Student Assembly Minutes
March 9, 2009
A. Call to Order: 9:05 p.m.
B. Karen Leach, VP Administration and Finance, Hamilton College 2009-2010 Operating Budget Presentation
• Same presentation given to the Board of Trustees, faculty, and employees
• This year's challenge was to respond to the economic crisis
• We need to
o Move quickly
o Plan for difficult financial challenges for the foreseeable future
o Build financial flexibility by containing expenses, building contingencies, and modifying operations
o Take actions, but carefully
• What to protect
o Long-term survival and status of the college
o Academic program
o Highly personalized experience
o Getting the students we want
o Financial aid
• What goals are threatened?
o Ability to maintain and increase financial aid (need blind)
• Currently need aware
o Return to "right-sized" 1775 enrollment
• Currently too high
o Ability to insure employee wages at competitive levels
o Ability to maintain current facilities (renewals and replacements need to double)
o New facilities (Arts, ELS)
o New initiatives related to strategic plan
o Potential initiatives in Clinton and region
o Long-term health and growth of the endowment
• Achievements in the 2009-2010 Budget
o Very much slowed, but not abandoned, progress on key goals
• Keep comprehensive fee increase low
• Increase financial aid (Still $3.5 million)
• Provide funds for plant renewal
• Ensure competitive wages
• Prepare for possible business discontinuity
o Three Levels of Contingency
• Maintain operating budge contingency (0.8% of net operating budget)
• Set aside 2008-09 surplus as "rainy day" fund ($2.5 million)
• Temporarily defer the full authorized draw on the endowment, thereby creating an "endowment reserve"
o Contingency is used in the event of
• Severe enrollment shortfall
• Run on financial aid
• Annual fund goal not met
• Tuition, Room, and Board +3.0% next year (vs. planned +5%)
o $49,860.00
• Enrollment = 1800
o Current actual enrollment is 1828
o Delay long-term goal to return to 1775
o Budget proposes 1800
• Proposed Endowment Draw = $522,000 less than 2008-2009, 5.4% of December 2008 market value
• Spending $27 million out of endowment next year
• Annual fund = Stay with $6 million goal
• Spending $23.3 million this year and $24.4 next year on financial aid
• Driver 5: Retain talent
o No raises for the President and her direct reports
o A few market adjustments based on survey data
o Union will bargain this summer for M&O wages
o Close College between Christmas and New Year's
o Holding three Physical Plant position open, continuing to examine others in all areas of the College
• Driver 6: Reduce Operating Expenses
o Reduced by $650,000.00
o Requested 4% cut in most departments (not admissions)
o Other noteworthy items
• Interest income- substantial reduction ($800,000)
• Plant renewal (held flat at $3.5 million)
• Outlook
o Five year forecast still needs to be closed
o Need to "find" $700,000 plus for next year
• Additional changes need to be made in spending
• Still want to give students the best experience possible at Hamilton
• Hire managers to decide on stocks
o Have money in private equity and hedge funds
• Endowment is down about 27% for this year
o Most schools are down 25% - 30%
• Still haven't decided logistics of campus closure next year during Christmas and New Year's, currently in idea stage
• $2.5 million "Rainy Day" fund
o Could go into financial aid but needs to be done over 4 years so it is committed to a class
o Trying to admit as many students as possible "need blind"
o Buildings require much work and money to be maintained
• First priority is with current students
o Have re-packaged many families in regard to financial aid
• From 2005-2005 we were spending $20 million less per year
• Email kleach@hamilton.edu with any questions, concerns, or ideas for areas of the budget that could be cut
C. Committee Reports
- Technology
Movie survey for April out
- Food
Starting new special diet committee
Pat Raynard will be speaking at the next Student Assembly meeting on March 30th to discuss the "Student Voices" survey which will be released on March 28th
There will be a lottery drawing for those who participate in the "Student Voices" survey regarding the food options on campus ($200 gift certificate to TicketMaster, $200 gift certificate to Jet Blue)
Will try to add Snack Time schedule to MyHamilton (Menu Schedule is already there)
- Diversity and Accessibility
Able to get a bus for the trip to New York City on April 11th
- Social Traditions
Still working on the spring barbeque
- Facilities
Want to get simplified parking rules on the Hamilton website
Trying to get designation of fire lanes and speed limit signs
D. Funding
- Tumbling After receives full funding, $175
- Russian Club receives $100
- One Heart with Africa receives full funding, $69.50
- Weekly total: $344.50
- Remaining this semester: ~$24000.00
Meeting Adjourned: 9:43 p.m.
Respectfully submitted,
Brandon Moore
