 (58) -40%

Tenured 65 65 0 0%TenureTrack 51 8 (43) -84%NonTenureTrack 28 13 (15) -54%TotalFullTime 144 86 (58) -40%

PartTime 80 8 (72) -90%GradTeaching 0 0 0

Enrollment 3,728 2,594 (1,134) -30%

DeeperExaminationatFVSUSalaries:AsEnrollmentDropped:FacultySalariesWentDownAdministrationWentSalariesUp

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2010 2014 #Change %Change

Instructionsalaries+Benefits $14,390,435 $12,928,439 ($1,461,996) -10%

Institutionalsupportsalaries+benefits $7,108,103 $8,779,910 $1,671,807 24%

TotalSalaries+Benefits(Allemployees) $40,823,684 $39,615,145 ($1,208,539) -3%

TotalExpenses $76,558,683 $70,766,831 ($5,791,852) -8%

2015GAPublicFacultySalariesperAAUPSurveyHBCUSalariesare12%to31%BelowNonHBCUSalaries

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$0

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

MeanHBCU MeanNonHBCU MedianNonHBCU

Full Associate Assistant

2015CampusSpecificSalariesforPublics

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HBCUs Full Associate AssistantAlbany $72,708 $59,967 $54,092SSU $68,445 $58,914 $51,399FVSU $63,801 $52,965 $48,357Mean $68,318 $57,282 $51,283Median $68,445 $58,914 $51,399

NonHBCUs Full Associate AssistantGeorgiaTech $151,673 $103,310 $96,921GeorgiaState $124,582 $83,421 $81,508UofGeorgia $116,358 $85,531 $81,613Augusta $112,519 $80,081 $72,501Kennesaw $87,035 $69,247 $58,391Clayton $80,916 $62,460 $57,349WestGeorgia $79,876 $61,271 $56,253GeorgiaCollege $79,364 $67,179 $56,787Valdosta $77,786 $62,452 $58,047Columbus $74,240 $65,740 $55,465Mean $98,435 $74,069 $67,483Median $83,976 $68,213 $58,219

%MeanDifference -31% -23% -24%%MedianDifference -18% -14% -12%

2015CampusSpecificSalariesforGAPrivates

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HBCUs Full Associate AssistantSpelman $91,656 $69,651 $62,487Morehouse $83,772 $67,430 $55,216ClarkAtlanta $71,978 $61,744 $53,922Paine $47,502 $48,348 $43,569HBCUAverage $73,727 $61,793 $53,798HBCUMedian $77,875 $64,587 $54,569

NonHBCUs Full Associate AssistantEmory $160,121 $110,434 $93,086AgnesScott $92,925 $73,156 $62,963Mercer $88,985 $69,926 $65,945BerryCollege $87,650 $66,757 $57,513SCAD $75,861Oglethorpe $74,146 $58,662 $51,671YoungHarris $73,098 $51,588 $54,605Wesleyan $64,934 $52,165 $49,992NonHBCUAverage $89,715 $68,955 $62,254NonHBCUMedian $81,756 $66,757 $57,513

%MeanDifference -18% -10% -14%%MedianDifference -5% -3% -5%

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BondRatingsandOverallFinancial

Analysis

Fichtenbaum-BunsisRatioScores

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BondRatingsofGeorgiaInstitutionsSource:Moodys.com

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Aa2 Aa3 A1,2,3 Ba1,2 Baa1,2 NoRatingUniversity

ofGeorgia GeorgiaTech Augusta

Morehouse(Ba1) SavannahArt

SavannahState

UofGeorgia GeorgiaState ColumbusStateClarkAtlanta

(Ba2) Mercer AlbanyState

EmoryGeorgiaPerimeter GeorgiaCollege ClaytonState

KennesawState PaineUofWestGeorgia Wesleyan

ValdostaState Bainbridge

Spellman(A1) YoungHarrisFortValleyState

(A2) BerryCollege

AgnesScott(A3) Oglethorpe

Moody’sBondRatingsinHigherEducation2015PublicSector

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5The Financial & Strategic Outlook for Private Colleges

Moody’s Rates Over 500 Universities in the USIncludes vast majority of sector debt

» Nearly 275 private colleges and universities» Over $85 billion of rated debt outstanding» Median rating of A3 by number of institutions» Median rating of Aa2 weighted by rated debt

» Over 230 four-year public universities» Almost $125 billion total rated debt outstanding» Median rating of A1 by number of institutions» Median rating of Aa1 weighted by rated debt

Source: Moody's, ratings as of December 29, 2014. S-T represents those with only a short-term rating

812

4146

69

22 19

82 0 3 1

0

10

20

30

40

50

60

70

80

Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3 SG S-T

US Public University Ratings

1511

20

25

33

3840

33

26

21

12

00

5

10

15

20

25

30

35

40

45

Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3 SG S-T

US Private University Ratings

Moody’sBondRatingsinHigherEducation2015PrivateSector

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5The Financial & Strategic Outlook for Private Colleges

Moody’s Rates Over 500 Universities in the USIncludes vast majority of sector debt

» Nearly 275 private colleges and universities» Over $85 billion of rated debt outstanding» Median rating of A3 by number of institutions» Median rating of Aa2 weighted by rated debt

» Over 230 four-year public universities» Almost $125 billion total rated debt outstanding» Median rating of A1 by number of institutions» Median rating of Aa1 weighted by rated debt

Source: Moody's, ratings as of December 29, 2014. S-T represents those with only a short-term rating

812

4146

69

22 19

82 0 3 1

0

10

20

30

40

50

60

70

80

Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3 SG S-T

US Public University Ratings

1511

20

25

33

3840

33

26

21

12

00

5

10

15

20

25

30

35

40

45

Aaa Aa1 Aa2 Aa3 A1 A2 A3 Baa1 Baa2 Baa3 SG S-T

US Private University Ratings

Moody’sonUSG:October3,2016• Strengths

o Thewealthofthesystemwithhealthyreserveso USGisthedominantproviderofpublichighereducationintheAaa-ratedStateofGeorgia.

o Thesystem'sfavorabletuitionpricing,enrollmentgrowth,anddiverserevenuesourceswillcontinuetosupportsounddebtservicecoverage.

oWhilefinancialleverageforsomecollegesishigh,overallfinancialleverageismanageableandUSG'sfutureborrowingplansarelimited.

• Challengeso Thinunrestrictedliquidityrelativetoalargeexpensebase,growingretirementbenefitobligations,andongoingcapitalneeds.

o Theratingalsoincorporatestheannualrenewalandabatementriskassociatedwiththeleaseobligationsupportingthebonds.

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FortValleyStateMoody’sBondRating• Moody'supgradesUniv SysofGA's(FortValleyStateUniversityFoundationProperty,LLCProject)toA2;• Outlookstable10/15/2014• TheupgradefortheStudentHousingFacilitiesRevenueBonds(FortValleyStateUniversityFoundationProperty,LLCProject),Series2006acknowledgestheextraordinarysupporttheUniversitySystemofGeorgia(USG)hasnowdemonstrateditwillprovidetoFortValleyStateUniversity,aswellasothermembercampuses.• FortValleywillbepermittedtousecentralizedreservestofundPPVdebtserviceinfiscalyear(FY)2015andthesystemhasincreasedtheallotmentofstateappropriationstotheuniversityforFY2015.

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StrengthsandChallengesforFVSU• STRENGTHS

o AnannuallyrenewableleasewiththeBoardofRegentsoftheUniversityofGeorgiaSystem(USG)underpinsthecreditoftheSeries2006projectatFortValley.USGisalarge,diversesystemwithgoodoperatingcashflowperformanceandover$1.2billionofunrestrictedmonthlyliquidity.

o TheBoardhasimplementedgreateroversightandcontrolofthesystem,includingnewpoliciesandproceduresgoverninguseofthePPVprogram.

o FortValleyStateUniversitywillbeabletoaccessacentralizedreserveforrequireddebtservicepaymentsonthe2006projectinFY2015.ThesystemisactivelyworkingwithFortValleytoimplementturnaroundstrategies.

o Thesystemhas,inrecentyears,moreconcretelydemonstratedsupportforotherstrugglingcampuses.

o USGreceivessignificantdirectfinancialandcapitalsupportfromtheAaa-ratedStateofGeorgia,althoughoperatingfundingonaperstudentbasishasdeclinedsince2009.Thestateofferssignificantstudentfinancialaidprogramssupportingstate-widestudentdemand.

• CHALLENGESo FortValleywillcontinuetobefinanciallychallengedformultipleyearsdueto

asteepFall2014enrollmentdecline.o Oversightofthesystemiscomplex,withover30campuseso USGhaslargepensionandotherpost-retirementbenefitliabilitiesthatwill

alsorequireincreasedfunding.

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ClarkAtlantaMoody’sRatingOctober5,2016• Moody'sAffirmsClarkAtlantaUniversity,GA'sBa2;OutlookStable• TheBa2ratingreflectsahighlyvulnerableandvolatilestudentmarketpositionstemmingfromanarrowandpricesensitiveenrollmentbase.• Theratingalsoincorporatesheavydependenceonstudent-relatedrevenuesources,variableoperatingperformance,andmodestliquidity.• Theratingfavorablyreflectsimprovingoperatingperformance,anemergingtrendofenrollmentandrevenuegrowth,andamanageabledebtburden.

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MorehouseBondRatingMoody'sDowngradesMorehouseCollege,GAtoBa1;OutlookNegativeAugust2016• Whileacknowledgingsomeimprovementinstabilizingenrollmentandoperatingperformance,thedowngradetoBa1reflectsanexpectationofcontinuedweakrevenuegrowth,combinedwithlimitedfinancialflexibility.

• Theratingincorporatesafiercelycompetitivestudentmarket,exacerbatedbyanarrowniche.

• Morehouseisrevisingitsbusinessmodeltofocusmoreheavilyonincreasingphilanthropytosupportasustainablefinancialmodel.

• TheBa1ratingexpressessomedemonstratedhistoryoffundraisingprowess,yettheabilitytosustainablyshifttoahigherlevelofunrestrictedgivingandexpanditsdonorbaseisuncertain.

• Morehouse'soperatingperformanceandliquidityprofilearemodest,notablygiventhesignificantheadwindsthecollegeisfacing.

• TheBa1ratingfavorablyreflectsanexpectationthatcostreductioneffortswillcontinuetogaintractionwhilethedebtburdenremainsmanageable.

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TheImportanceofHBCU’sintheUnitedStates

UniversitySystemofGABoardofRegents2015

74

UniversitySystemofGAPresidents2015

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6ReasonsWhyHBCUsAreMoreImportantThanEverDr.MichaelLomax, CEOandpresidentofUNCFJuly16,2016• 1.OutsizedImpact,Low-Cost=“BestBuy”inEducation• Today,thenation’s106HBCUsmakeupjust3percentofAmerica’scollegesanduniversities,yettheyproducealmost20percentofallAfricanAmericangraduatesand25percentofAfricanAmericangraduatesintheSTEMfieldsofscience,technology,engineeringandmathematics — thecriticalindustriesofthefuture.• AndHBCUtuitionratesareonaveragealmost30percentlessthanatcomparableinstitutions — that’swhythey’reoftenreferredtoasthebestbuyineducation.

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2.MeetingtheNeedsofLow-income,First-generationStudents• HBCUsprovideastableandnurturingenvironmentforthosemostatriskofnotenteringorcompletingcollege:low-income,first-generationcollegestudents.Manyofthesestudentsareacademicallyunderpreparedforcollege,yetthey’repreciselythestudentsthatthecountrymostneedstoobtaincollegedegrees.• Onaverage,morethan300,000studentsattendHBCUseachyear,and80percentofthemareAfricanAmericans.It’salsoworthnotingthatHBCUsareservingthosewhoneeditthemost — morethan70percentofallstudentsatHBCUsqualifyforfederalPellGrantsand80percentofHBCUstudentsreceivefederalloans.

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3.LowerCostsNarrowtheRacialWealthGap• 43millionAmericansacrosstheracialandsocioeconomicspectrumhavenearly$1.3trillionincollegeloans,blackhouseholdsarefarmorelikelytohavestudentdebtatallincomelevels.• About54percentofAfricanAmericansbetweentheagesof25and40havestudentloans,comparedwith39percentofwhiteAmericansinthatagegroup.• Byprovidingabestvalueineducation,HBCUshelptoeliminateorreducestudentdebtforlow- tomiddle-incomefamilies

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4.CampusClimateFostersSuccess• Studentsofcolorfeelmoreathomeandperformbetterinschoolswheretheyfeelsupportedandsafe.Thestudentenvironmentfitisveryimportantforstudentsuccess.Arecentreportreaffirmedjusthowimportantcampusclimateistostudentoutcomes.• TheGallup-PurduepollnotedthatblackgraduatesofHBCUsaresignificantlymorelikelytohavefeltsupportedwhileincollegeandtobethrivingafterwardthantheirblackpeerswhograduatedfrompredominantlywhiteinstitutions.• Formorethan150years,HBCUshavebeenprovidingdiverselearningenvironments — fromstudentstofacultytoadministration — ensuringthateverystudenthasachancetosucceed.

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5.AddressestheNation’sUnder- andUnemploymentCrisis• ThenationneedsHBCUsnowmorethanever.Byearly2015,theunderemploymentrateforrecentcollegegraduateshadreached44percent.ForAfricanAmericancollegegraduates,thatratewasevenhigher — 56percent.• Atthesametime,theunemploymentrateforAfricanAmericancollegegraduatesbetweenages22and27isroughly12.4percent,morethantwicetherateoftheirwhitecounterparts.• GiventheirproventrackrecordofinfluencingtheacademicsuccessofAfricanAmericans,nowmorethanevergreaterinvestmentisneededinHBCUs.

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6.HBCUsOfferaTrueValue/ValuesProposition• HBCUsarerootedinfaith,communityandservice.Blackchurcheshavelongbeenpillarsoftheblackcommunityandthehistoryandlifeofblackcollegesarecloselyintertwinedwithfaith,valuesandservicetoothers.• HBCUsofferatruevalue/valuesproposition:notonlyaretheyareagreatvaluetotheirstudents,buttheyalsoproducestudentswithgreatvalues.• Formorethan100years,HBCUshavebeeneducatingminorities,givingthemeconomicopportunitiesandinstillinggreatvalues.Notonlyhavetheyconsistentlyproducedleadersintheircommunitiesandacrossthenation,butHBCUstodayareconsistentlyandaffordablyproducingtheleadersofthefuture.

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GeorgiaHistoricallyBlackCollegeFightsForAccreditationAtlantaJournalConstitution,9/19/2016

• PaineCollegeinAugustaisinafighttoregainaccreditationaftertheSouthernAssociationofCollegeandSchoolsCommissiononColleges(SACSCOC)deniedPaine’sappealofit’searlierlossofstatus• SACSCOCremovedPainelastsummerforfailingtomeetstandardsforfinancialresourcesandstabilityandcontrolofsponsoredresearchandexternalfunds.• The133-year-oldhistoricblackcollegehasinstructeditsattorneystofilealawsuitintheUnitedStatesDistrictCourtseekinganordertodelaytheactionandcompellingtheaccreditingagencytorestoreitsaccreditation.

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AAUPMembersCanStandWithStudentsandFacultyandCommunityMemberstoSupporttheHistoricRoleandMissionofHBCU’s• HBCUStudentsStandInSolidarityWithAmericanUniversityAmidstRacistEvents;September26,2016www.hbcubuzz.com• 34HBCULeadersComeTogetherInSupportOf#BlackLivesMatter Movement;July21,2016o ThepresidentsofSpellman,Morehouse,andFortValleyStatehavesignedtheletter

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AAUPActivismandCollectiveActioninthe

StateofGeorgia

November-DecemberIssueofAcademe:RaceonCampus• CampusActivismandCompetingRacialNarrativesHowstudentactivismreinforcesacademicfreedom. ByPeterHalewood

• FromPunitivePedagogiestoLiberatedLearningEmployingcriticalpedagogiestofurthersocialjustice. ByJanellHobson

• CampusActivism,AcademicFreedom,andtheAAUPWhattheAAUPcandotosupportstudentactivists. ByEmilyM.S.Houh

• TeachingPalestineTheimportanceofbringingtheIsrael-Palestineconflictintothemainstream. ByRanaJaleel

• WhyStandardizedTestsHaveStandardizedPostracial IdeologyPutting“race-neutral”admissionsstandardsontrialByIbram X.Kendi

• EightActionstoReduceRacisminCollegeClassroomsWhenprofessorsarepartoftheproblem. ByShaunR.HarperandCharlesH.F.DavisIII

• AusterityandAcademicFreedo QuestioningthecommonplaceontheterrainofausterityByAnthonyPaulFarley

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AAUPUnionsatHBCU’s• DelawareStateUniversity(DE)• EdwardWatersCollege(FL)• LincolnUniversity(PA)• CentralStateUniversity(OH)• WilberforceUniversity(OH)

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BuildinguptheAAUPChapter• Aneffectivefacultyvoicemustbedonecollectively• Actingaloneorasindividualswillnotbeimpactful• TheAAUPstandsforsomething:

oAcademicfreedomo Sharedgovernanceo Facultyandworkershaveavoiceintheprocessandaseatatthetable

oPartofahistoricnationalandstateorganization

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FacultyHavetoActCollectively• Thefulltimefacultyatprivateinstitutionsareunlikelytounionize.Legally,therearesignificantroadblocks:o Yeshiva(canbeovercomeinveryuniquecircumstances)o Religiousnatureofsomeinstitutions

• InGeorgia,duetolackof“enabling”legislationforfacultyinhighereducation,itwillbevirtuallyimpossibleforfacultytounionizeatpublicinstitutionsinthestate

• Butyoucanactlikeaunion– actcollectivelyo Thisdoesnotmeanstormingthegateso Itdoesmeancoordinatedactions

• Wearingbuttons• Wearingstickers• AAUPstickersonofficedoors• Handingoutbuttonsatgraduation• StandingunitedoutsideaBoardmeeting• Sendingalettertotheadministrationsignedby30AAUPmembers,aswellasstudentsandothersfromcampusandcommunity

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WhataretheGoals?• Tohaveaseatatthetableandavoiceintheprocess• Tohaveamoreeffectivevoice– withthegoalofmakingtheinstitutionbetter.Asfaculty,youaredeeplycommittedtothesuccessofyourstudentsandtheuniversity.Iftheadministrationlistenedandworkedmoreextensivelywiththefaculty,theeducationalexperienceofthestudentswouldbeenhanced• MoreinteractionwithBoard• Arealfacultyvoiceonfinancialmatters

oGettingtheauditedfinancialstatementsinatimelyfashion

oGettingtheIRS990inatimelyfashionoRecommendmetricsrelatedtothepercentofresourcesdevotedtothecoreacademicmission

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CollectiveAction:KennesawStateMariettaDailyJournal;October10,2016• TwodaysbeforeavotetoinstallAttorneyGeneralSamOlens asKennesawStateUniversity’snextpresident,protestsfromfacultyandstudentsagainsttheimpendingappointmentcontinuedMondayonthecampusgreen.

• Anestimated200to300participantsstandinsilencewiththeirbackstowardKennesawHall,whichhousestheuniversitypresident

• ScottRitchie,anassociateprofessoroflanguageandliteraryeducationandoneoftheorganizersoftheprotest,said“Whatthefacultyaremostconcernedaboutisthelackofanationalsearchforthenewpresident.ThedecisiontoappointSamOlens wasmadebehindcloseddoors,”Ritchiesaid.“TheyarealsoconcernedwithOlens’politicalstanceonthingsliketransgenderbathrooms,gaymarriageandthingslikethatthathavethecampuscommunityconcernedbecausewehavealargeLGBTpopulationhereandhavebeenwinningnationaldiversityawardsforthepasttwoyears.”

• Onlinepetitionat:http://www.thepetitionsite.com/201/634/352/keep-ksu-safe-for-lgbtq-students/

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MorefromKSU– LetterfromtheNationalAAUPtoRegentsChairmanKesselStelling Jr.• “WhilethedecisionoftheregentstoforegoanationalsearchmaybepermissibleundertheapplicableUniversitySystemofGeorgiapolicies,thedecisionisatoddswithwidelyobservedprinciplesofacademicgovernance,asitdeprivesthefacultyofitsappropriateroleintheprocess,”wroteHans-Joerg Tide,anassociatesecretaryoftheAAUP.• “Weurgetheboardofregentsnottoremovethefacultyfromtheprocessandinsteadtoconductanationalsearchwithfullparticipationfromthefaculty.”

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KennesawStateNamesControversialPoliticianasPresidentWithoutNationalSearchChronicleofHigherEducationOctober12,2016• SamOlens,Georgia’sattorneygeneral,wasnamedonWednesdayaspresidentofKennesawStateUniversitybytheUniversitySystemofGeorgia’sBoardofRegents,accordingtoauniversitynewsrelease.

• Inararemove,Mr.Olens wasselectedwithoutanationalsearchtofilltheposition,apointofconflictformanyfacultymemberswhoregardedhisappointmentasathreattosharedgovernance.

• StudentsandfacultymembersattendedWednesday’smeetingoftheBoardofRegentstoprotestMr.Olens’s appointment

• OnMondaytheAmericanAssociationofUniversityProfessorsaskedthecollegetoconductanationalsearchandincludefacultymembersinthehiringprocess.Hans-Joerg Tiede,theassociation’sseniorprogramofficer,onWednesdaycalledtheappointment“anunwelcomedevelopment.“Wecontinuetobeconcernedthatthisprocessprettymuchexcludedthefacultyentirely,”hesaid.“Wealsohaveheldforalongtimethatwebelievethatuniversitypresidentsshouldhavesignificantexperienceineducationalmattersandthatisalso,inthiscase,apparentlylacking.”

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AAUPStatementonPresidentialSearchesNovember3,2015• TheAAUP'sNovember3StatementonPresidentialSearchescallsuponcollegesanduniversitiestoavoidclosed,secretivesearchesandclarifiesexisting AAUPpoliciesaboutpresidentialsearches.

• ContrarytotheAAUP'sprinciplesofsharedgovernance,governingboardsatseveralcampusesaroundthecountryhaveconductedsecretivesearchesinrecentmonthswithoutadequatefacultyandpublicparticipationintheprocess.

• WhileAAUPpoliciesacknowledgetheneedforaconfidentialphaseinwhichasearchcommitteemaydeveloptheinitialcandidatepool,suchsearchcommitteesshouldinvolvefacultymembers.

• Allsearchesshouldincludeanopenphase,involvingcampusvisitsandapublicforuminwhichfaculty,students,andotherscansharetheiropinions.Thestatementarguesthattheobligationsofpublicandprivatenon-profitcollegesanduniversitiestoservethepublicinterestnecessitatetheprotectionsof sharedgovernance,includingfacultyengagementinallphasesofthehiringprocess.

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