Evaluating Academic Programs

5 Trends Influencing Campus Project Financing | FY 16-17

"As pressure builds on institutions to ensure academic offerings are attuned to student needs and new disciplines, the CBO needs a proven process to guide the growth of academic offerings1."

Sustainable Approach to Innovate Academic Programs Webinar by NACUBO

The Challenge:

To attract new students in a competitive landscape, colleges and universities are constantly evaluating new and existing offerings to ensure programs meet the growing demands of students, and ultimately increase enrollment. When deciding to divest certain programs, schools need to reallocate the resources in other areas that are more apt to succeed. When expanding existing program offerings or developing new majors, schools are often challenged by the investments required to support these programs prior to realizing the revenue that is generated. 

Academic Program Funding Models

With limited resources, many schools struggle to fund upgrades to academic programs, while making sure the needs of the existing programs are met. Many campuses evaluate their academic programs based on the amount of funding needs that are met, with the most proactive programs being those that have implemented a plan to fund the growth of both new and existing programs.

The Solution: 

Addressing unique cash-flow requirements is becoming a common strategic financing option. Step payment structures, deferred payment options and grant/donation alignment are solutions many schools are using to fund new or growing academic programs. 

As academic programs expand, it is often necessary to align upfront expenses (such as capital improvements and the purchase of new assets) with the future arrival of projected tuition revenues to improve cash-flow. That’s why many schools are beginning to develop funding solutions that align these program expenses to future enrollment revenue. This helps to stabilize cash-flow, while also accelerating program investments. 

Source1: Sustainable Approach to Innovate Academic Programs Webinar by NACUBO

Modernizing Existing Facilities

FY 16-17 | Trend 1

As competition for new students and faculty grows, schools feel the pressure to invest in their aging campuses. However, maintaining the...

Modernizing Existing Facilities

Reprioritizing Sustainability

FY 16-17 | Trend 2

While higher ed has made significant strides in implementing energy conservation efforts, many investments are reactive and focused on...

Reprioritizing Sustainability

Investing in Campus Security

FY 16-17 | Trend 3

Colleges and universities are often vulnerable targets for security threats - both cyber and physical - that can cause severe damage to...

Investing in Campus Security

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