Enrollment Decline and Financial Implications:

• shortfall in enrollment expectations for the class of 2029, tracking around 500 students, similar to the previous year.

• This decline includes a notable drop in international students, partly attributed to geopolitical challenges and the changing national dialogue around international education in the U.S.

• Student tuition constitutes two-thirds of the college's revenue, so lower enrollment directly impacts revenue.

• The college operated at a $14.1 million budget deficit in fiscal year 2023 and anticipates a $5.5 million deficit for the next fiscal year.

• They are implementing a 10% reduction in non-compensation spending to address these deficits over the next five years.

Rising Discount Rate:

• The average amount of financial aid given to students (the discount rate) has been increasing.

  
  

Broader Higher Education Headwinds:

• like many of its peers, it faces a "demographic cliff" with a declining number of high school graduates, particularly in the Northeast where it primarily recruits.

• rising cost of college,

• increasing public skepticism about the value of a degree,

• increased competition for students.

Endowment Performance Concerns:

• The college's endowment has reportedly underperformed the S&P 500 and the median rate of return for endowments in 2023.

Fiscal Adjustments and Budget Balancing:

• Implementing a 10% reduction in non-compensation spending across departments and interdisciplinary programs for the academic year 2025-2026.

• The fiscal year 2026 budget reflects a commitment to bringing costs in line with expected revenue, with an additional withdrawal from the endowment to support this.

  
  

Enrollment and Revenue Generation Strategies:

• Actively working to improve admissions yield rates and attract more new students, with the admissions team and campus partners collaborating on this effort.

• Implementing strategies related to financial aid (both need-based and merit awards) to increase net revenue generated by student charges, aiming to control the "discount rate."

• Focusing on making Union more attractive to fuller-pay students.

• Exploring the feasibility of certificate programs and other non-degree options to provide a greater range of opportunities and generate additional revenue.

Enhancing Campus and Academic Offerings to Attract Students:

• Upgrading engineering facilities to attract more applicants.

• Building a new hockey rink (Mohawk Harbor Events Center) which will also serve as a home for Union's men's and women's hockey teams, aiming to enhance campus appeal.

• Considering changes to academic programs to attract more applicants.

• Successfully launched new majors in civil and environmental engineering, which have shown strong interest from students.

• Supporting the creation of courses at the intersection of engineering/computer science and the liberal artsthrough the Templeton Institute.

• Continuing to provide robust study-away opportunities, including mini-term and full-term programs, with the return of programs like Holocaust Studies.

Fundraising and Philanthropy:

• Successfully completed the "Powering Union" capital campaign, surpassing its $300 million goal ahead of schedule, raising $309 million to support key strategic priorities.

• Secured two largest gifts in Union's history from Mary and Rich Templeton, supporting engineering and computer science programs.

• Partnering with the Schuler Education Foundation to invest up to $40 million in scholarship grant funding to enroll significantly more low-income (Pell-eligible) students.

• Actively engaging alumni and donors to maintain fundraising momentum.

Diversity, Equity, Inclusion, and Belonging (DEIB):

• Prioritizing efforts to attract more women to Union, recognizing that women currently make up less than half of enrollment.

Operational and Brand Modernization:

• Preparing for the launch of a new enterprise management system (Workday) to enhance administrative capabilities and improve efficiencies in finance, purchasing, and human resources.

• Undertaking a refresh of the Union brand to tell the college's story consistently and effectively, crystallizing its distinctiveness and advantages.

  
  

Developing a long-term budget model

Introduced some new courses for upcoming years

Hockey arena rent amount will help to raise financial resources