1. AS&E Faculty Meeting University Financial Condition March 27, 2019

2. Financial Drivers Net Assets
FY $2.6 billion, a 7.3% increase from FY 2017
Operating results
FY 2018: $5.4 million
FY 2019: $4.0 million projection
FY 2020: Balanced
Operating cash flow: $44 million for FY 2019, about equal to FY 2018 results
Fundraising:
FY 2018: $154 million, surpassing $150 million goal
FY 2019: $92.8 million; 58% of the $160 million goal,
$776 million of the $1.5 billion goal
Endowment:
February 28, 2019 Market $1.85 billion, on par with February 2018
12-month total return pool 3.37% compared to 0.56% policy benchmark
Long-term debt Continues to achieve Aa2 and AA- ratings from Moody’s and Standard and Poor’s, respectively
($762 million) 2

3. Total Return Pool Performance as of February 28, 20193

4. Peer Institution Endowment Per Student (FY 2018)4

5. AS&E Combined Campaign Achievement - $326M Goal by 2023: $520 Million
37% growth in Tufts Annual Fund
FY14 vs. FY18
In Millions
$83.3M
$70.2M
$47.4M
$40.2M
$42.7M YTD
$34.3M
Total campaign achievement (as of 3/20) is $784M. University Advancement annual achievement is $100.2M vs. $160M goal.
UA has raised $100M+ achievement 5 years in a row. This benchmark has only been exceeded four times previously (2004, ).
Over course of campaign, AS&E has consistently exceeded its annual achievement goals.
In addition to focusing on Annual Fund dollars (which have grown by 37%), UA has focused on increasing number of undergraduate donors and corresponding participation rates, which are growing despite declining trends among higher ed institutions. Very important to grow this pipeline for future gifts.
Total includes $7.8M from Campaign Planning Phase 5

6. * Secured through Professorship Partnership Challenge
New AS&E Professorships, FY14-Present
Eileen Fox Aptman, J90, and Lowell Aptman Professorship * (Sciences, Social Sciences, Arts, and Humanities)
BLR Professorship * (Finance)
Evans Family Professorship * (Cognition and Learning)
Gerald R. Gill Professorship of Race, Culture and Society
Ann W. Lambertus, J75 and Peter Lambertus Term Professorship (Computer Science)
Kathryn A. McCarthy, J45, AG46 Junior Professorship in Women's Studies
Karl Gunnar Myrdal Professorship in Economics
McDonnell Family Bridge Professorship (STEM and Evidence Based Learning)
Newhouse Professorship of Civic Studies
James L. Paddock Junior Professorship in International Economics
Rumsey Family Junior Professorship in the Humanities and the Arts
James Schmolze Professorship in Computer Science
Schwartz Family Faculty Development Professorship in Computer Science
Tiampo Family Professorship *
Youniss Family Professorship of Innovation * (STEM)
University-wide, we have raised 24 new professorships through the Brighter World campaign. 15 of these have been for AS&E.
9 of the total 24 have been made possible through the Professorship Partnership Challenge. 5 of these have been for AS&E (marked with asterisks on this list).
The list above also includes the Gill Professor, which was recently installed though the gifts in support of this professorship technically came in during the previous campaign.
* Secured through Professorship Partnership Challenge 6

7. Other AS&E Campaign Priorities
Achievement
FY14-Present
Undergraduate Scholarships
$74.5 million endowed
$15 million current use
Graduate Fellowships
$5.1 million endowed
$4 million current use
Facilities
$25.1 million
Annual Funds
$56.6 million 7

8. Operating Budget Surplus History and Forecast ($ millions)8

9. AS&E Budget Results History
History of surpluses driven by undergraduate over-enrollment
Surpluses supported investments in faculty, financial aid, CLIC and SEC), deferred maintenance
Undergraduate and graduate enrollment growth and expense containment support Cummings Building and recovery 9

10. FY 2019 Operating Budget Projection
The net asset increase from operations is forecast at $4.0 million, a $3.9 million improvement compared to the $0.1 million surplus for the budget
AS&E forecasts a $3.1 million deficit
The SMFA’s deficit is $5.6 million, resulting from 35 FTE lower enrollment and lower housing occupancy
The Medical School’s deficit tracks close to the planned $7.7 million deficit; Public Health program enrollment shortfalls are offset by compensation savings mostly from position vacancies
For the other professional schools, the Dental School predicts a $4.4 million surplus, and Cummings, Friedman and Fletcher each forecast a $0.2 million improvement
Central’s budgeted deficit of $3.4 million is expected to be balanced through suspension of non-essential, non-compensation expenses, and holding staff positions vacant other than those related to revenue generation, health and safety, and essential operations 10

11. Operating Results
Budgets will remain very tight for the next 1 – 2 years
To regain healthy margins, innovative approaches to revenue generation are being developed:
Establishment of University College will contribute to the pipeline of new programs
New market-supported professional degree and certificate and non-traditional programs are producing good results
Performance of existing degree and certificate programs need improvement and must address pressures being experienced
If Tufts fails to create and sustain positive operating margins, a downgrade could ensue 11

12. University Net Asset Schedule: FY 2020 – FY 2024 Plan (in $ millions)12

13. University and AS&E Revenue and Central Assessment ($K)13

14. Central Budget (in $ millions)
Central Department FY 2019 Budgets, $133.6 million
$ millions 14

15. Cummings Building 15