WSU Regents hear fiscal year-end financial report

PULLMAN, Wash. – At a regularly scheduled meeting on the campus of Washington State University Tri-Cities, the WSU Board of Regents today accepted the university’s comprehensive annual financial report for the 2016 fiscal year.

The report, which provides detailed information about the university’s fiscal health and operations during the twelve months ended June 30, 2016, was provided by Matthew Skinner, WSU associate vice president for Finance.

“Market demand for a WSU education continues to be a major strength for the university,” Skinner told the regents. “With a growing number of students attending the university, tuition revenue remained strong despite a five percent reduction in resident undergraduate tuition rates.”

Skinner said state appropriations for both operations and capital facilities also increased, while WSU Research remained stable, despite increased competition for Federal awards. Several capital building projects also were completed and put into service during the year, he said.

The financial report also addresses opportunities for continued improvement, Skinner said.

“Cash and investments declined as expenses exceeded revenue for the last two fiscal years,” he said.  “This decline, largely driven by several strategic investments, in conjunction with the effects of changes in accounting for benefit plans over the last two years, has caused a significant reduction in unrestricted net assets.

Skinner said the university has proactively taken steps to better plan financial resources, including:

  • Reinstitution of a formal university budget development process
  • Creation of a comprehensive funding plan for each new building in advance of its construction (eliminating use of the University’s financial reserves to cover funds not clearly identified from other sources)
  • Development of a robust financial analysis to accompany all proposals presented to the Board of Regents

WSU recently completed the first comprehensive set of budget reviews at WSU in nearly a decade, Skinner said, which provides a much clearer view of the budget than was available previously.

The university will continue to focus on building adequate reserve levels to respond to initiatives and opportunities, balance unit budgets, invest in system-wide infrastructure improvements, such as new financial management system to better manage university resources, and seek ways to increase and diversify university revenues,” Skinner said.

In other actions, the regents:

  • Approved a proposal by the WSU College of Education to discontinue the Master of Education (English Language Learners) degree. Students currently enrolled in the Master of Education (English Language Learners) program will be given the option to complete their program under the previous name or switch to the new degree titled “Master of Education (Language, Literacy and Technology Education)”.
  • Approved a proposal by the WSU Housing and Dining Board to increase Housing and Dining Rates for the 2017 fall semester. Under the proposal, residence hall rates would increase by no more than 2.6% ($276) of the total weighted average for room and board housing and campus apartment rates would increase by no more than 2.5% of the total weighted average for room and board housing.
  • Approved a proposal by the WSU Division of the State Attorney General’s office to adopt a policy on Delegation of Authority, amending or clarifying certain existing authorities delegated to the president or his designee.
  • Approved a proposed services agreement in support of WSU’s Initiative with INTO University Partnerships.
  • Approved a proposal delegating authority to the WSU president, or designee, to complete negotiations for and execute a ground lease with the Vancouver School District, which desires to construct a dedicated building on the WSU Vancouver campus to host grades 6-12 of iTech Prep classes and support activities. They intend to include this facility as part of a bond issue for public vote in February 2017.

Media contact:

Robert Strenge, WSU News, 509-335-3583, rstrenge@wsu.edu