Reply to Which top colleges have a significant budget deficit? Which ones are red flags?

Forum Index » College and University Discussion

Reply to "Which top colleges have a significant budget deficit? Which ones are red flags?"

Subject:

Emoticons





More smilies

Text Color: Font: Close Marks

[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]How did a tiny school like Middlebury run up such a large deficit?[/quote]

A $4.49 million budget deficit against an overall budget of $344 million isn't that significant (1.3% of overall budget). Reasons mentioned are rising healthcare costs, staff and faculty pay increases, and debt servicing. [/quote]
But the deficit has to be funded somehow and if it is recurring, it could lead to financial instability.  [/quote]

It was also larger than $4.49 million. That’s with the easier stuff (but by no means easy) out of the way. More to come.[/quote]

The $4.49 million number comes straight from their February update. Middlebury could swing to a surplus simply by drawing from their endowment at the same rate that Colby does but they prefer drawing at a lower rate similar to that of Williams and Wesleyan. They could also grow their way out by increasing their annual fee at a higher rate, similar to other NESCACs but they are traditionally one of the most disciplined when it comes to fees raising them at the lowest average rate among the NESCACs. Baucomb has made fixing the budgeting eyesore a priority and that is what is happening. [/quote]

Options

	Disable HTML in this message
	Disable BB Code in this message
	Disable smilies in this message

Review message

Search Recent Topics Hottest Topics