2011-12 financial plan - cornell university division of budget

2011-2012

Financial PlanOPERATING AND CAPITAL

[ MAY 2011 ]

PUBLISHED BYThe Division of Planning and BudgetCornell University

CONTACT440 Day HallIthaca, New York 14853607-255-0155http://dpb.cornell.edu/index.htm

DESIGNZanzinato

May 2011

Copyright © 2011 Cornell University. All rights reserved.

Additional copies of this document are available at:http://dpb.cornell.edu/FP_Current_Pubs.htm

Cornell University is an equal-opportunity,affirmative-action employer and educator.

2011-2012

FINANCIAL PLANOPERATING AND CAPITAL2011-12

Contents

FROM THE VICE PRESIDENT .............................

OPERATING PLAN – HIGHLIGHTS .........................

Composite Operating Plan.................................................Operating Plan Details...........................................................Ithaca Campus Summary.....................................................Ithaca Campus Detail .............................................................Weill Cornell Medical College Plan Detail...........

REACCREDITATION AT CORNELL .........................

IMPLEMENTING ADMINISTRATIVE EFFICIENCIES

THE CORNELL BUDGET MODEL REVISION ..........

A DECADE OF CAPITAL EXPANSION ....................

CAPITAL PLAN – 2011-12 .......................................

Approved Capital Activity..................................................Sources and Uses of Capital Expenditures...........Sources of External Debt Financing...........................Debt Service by Operating Unit ....................................

SPACE PLANNING ....................................................

APPENDICES .............................................................

A Academic Year Tuitions............................................

B Student Fees and Other Tuition Rates...................

C Enrollment Assumptions..........................................

D Undergraduate Tuition and Fees, Room and Board:

Ivy League, Peer, and Common Acceptance

Institutions..................................................................

E Undergraduate Tuition and Fees, Selected Public

and Land-Grant Institutions.....................................

F Average Nine-Month Faculty Salaries, Selected

Research Institutions................................................

G Undergraduate Financial Aid ...................................

H New York State Appropriations...............................

I Facilities and Administrative Costs and

Employee Benefits Billing Rates .............................

J Investment Assets, Returns, and Payouts ...........

K Endowment per Full-Time Student, Selected

Institutions..................................................................

L Gifts/Contributions through March 31, 2011........

M Campaign for Cornell Gifts through March 31, 2011

N Projected Maintenance Funding – Ithaca Campus

O Work Force – Ithaca Campus...................................

P Room and Board Rates – Ithaca Campus..............

Q Ithaca Campus Faculty Peers by College..............

R Capital Project Spending Guidelines......................

S Division Directory.......................................................

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From the Vice President

Figure 1. FY 2011-12 Revenues

Figure 2. FY 2011-12 Expenditures

From the Vice President

TO THE CORNELL UNIVERSITYBOARD OF TRUSTEES

The Cornell University 2011-12 financial plan containsdetailed budgets for the two operating divisions ofthe university and a summary capital plan. Operatingrevenue is expected to increase by 1.1 percent forthe Ithaca campus in 2011-12 and increase by 6.4percent for the Joan and Sanford I. Weill MedicalCollege and Graduate School of Medical Sciences(including the Weill Cornell Medical College inQatar). Across the university, revenues are plannedto increase 3.1 percent from the current-year fore-cast, to $3.24 billion, and operating expenditures areexpected to increase 4.3 percent, to $3.24 billion.This growth partly reflects activity in the facultyrenewal program and the increased use of operatingreserves to fund capital project activity. Figures 1and 2 on the facing page provide a functionaloverview of revenues and expenses.

As we continue to work to contain administrativecosts, reallocate resources, and invest in strategicpriorities, both academic and administrative, weare reminded that our models reflect a significantreduction in New York State operating budget ap-propriations at 9.3 percent ($12.6 million). We expect comparable decreases in other state supportfor special programs and Bundy Aid. Together withthe Administrative Streamlining Program (ASP)targets, the Ithaca campus is incorporating $17.8million of expenditure reductions and reallocationsin its fiscal 2011-12 plan. Units continue to use oper-ating fund balances to bridge activities curtailedduring the economic recovery and to fund capitalprojects. This budget contains over $64 million infund balance transfers.

I believe we have made substantial progress duringmy first full year as Vice President in establishingbetter practices in budgeting and planning. Severalkey staff positions were filled, including an assistantvice president, the university budget director, andthe director of institutional research and planning.

The Administrative Streamlining Program officewas established and is now fully engaged in ensur-ing that the campus-wide effectiveness initiatives,identified from the Ithaca campus’ collaborationwith the external consultants, continue to moveforward. Streamlining programs have resulted inover $43 million in expenditure reductions and real-locations to date. With the fiscal 2011-12 implemen-tation, an additional $14 million is planned. Effortsare underway to replace the aging financial andbudget system with Kuali modules. Most impor-tantly, the division’s Institutional Research andPlanning group has worked cooperatively acrossthe university to bring the university’s decennialreaccreditation process to completion. More detailson these efforts and initiatives are recorded in thepages that follow.

We continue to benefit from the extraordinarilygenerous support of our alumni, advisors, andfriends as well as the success of our investmentstrategies. This support has been significantenough to merit a change in our planned payoutstrategy; we will maintain the endowment payoutat current levels for 2011-12 rather than reduce it asoriginally planned a few years ago.

This year we have chosen to feature the last decadeof our capital program, highlighting the significanceof these investments in positioning Cornell to real-ize the goals enumerated in its Strategic Plan. Thesummary and detail level budget formats for theIthaca campus and Weill Cornell Medical College,along with space and capital plans, remain un-changed. The appendices have been expanded toinclude annually updated comparisons with ourfaculty peers. Together with the President and theProvost, we continue to depend on your guidanceduring these challenging but exciting times.

Elmira Mangum, PhD

Vice President for Planning and Budget

OVERVIEW

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COMPOSITE OPERATING PLAN

Cornell’s composite operating plan for 2011-12 is

based on the plans of its two main divisions: the

Ithaca campus and the Weill Medical College (with

campuses in New York City and Doha, Qatar). The

schedule on the facing page shows the overall uni-

versity plan, with summary and detail plans for

each campus immediately following.

ResourcesRevenues are projected at $3.24 billion, an increase

of 3.1 percent from the 2010-11 forecast.

• Tuition and fee revenues are planned to increase 4.9

percent, based on approved tuition rate increases and

overall enrollment growth.

• The net increase in investment distributions is

expected to be 1.1 percent, primarily due to new gifts

to endowment.

• The combination of unrestricted and restricted gifts

for general operations is expected to increase from

the 2010-11 forecast, with the Ithaca Campus planning

increases in the campaign and faculty initiatives offset

by a decline at Weill.

• Direct costs of grants and contracts for sponsored

programs are expected to decrease 4.6 percent,

while recoveries of facilities and administrative costs

related to those programs are projected to increase

2.1 percent. Qatar sponsored revenues is planned to

increase by 20.4 percent. Sponsored direct and facili-

ties and administrative recovery is planned in total at

$626.1 million.

• State appropriations are planned at $132.7 million,

including a $12.6 million base reduction from the

2010-11 forecast, as well as additional reductions in

special program funding. This projection is considered

to be final based on projections provided by the State

University of New York (SUNY) and the New York State

Executive Budget (See Appendix H for additional details

on state appropriations).

• Revenues from the Physician Organization are

projected to increase $50.5 million over the 2010-11

forecast due to expansion of current programs and

more recently implemented practices.

• Enterprise sales and services are projected to

increase 3.9 percent, reflecting rate increases for

student housing and dining services.

Uses of Resources Expenditures are planned at $3.24 billion, an increase

of 4.7 percent from the forecast for 2010-11.

• Salaries, wages, and benefits are projected to

increase $65.9 million or 3.9 percent, due to com-

pensation increases and the introduction of the faculty

renewal program.

• Undergraduate financial aid is expected to increase

by $19.5 million or 9.5 percent over the 2010-11

forecast. The annual growth rate since 2004-05 to

2010-11 has been 13.1 percent.

• Graduate and professional financial aid remains

nearly flat, projected to increase by $2.2 million or

1.4 percent over the 2010-11 forecast.

• General expenses are projected to increase $22.5

million or 2.9 percent over the forecast for 2010-11

due to increases in contractual, facilities, and one-time

expenditures, and continued use of fund balance

reserves to bridge activities.

• Qatar expenses in support of the academic program

and research are expected to increase $25.5 million

due to academic programs in Qatar and the Biomedical

Research agreement.

• Other expenses, including capitalized equipment and

books, are projected to decrease $1.1 million or 2.1

percent.

• Debt service is projected to decrease by 5.0 percent,

or $5 million.

Transfers To/From Fund Balances Net transfers to non-operating funds are planned

to total $2.2 million, with $6.9 million transferred in

from funds functioning as endowment to support

operations, $68.8 million transferred to plant funds

to support non-debt financed capital project ex-

penditures and equipment renewal and replacement,

and $64.1 million transferred in from unit reserves

to support one-time expenditures.

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Operating Plan - Highlights

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Table 1: Composite Operating Plan (dollars in thousands)

Resources1. Tuition & Fees 741,865 776,002 782,774 821,047 38,273 4.9%

2. Investment/Endowment Distribution 303,700 277,736 279,686 282,712 3,026 1.1%

3. Unrestricted Gifts 61,426 47,189 47,697 52,732 5,035 10.6%

4. Restricted Gifts 106,490 98,601 100,762 103,784 3,022 3.0%

5. Sponsored Programs (Direct) 501,532 449,907 456,004 435,188 (20,816) -4.6%

6. Sponsored Programs (F&A) 133,407 130,732 133,828 136,622 2,794 2.1%

7. Sponsored Programs (Qatar) 12,044 39,891 45,070 54,247 9,177 20.4%

8. Institutional Allowances 31,929 33,182 33,493 36,330 2,837 8.5%

9. State Appropriations 158,417 146,634 148,081 132,652 (15,429) -10.4%

10. Federal Appropriations 16,888 18,542 18,542 19,367 825 0.0%

11. Physician Organization (PO) 558,670 610,620 597,499 648,007 50,508 8.5%

12. NYPH (Purchased Services) 95,258 94,690 96,726 98,391 1,665 1.7%

13. Enterprise Sales & Services 148,454 152,608 153,005 159,013 6,008 3.9%

14. Qatar Foundation 67,843 78,541 67,472 83,622 16,150 23.9%

15. Educational Activities and Other Sources 167,289 160,156 178,466 173,789 (4,677) -2.6%

16. Subtotal In-Year Revenues 3,105,212 3,115,031 3,139,105 3,237,503 98,398 3.1%

Uses of Resources17. Salaries & Wages (Including Benefits) 1,660,684 1,696,491 1,701,591 1,767,493 65,902 3.9%

18. Undergraduate Financial Aid 183,702 197,546 205,000 224,502 19,502 9.5%

19. Graduate Financial Aid 149,496 148,860 151,445 153,636 2,191 1.4%

20. General Expense 724,454 800,024 761,038 783,488 22,450 2.9%

21. Qatar 78,814 117,432 111,542 137,069 25,527 22.9%

22. Other Expenses 58,756 49,524 49,524 48,468 (1,056) -2.1%

23. University Cost Redistributions (63) 0 (5,300) 0 5,300 -100.0%

24. Subtotal Expenditures 2,855,843 3,009,877 2,974,840 3,114,656 139,816 4.7%

25. Interest Expense on Taxable Debt 106,800 24,500 24,500 24,651 151 0.6%

26. Debt Service 34,475 89,821 103,685 98,540 (5,145) -5.0%

27. Subtotal Debt 141,275 114,321 128,185 123,191 (4,994) -3.9%

28. Net Before Transfers 108,094 (9,167) 36,080 (344) (36,424)

Transfers (to)/from Fund Balances29. Endowment (7,118) 9,919 16,486 6,869 (9,617)

30. Plant/Project Support (110,430) (61,267) (61,267) (68,754) (7,487)

31. Reserves 29,503 32,497 32,497 64,145 31,648

32. Subtotal Transfers (88,045) (18,851) (12,284) 2,260 14,544

33. Net from Operations 20,049 (28,018) 23,796 1,916 (21,880)

09-10Actual

10-11Budget

10-11Forecast

11-12Plan Dollars Percent

Change fromForecast to Plan

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Table 2: Composite Operating Plan - by Division (dollars in thousands)







7. Sponsored Programs (Qatar) 0 54,247 54,247 45,070 9,177 20.4%

8. Institutional Allowances 0 36,330 36,330 33,493 2,837 8.5%

9. State Appropriations 132,529 123 132,652 148,081 (15,429) -10.4%

10. Federal Appropriations 19,367 0 19,367 18,542 825 0.0%

11. Physician Organization (PO) 0 648,007 648,007 597,499 50,508 8.5%

12. NYPH (Purchased Services) 0 98,391 98,391 96,726 1,665 1.7%


14. Qatar Foundation 0 83,622 83,622 67,472 16,150 23.9%



Uses of Resources17. Salaries & Wages (Including Benefits) 1,053,428 714,065 1,767,493 1,701,591 65,902 3.9%

18. Undergraduate Financial Aid 224,502 0 224,502 205,000 19,502 9.5%


20. General Expense 397,314 386,174 783,488 761,038 22,450 2.9%

21. Qatar 0 137,069 137,069 111,542 25,527 22.9%

22. Other Expenses 48,468 0 48,468 49,524 (1,056) -2.1%

23. University Cost Redistributions (1,896) 1,896 0 (5,300) 5,300 -100.0%


25. Interest Expense on Taxable Debt 24,651 0 24,651 24,500 151 0.6%

26. Debt Service 78,868 19,672 98,540 103,685 (5,145) -5.0%

27. Subtotal Debt 103,519 19,672 123,191 128,185 (4,994) -3.9%

28. Net Before Transfers (10,409) 10,065 (344) 36,080 (36,424)

Transfers (to)/from Fund Balances29. Endowment 4,893 1,976 6,869 16,486 (9,617)


31. Reserves 64,145 0 64,145 32,497 31,648

32. Subtotal Transfers 2,884 (624) 2,260 (12,284) 14,544

33. Net from Operations (7,525) 9,441 1,916 23,796 (21,880)

Ithaca Campus

Medical College

11-12 Plan

10-11 Forecast Dollars Percent


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“We continue to benefit from the extraordinarily generous support ofour alumni, advisors and friends aswell as the success of our investmentstrategies.”

Operating Details by Campus

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ITHACA CAMPUS

ResourcesRevenues are planned at $1.9 billion, an increase of

1.1 percent from the 2010-11 forecast.

• Tuition and fee revenues are planned to increase

$37.2 million, or 4.9 percent, from the 2010-11

forecast based on increases in tuition rates for the

Ithaca campus (see Appendix A).

• Investment resources are projected to increase

$2.3 million from the 2010-11 forecast. Distributions

on endowment and other funds experienced a slight

growth due to an increase in the number of shares in-

vested, and the payout rate will remain at $2.20 per

share for a second year. Other planned investment

activity includes a continued withdrawal of $35 million

for undergraduate financial aid and the retirement of

taxable debt.

• Unrestricted and restricted gifts to current

operations are anticipated to increase over 2010-

11 projections, totaling $104.8 million, due to gifts

targeted for the faculty renewal initiative.

• Sponsored program direct and facilities and

administrative costs are projected to total $394.4

million in 2011-12, a decrease of 2.4 percent over

the 2010-11 forecast due to a decline of other research

activity. Some of this decline is due to reductions in

sponsored activity in the colleges of Veterinary

Medicine and Human Ecology.

• State appropriations, including special purpose

appropriations, are planned at $132.5 million,

reflecting a net decrease of 10.4 percent from the

2010-11 forecast. This estimate is considered to be

final based on the projections provided by the State

University of New York (SUNY) and the New York

State Executive Budget (see Appendix H).

Uses of Resources Expenditures are planned at $1.9 billion, an

increase of 3.4 percent from the forecast for 2010-11.

• Salaries and benefits are projected to increase

$35.0 million or 3.4 percent. Some colleges have

already started hiring replacement faculty under the

faculty renewal program. There is also a planned 3

percent salary improvement program and 1 percent

increase in fringe benefit rates.

• Undergraduate financial aid is planned to increase

by $19.5 million or 9.5 percent over the 2010-11

forecast.

• Graduate and professional financial aid is projected

to remain flat compared to the 2010-11 forecast

due to a small decline in enrollment.

• General expenses are planned at $397.3 million,

showing a slight increase over the 2010-11 forecast.

Significant components of the total plan include $114

million for sponsored research activities; $82.6 million

for utilities, rent, and taxes; and $60.7 million for

planned repair and maintenance costs. Additionally,

$12 million that will be supported by unit operating

reserves is planned for one-time investments in aca-

demic programs, faculty start-up, and other initiatives.

• Other expenses are projected to decrease by $1.1

million from 2010-11. This category includes capital-

ized equipment, books, and other expenses.

• Interest expense on taxable debt is planned to

remain comparable to the 2010-11 forecast, $24.7

million in accordance with the planned repayment

schedule for $500 million of taxable debt secured in

2008-09. Debt service is projected to decrease by

$5.3 million, or 6.3 percent.

Transfers To/From Fund Balances• Net transfers from non-operating funds are planned to

total $2.8 million, with $4.9 million transferred in from

funds functioning as endowment to support operations,

$66.2 million transferred to plant funds to support

non-debt financed capital project expenditures and

capitalized equipment, and $64.1 million transferred in

from unit reserves to support one-time expenditures.

Operating Plan - Details

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Table 3: Ithaca Campus - Summary (dollars in thousands)







7. Institutional Allowances 0 0 0 0 0 0.0%

8. State Appropriations 158,297 146,437 147,960 132,529 (15,431) -10.4%

9. Federal Appropriations 16,888 18,542 18,542 19,367 825 0.0%




Uses of Resources13. Salaries & Wages (Including Benefits) 1,017,191 1,026,334 1,018,400 1,053,428 35,028 3.4%

14. Undergraduate Financial Aid 183,702 197,546 205,000 224,502 19,502 9.5%

15. Graduate Financial Aid 130,122 132,144 135,000 134,853 (147) -0.1%

16. General Expense 371,880 413,989 394,491 397,314 2,823 0.7%

17. Other Expenses 58,756 49,524 49,524 48,468 (1,056) 0.0%

18. University Cost Redistributions (1,828) (1,841) (7,141) (1,896) 5,245 -73.4%


20. Interest Expense on Taxable Debt 106,800 24,500 24,500 24,651 151 0.6%

21. Debt Service 22,096 75,828 84,147 78,868 (5,279) -6.3%

22. Subtotal Debt 128,896 100,328 108,647 103,519 (5,128) -4.7%

23. Net before Transfers 87,404 (19,914) 24,860 (10,409) (35,269)

Transfers (to)/from Fund Balances24. Endowment (7,118) 6,641 13,456 4,893 (8,563)


26. Reserves 29,503 32,497 32,497 64,145 31,648

27. Subtotal Transfers (85,545) (19,579) (12,764) 2,884 15,648

28. Net from Operations 1,859 (39,493) 12,096 (7,525) (19,621)

09-10 Actual

10-11 Budget

10-11Forecast



Table 4: Ithaca Campus - Details (dollars in thousands)

Resources1. Tuition & Fees 398,489 125,948 6,130 324 22,140 40,866 42,588

2. Investment Distributions 77,981 13,425 1,664 7,655 11,907 2,450 2,989

3. Unrestricted Gifts 12,756 8,645 265 3,354 2,475 1,100 631

4. Restricted Gifts 4,000 14,021 206 6,115 2,626 1,722 1,070

5. Sponsored Programs (Direct) 0 72,574 137 24,699 44,760 0 15,235

6. Sponsored Programs (F&A) 53,545 18,872 0 0 0 0 4,596

7. Institutional Allowances 0 0 0 0 0 0 0

8. State Appropriations 16,881 47,151 0 0 0 100 6,065

9. Federal Appropriations 0 11,819 0 0 0 0 3,512

10. Enterprise Sales & Services 0 0 0 0 0 0 0

11. Other Sources 6,558 15,907 1,349 1,967 1,266 16,823 1,876

12. Inter-Unit Revenue Transfers 26,770 (838) 936 (3,083) (682) (5,021) (2,110)

13. Subtotal In-Year Revenues 596,980 327,524 10,687 41,031 84,492 58,040 76,452

14. General Purpose Allocations (824,328) 19,393 13,959 139,224 56,726 10 333

15. Total Resources (227,348) 346,917 24,646 180,255 141,218 58,050 76,785

Uses of Resources16. Salaries & Wages 0 149,594 12,783 107,263 72,103 25,114 37,416

17. Employee Benefits 0 15,360 3,639 31,158 18,796 8,163 3,051

18. Undergraduate Financial Aid 0 1,780 185 445 2,480 97 662

19. Graduate Financial Aid 0 16,178 2,582 19,861 18,302 112 3,791

20. General Expense 0 49,025 3,733 15,882 25,776 8,542 8,521

21. Purchased Services 0 7,969 1,114 1,226 894 834 2,315

22. Utilities, Rents & Taxes 0 3,009 1,165 45 341 1,283 545

23. Repairs & Maintenance 0 10,993 652 649 1,024 657 253

24. Capital Expense 0 4,385 0 3,441 3,327 100 369

25. Subtotal Expenditures 0 258,293 25,853 179,970 143,043 44,902 56,923

26. Accessory Instruction 773 3,566 0 0 0 (1,747) 1,469

27. Administrative & Support (117,487) 46,055 0 0 0 7,695 11,269

28. Financial Aid (63,430) 38,355 0 0 0 6,857 11,415

29. Subtotal Cost Redistribution (180,144) 87,976 0 0 0 12,805 24,153

30. Debt Service 0 323 742 0 0 2,993 304

31. Interest Expense on Taxable Debt 0 0 0 0 0 0 0

32. Subtotal Debt 0 323 742 0 0 2,993 304

33. Net Expenditures (180,144) 346,592 26,595 179,970 143,043 60,700 81,380

34. Net Before Transfers (47,204) 325 (1,949) 285 (1,825) (2,650) (4,595)

Transfers (to)/from Non-operating Support

35. Endowment 0 (98) 0 255 78 0 0

36. Plant/Capital Project Support 0 (27) (2,098) (4,550) (21) (500) (3,805)

37. Reserves 0 (21) 4,047 9,210 3,940 3,201 8,400

38. Subtotal Transfers 0 (146) 1,949 4,915 3,997 2,701 4,595

39. Net from Operations (47,204) 179 0 5,200 2,172 51 0

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GeneralPurposeBudget

Agriculture& Life

Sciences

ArchitectureArt &

PlanningArts &

Sciences EngineeringHotelAdmin

HumanEcology

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34,699 50,236 35,761 15,737 0 19,264 0 0 0 0 0 792,182

1,655 5,229 4,689 6,886 605 14,280 61,636 1,589 394 1,350 24,737 241,121

1,574 3,220 1,883 2,000 9 1,502 5,110 303 2,050 0 3,545 50,422

2,031 3,412 826 1,900 4,035 6,057 3,700 2,657 0 0 0 54,378

5,776 7 0 31,105 92,458 11,108 3,300 152 164 4,000 0 305,475

1,331 (67) 0 10,603 0 0 0 0 0 0 0 88,880

0 0 0 0 0 0 0 0 0 0 0 0

8,346 100 60 25,447 0 3,920 0 0 767 23,692 0 132,529

0 0 0 589 0 3,427 0 0 20 0 0 19,367

0 0 0 0 0 418 0 104,292 23,316 7,712 0 135,738

10,717 1,395 563 23,784 6,893 20,423 0 10,208 3,908 6,050 0 129,687

(2,219) (4,951) (9,098) (2,503) (4,318) (12,678) 101 (11,723) 13,920 17,497 0 0

63,910 58,581 34,684 115,548 99,682 67,721 73,847 107,478 44,539 60,301 28,282 1,949,779

483 86 80 3,271 13,414 87,489 182,643 32,864 162,333 112,020 0 0

64,393 58,667 34,764 118,819 113,096 155,210 256,490 140,342 206,872 172,321 28,282 1,949,779

27,476 28,307 16,111 63,378 38,361 66,520 0 46,753 109,920 51,411 (6,000) 846,510

1,750 8,772 5,412 4,837 12,380 18,889 0 15,376 44,592 16,783 (2,040) 206,918

208 0 0 0 123 120 217,952 450 0 0 0 224,502

2,328 7,706 2,808 6,089 3,851 10,253 40,835 108 49 0 0 134,853

6,900 9,501 3,736 21,675 36,381 36,079 0 25,283 30,444 (67,877) (11,340) 202,261

4,284 2,914 947 1,916 2,151 4,343 0 4,487 12,739 3,523 0 51,656

1,411 3,782 663 1,268 2,935 556 0 10,563 5,180 49,855 0 82,601

215 316 522 1,702 2,016 2,003 0 5,999 7,229 26,566 0 60,796

423 156 50 3,406 13,124 15,212 0 8 2,090 2,377 0 48,468

44,995 61,454 30,249 104,271 111,322 153,975 258,787 109,027 212,243 82,638 (19,380) 1,858,565

712 (4,473) (300) 0 0 0 0 0 0 0 0 0

8,645 5,976 4,395 15,300 0 55 0 6,708 2,636 6,855 (1,896)

9,001 0 0 50 0 49 (2,297) 0 0 0 0 0

18,358 1,503 4,095 15,350 0 104 (2,297) 6,708 2,636 6,855 0 (1,896)

202 336 0 1,640 0 964 0 19,279 1,118 50,967 0 78,868

0 0 0 0 0 0 0 0 0 48 24,603 24,651

202 336 0 1,640 0 964 0 19,279 1,118 51,015 24,603 103,519

63,555 63,293 34,344 121,261 111,322 155,043 256,490 135,014 215,997 140,508 5,223 1,960,188

838 (4,626) 420 (2,442) 1,774 167 0 5,328 (9,125) 31,813 23,059 (10,409)

(152) 2,950 (150) 878 135 963 0 34 0 0 0 4,893

0 (914) (13) 0 (2,830) (161) 0 (12,981) (2,495) (35,759) 0 (66,154)

0 2,590 227 1,600 1,016 1,736 0 8,390 11,620 8,189 0 64,145

(152) 4,626 64 2,478 (1,679) 2,538 0 (4,557) 9,125 (27,570) 0 2,884

686 0 484 36 95 2,705 0 771 0 4,243 23,059 (7,525)

Industrial& LaborRelations

JohnsonSchool

Law School

VeterinaryMedicine

ResearchCenters

Other AcademicPrograms

Centrally RecordedFinancial

AidStudent Services

Admin&

SupportPhysicalPlant

IthacaAll Other

TotalIthacaCampus

WEILL CORNELL MEDICAL COLLEGE

Resources Resources for the Joan and Sanford I. Weill Medical

College for 2011‐12 are projected to reach $1.3 billion, an

increase of 6.4 percent over the forecast for 2010-11.

• Tuition and fees are budgeted at $28.9 million, an

increase of $1.1 million, or 3.9 percent from the fore-

cast. Tuition at the Medical School will increase by 1.0

percent to $46,000. Graduate School tuition will

increase by 2.8 percent to $29,282.

• Restricted gifts are expected to total $49.4 million, a

decrease of 4.4 percent from the current year forecast.

The plan includes a modest increase of 2.5 percent in

annual giving of gifts to the Medical College for re-

stricted initiatives. It also includes anticipated gifts to

be received to support strategic plan operating pro-

grams, including the campaign for Discoveries That

Make a Difference.

• Direct Costs of Sponsored Programs are planned

to decrease 4.6 percent, or $6.3 million from the

2010‐11 forecast, to a total of $129.7 million. The plan

includes no change to current NIH support and $5.0

million (compared to $13.9 million in the forecast) in

funding from the federal stimulus plan of 2009.

Recoveries for facilities and administrative costs, or

indirect costs from sponsored programs, are also ex-

pected to decline 4.2 percent in conjunction with the

direct costs. The federal indirect cost recovery rate will

stay at 69 percent.

• Sponsored Programs (Qatar) will increase $9.2

million or 20.4 percent reflecting program support

of the Qatar Biomedical Research Agreement.

• Physician Organization (PO) revenues are projected

at $648.0 million, a $50.5 million or 8.5 percent in-

crease from the 2010‐11 forecast. This plan includes

baseline growth of existing programs and new or re-

cently implemented practices, specifically Gastroin-

testinal and Digestive Care, the Oncology/Infusion

Center, Interventional Neuroradiology, MOHS Surgery

(in Dermatology), and Pediatric ENT.

• New York Presbyterian Hospital (NYPH): Revenues

for services purchased by NYPH are expected to total

$98.4 million, $1.7 million or 1.7 percent greater than

the forecast. These services include professional

costs related to hospital services and supervision and

training of NYPH residents.

• Qatar Foundation reflects support of $83.6 million to

operate the academic program in the Weill Medical

School in Qatar.

Uses Of Resources For the fiscal 2011‐12 plan, expenditures are expected

to total $1.3 billion, an increase of 6.6 percent, or

$78.4 million over the 2010‐11 forecast.

• Plan expenditures for salaries and wages including

benefits, are expected to grow 4.5 percent or $30.9

million from the forecast. The majority of the growth is

due to increases in compensation payments to faculty

resulting from clinical activities. The plan also includes

a 2 percent increase in merit awards to faculty and

staff. The fringe benefit rate for faculty, exempt and

non-exempt staff is expected to increase from 29.9

percent to 31.5 percent.

• Graduate financial aid costs, totaling $18.8 million,

include financial aid support for the Medical School,

Tri‐Institutional MD/PhD and Graduate School programs.

• General Expenses, totaling $386.2 million are pro-

jected to increase $19.6 million, or 5.4 percent from

2010‐11. These costs include rent, facility costs,

insurance, and laboratory supplies as well as routine

operating supplies.

• Qatar expenses include two components: expenses

related to the academic program in Qatar and the

research expenses of the Biomedical Research Agree-

ment. The plan is expected to increase 22.9 percent or

$25.5 million to $137.1 million.

• Debt Service payments are expected to remain

relatively level with the fiscal 2010–11 forecast at

$19.7 million.

Transfers To/From Fund BalancesTransfers of $2.0 million from departmental balances

are expected to be used to partially offset the de-

cline in investment income payout that began in

fiscal 2009–10. Fiscal 2011–12 is projected to be the

final year of such activity as the payout continues

to stabilize. Transfers to plant reserves of $2.6

million will be used for capital acquisitions and

renovations by the Physician Organization.

12

Op

era

tin

g P

lan

— D

eta

ils

Table 5: Medical College (dollars in thousands)


2. Investment/Endowment Distribution 46,031 41,520 40,865 41,591 726 1.8%

3. Unrestricted Gifts 4,667 1,792 2,300 2,310 10 0.4%

4. Restricted Gifts 51,021 49,522 51,683 49,406 (2,277) -4.4%


6. Sponsored Programs (F&A) 45,849 47,135 49,828 47,742 (2,086) -4.2%

7. Sponsored Programs (Qatar) 12,044 39,891 45,070 54,247 9,177 20.4%

8. Institutional Allowances 31,929 33,182 33,493 36,330 2,837 8.5%

9. State Appropriations 120 197 121 123 2 1.7%

10. Federal Appropriations 0 0 0 0 0 0.0%

11. Physician Organization (PO) 558,670 610,620 597,499 648,007 50,508 8.5%

12. NYPH (Purchased Services) 95,258 94,690 96,726 98,391 1,665 1.7%


14. Qatar Foundation 67,843 78,541 67,472 83,622 16,150 23.9%

15. Educational Activities and Other Sources 37,679 37,354 40,013 44,102 4,089 10.2%


Uses of Resources17. Salaries & Wages (Including Benefits) 643,493 670,157 683,191 714,065 30,874 4.5%

18. Undergraduate Financial Aid 0 0 0 0 0


20. General Expense 352,574 386,035 366,547 386,174 19,627 5.4%

21. Qatar 78,814 117,432 111,542 137,069 25,527 22.9%

22. University Cost Redistributions 1,765 1,841 1,841 1,896 55 3.0%


24. Debt Service 12,379 13,993 19,538 19,672 134 0.7%

25. Net Before Transfers 20,690 10,747 11,220 10,065 (1,155) -10.3%

Transfers (to)/from Fund Balances26. Endowment 0 3,278 3,030 1,976 (1,054)

27. Plant/Project Support (2,500) (2,550) (2,550) (2,600) (50)

28. Subtotal Transfers (2,500) 728 480 (624) (1,104)

29. Net from Operations 18,190 11,475 11,700 9,441 (2,259)

13

Op

eratin

g Pla

n —

Deta

ils

09-10 Actual

10-11 Budget

10-11Forecast



CORNELL’S REACCREDITATION

Cornell University has been accredited by the

Middle States Commission on Higher Education

(MSCHE, or “Middle States”) since 1921 and is due

for renewal in 2011. Our decennial accreditation

process involves an in-depth institutional self-

study and a site visit by a team of external peers.

The university recently completed both these steps,

and expects to receive notice of reaccreditation for

another 10 years this summer.

What is accreditation?Accreditation is a form of self-regulated external

quality review. Strictly speaking, university accred-

itation is entirely voluntary, but since the ratification

of the Higher Education Act of 1965, federal financial

aid dollars go only to institutions accredited by

federally recognized accrediting agencies. Cornell

is accredited through Middle States, the accrediting

agency for educational institutions in the mid-

Atlantic region.

In addition to the large regional accrediting agencies

that review entire institutions, there are numerous

specialized and professional accreditors. At Cornell

University, there are over twenty programs that

have received specialized accreditation. This type

of accreditation is separate and distinct from

university-wide accreditation.

The Decennial Self-Study and Team VisitBoth regional and specialized accreditors undertake

the task of accreditation in similar ways: each typi-

cally requires a self-study by the institution or

program under review, a review by peers (including

a site visit in most cases), and a judgment about

accreditation status.

The self-study is a significant effort. In the present

case, planning for the self-study was underway by

January 2009. The 300-page report was completed

just over two full years later in February 2011.

Scores of individuals—students, staff and faculty—

contributed to the document, now available on the

university’s web pages.1

The submission of the self-study report was followed

in March by a visit from a team of eight peer evalu-

ators, representing universities such as the University

of Pennsylvania, Georgetown, Johns Hopkins, and

Princeton. These peer evaluators were on the Ithaca

campus for four days, and members of the team

visited Weill Cornell Medical College in New York

City as well as the Cornell-Nanyang Institute of

Hospitality Management in Singapore.

At the conclusion of the visit to Ithaca’s campus,

the chair of Cornell’s evaluation team summarized

the team’s findings, stating that “All the evidence

we’ve reviewed indicates that Cornell’s programs

in research and teaching are of the highest caliber

and that the university’s fiscal and physical re-

sources are nurtured and used responsibly.” In

speaking to the Faculty Senate on April 13, Provost

Kent Fuchs characterized the evaluation visit as

“phenomenally successful.”

Next StepsAfter the visit, the evaluation team writes a formal

report of its findings; subsequently, the university

will have a chance to respond in writing to the con-

clusions of that report. These two documents will

then be discussed and considered at a June meeting

of the Middle States Commission on Higher

Education.

Cornell University should be informed of its status

vis-à-vis reaccreditation by early July.

14

Reaccreditation at Cornell

Reaccreditation at Cornell

1 http://dpb.cornell.edu/middlestates/Documents/2011%20Self%20Study%20FINAL.pdf

A critical strategy for the financial plan and balancing the budget has been thecontinuation of a targeted and aggressive review of major support functions withthe objective of realizing significant on-going cost reductions while ensuringthese support activities work effectively with fewer resources. Funds capturedfrom these support activities through fiscal year 2011 total $43 million. The totalon-going reductions from this effort are currently estimated to exceed the originalplan, but capital investments of approximately $2 million (excluding energy conservation projects) are needed during this period to fully realize these costreductions. The specific initiatives are listed in Table 6, with estimated reductionsfrom cost savings that can be generated through fiscal year 2015.

Table 6: Program Initiatives(dollars in millions)

Procurement $30.0 $2.7 $5.8 $17.7

Spans & Layers 17.3 14.4 0.5 2.2

Information Technology 12.0 2.0 6.0 5.0

Provost - 12.0 - -

Facilities 15.9 6.4 0.3 -

Centers & Institutes - 4.9 - -

Student & Academic Services - 0.2 0.2 1.6

Finance 1.8 0.5 0.8 -

Human Resources 1.0 - - (0.6)

Communications - - 0.5 -

Totals $78.0 $43.2 $14.1 $25.9

15

Implem

entin

g Administra

tive E

fficiencies

Implementing Administrative Efficiencies

Original Target

FY11 Recovered to Date

FY12 Budget

FY13-FY15ProjectedDollars

Actual and Projected Results to Date (Net of Investments)

Initiatives By Project

Procurement: This initiative is proactively managing

spending—particularly the selection of vendors

and the negotiation of commodity pricing—while

improving processes, tools, and analytical abilities.

This initiative is estimated to generate reductions

of $25-$30 million by fiscal year 2015. This program

is under the direction of the Vice President for Fi-

nance and Chief Financial Officer (CFO) and has

identified $2.7 million of recoverable funds for the

general operating budget. Additional expenditure

reductions of $1.7 million have been realized and

identified for restricted fund sources.

Facilities: This initiative will streamline and better

integrate facilities support operations across campus

and simultaneously drive savings through energy

conservation programs. Service restructuring is es-

timated to yield approximately $6.7 million by the

end of 2015, and energy conservation projects will

generate additional savings beyond 2015. These ini-

tiatives are being managed by the Vice President

for Facilities Services. To date, the facilities group

has pushed $6.4 million in reductions out to the

university community for recovery to the general

operating budget.

Information Technology: This initiative will pursue

cost reduction opportunities in areas such as end-

user support and application development and will

strengthen processes for managing campus-wide

IT activities and investments in the future. The ini-

tial start was delayed due to a planned change in

leadership; campus-wide efforts will begin in fiscal

year 2012. The initiative’s reductions potential is es-

timated to be $10-$15 million by fiscal 2015. This ini-

tiative is under the direction of the Vice President

for Information Technology and Chief Information

Officer (CIO).

Finance: This initiative centers around implementing

the new Kuali financial system to improve integra-

tion and provide more responsive tools for users.

Financial Transaction Centers (FTC) have been

created to better coordinate financial activities and

gain transaction processing efficiencies. Estimated

savings of approximately $1.3 million are expected

following the Kuali system implementation. This

program is under the direction of the Vice Presi-

dent for Finance and Chief Financial Officer (CFO).

Human Resources: This initiative focuses on

implementing the new HR/Payroll management

system (HRMS/Workday), which will provide

more efficient human resource service delivery.

The team has also successfully implemented an

On-Boarding (OB) Center to manage the new hire

experience for regular and temporary hires.

Spans & Layers: This initiative analyzed the

administrative overhead structure by assessing the

depth and width of the organization and identified

ways to optimize the effectiveness and efficiency

of support activities. Units were able to drive effi-

ciency by eliminating redundant supervision and

correcting under-utilization of resources. Total

reductions of $14 million have been achieved pri-

marily from position reductions resulting from

organizational restructuring across the Ithaca cam-

pus, enabled largely by the staff retirement incen-

tive program. Units were able to streamline their

organizations by increasing average spans from 4.9

to 6.0 employees per supervisor and by consolidat-

ing depth, with some units fully reducing 1 or 2 lay-

ers. This initiative is being monitored by the Vice

President for Human Resources and the Vice

President for Planning and Budget.

Provost: The provost’s office has reorganized central

operations and reduced the spans and layers of the

central organization through restructuring. In addi-

tion, in consultation with deans and vice presidents,

an item-by-item review of commitments without

fixed termination dates is underway. Further, the

elimination or phase-out of investments that do not

align with the university’s strategic plan is also in

progress. These efforts have generated approxi-

mately $12 million in expenditure reductions.

16

Implementing Administrative Efficiencies

Student & Academic Services: This initiative is

designed to optimize financial performance for

housing and dining operations and to develop long-

term funding strategies for elements of the athletics

and health services operations. The initial start was

delayed while impact studies and policy changes

were completed, allowing campus-wide efforts to

begin in fiscal year 2012. Estimated cost reductions

of approximately $2 million are expected once the

initiative is fully implemented. The Vice President

for Student and Academic Services has responsibility

for the implementation of actions resulting from

this initiative.

University Communications: Communications

support activities campus-wide are being exam-

ined. Operational efficiencies will be achieved by

sharing resources with academic units and consoli-

dating production and distribution services. These

efforts are estimated to reduce expenses by $0.5

million, when implemented.

Centers & Institutes: This initiative involves de-

veloping a university-wide protocol for centers and

programs to assist in determining effectiveness,

efficiency, and mission relevance. Reducing de-

pendency on the general purpose operating budget

and eliminating duplication of other university

functions has resulted in savings of approximately

$5 million.

The Administrative Streamlining Program Office,

under the direction of the Division of Planning and

Budget, leads implementation efforts by coordinat-

ing and tracking the execution of each initiative’s

plans. The office has developed metrics and meas-

ures to monitor results to achieve full savings ex-

pectations. The Office of the Vice President for

Human Resources is guiding the change manage-

ment functions, integrating adjustments as needed

across the university community to establish ap-

propriate operating standards for quality.

Figure 3 below shows the projected savings expec-

tations from each initiative. The Administrative

Streamlining Program has already achieved over 50

percent of plan expectations and is expected to

exceed the original plan target by fiscal year 2015.

17

Implem

entin

g Administra

tive E

fficiencies

Figure 3. Administrative Streamlining Program Results by Initiative

Last summer, Provost Fuchs asked the Division of

Planning and Budget to assess the feasibility of

implementing the budget model recommended by

the Budget Model Task Force in the winter of 2010.

The goal is to replace the three existing Ithaca

campus models with a single, coherent approach

that will allow for strategic planning and provide

appropriate incentives and resources to enhance

Cornell’s academic excellence.

Budget Model Redesign – The Review ProcessDuring the 2010-2011 academic year, Vice President

Mangum led a budget model redesign process that

engaged over sixty-five members of the Cornell

community, including a stakeholder executive

steering committee, to provide guidance to the

subcommittees charged with recommending solu-

tions for the following areas:

1) Pooling undergraduate instruction: A Cost of

Instruction Subcommittee was charged with

determining how to distribute net tuition

dollars to the undergraduate colleges.

2) Managing space costs: The Space Use Subcom-

mittee was tasked to recommend policies to in-

centivize more efficient use of space on campus.

3) Simplifying internal recharge operations: The

Recharge and Cost Recovery Operations Sub-

committee was asked to determine the proper

methodology for allocating costs from on-campus

service units (CIT, Facilities, Communications)

to campus “customers.”

4) Distributing central costs and revenues: The

Cost Allocation Methodology (CAM) and

University Support Subcommittee was formed to

identify the most efficient means of distributing

central support costs while ensuring the avail-

ability of sufficient discretionary resources in

a university support pool (USP) to address

strategic priorities.

5) Review of the historical distribution of New

York State appropriations: The New York State

Appropriation Subcommittee was asked to rec-

ommend alternatives to the current distribution

of state funding to the contract colleges for

operations, utilities, and plant expenditures.

This activity sparked a great deal of thoughtful

discussion across the campus. Each subcommittee

presented a formal report to the executive steering

committee. Three retreats involving deans, vice

presidents, and vice provosts further informed the

budget model redesign, identifying areas of agree-

ment and highlighting unresolved issues. These

issues and concerns were packaged and presented

to Provost Fuchs for resolution.

Results and Next StepsThe intent is to phase in several components of the

new budget model in fiscal 2011-2012 and fully im-

plement a new budget model by fiscal 2012-13. In

fiscal 2011-12, we will replace the administrative

component of the self-funded income model for

Cornell Abroad with an allocated budget, and trans-

fer the endowments for college-specific named pro-

fessorships away from the provost office to the

appropriate colleges and units. Provost Fuchs will

lead a new task force for implementation, which

will complete its work by the end of this summer.

18

The Cornell Budget Model Revision

The Cornell Budget Model Revision

19

A Deca

de o

f Capita

l Expansio

n

Since Cornell’s founding, several eras of building

expansion have occurred, from the early part of the

20th century, during and after World War II, and

most recently over the past twenty to twenty-five

years. The 2008 Campus Master Plan for the Ithaca

Campus lists five distinct periods of growth and

physical development: 1864–1900, 1900–1925,

1925–1950, 1950–1965, and 1965–2005.

The result is a legacy of historic and modern build-

ings and open spaces that will define the University’s

future development.2

Perhaps the largest capital expansion has occurred

since 1965, continuing to the present. Jane Pedersen,

Associate Dean of Administration for the College of

Arts and Sciences, has watched the progression of

change across the campus. She began her career at

Cornell University in the early 1970’s and will retire

in the coming months. In a recent interview, she re-

counted some of the changes she has witnessed

during her tenure at Cornell:

• Closure of Central Avenue and the subsequent

creation of Ho Plaza

• East Avenue acquiring a row of new “front doors,”

with substantive additions to Lincoln and Sage Halls,

and new construction: Duffield Hall and the Physical

Sciences Building

• Creation of an open plaza in front of Bailey Hall

• Infill of open space surrounding Uris Hall, from the

initial construction of the Statler Hotel to recent

additions to Ives Hall

• Construction of the Schwartz Center for the Perform-

ing Arts on College Avenue, as well as myriad other

changes in the Collegetown landscape

• Addition of the Biological Sciences sector, beginning

with Corson-Mudd, followed by Comstock Hall, the

Biotechnology Building, and Weill Hall

Following the economic downturn in 2008 and 2009,

the university entered a period of retrenchment

within a constrained fiscal environment. Today,

annual capital spending for new construction is be-

ginning to decline with restrictions on the ability to

issue long-term debt, and capital spending guide-

lines are now in place. As a result, the university

will begin to strategically shift spending toward

maintenance of existing facilities and investments in

energy conservation projects. This phenomenon is

certainly not unique to Cornell as universities and

colleges across the country are experiencing similar

fiscal complications. Figure 4 provides a view of the

annual expenditure budget for capital projects, sep-

arated by funding source. In this chart, university

funds represent unit funds, enterprise funds, and

General Purpose funds; SUCF represents those cap-

ital funds provided via State University of New York

(SUNY)/State University Construction Fund (SUCF);

Gifts & Other represents gifts, investment income,

and other government funds.

A Decade of Capital Expansion – 2001-2011

2 For details, see the Master Plan online at http://masterplan.cornell.edu

by John C. Adams, Assistant Vice President

While enrollment on the Ithaca campus has been

relatively stable over the past ten years and is pre-

dicted to remain flat or show slight growth in grad-

uate program enrollment and number of faculty,

demand for additional space has developed since

fiscal year 2001-02. Much of this demand has been

and continues to be generated by increased cross-

disciplinary areas of study and new technologies.

The tremendous growth in annual capital expendi-

tures for both Ithaca and WCMC campuses has

occurred in the past decade, from less than $100

million per year through fiscal year 1995-96 to over

$300 million per year for the past seven years.

Many of these expenditures have been in support of

badly needed renovations and upgrades to existing

facilities. For example, Olin Library is nearing com-

pletion on a $10 million project to provide critical fire

safety improvements, and Barton Hall received $8.9

million in upgrades to the exterior of the building,

addressing water penetration problems that have

existed for years. There are too many additional

renovation and upgrade projects of smaller dollar

amounts to list here, some funded through SUCF

and others funded through university operating funds.

Many new buildings have been erected on campus

as well. Figure 5 shows the Ithaca campus layout,

with new facilities added in the past ten years

highlighted in green. The following narrative pro-

vides details for many of these new facilities.

20

A Decade of Capital Expansion

Figure 4. Funding Sources - Annual Expenditure Budget(dollars in thousands)

21

A Deca

de o

f Capita

l Expansio

n

Figure 5. Buildings Constructed Since 2001 – Ithaca Campus

22


Laboratory of OrnithologyThe Imogene Powers Johnson Center for Birds and Biodiversity

offers 90,000 gross square feet (GSF) to accommodate an array of

academic, scientific research, library, visitor, administrative, and

museum activities. The visitor center is a two-story atrium space

that features art, bird exhibits, a small surround-sound theater, an

auditorium, shop, and an array of windows overlooking Sapsucker

Woods Pond and a bird feeding garden. The building is heated by

natural gas with an evaporative cooling system for summertime

use. It’s surrounded by a landscaped series of ponds, trails, obser-

vation platforms, and wetland/wildlife habitats. Completed in fis-

cal year 2003 at a total cost of $26.5 million, funding was provided

through private gifts.

Duffield HallDuffield Hall is one of the nation’s most sophisticated research

and teaching facilities for nanotechnology and the development

of novel materials. It supports research and instruction in elec-

tronic and photonic devices, micro-electromechanical devices,

advanced materials processing, and biotechnology devices. The

facility also provides a home to the Cornell Nanoscale Science

and Technology Facility, the nation’s oldest federally-sponsored

nanotechnology center. The total building area for Duffield Hall

is approximately 156,000 GSF, including a spacious atrium. Total

cost for Duffield Hall, completed in fiscal year 2005, was $62.9

million. Funding was provided through private gifts.

Weill HallWeill Hall is the keystone of the Life Sciences Initiative, providing

a variety of flexible and specialized research space and amenities

to support interdisciplinary research in the life sciences. The

Upper Alumni Field project site allows all-weather tunnel con-

nections to Biotechnology, Corson-Mudd, Plant Science, and sev-

eral of the buildings on the Ag Quad. Home of the Weill Institute

of Cell and Molecular Biology and the Department of Biomedical

Engineering, this $162.7 million facility was completed in fall 2008.

Sources of funding for Weill Hall included more than $70 million

from gifts and grants, $25 million from the State of New York, and

the balance from university funds.

ITHACA CAMPUS FACILITIES

East Campus Research FacilityThe East Campus Research Facility houses a multi-level vivarium

containing transgenic mice and conventional animals as well as

associated procedure and support space. The project also in-

cluded minor renovations of the current Core Transgenic Facility,

and the first floor of the Veterinary Research Tower was reno-

vated for general administrative services for the Center for Re-

search Animal Resources and the Institutional Animal Care and

Use Committee. The new building connects to the Veterinary Re-

search Tower and the Veterinary Education Center. The approxi-

mately 80,000-GSF facility was completed in 2008 at a cost of $55

million. The source of funding was long-term debt.

West Campus Residential InitiativeThe West Campus Residential Initiative (WCRI) was designed to

create a living and learning community of faculty, students, and

staff that fosters personal growth and nurtures scholarship. The

project eliminated the Class Halls and replaced them with five

new Houses. Each House has about 360 student beds and a dedi-

cated dining facility, and they are designed to accommodate a

wide variety of intellectual programs for students, supporting the

educational mission of the university and creating a seamless con-

tinuum of formal and informal learning.

As part of the project, the new Noyes Community Recreation

Center on West Campus replaced the existing Noyes Center. The

new recreation center is approximately 30,000 GSF, offering stu-

dents a convenient indoor gym as well as fitness, aerobics, per-

formance, and other spaces.

Completion of the project occurred in phases, with the first phase

completion in August 2004. Final construction was complete in

August 2008, two years ahead of schedule. Total cost for this proj-

ect was $225.9 million, with funding provided through gift funds

and long-term debt.

Ives Faculty BuildingThis project addressed critical maintenance needs and provided

infrastructure improvements to the Ives Hall Faculty Building.

The building was originally constructed in 1937 for Veterinary

College use and has had only minor renovations in the past 70

23

A Deca

de o

f Capita

l Expansio

n

years. The existing building systems were beyond their expected

service life and did not meet the reliability or quality standards of

modern structures. Additional concerns included the presence of

asbestos, lack of handicap accessibility, lack of proper exit stair-

ways, lack of building environmental control systems, and the

need for an improved fire suppression system. The reconstruction

phase addressed the infrastructure needs in the Ives Hall Faculty

Building and provided for additional program space through mod-

ification to the basement level. Expenses totaled $16 million, and

the project concluded in fall 2010. Sources of funding included $14

million from the State University Construction Fund and $2 million

of College funds.

Physical Sciences BuildingThe Physical Sciences Project was designed to create additional

research and instructional space for use by the Departments of

Physics, Chemistry and Chemical Biology, and the School of Ap-

plied and Engineering Physics. The primary goal was to increase

the amount of quality space for collaboration, research, and in-

struction within a state-of-the-art facility. The new Physical Sci-

ences Building contains labs, offices, and public spaces, including

an atrium connecting it to Clark Hall and Baker Lab. Total cost for

this facility was $140.4 million, with funding provided from gifts

($22 million), unit funds ($2.3 million), other government funds

($3.8 million), and the remainder through debt financing. Occupa-

tion of the building began in August 2010 with the lower three

floors. Complete occupancy occurred in December 2010.

Combined Heat and Power ProjectAs the university constructed a number of large, energy-intensive

facilities including the East Campus Research Facility and Weill

Hall, the Central Heating Plant required additional steam generat-

ing capacity. In addition, one boiler in the plant was at the end of

its useful life and its capacity needed to be replaced. The planning

process to address this need began in 2001, and an analysis deter-

mined that the best option was to install two combustion turbines

with a combined nominal electrical capacity of 30 megawatts, each

with an associated heat recovery steam generator to provide the

additional needed steam capacity. The project, completed in fall

2009 at a total cost of $82.3 million, was primarily debt-financed

with repayment from enterprise funds generated by utility rates.

24


Human Ecology BuildingThis State University Capital Plan project provides a building

for the College of Human Ecology to replace North Martha Van

Rensselaer, which was condemned and evacuated in 2001 and

demolished in 2005. This project also provides structured parking

for about 90 spaces lost in the construction of the MVR West ad-

dition and the replacement building. In addition, approximately

170 additional spaces will help relieve central campus parking

pressure created by parking spaces lost due to other projects.

Project completion is scheduled for spring 2011 at a cost of $71.1

million. Sources of funding included an SUCF contribution of

$42.1 million, unit funding of $9.5 million, and long-term debt for

the garage portion of $19.5 million.

Animal Health Diagnostic CenterThe Animal Health Diagnostic Center (AHDC) is a 126,000-GSF

facility sited in the northeast corner of the College of Veterinary

Medicine complex. It consolidates a variety of functions that were

being performed throughout Tompkins County. As part of a con-

tractual agreement between Cornell University and the NYS

Department of Agriculture and Markets, the AHDC carries out

many regulatory programs on behalf of the State of New York.

The facility contains wet laboratories to facilitate diagnosis and

testing of samples as well as a large animal necropsy facility and a

state-of-the-art Biosafety Level III suite. Construction was com-

pleted in fall 2010 at a cost of $71.5 million. Funding for this project

included $21 million of long-term debt (to be repaid from College

and General Purpose budget funds), and a grant from New York

State for $50.5 million.

Johnson Museum ExpansionThis project will add roughly 16,100 square feet to the Johnson

Museum of Art. Of this, only about 1,800 square feet will be above

ground. The remaining square footage will be below ground to

align with, and connect to, Level 2L and the basement of the exist-

ing building. The above-ground portion of the addition will float

in the lawn panel situated to the north of the existing building and

to the south of University Avenue. The addition will have its own

entrance from Central Avenue, allowing the space to function in-

dependently from the main building as needed. This project will

also alter and renovate limited portions of the original building

and address exit and fire sprinkler issues. Scheduled construction

25

A Deca

de o

f Capita

l Expansio

n

26


completion is August 2011 with a total cost of $19 million. Funding

for this project is approximately two-thirds from gifts and one-third

from unit funds.

Milstein Hall This project is a building addition to the College of Architecture,

Art and Planning, which will unite the second floors of Rand and

Sibley Halls while preserving an open landscape beneath. The

design will create flexible contiguous studio space, meeting and

exhibition space, a 280-seat auditorium, and a college forum

showcasing student and faculty work. Milstein Hall will unify the

college’s existing programs, now housed in four separate buildings,

and promote new and innovative ways of teaching. The unique

design creates a central arrival and gathering space for the college

within the historic context of the site and the adjacent Arts Quad.

Projected completion is August 2011 at a total cost of $55.5 million.

Funding sources include approximately $32.5 million in gifts, $4.4

million of General Purpose funding, and the balance from long-term

debt financing, to be repaid from College and General Purpose

budget funds.

Weill Cornell Medical College FacilitiesIn addition to changes on the Ithaca campus, new and renovated

facilities have changed the Weill Cornell Medical College campus

in New York City as well.

The Weill Greenberg Center is a state-of-the-art, 13-story building

with 300,000 GSF of space. Designed to make the ambulatory

patient experience pleasant and efficient, the building houses

numerous specialty clinical programs, as well as world-class re-

search and medical education facilities. Many unique patient

amenities are incorporated in the design of the building, including

a 6,400-square-foot Patient Welcome Center. The building also

features an innovative Clinical Skills Center in which students

can practice clinical skills in a controlled environment.

Opened in January 2007, the $229.8 million Weill Greenberg Cen-

ter is located at the corner of York Avenue and East 70th Street.

As a centerpiece of the Advancing the Clinical Mission Campaign,

the Weill Greenberg Center was fully funded by philanthropy.

27

A Deca

de o

f Capita

l Expansio

n

Lake Source Cooling and the Energy Conservation InitiativeThe Lake Source Cooling Project and Energy Con-

servation Initiative represent Cornell’s efforts to

reduce reliance on fossil fuels and contain costs

through energy savings.

The Lake Source Cooling (LSC) project began

providing 16,000 tons of cooling to Cornell Univer-

sity’s Ithaca campus in July of 2000. This project

has almost completely replaced mechanical refrig-

eration for the Cornell district cooling system.

Prior to LSC, Cornell’s closed loop cooling system

had been chilled by refrigeration. Lake Source

cooling allows heat to be transferred to colder lake

water, without refrigeration and the energy that

produces it. Cold lake water is pumped to a heat

exchanger at the shore, where it absorbs some of

the heat in water used to cool Cornell and Ithaca

High School, then returns to shallow waters in the

lake. Because of the closed-loop system, the

Cornell water and the lake water never mix.

Some energy is needed to pipe the cold water two

miles to the heat exchanger, but gravity does the

rest, returning it back to the lake. As a result, the

LSC has considerably reduced Cornell’s reliance on

fossil fuels. Since coming on line, LSC has saved 86

million kilowatt-hours of electricity, or an average of

25 million kilowatt-hours per year—enough to con-

tinuously supply 2,500 homes in Tompkins County.

This represents about an 86 percent reduction in

energy use for campus cooling.

The Energy Conservation Initiative is a five-year

effort to cost-effectively create lasting energy savings

by optimizing building automation and control sys-

tems, heat recovery systems, and lighting systems.

The project involves studies and projects in nearly

all buildings on the Ithaca campus. Total project

capital cost is approximately $46 million with a

planned five- to seven-year payback at billed campus

utility rates. This initiative is a logical next step in

a continuum of stewardship of campus facilities

and infrastructure.

Following the massive investment over the past few years in new buildings, major renovations and

upgrades, and investments in energy efficiency, the next major focus for campus investment should

be maintenance. The current backlog of deferred maintenance totals nearly $500 million. Large capital

projects become necessary due to lack of regular funding to address deferred maintenance issues.

For example, up to $7 million may be needed to clear critical maintenance needs and energy con-

sumption problems in Bradfield Hall, a fifteen-story laboratory, office, and classroom building.

The annual capital budget plan contains funds to address maintenance issues. Without this shift in

emphasis toward maintaining campus building exteriors and interior spaces, continued erosion of

facility conditions may require major capital investments in new facilities.

Next Steps

Over the last few years, the university’s capital

plan has focused increasingly on strategic priori-

ties. Capital planning for Cornell’s physical assets

requires the consideration of a variety of factors,

impacts, and constraints, and an attention to the

fabric and function of the campus as a whole. Ele-

ments in the strategic decision processes include

infrastructure needs; the inventory of deferred

maintenance needs; the efficient utilization of

space; the aesthetics of design; fundraising capac-

ity and priorities; the availability of support from

state, federal, and private resources; debt capacity

and repayment burden; and the cost of operating

and maintaining the campus.

The university’s capital plan details the capital

project activity anticipated over a 5-year horizon in

order to meet the university’s objectives. The plan

examines the financial impacts of these projects,

including the ability and priority for gift fundrais-

ing, the capacity to borrow and the ability to repay

debt financing, the availability of New York State

funding, the need for central institutional support,

and the ongoing cost of operating and maintaining

the physical assets. Each of those financial consid-

erations is weighed in relation to other competing

demands on constrained resources. In addition, the

timing of the projects is considered as they relate

to other projects and the internal resources and ex-

ternal workforce required for a given level of con-

current construction activity. The resultant capital

plan is a manifestation of Cornell’s priorities and

initiatives.

After moving to a 5-year planning horizon in fiscal

year 1994-95, the university’s total capital plan

grew at an average annual rate of 7.9 percent

through fiscal year 2008-09. Since that time, the

university has put strict requirements on funding

plans for capital projects (see Capital Project

Spending Guidelines in Appendix R) and con-

strained the use of debt, the availability of central

funding, and the ability to raise funds for capital

activity. As a result, the total capital plans over the

last three years have declined at an average annual

rate of 14.5 percent.

The schedules on subsequent pages highlight plans

to address the university’s strategic initiatives, pro-

gram enhancements, and the maintenance, renewal,

and improvement of its buildings and campus

infrastructure.

CAPITAL ACTIVITY

The projects in the approved capital plan (Table 7)

include those with budgets greater than $250,000

that have been approved for planning, design, or

construction; projects that represent academic or

programmatic priorities for use of unit resources;

necessary ongoing investments in maintenance and

infrastructure projects; or projects undertaken as

part of the 2009-13 State University Construction

Fund (SUCF) capital plan. All projects have com-

plete funding plans in place. Proposed projects that

are reliant on uncertain sources of funding (gifts to

be raised, future New York State capital plans, grant

proposals, etc.) or those that require new debt have

been deferred until a certain funding plan is in

place. In addition, any project utilizing gift funding

will not be allowed to commence construction until

fundraising is complete and 75 percent of the gift

funds are in hand.

Capital Plan HighlightsThe university has already authorized $1.12 billion

(68 percent) of capital activity on projects with an

estimated total ultimate budget of $1.65 billion. The

28

Capital Plan —

2011–12

Capital Plan – 2011-12

total planned activity over the next five years rep-

resents an 11 percent reduction from the fiscal year

2010-11 capital plan.

Of the approved project costs, $492.7 million (30

percent) is estimated to be spent by the end of the

2010-11 fiscal year. If future projects proceed as

planned, the capital budget for expenditures during

2011-12 will total $373.9 million, and an estimated

$782.3 million will be spent over the remaining

years of the plan.

Projects that have been fully authorized and are un-

derway make up $977.2 million (59 percent) of the

total capital plan. They include the Weill Cornell

Medical College’s Medical Research Building, the

renovation of Stocking Hall and construction of a

new Food Science Building, the new Human Ecol-

ogy Building and parking garage, the construction

of Milstein Hall, and the renovation of Warren Hall.

Major projects (project budgets greater than $10

million) and new construction planned for the

Ithaca campus represent $157.6 million of project

cost. Each of these projects has design work or

phases of construction already authorized. This

group of projects includes the phased renovations

of Martha Van Rensselaer, the construction of

Gates Hall, renovation and new space for the Law

School, means restriction on campus bridges, and

the construction of a new teaching dairy barn.

Additional capital activity not included in the two

previous categories that is principally funded by

the State University of New York (SUNY) capital

plan comprises approximately $66 million of total

budget and includes a variety of facilities and infra-

structure maintenance projects and upgrades for

the Contract Colleges.

Ithaca campus facilities and infrastructure mainte-

nance and upgrades, energy conservation, adminis-

trative systems, and college and unit programmatic

renovations and improvements make up $397.1

million of planned activity.

Finally, the Weill Cornell Medical College has

plans for clinical program improvements plus ex-

pansion and maintenance needs which will require

$51 million in addition to the projects approved or

already underway. The key component of the clini-

cal planning strategy is the Medical College’s ex-

pansion to a new practice site located on the west

side of Manhattan.

FUNDING SOURCES

More than half of the funding for capital projects

depends directly on external resources (Table 8).

Sources of external debt financing are shown in

Table 9. The use of university resources for repay-

ment of debt financing is reflected in the appropriate

unit operating budget (Table 10).

Gift and grant funding, including grants from

governmental or private institutions, is projected at

$532.6 million, or 32 percent of the total approved

capital activity. More than 90 percent of this funding

is associated with the Medical Research Building,

Gates Hall, and Milstein Hall. The estimated value

of gifts and grants in hand or pledged for approved

projects is $477.2 million, leaving $55.4 million to be

raised.

New York State support is projected to fund $326.5

million (20 percent) of total project costs through

the SUNY Capital Plan. This current SUNY five-

year plan extends to 2013. Projects to be funded

from the next SUNY capital plan are not included

in the university’s current capital plan. The process

for determining Cornell’s submission to the state

will take place over the next 12-18 months.

Funding from General Purpose resources amounts

to $443.4 million (27 percent) of approved capital

activity. Nearly half of this amount is the Medical

College’s funding of the debt service for the Medical

Research Building. Funding from unit resources

and enterprise operations represents $346.5 million

(21 percent) of planned expenditures.

29

Capita

l Plan —

2011–12

Based on an analysis of project expenditures and

funding availability, the university expects to fi-

nance $276.2 million of approved project costs

using long-term debt and another $5.4 million of

short-term bridge financing to accommodate the

timing of gift receipts. Approximately 92 percent of

the planned debt financing is in support of projects

fully approved and underway. The balance is

planned for energy conservation work.

A funding plan for the estimated operating and

maintenance costs of each capital project is re-

quired when construction is authorized, and the

resulting costs are included in the responsible

unit’s operating budget plans. Projects included in

the approved 5-year capital plan are expected to in-

crease annual operating and maintenance costs by

$12.0 million at Weill Cornell Medical College in

New York City due to the new Medical Research

Building. For the Ithaca campus, the estimated net

impact of projects is an annual increase of $3.4 mil-

lion as the result of extensive energy conservation

work on the campus. These projects are projected

to add about 553,000 gross square feet (GSF) of

new space on the Ithaca campus and about 476,000

GSF at Weill Cornell Medical College. The work in

the capital plan is also expected to address about

$207 million of the university’s deferred maintenance

inventory.

Debt PlanProceeds from various debt issuances and borrowings

provide for the financing needs of the university’s

capital projects. Debt allows the university to un-

dertake capital projects when cash funding is not

available at the time capital expenditures are made,

and allows the spread of costs related to a project

over multiple fiscal years.

30

Capital Plan —

2011–12

Figure 6. Funding Sources - FY 2011-12 Expenditure Budget

The need for short-term bridge financing and long-

term debt as indicated in the university’s 5-year

capital plan is the basis for the University Treasurer’s

plan for Cornell’s debt structure (defined as debt

load, timing, and type of borrowing instrument,

among other factors). In addition to an assessment

of the ability to repay borrowings by the relevant

internal university source of funding, there is regu-

lar monitoring of the university’s external capacity

to borrow (measured by the impact that additional

debt has on financial ratios and debt ratings provided

by independent rating agencies). The borrowing

needs for the capital plan and projected repayment

of existing and new debt are key inputs into the

university’s 5-year financial model.

The university’s external debt includes tax-exempt

and taxable borrowings but excludes debt issued

by New York State for Contract College projects.

The latter is paid directly by the state and is not

recorded in the university’s budgets or financial

statements. Cornell is expected to have $1.946

billion of external debt at the beginning of 2011-12.

During 2011-12, estimated payments of $135.2 million

in principal and interest will be made on this

outstanding debt.

In fiscal year 2011-12, the university plans to go

forward with capital projects for which financing

has been previously secured or those deemed criti-

cal to either the mission of the university or the life

and safety of the campus community. The university

plans to use the tax-exempt and taxable commercial

paper programs (authorized at $200 million per

program) during fiscal year 2011-12 to finance capital

projects, operating working capital, and equipment

purchases in Ithaca and New York City.

The schedule of debt service by operating unit

identifies outstanding debt balances and budgeted

debt service by operating unit. A distinction is

made between debt service paid directly by an op-

erating unit and that budgeted and paid by central

resources for the benefit of operating units. Other

than the debt due to a few major projects at or

nearing completion (407 East 61st Street Science

Building, Physical Sciences Building, Animal

Health Diagnostic Center, Milstein Hall) there was

very little additional borrowing over the last year

and nearly all units saw their debt balances decrease.

The major driver for future use of long-term debt is

in support of Weill Cornell Medical College’s new

Medical Research Building.

31

Capita

l Plan —

2011–12

Table 7: Approved Capital Activity

(current dollars in thousands)

1. WCMC Medical Research Building 650,000 630,000 12,000 476

2. Stocking Hall Renovation & Food Science Bldg 95,800 95,800 10,575 2,085 100

3. North MVR Replacement/Parking Garage 71,100 71,100 1,000 1,410 193

4. Milstein Hall 55,500 55,500 500 844 42

5. Warren Hall Renovations 51,000 51,000 10,830 755

6. Johnson Museum Expansion 19,000 19,000 257 16

7. Fernow Hall Rehab and Roof Repairs 12,288 12,288 2,310 88 1

8. Olin Library Fire Safety Improvements 10,000 10,000 15

9. Cornell Rowing Center 7,500 7,500 46 11

10. Arecibo Telescope Painting 5,300 5,300

11. Arecibo Improvements 3,585 3,585

12. Fernow and Rice Hall Renovations Design 3,256 3,256

13. University Avenue/Gorge Stabilization 2,796 2,796

14. Contract Colleges Facilities Master Plan 2,500 2,500

15. Vet Research Tower Renovation Design 2,500 2,500

16. Arecibo High Frequency Facility 1,965 1,965

17. Electrical Substations Upgrades Design 1,310 1,310

18. Various Contract Colleges Elevator Upgrades 1,030 1,030

19. Arecibo Tower & Cable Painting 800 800

Projects Approved/Under Way 997,230 977,230 25,215 17,500 839

20. MVR 1933 / East Rehab Phase 0-2 45,950 65,161 30,000 100

21. Gates Hall 8,560 60,000 1,630 100

22. Law School Master Plan Phase 1 930 15,300 439 14

23. Bridge Means Restriction 925 10,100

24. Large Animal Teaching Complex/Dairy Barn 1,300 7,012 117 32

Major Projects/New Construction 57,665 157,573 30,000 2,286 146

25. Energy Conservation Projects, Phase 1 2,043 22,842 450 (2,284)

26. Contract College Misc. Rehab/Repair 9,827 20,989 20,989

27. Tower Road Utility Power System Upgrade 310 4,760 3,000

28. Multiple Building Roof Replacements, Phase 1 300 4,005 5,000

29. Data/Communications Wiring Upgrade, Phase 1 330 3,979

30. East Campus Storm Sewer Replacement 276 2,000 2,000

31. Bldg Electric Service Entrance Upgrade, Phase 1 1,142 1,999

32. Conservatory Greenhouse 230 2,049 1,000

33. Geneva Campus Roof Replacements 381 1,020 800

34. VMC Small Animal Surgery HVAC 73 1,011

35. Geneva Campus Electrical Upgrades 150 815 650

36. Geneva Castle Street Housing Renovation 117 512

New York State Funded 15,178 65,981 33,889 (2,284) 0

* O & M = operations and maintenance; ~ GSF = gross square feet+ SUCF = State University Construction Fund

Note 1: Amounts include planned long-term debt and short-term bridge financing.

32

Capital Plan —

2011–12

AuthorizedBudget

EstimatedTotal

Budget

DeferredMaint

Addressed

EstimatedO&M CostImpact *

AdditionalSpaceGSF ~

33

Capita

l Plan —

2011–12

414,000 216,000 216,000 154,000 154,000 322,000

1,800 94,000 24,859 24,400 46,541

29,000 42,100 19,500 68,194 2,906

32,486 11,198 11,816 24,057 46,799 8,701

1,000 50,000 10,744 13,300 26,956

11,900 7,100 17,746 1,254

250 12,038 2,050 5,100 5,138

9,000 1,000 9,000 1,000

7,500 5,567 1,933

5,300 5,200 100

3,585 3,485 100

144 3,112 2,031 785 440

2,734 62 2,097 699

2,500 1,500 1,000

80 2,420 1,570 930

1,965 1,865 100

1,310 981 194 135

1,030 847 183

800 700 100

465,886 236,198 54,924 208,510 11,712 259,557 359,235 215,855 402,140

2,361 60,800 2,000 45,054 12,305 7,802

48,319 11,681 5,800 3,700 50,500

15,300 383 1,148 13,770

10,100 1,500 8,600

12 7,000 4,506 2,506

48,319 21,781 17,673 67,800 2,000 0 57,243 28,258 72,072

10,936 2,778 9,128 10,936 4,559 6,843 11,440

20,989 11,662 4,550 4,777

100 4,660 2,083 2,677

5 4,000 601 1,802 1,603

50 3,929 520 1,020 2,439

100 1,900 276 1,725

1,174 825 1,099 900

49 2,000 402 1,647

20 1,000 310 710

11 1,000 688 323

15 800 150 665

78 434 307 205

0 10,936 4,381 50,231 434 10,936 22,657 22,166 21,158

Gifts/InvestmentIncome

GeneralPurpose

Unit/Enterprise SUCF+

OtherGov’t./

Institution

DebtFinancing(see note 1)

Through10-11

11-12Budget

12-13 to15-16

Beyond15-16

1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

11.

12.

13.

14.

15.

16.

17.

18.

19.

20.

21.

22.

23.

24.

25.

26.

27.

28.

29.

30.

31.

32.

33.

34.

35.

36.

FUNDING SOURCES EXPENDITURE PATTERN

Table 7: Approved Capital Activity cont.

(current dollars in thousands)

37. Planned Maintenance 400 39,731 39,731

38. Extraordinary Maintenance Projects 3,890 16,990 7,825

39. Gen’l Purpose Maint. & Infrastructure Projects 1,950 12,275

40. Administrative Systems 25,600 44,300

41. CIT Maint. & Infrastructure Projects 1,553 47,310

42. Transportation Projects & Community Initiatives 3,359

43. Real Estate Maintenance Projects 251 3,157 (53)

44. Energy & Sustainability Projects 2,283 12,461 (1,136)

45. Utilities Maint. & Infrastructure Projects 1,948 47,519 32,950 (195)

46. Campus Life Maint. & Infrastructure Projects 1,094 46,211 18,625 (481)

47. Cornell Store Projects 1,500

48. Arts & Sciences Projects 1,180 9,100

49. Architecture, Art, & Planning Projects 1,200 8,100 793 35

50. Engineering Projects 105 45,165 (31)

51. Hotel Projects 3,000

52. Agriculture & Life Sciences Projects 599 26,562 7,250 (252)

53. Human Ecology Projects 154 3,650 625

54. Industrial & Labor Relations Projects 52 3,750

55. Veterinary Medicine Projects 600 6,850

56. Johnson School Projects 142 3,700

57. Information Science Projects 950

58. Library Projects 5,300 50

59. Cornell in Washington Projects 90 1,160

60. Student & Academic Services Projects 54 2,300 195

61. Fraternity/Sorority Projects 300 200

62. Athletics Projects 2,450 150

Maintenance, Infrastructure, Unit 43,145 397,149 108,344 (2,062) 0

63. West Side Clinical Practices 25,000 30

64. East Side Pediatric Practice Expansion 10,000 9

65. Deferred Maintenance 638 8,638 8,638

66. Mailroom Relocation/New Autopsy Suite 1,994 1,994

67. PET/CT Scanner Replacement 1,700 1,700

68. 7th Cycle Inspections 1,362 1,362 1,362

69. Living Lab for Successful Aging 1,200

70. Institute for Alzheimer’s Research 594 594

71. Medicine Clinical Research Core 500 5

Weill Cornell Medical College Projects 6,288 50,988 10,000 0 44

Total Capital Activity 1,119,506 1,648,920 207,448 15,439 1,029

* O & M = operations and maintenance; ~ GSF = gross square feet+ SUCF = State University Construction Fund

Note 1: Amounts include planned long-term debt and short-term bridge financing.

34

Capital Plan —

2011–12

AuthorizedBudget

EstimatedTotal

Budget

DeferredMaint

Addressed

EstimatedO&M CostImpact *

AdditionalSpaceGSF ~

35

Capita

l Plan —

2011–12

39,731 6,875 32,856

16,590 400 1,763 4,087 11,140

12,275 625 2,150 9,500

44,300 16,592 12,064 15,644

26,938 20,372 3,099 9,007 35,204

3,359 887 1,347 1,125

3,157 264 222 1,395 1,396 144

10,095 2,366 8,627 2,283 3,534 6,644

11,359 36,160 2,631 5,438 33,490 5,960

1,100 45,111 4,515 10,885 28,446 2,365

1,500 75 1,425

500 900 7,700 700 2,400 4,800 1,200

1,250 6,850 1,000 500 6,600

500 241 44,424 3,300 8,500 33,365

3,000 3,000

26,360 201 2,269 3,297 7,290 15,975

3,650 654 1,696 1,300

1,133 2,617 67 950 2,733

6,850 825 2,350 3,675

3,700 550 1,125 2,025

950 400 550

5,300 100 1,745 3,455

1,160 60 350 750

2,300 400 1,000 900

300 25 275

2,450 375 825 1,250

3,533 163,678 229,736 0 201 11,159 44,444 87,763 255,273 9,669

25,000 2,000 10,000 13,000

10,000 3,000 4,000 3,000

8,638 638 2,000 6,000

756 756 481 1,443 551

1,700 700 1,000

1,362 500 862

1,200 200 1,000

594 500 94

500 100 400

0 10,756 39,750 0 481 0 9,081 19,907 22,000

517,737 443,350 346,464 326,541 14,828 281,652 492,660 373,949 772,643 9,669

37.

38.

39.

40.

41.

42.

43.

44.

45.

46.

47.

48.

49.

50.

51.

52.

53.

54.

55.

56.

57.

58.

59.

60.

61.

62.

63.

64.

65.

66.

67.

68.

69.

70.

71.

FUNDING SOURCES EXPENDITURE PATTERN

Gifts/InvestmentIncome

GeneralPurpose

Unit/Enterprise SUCF+

OtherGov’t./

Institution

DebtFinancing(see note 1)

Through10-11

11-12Budget

12-13 to15-16

Beyond15-16

Table 8: Sources and Uses of Capital Expenditures(dollars in thousands)

1. Ithaca General Purpose Funds (1) 33,925 41,923 25,621 39,381 24,462 24,921 190,233 2. WCMC General Purpose Funds (1) 1,619 3,137 2,000 2,000 2,000 10,756

3. Gifts in Hand 37,814 5,021 19,257 300 300 300 62,992 4. Gifts Pledged 1,198 5,238 633 7,268 4,819 19,156 5. Gifts to be Raised 2,215 2,215 6. Ithaca Gift Funds (2) 39,012 12,474 19,890 7,568 5,119 300 84,363

7. Gifts In Hand 115,000 19,000 115,000 249,000 8. Gifts Pledged 43,000 46,000 23,000 112,000 9. Gifts to Be Raised 45,000 8,000 53,000 10. WCMC Gift Funds (2) 115,000 19,000 158,000 91,000 31,000 414,000

11. Investment Income (3) 5,932 1,268 6,732 13,932 12. Unit Funds (4) 30,490 43,798 38,731 39,013 32,945 20,805 7,160 212,942 13. WCMC Unit Funds (4) 1,981 2,769 4,750

14. Enterprise Funds (5) 9,025 16,928 11,541 6,470 8,076 5,375 2,509 59,923 15. WCMC Enterprise Funds (5) 5,000 14,000 16,000 35,000

16. SUCF Capital (6) 150,124 78,605 48,883 30,237 18,692 326,541 17. Other Gov’t/Institution (7) 13,582 764 14,347 18. WCMC Other Gov’t/Institution (7) 481 481

19. Ithaca Campus Debt 47,488 5,551 9,533 2,080 1,000 65,652 20. WCMC Medical Debt 39,000 135,000 42,000 216,000 21. Subtotal Debt Financing (8) 86,488 140,551 51,533 2,080 1,000 281,652

22. Total Capital Funding/Financing 492,660 373,949 373,467 224,481 123,294 51,401 9,669 1,648,920

1. Projects Approved/Under Way (incl. WCMC) 359,235 215,855 231,023 121,100 50,017 977,230 2. Major Projects/New Construction (incl. NYS) 57,243 28,258 31,244 33,503 7,325 157,573 3. New York State Funded 22,657 22,166 18,742 2,416 65,981 4. Maintenance, Infrastructure, and Unit 44,444 87,763 74,457 65,462 63,952 51,401 9,669 397,149 5. Medical College Projects 9,081 19,907 18,000 2,000 2,000 50,988 6. Total Capital Expenditures 492,660 373,949 373,467 224,481 123,294 51,401 9,669 1,648,920

Notes(1) General Purpose funds are resources provided from the central university General Purpose or Medical College budgets. Project examples include

Medical Research Building, administrative systems, energy conservation, and maintenance.(2) Gifts are restricted gifts for capital projects. Gifts in Hand are cash payments. Gifts Pledged are gift commitments with future payment. Gifts to be

Raised are a projection of future, to-be-identified gifts that can be raised for projects. Project examples include Milstein Hall, Gates Hall, and the MedicalResearch Building.

(3) Investment Income is interest earned on gift funds in hand prior to expenditure on project costs. Project examples include Milstein Hall and Gates Hall.(4) Unit funds are resources provided by colleges or other units from their operations or reserves. Project examples include Milstein Hall, Law School, CIT,

utilities, college projects, and contributions to state-funded projects.(5) Enterprise funds are resources provided by units run as enterprise and revenues generated by rates. Examples include Campus Life, Real Estate, and

Transportation.(6) SUCF Capital is New York State funding provided to the SUNY campuses, administered by the State University Construction Fund. Project examples

include North Martha Van Rensselaer replacement, Stocking Hall renovation/addition, MVR 1933/East rehabilitation, and Warren Hall renovation.(7) Other Government/Institution funds are resources provided by New York State through appropriations outside of the SUNY/SUCF process, or grants

provided by federal or local government agencies or private institutions. Project examples include Arecibo projects.(8) Debt financing includes both long-term debt repaid by amortized debt service payments from operating budgets and short-term bridge financing

repaid by receipt of future gift payments. Project examples include Milstein Hall, the Human Ecology Building Parking Garage, the Medical ResearchBuilding, and energy conservation.

36

Capital Plan —

2011–12

To Date 11-12 12-13 13-14 14-15 15-16Beyond15-16 Total

Sources

To Date 11-12 12-13 13-14 14-15 15-16Beyond15-16 Total

Uses

Table 9: Summary of External Debt Financing(dollars in thousands)

Tax-Exempt Debt 1. Series 1990B 0.10-5.00% 2025 50,450 47,980 4,808 4,811 4,812

2. Series 1998 Commercial Paper 2.99% until 10/1/12 2037 6,155 29,375 863 863 863

3. Series 2000A 2.99% until 10/1/12 2029 53,005 51,090 3,517 3,657 3,707

4. Series 2000B 4.63% 2030 70,680 68,460 5,487 5,495 5,492

5. IDA Series 2000 5.20-5.25% 2011 1,165 - - -

6. IDA Series 2002A 4.52% 2030 42,145 41,940 3,341 3,340 3,337

7. IDA Series 2002B 4.33% 2015 15,390 15,390 508 508 508

8. Series 2004 3.51% 2033 83,900 81,600 5,264 5,255 5,243

9. Series 2006 4.00-5.00% 2035 207,660 196,120 20,918 20,279 19,645

10 IDA Series 2008 2.00-5.00% 2037 70,000 68,630 4,735 4,711 4,742

11. Series 2008 3.00-5.00% 2037 127,785 125,420 8,637 8,634 8,634

12. Series 2009 3.00-5.00% 2039 305,000 305,000 20,283 20,280 20,282

13. Series 2010 4.00-5.00% 2040 285,000 285,000 14,088 14,088 14,088

14. Subtotal Tax-Exempt Debt 1,318,335 1,316,005 92,447 91,922 91,351

Taxable Debt 15. Series 1987B 11.11% 2012 5,200 3,080 2,697 806 -

16. Sallie Mae - Series 1999 6.50% 2019 4,355 - - - -

17. Series 2009 taxable 4.35-5.45% 2019 500,000 500,000 24,500 24,500 274,500

18. Commercial Paper Variable - 97,500 121,866 5,560 5,416 5,400

19. Urban Development Corp. 0.00% 2029 2,375 2,250 125 125 125

20. Other Various 2029 2,817 2,676 258 262 262

21. Total Taxable 612,247 629,872 33,140 31,109 280,287

Swap Interest - - 9,591 7,117 5,012

Total External Debt 1,930,582 1,945,877 135,179 130,148 376,649

Notes• The total outstanding external debt and the sum of external debt service payments for 2011-12 shown above are different fromthe corresponding outstanding operating unit debt balances and debt service totals in Table 8 due to a combination of: (a) differences in timing of borrowing and repayment between the university and various operating units; (b) debt costs, includingcompounded interest, to be recovered from future interest payments on operating unit debt; (c) external debt service on commercial paper programs that is planned above as interest only; and (d) proceeds of debt issues used to pay issuance costs,on deposit in construction funds, or deposited into reserves to pay future debt service or fund project maintenance.

• While Series 2000A, 2000B, 2002A, 2004 and a portion of the tax-exempt commercial paper were issued as variable-rate debt, they havebeen swapped to fixed rates for various terms, which are reflected in the interest-rate information and projected debt service payments.

• Cornell maintains a pool of working capital and a line of credit that are used to meet the daily cash flow of disbursements.

37

Capita

l Plan —

2011–12

ActualBalance6/30/10

ForecastBalance6/30/11 11-12 12-13 13-14Interest Rate

MaturityDate

Projected ExternalDebt Service Payments

Table 10: Debt Service by Operating Unit(dollars in thousands)

Ithaca Campus

1. Agriculture & Life Sciences 3,516 2,851 323 323 2. Architecture, Art & Planning 10,928 742 855 1,597 3. Arts & Sciences 67,787 92,893 6,952 6,952 4. Engineering 36,641 41,123 3,539 3,539 5. Hotel Administration 14,989 13,843 2,993 2,993 6. Human Ecology 917 761 304 304 7. Industrial & Labor Relations 1,456 1,320 202 202 8. Johnson School 12,093 3,415 336 336 9. Law School 2,728 2,265 582 582 10. Veterinary Medicine 6,820 19,108 1,640 958 2,598 11. Subtotal Colleges 146,947 188,507 6,540 12,886 19,426

12. Animal Facilities 56,811 54,844 4,726 4,726 13. Biotechnology 4,958 14. Life Sciences 91,094 88,076 6,404 6,404 15. Theory Center 2,500 2,375 127 127 16. All Other 819 17. Subtotal Research Centers 156,182 145,295 11,257 11,257

18. Africana Center 2,125 1,831 387 387 19. Athletics & Physical Education 6,245 5,511 473 473 20. Cornell In Washington 2,790 2,704 262 262 21. Library 12,644 9,709 863 863 22. All Other 1,216 1,040 229 229 23. Subtotal Other Academic Programs 25,020 20,795 964 1,250 2,214

24. Campus Life 217,031 195,834 18,832 18,832 25. Dean of Students 175 158 25 25 26. Fraternities/Sororities 2,906 2,755 423 423 27. Gannett Health Services 2,091 1,824 361 361 28. Subtotal Student Services 222,203 200,571 19,280 361 19,641

29. Human Resources 7,050 6,624 562 562 30. Information Technologies 12,234 10,721 556 1,096 1,652 31. All Other 732 612 137 137 32. Subtotal Administrative & Support 20,016 17,957 1,118 1,233 2,351

33. Facilities & Campus Services 156,509 152,849 15,235 406 15,641 34. Real Estate 21,066 15,458 2,276 2,276 35. Transportation/Mail Service 25,378 24,997 2,591 2,591 36. Subtotal Physical Plant 202,953 193,304 20,102 406 20,508

37. Ithaca All Other 11,822 9,100 3,471 3,471

38. Total Ithaca Campus 785,143 775,529 48,004 30,864 78,868

Medical College

39. Research 55,692 138,849 8,651 8,651 40. Residences 77,308 74,627 6,333 6,333 41. Clinical Care 518 303 235 235 42. Infrastructure/Administrative 15,331 14,648 1,398 1,398 43. Total Medical College 148,849 228,427 16,617 16,617

44. Total University 933,992 1,003,956 64,621 30,864 95,485

38

Capital Plan —

2011–12

2/28/10 2/28/11Unit

BudgetCentralBudget Total

Outstanding Balance2011-2012 Debt Service

The formation of an operational framework for the

space planning and management program at Cornell

is well underway. A significant amount of progress

in embedding the principles of effective space

planning and management into informed decision-

making is in large part due to the functioning of

the Space Use Advisory Committee (SUAC) over

the past year. In March 2010, Vice President Elmira

Mangum appointed and charged the committee

with three goals:

• Develop policies, procedures and other recommenda-

tions concerning the use and renovation of space and

the allocation of existing space,

• Recommend allocations of university space,

including off-campus leased space, and

• Develop procedures to synchronize unit space planning

during the annual capital plan development process.

The SUAC has made progress on a number of tasks

outlined in its charge.

PrinciplesOne of the most significant tasks is to develop

space management principles to provide a consis-

tent framework to allocate space, plan for future

space needs of the organization, and manage Cor-

nell space effectively and efficiently. In October

2010, the SUAC published Space Use Principles for

Registered Organizations, available online. These

principles provide helpful guidance to the officers

and advisors of the more than 800 registered

organizations at Cornell.

The SUAC also drafted space management operating

guidelines to assist the entirety of the Ithaca campus

with issues related to the allocation and reassign-

ment of space. The draft is in the review process

with the Capital Planning Group and the Capital

Funding and Priorities Committee.

Trust and TransparencyThrough the budget model redesign effort and the

committee charge, the committee was also asked to

recommend a university process for reallocation of

space and to develop memorandum of understanding

templates and procedures to engender trust and

transparency in space transactions. In response,

the SUAC has created two new forms: Request for

Allocation of Space (long form) and the Notice of

Programmatic Space Need (short form). Units with

a space need are directed to these forms, and the

requests are processed in the regular meetings of

the SUAC. A new program template also helps

units quantify their space needs and identify par-

ticular characteristics such as programmatic adja-

cencies. In addition, several memoranda of

understanding are now in place for temporary

space exchanges. These existing agreements are

serving as templates for new discussions of space

transactions.

AccountabilityThe committee is also developing procedures that

require accountability to the Cornell space guide-

lines for any capital projects that create new space

or change use of existing space. The revised Proj-

ect Approval Request (PAR) now includes a new

section identifying project space impacts. Further,

project managers now work more closely with the

Director of Space Planning when projects that im-

pact space are in development, and the director re-

views all PARs with a space impact. The SUAC has

also drafted a standardized process for space stud-

ies that will be implemented in conjunction with a

larger facilities master planning effort coordinated

through the university architect’s office. The stan-

dardized process is now in review through the

Capital Planning Group and the Capital Funding

and Priorities Committee.

39

Space P

lanning

Space Planning

PlanningAnother task outlined in the SUAC charge is to

develop procedures requiring units to update space

plans during the annual capital plan development

process. As a result, the capital plan annual “call

for projects” now asks all units to identify space

impacts in terms of changes in net assignable

square feet and swing space requirements, surge

plans, and surge costs and funding.

Reliable ReportingThe SUAC is responsible for developing standard

reports to enhance transparency and consistency.

So far, the Director of Space Planning and the Fa-

cilities Inventory Group in facilities services have

developed written business rules for pulling and

analyzing space data that will ensure a consistent

analysis of Cornell space over time. Additional

reports related to leased space and classroom avail-

ability and utilization are in progress. These reports

are the result of collaborative development with

stakeholders in Cornell University Real Estate and

the office of the University Registrar..

Standardized StudiesThe SUAC also serves as the executive group for space

utilization studies, providing uniformity in approach

and interpretation. The standardized approach to

space studies, now in review, requires units to pres-

ent their goals for space studies to the SUAC in ad-

vance of the work and then present the findings and

recommendations to the SUAC at the end of the

work. The guidelines also suggest that space studies

be advised by interdisciplinary working groups that

include the Director of Space Planning.

Next StepsA Request for Proposals for an Ithaca campus

space utilization study is in development. The

SUAC will serve as the executive committee for

this study, which is expected to kick off in fall 2011.

The Ithaca campus study will review the use of

space in existing and projected facilities and quantify

the university’s current space requirements using

Cornell space guidelines, peer benchmarks, and any

other standards deemed appropriate by a selected

consultant. The overarching goal is to understand

campus space utilization in order to inform allocation,

reassignment, and capital planning decision-making.

40

Space Planning

41

AppendicesAppendicesA Academic Year Tuitions .........................................

B Student Fees and Other Tuition Rates ..................

C Enrollment Assumptions........................................

D Undergraduate Tuition and Fees, Room and Board:

Ivy League, Peer, and Common Acceptance

Institutions .............................................................

E Undergraduate Tuition and Fees, Selected Public

and Land-Grant Institutions ..................................

F Average Nine-Month Faculty Salaries, Selected

Research Institutions.............................................

G Undergraduate Financial Aid .................................

H New York State Appropriations .............................

I Facilities and Administrative Costs and

Employee Benefits Billing Rates............................

J Investment Assets, Returns, and Payouts ............

K Endowment per Full-Time Student, Selected

Institutions .............................................................

L Gifts/Contributions through March 31, 2011.........

M Campaign for Cornell Gifts through March 31, 2011.

N Projected Maintenance Funding – Ithaca Campus

O Work Force – Ithaca Campus ................................

P Room and Board Rates – Ithaca Campus.............

Q Ithaca Campus Faculty Peers by College .............

R Capital Project Spending Guidelines.....................

S Division Directory...................................................

42

43

44

45

46

47

48

49

50

51

52

53

54

55

56

57

58

59

60

Academic Year Tuitions

Endowed Ithaca1. Undergraduate 36,300 37,750 39,450 41,325 4.75%

2. Graduate School (research degrees) * 29,500 29,500 29,500 29,500 0.00%

3. Graduate School (professional degrees) † 36,300 37,750 39,450 41,325 4.75%

4. Hotel Administration (Mgt. Intern Pgm. - per term) 14,520 15,100 15,780 16,530 4.75%

5. Johnson School (MBA entering students) 44,950 47,150 49,272 51,480 4.48%

6. Johnson School (MBA continuing students) 44,950 46,700 49,272 51,480 4.48%

7. Johnson School (accelerated MBA program - summer) 26,400 27,700 29,800 31,140 4.50%

8. Johnson School (Cornell-Queen’s EMBA - 17 month) 98,000 99,800 103,680 106,890 3.10%

9. Johnson School (executive MBA program - 2 year) 127,800 133,600 138,800 145,380 4.74%

10. Law School (entering students) 46,670 48,950 51,150 53,150 3.91%

11. Law School (2nd year students) 45,800 48,950 51,150 53,150 3.91%

12. Law School (3rd year students) 44,850 48,050 51,150 53,150 3.91%

13. Law School (LL.M 1-yr. program) 49,120 51,530 53,850 56,490 4.90%

14. Cornell Abroad – (Bologna I per term) 16,200 16,345 17,100 16,470 -3.68%

15. Cornell Abroad – (Bologna II - spring term) 18,850 18,995 19,920 19,430 -2.46%

16. Cornell Abroad – (Denmark - per term) 21,985 23,490 24,210 23,945 -1.09%

17. Cornell Abroad – (Europe & Nepal - per term) 21,100 21,950 22,925 23,000 0.33%

18. Cornell Abroad (Kyoto - per term) 27,500 28,325 29,325 26,945 -8.12%

19. Cornell Abroad (External General - per term) ‡ 4,850 4,995 4,995 3,995 -20.02%

20. Cornell Abroad (External Israel & UK -per term) ‡ 5,250 5,410 5,410 4,410 -18.48%

Contract College21. Undergraduate – Resident § 20,160 21,610 23,310 25,185 8.04%

22. Undergrad. – Nonres. (entering students)** 35,200 37,750 39,450 41,325 4.75%

23. Undergrad. – Nonres. (2nd-yr. & 3rd-yr. students) 35,200 37,750 39,450 41,325 4.75%

24. Undergrad. – Nonres. (4th-yr. students) 35,200 37,750 39,450 41,325 4.75%

25. Sea Education Association (per term) + 17,230 16,730 17,600 17,900 1.70%

26. Environmental Science (per term) 16,391 17,046 18,800 18,800 0.00%

27. Graduate School (non-veterinary research degrees) * 20,800 20,800 20,800 20,800 0.00%

28. Graduate School (non-Veterinary professional degrees) † 23,750 24,700 25,815 27,040 4.75%

29. Veterinary Medicine – Resident DVM 25,100 26,500 27,700 28,400 2.53%

30. Veterinary Medicine – Nonresident DVM 37,100 39,500 41,700 42,750 2.52%

31. Veterinary Medicine – Graduate School 20,800 20,800 20,800 20,800 0.00%

Medical Campus32. Medical College (entering students) 41,730 44,650 45,545 46,000 1.00%

33. Medical College (continuing students) 37,240 39,100 45,545 46,000 1.00%

34. Graduate School of Medical Sciences 26,872 27,830 28,480 29,282 2.82%

Notes* Research degrees include: MA, MS, MS/PhD, PhD, MFA, DMA programs and non-degree students.† Professional degrees include: CIPA (MPA), FALCON, MArch I, MArch II, MAT, MEng, MFS, MHA, MILR, MLA

MPS, MPS Africana Studies, MPS Applied Statistics, MPS Real Estate, and MRP.‡ External program tuitions exclude the tuition costs of the host university, which the student pays directly.§ This tuition is also used for master of professional studies programs in existence before 1999-2000.** This tuition is also used for master of professional studies programs created in 1999-2000 and thereafter.+ SEA Semester Summer Session

42

Appendices

A

08-09 09-10 10-11 11-12

Changefrom 10-11

Student Fees and Other Tuition Rates

Ithaca Campus1. Acceptance Deposit – Undergraduate * 400 400 400 400 0.0%

2. Active File Fee – Graduate (per term) 200 200 200 200 0.0%

3. Activity Fee - Undergraduate (mandatory) 204 204 216 216 0.0%

4. Activity Fee - Graduate (mandatory) 70 70 76 76 0.0%

5. Administrative/Special Fee † 7,140 7,425 7,760 8,130 4.8%

6. Application Fee – Undergraduate 70 70 70 75 7.1%

7. Application Fee – Graduate 70 70 80 95 18.8%

8. Application Fee – Johnson School (US) 200 200 200 200 0.0%

9. Application Fee – Johnson School (international) 200 200 200 200 0.0%

10. Application Fee – Law School (JD degree) 75 75 80 80 0.0%

11. Application Fee – Law School (PhD degree) 75 75 80 80 0.0%

12. Application Fee – Veterinary Medicine ** 60 60 60 60 0.0%

13. Candidate for Degree Only Fee – Graduate 35 35 35 35 0.0%

14. Cornell Card Annual Fee 10 10 10 10 0.0%

15. Doctoral Thesis Fee – Graduate 125 135 135 135 0.0%

16. Extramural Study Course Tuition (per credit) 970 1,010 1,055 1,055 0.0%

17. Extramural Study Military Science (per course) ¶ 15 15 50 75 50.0%

18. I.D. Replacement Fee 35 40 40 40 0.0%

19. In-Absentia Fee – Graduate (per term) 200 200 200 200 0.0%

20. In-Absentia Fee – Johnson School (per term) 75 75 75 75 0.0%

21. In-Absentia Fee – Law School (per term) 75 75 75 75 0.0%

22. Late Registration Fee – General ◊ 350 350 350 350 0.0%

23. Late Thesis Filing Fee – Graduate 100 100 100 100 0.0%

24. Summer Session Course Tuition (per credit) ∞ 925 970 1,010 1,105 9.4%

25. Shoals Marine Lab (per credit, includes board) ∞ 942 1,043 1,153 1,524 32.2%

26. Summer Session Registration ∆ 50 100 100 100 0.0%

Medical Campus27. Application Fee – Medical College 85 85 85 85 0.0%

28. Application Fee – Medical Sciences 60 60 60 60 0.0%

29. Health Service Fee - Medical Campus (mandatory) 1,250 1,300 1,300 1,350 3.8%

Notes* The undergraduate acceptance deposit is a one-time payment made by newly accepted students that is

reimbursed as a tuition credit during the first semester of enrollment.† The administrative/special fee covers administrative and support costs for the pre-1983 CCTS program.** The College of Veterinary Medicine uses the Veterinary Medicine College Application Service (VMCAS) to

process applications. This fee is supplemental to the VMCAS fee of $159 in FY12.¶ The Military Science course rate shown here is for non-Cornellians only.◊ The FY12 late registration fee is $350 after the third week then rises to a fixed rate of $ 500 after the 5th week.∞ The summer session course tuition and Schoals Marine Lab fee for 2011-12 are applicable for the

summer of 2011 instructional period. (Each course has an additional fee of $241.)∆ The summer session registration fee, due after the applicable early enrollment deadline, is $50. Students who

enroll after the registration deadline for any session may also be assessed late fees of $50 per week.

43

Appendices

B

08-09 09-10 10-11 11-12

Changefrom 10-11

Enrollment Assumptions

Undergraduate—On-Campus1 Agriculture & Life Sciences 3,416 3,339 3,451 1,805 1,490 3,295

2 Architecture, Art & Planning 433 429 436 433 433

3 Arts & Sciences 4,083 4,059 4,159 3,993 3,993

4 Engineering 2,759 2,777 2,784 2,779 2,779

5 Hotel Administration 873 838 856 861 861

6 Human Ecology 1,163 1,144 1,185 554 577 1,131

7 Industrial & Labor Relations 853 859 887 382 463 845

8 Internal Transfer Division 0 0 0 0

9 Subtotal On-Campus 13,580 13,445 13,758 10,807 2,530 13,337

Undergraduate—Off-Campus † � 10 Cornell Abroad 130 260 140 260 260

11 Cornell in Washington 39 35 36 35 35

12 Field Study/EAS Hawaii/Sea Semester 82 103 103 103 103

13 Rome Program 30 50 50 50 50

14 NYC Program 19 23 23 23 23

15 Subtotal Off-Campus 300 471 352 471 471

16 Total Undergraduate 13,880 13,916 14,110 11,278 2,530 13,808

Professional17 Johnson School 984 952 968 880 880

18 Law School 677 656 656 656 656

19 Medical College 408 404 404 404 404

20 Veterinary Medicine 362 379 379 216 163 379

21 Total Professional 2,431 2,391 2,407 2,156 163 2,319

Graduate22 Agriculture & Life Sciences 1,075 909 909 909 909

23 Architecture, Art & Planning § 539 314 314 314 314

24 Arts & Sciences 1,228 1,265 1,265 1,265 1,265

25 Engineering 1,620 1,637 1,669 1,602 1,602

26 Hotel Administration 75 60 69 60 60

27 Human Ecology ~ 229 439 442 433 433

28 Industrial & Labor Relations 177 190 189 190 190

29 Johnson School 51 42 42 42 42

30 Law School 12 12 10 11 11

31 Graduate School of Medical Sciences 398 427 427 427 427

32 Veterinary Medicine 121 122 122 122 122

33 Total Graduate 5,525 5,417 5,458 5,375 5,375

34 Total Enrollment 21,836 21,724 21,975 18,809 2,693 21,502

Notes* Tuition revenues are based on FTE enrollments, which account for fall-to-spring enrollment differences, tuition prorations for

students attending less than a full semester, and Johnson School enrollees in the Queens EMBA program who pay tuition toQueens University rather than Cornell University.

† The difference between fall registration and FTE paying enrollments for off-campus programs reflects higher enrollments inthese programs during the spring semester, especially in Cornell Abroad.

§ All Program in Real Estate enrollments have been consolidated on line 23 in this schedule.~ All programs in the Cornell Institute for Public Affairs have been consolidated on line 27 in this schedule.

44

Appendices

C

Fall 10Actual

RegistrarEnrollments

11-12Overall

EnrollmentTargets

Fall 11ProjectedRegistrarEnrollments Resident Nonres. Total

11-12 ProjectedFull-Time Equivalent

Tuition-Paying Enrollments *

Undergraduate Tuition and Fees, Room and BoardIvy League, Peer, and Common Acceptance Institutions

45

Appendices

D

Notes• Institutions are ranked in descending order of rates for 2010-2011.• Institutions with different resident and nonresident tuitions are indicated res. and nonres. respectively.• Common acceptance refers to institutions that had significant overlap with Cornell in the common acceptance of students who

eventually matriculated at Cornell rather than those other institutions.

Tuition & Mandatory Fees

Institution 09-10 10-11 %

Columbia 41,316 43,304 4.8

Carnegie Mellon 40,728 41,940 3.0

Tufts 40,342 41,598 3.1

Chicago 39,381 41,091 4.3

U. Pennsylvania 39,390 40,952 4.0

Brown 38,848 40,820 5.1

Johns Hopkins 39,150 40,680 3.9

RPI 39,165 40,680 3.9

Dartmouth 38,679 40,437 4.5

Washington U. 38,728 40,369 4.2

Rochester 38,690 40,282 4.1

Duke 38,741 40,243 3.9

Northwestern 38,463 40,223 4.6

Georgetown 39,036 40,203 3.0

NYU 38,815 40,082 3.3

Boston U. 38,440 39,864 3.7

Cornell (Endowed) 37,954 39,666 4.5

Cornell (Contract-nonres.) 37,954 39,666 4.5

Stanford 38,238 39,534 3.4

MIT 37,782 39,212 3.8

Harvard 37,012 38,415 3.8

Yale 36,500 38,300 4.9

Princeton 36,175 37,420 3.4

U. Michigan (nonres.) 34,937 36,001 3.0

UC-Berkeley (nonres.) 31,655 33,819 6.8

U. Virginia (nonres.) 31,672 33,574 6.0

Michigan State (nonres.) 27,343 29,108 6.5

Pennsylvania State (nonres.) 25,946 27,114 4.5

Rutgers (nonres.) 22,796 24,022 5.4

Cornell (Contract-res.) 21,814 23,526 7.8

SUNY-Binghamton (nonres.) 14,661 15,741 7.4

SUNY-Buffalo (nonres.) 14,913 15,546 4.2

SUNY-Buffalo (res.) 7,013 7,136 1.7

SUNY-Binghamton (res.) 6,761 6,881 1.8

Tuition, Fees, Room & Board


Columbia 51,544 53,876 4.5

NYU 52,043 53,592 3.0

Georgetown 51,542 53,463 3.7

Chicago 51,078 53,244 4.2

Johns Hopkins 51,190 53,190 3.9

Tufts 51,088 52,866 3.5

Washington U. 51,193 52,695 2.9

Carnegie Mellon 51,568 52,690 2.2


U. Pennsylvania 50,406 52,382 3.9

Cornell (Endowed) 50,114 52,316 4.4

Cornell (Contract-nonres.) 50,114 52,316 4.4

Dartmouth 49,974 52,275 4.6

RPI 50,310 52,145 3.6

Boston U. 50,288 52,124 3.7

Rochester 49,890 51,922 4.1

Duke 49,895 51,865 3.9

Stanford 49,701 51,410 3.4

Brown 49,128 51,360 4.5

Harvard 48,868 50,723 3.8

MIT 49,142 50,446 2.7

Yale 47,500 49,800 4.8

Princeton 47,855 49,360 3.1

UC-Berkeley (nonres.) 46,963 49,127 4.6

U. Michigan (nonres.) 43,861 45,193 3.0

U. Virginia (nonres.) 39,962 42,226 5.7

Michigan State (nonres.) 34,787 36,878 6.0

Cornell (Contract-res.) 33,974 36,176 6.5

Pennsylvania State (nonres.) 34,766 36,144 4.0

Rutgers (nonres.) 33,472 35,238 5.3

SUNY-Binghamton (nonres.) 25,275 26,985 6.8

SUNY-Buffalo (nonres.) 24,805 25,574 3.1

SUNY-Binghamton (res.) 17,375 18,125 4.3

SUNY-Buffalo (res.) 16,905 17,164 1.5

Undergraduate Tuition and FeesSelected Public and Land-Grant Institutions

46

Appendices

E

Resident

Institution 09-10 10-11 Percent

Cornell (Contract) 21,814 23,526 7.8%

Pennsylvania State 14,416 15,250 5.8%

U. Vermont 13,554 14,066 3.8%

U. Illinois (Urbana) 12,116 13,096 8.1%

U. Minn. (Twin Cities) 11,466 12,288 7.2%

UC - Davis 10,003 11,958 19.5%

U. Mass. (Amherst) 11,917 11,917 0.0%

Michigan State 10,880 11,152 2.5%

U. Connecticut (Storrs) 9,886 10,416 5.4%

Ohio State (Columbus) 8,679 9,420 8.5%

U. Texas (Austin) 8,936 9,418 5.4%

Purdue 8,638 9,070 5.0%

Indiana U. (Bloomington) 8,613 9,028 4.8%

U. Wisconsin (Madison) 8,310 8,983 8.1%

Texas A & M 8,176 8,387 2.6%

Iowa State (Ames) 6,651 6,997 5.2%

SUNY - Binghamton 6,761 6,881 1.8%

SUNY - Albany 6,748 6,830 1.2%

SUNY - Buffalo 6,007 6,053 0.8%

Nonresident


Cornell (Contract) 37,954 39,666 4.5%

UC - Davis 32,720 34,837 6.5%

U. Vermont 31,410 32,630 3.9%

U. Texas (Austin) 29,906 31,218 4.4%

Michigan State 27,343 29,108 6.5%

Indiana U. (Bloomington) 26,160 27,689 5.8%

U. Illinois (Urbana) 26,258 27,238 3.7%

Pennsylvania State 25,946 27,114 4.5%

U. Connecticut (Storrs) 25,486 26,880 5.5%

Purdue 25,118 26,622 6.0%

U. Wisconsin (Madison) 23,059 24,233 5.1%

U. Mass. (Amherst) 23,414 23,813 1.7%

Ohio State (Columbus) 22,251 23,604 6.1%

Texas A & M 22,606 22,817 0.9%

Iowa State (Ames) 17,871 18,563 3.9%

U. Minn. (Twin Cities) 15,466 16,588 7.3%

SUNY - Binghamton 14,661 15,291 4.3%

SUNY - Albany 14,648 15,240 4.0%

SUNY - Buffalo 13,907 13,953 0.3%

Tuition and FeesSelected Medical Colleges

Notes: • Institutions are ranked in descending order of rates for 2010-11.* Includes health fees and the cost of health insurance, whether waivable or not.

Tuition


Washington U. 47,150 48,800 3.5%

Case Western 45,930 47,730 3.9%

Columbia 44,864 46,212 3.0%

Yale 43,850 45,600 4.0%

Cornell 44,650 45,545 2.0%

Harvard 42,500 45,050 6.0%

Duke 42,771 44,482 4.0%

Stanford 45,018 44,196 -1.8%

U. Pennsylvania 42,472 43,960 3.5%

U. Pittsburgh (nonres.) 40,772 41,994 3.0%

Rochester 39,700 41,400 4.3%

Johns Hopkins 39,500 41,200 4.3%

Chicago - Pritzker 38,970 40,267 3.3%

Tuition and Fees *


Cornell 51,547 52,774 2.4%

Columbia 49,347 50,962 3.3%

Case Western 47,290 49,050 3.7%

Washington U. 47,150 48,800 3.5%

Harvard 45,833 48,517 5.9%

Stanford 48,309 48,114 -0.4%

Yale 46,202 47,936 3.8%

Duke 47,706 47,703 0.0%

U. Pennsylvania 48,244 47,172 -2.2%

Johns Hopkins 43,620 46,010 5.5%

U. Pittsburgh (nonres.) 44,414 45,729 3.0%

Rochester 43,410 45,304 4.4%

Chicago - Pritzker 42,349 41,452 -2.1%

47

Appendices

F

Average Nine-Month Faculty SalariesSelected Research Institutions

Notes:• The average salary (excluding extra pay and summer compensation) for each institution (including Cornell’s contract college)

was computed by weighting the mean salary by academic rank for the number of endowed Ithaca faculty in those ranks. Twelve-month salaries were converted to a nine-month appointment basis.

* Did not participate in the 2010-11 salary survey that was published in Academe, March-April 2011.

Institution 90–91

Cal Tech 73,994

Harvard 71,439

Stanford 69,991

MIT 67,458

Pennsylvania 65,674

Princeton 65,668

Yale 65,411

Chicago 64,912

NYU 64,094

Carnegie-Mellon 63,969

Duke 63,388

UC Berkeley 62,964

USC 62,584

Columbia 62,528

Rutgers 62,435

Northwestern 62,213

Johns Hopkins 61,047

Georgetown 60,993

UCLA 60,932

Michigan 60,672

Cornell (Endowed) 60,430

UC San Diego 59,515

Virginia 59,258

Dartmouth 58,568

Cornell (Ithaca Campus) 58,564

Maryland 58,321

UC Davis 56,551

Ohio State 56,325

Brown 56,285

Purdue 56,076

Cornell (Contract) 55,874

North Carolina 55,619

Texas 55,409

Penn State 55,028

Illinois 54,549

Minnesota 53,981

Wisconsin 52,689

Michigan State 52,239

Texas A&M 51,719

U Washington 51,370

Institution 00–01

Harvard 109,893

Stanford 106,547

Cal Tech 104,305

Chicago 103,098

Princeton 102,889

Pennsylvania 102,606

NYU 99,920

MIT 99,416

Yale 98,598

Columbia 98,257

Northwestern 97,670

Duke 94,887

UC Berkeley 94,316

UCLA 93,714



Michigan 88,959

USC 88,629

Virginia 88,490

Georgetown 87,773

Dartmouth 86,813

UC San Diego 86,708

Rutgers 86,369


Maryland 84,828



Illinois 81,272

Brown 81,248

UC Davis 81,101

Minnesota 79,801

Wisconsin 79,261

Texas 79,252

Penn State 78,768

Ohio State 78,274


Purdue 74,509

U Washington 73,991

Texas A&M 73,972


Institution 10–11

Harvard 157,450

Stanford 155,926

Columbia 155,250

Chicago 151,892

Princeton 150,594

Pennsylvania 145,671

Cal Tech 143,930

NYU 141,682

Yale 140,739

MIT 139,894

Northwestern 139,558


Duke 133,199

Georgetown 131,121

Dartmouth 130,586


USC 127,102

UCLA 126,413

UC Berkeley 124,991

Brown 123,189

Michigan 121,640



Rutgers 118,386


Maryland 113,970

Texas 113,618

Virginia 113,228

UC San Diego 113,162

Penn State 110,792

Illinois 110,593

Ohio State 110,057

UC Davis 104,937

Minnesota 104,670


Purdue 103,774

U Washington 102,201

Texas A&M 100,551

Wisconsin 99,369

Johns Hopkins *

Undergraduate Financial Aid

Source of Funding for Undergraduate Financial Aid(dollars in thousands)

FAMILY CONTRIBUTION

1. Parental 22,189 84,331 83,692 87,905 88,000 0.1% 5.9%

2. Student 7,819 19,804 20,199 21,291 21,300 0.0% 4.3%

3. Subtotal 30,008 104,134 103,891 109,196 109,300 0.1% 5.5%

FEDERAL GOVERNMENT4. Grants 5,143 13,464 13,768 13,935 12,461 (10.6%) 3.8%

5. Loans 11,192 17,038 17,602 18,494 18,460 (0.2%) 2.1%

6. Work/Study 2,769 3,799 3,850 4,231 4,250 0.4% 1.8%

7. Subtotal 19,104 34,302 35,221 36,660 35,171 (4.1%) 2.6%

STATE GOVERNMENT8. Grants 4,903 4,847 4,956 4,751 4,630 (2.5%) (0.2%)

9. Work/Study 692 0 0 0 0

10. Subtotal 5,595 4,847 4,956 4,751 4,630 (2.5%) (0.8%)

OTHER EXTERNAL11. Grants 2,663 5,564 6,042 6,109 5,935 (2.8%) 3.4%

12. Subtotal 2,663 5,564 6,042 6,109 5,935 (2.8%) 3.4%

CORNELL13. Unrestricted Grants 12,751 142,316 165,536 168,455 190,029 12.8% 11.9%

14. Restricted Grants 7,770 33,200 30,567 30,667 31,510 2.7% 6.0%

15. Loans 130 923 895 1,330 1,300 (2.3%) 10.1%

16. Work/Study 1,846 3,799 3,820 4,231 4,250 0.4% 3.5%

17. Subtotal 22,497 180,238 200,819 204,684 227,089 10.9% 10.1%

18. Total 79,867 329,085 350,929 361,399 382,125 5.7% 6.7%

Financial Aid Population(on - and - off-campus)

UNDERGRADUATE STUDENT COUNTS

1. Total Enrollment 12,958 13,931 13,680 13,935 13,808 (0.9%) 0.3%

2. Overall Financial Aid N/A 8,736 8,700 8,931 8,900 (0.3%)Population

3. % of Total Enrollment 62.7% 63.6% 64.1% 64.5%

4. Need-based Financial 5,137 8,128 8,100 8,028 8,100 0.9% 1.9% Aid Population

5. % of Total Enrollment 39.6% 58.3% 59.2% 57.6% 58.7%

6. Cornell Grant Recipients* 3,815 6,657 6,650 6,970 7,050 1.1% 2.6%


8. Pell Grant Recipients† 1,820 2,218 2,210 2,447 2,450 0.1% 1.2%


Notes:• Family contribution amounts are for students who demonstrate a financial need according to Cornell’s methodology.

Financial-aid amounts are shown as computed and awarded.• Enrollments excluded in-absentia and extramural students.* Cornell-grant recipients are those U.S. citizens and permanent residents (excluding international students) who receive

need-based grant aid from Cornell resources.† The number of Pell Grant recipients for fall 1987 is estimated based on the total funding received by Cornell in that year and

the national average of Pell Grant awards.

48

Appendices

G

87-88Actual

09-10Actual

10-11Plan

10-11Forecast

11-12Plan

Changefrom

Forecastto Plan

AnnualGrowth

Rate from87-88

1987Actual

2010Actual

2011Plan

2011Actual

2012Plan

Changefrom

Forecastto Plan

AnnualGrowth

Rate from1987

New York State Appropriations

Sources of Funding(dollars in thousands)

ITHACA CAMPUS

1. Original Base Appropriation Through SUNY 151,853 146,927 146,927 133,875

SUNY/CORNELL NEGOTIATED/PLANNED INCREASES

2. For inflation and fixed costs (219) 0 0

3. Subtotal Base Appropriation (prior to legislative actions) 151,634 146,927 146,927 133,875

4. SUNY-Initiated Adjustments 3,516 (11,757) (11,767) (12,643)

5. Other Adjustments/Reclassifications (880) 164 173 173 (Land Script/Canine Research)

6. Mid-Year Reduction (8,223) (1,458)

7. Subtotal Base Enacted Budget 146,047 135,334 133,875 121,405

8. Empire Innovation 1,808 1,808 1,599 1,599

9. Revised Base Appropriation 147,855 137,142 135,474 123,004

ADDITIONAL PLANNED STATE FUNDING THROUGH SUNY

10. Cooperative Extension (support for County Associations) 3,920 3,920 3,909 3,920

11. Institute for Community College Development (ICCD) † 262 236 247 222

12. SUNY Program Support (academic equipment/fellowships) 1,529 1,465 1,467 1,308

13. SUCF Critical Maintenance In-Year Funds 3,299 2,200 5,336 2,700

14. Subtotal of Additional State Funding 9,010 7,821 10,959 8,150

15. Total State Appropriations Through SUNY 156,865 144,963 146,433 131,154

OTHER STATE APPROPRIATIONS

16. Bundy Aid (based on degrees granted) 1,432 1,474 1,527 1,375

17. Total Ithaca Campus 158,297 146,437 147,960 132,529

MEDICAL COLLEGE

18. Bundy Aid (based on degrees granted) 120 197 121 123

19. Total Medical College 120 197 121 123

20. Total State Appropriations 158,417 146,634 148,081 132,652

Notes: • Cornell receives New York State appropriations through the State University of New York (SUNY) and

directly from the state. Most appropriations flow through SUNY.• Not represented on this schedule are certain student financial-aid funds and grants and contracts with state

agencies. The schedule also excludes the value of employee benefits provided by New York State and debtservice on facilities provided through SUNY, neither of which is recorded by Cornell.

* Mandated in-year budget reduction. † It is anticipated that ICCD will be transferred to Syracuse University during FY 12.

49

Appendices

H

09-10Actual

10-11Budget

10-11Forecast

11-12Plan

*

Facilities and Administrative Costs and Employee Benefits Billing Rates

Facilities and Administrative Cost Rates

ENDOWED ITHACA

1. On-Campus 58.00 58.00 59.00 59.00 59.00 59.00 59.00

2. Off-Campus 26.00 26.00 26.00 26.00 26.00 26.00 26.00

3. Off-Campus – Arecibo Observatory 9.50 11.00 11.00 11.00 11.00 11.00 11.00

4. Other Restricted Funds 10.00 10.00 10.00 10.00 10.00 10.00 10.00

CONTRACT COLLEGES

5. On-Campus – Research 53.50 53.50 53.50 54.00 54.00 54.00 54.00

6. Off-Campus – Research 26.00 26.00 26.00 26.00 26.00 26.00 26.00

7. On-Campus – Educational Services 56.70 56.70 56.70 56.70 56.70 56.70 56.70

8. Off-Campus – Educational Services 26.00 26.00 26.00 26.00 26.00 26.00 26.00

9. On-Campus – Research – Geneva 56.50 53.50 53.50 54.00 54.00 54.00 54.00

10. Off-Campus – Research – Geneva 26.00 26.00 26.00 26.00 26.00 26.00 26.00

11. New York State 18.00 18.00 18.00 18.00 18.00 18.00 18.00


MEDICAL CAMPUS

13. On-Campus 68.00 68.00 68.00 68.00 69.00 69.00 69.00

14. Westchester 38.00 38.00 38.00 42.00 42.00 42.00 42.00

15. Clinical Research Center 42.00 42.00 42.00 44.00 44.00 44.00 44.00

16. Other Sponsored Research 0.00 0.00 30.00 30.00 30.00 30.00 30.00

17. Off-Campus 26.00 26.00 26.00 26.00 26.00 26.00 26.00


19. Industrial Agreements – Clinical Trials 33.00 33.00 33.00 33.00 33.00 33.00 33.00

20. Industrial Agreements – Research 68.00 68.00 68.00 68.00 69.00 69.00 69.00

Employee Benefits Rates

ENDOWED ITHACA

1. Full 32.00 33.00 33.00 33.00 34.00 34.00 35.00

2. Minimum 10.00 10.00 10.00 10.00 10.00 10.00 10.00

3. Zero 0.00 0.00 0.00 0.00 0.00 0.00 0.00

CONTRACT COLLEGES*

4. Federally Reimbursed (restricted funds) 47.50 45.60 47.60 45.10 44.30 46.60 46.60

5. All Other Funds (where applicable) 49.86 50.27 51.44 50.73 48.96 53.02 53.02

MEDICAL CAMPUS

6. General 29.40 29.40 29.60 29.60 29.60 29.90 29.90

7. Postdoctoral Fellow 20.00 20.00 20.00 21.00 20.00 21.00 21.00

8. NRSA Postdoctoral Fellow 0.00 0.00 0.00 0.00 0.00 0.00 0.00

9. Temporary Employee and Student 8.50 8.50 8.50 9.00 9.00 9.00 9.00

Notes:�● Shown are the billing rates, expressed as percentages, used in each fiscal year; actual cost rates vary.�● Endowed Ithaca has three employee benefit billing rates: (a) the full rate is used for most benefit-eligible employees;

(b) a minimum rate is used when only mandated benefits are provided or when tips or pension-ineligible bonus payments aremade; and (c) a zero rate is applied in limited situations, such as in the case of academic-year student wage payments, wherethe cost of any benefits provided is negligible.

* The 2011-12 contract college benefits rates have been submitted to the Department of Health and Human Services for incorporation in the university’s rate agreements. The 2010-11 values shown are actual rates.

50

Appendices

I

05–06 06 –07 07–08 08–09 09–10 10–11 11–12

Investment Assets, Returns, and Payouts

Investments at Fair Value(dollars in thousands at year end)

1. Working Capital $1,185 0.0% $0 0.0% ($1,185)

2. Intermediate-Term 625,261 12.3% 605,794 10.8% (19,467)

3. Long-Term Investment Pool (LTIP) 3,794,336 74.8% 4,223,208 74.9% 428,872

4. Separately Invested Portfolio 444,266 8.8% 477,033 8.5% 32,767

5. Pooled Life Income Funds 10,042 0.2% 12,048 0.2% 2,006

6. Other * 198,764 3.9% 315,101 5.6% 116,337

7. Total $5,073,854 100.0% $5,633,184 100.0% $559,330

Note: * A major portion of other investments are DASNY (Dormitory Authority of State of New York) holdings, which include bond pro-

ceeds held at custodial bank and certain debt service reserves.

Endowment Net Assets(dollars in thousands at year end)

1. True Endowment $2,560,985 $2,795,950 $234,965 9.2%

2. Funds Functioning as Endowment 1,275,304 1,464,000 188,696 14.8%

3. Subtotal Under Cornell Management 3,836,289 4,259,950 423,661 11.0%

4. Funds Held in Trust by Others * 107,874 118,637 10,763 10.0%

5. Subtotal Funds External to Cornell 107,874 118,637 10,763 10.0%

6. Total University Endowment $3,944,163 $4,378,587 $434,424 11.0%

Note: * Funds that the University neither possesses nor controls but which provide Cornell income or in which the university has a

residual interest in the assets.

Long Term Pool Payout1. Market Value (per share) $55.42 $66.62 $65.37 $45.12 $47.38

2. Annualized Total Gross Return 16.4% 26.1% 3.0% (25.9%) 12.7%

3. Number of Shares (in millions) 75.4 78.0 82.3 84.1 89.1

4. Payout per Share $2.30 $2.42 $2.66 $3.00 $2.55

5. Shareholder Payout (in millions) $168.95 $185.51 $213.05 $250.68 $217.15

6. Payout as a % of 6/30 Market Value 4.2% 3.6% 4.1% 6.6% 5.4%

7. Total Spending per Share $2.68 $2.85 $3.16 $3.53 $3.28

8. Total Spending (in millions) $201.88 $222.32 $259.61 $296.82 $292.00

9. Spending as a % of 6/30 Market Value 4.8% 4.3% 4.8% 7.8% 6.9%

Note:• Total returns net of investment management fees for 2005-06, 2006-07, 2007-08, 2008-09 and 2009-10 were 16.1%, 25.9%,

2.7%, -26.0%, and 12.6% respectively.

51

Appendices

J

6/30/09Total

Percentof Total

6/30/10Total

Percentof Total

Changefrom

6/30/09

6/30/06Actual

6/30/07Actual

6/30/08Actual

6/30/09Actual

6/30/10Actual

08–09 09–10 ChangePercentChange

Endowment Per Full-Time StudentSelected Institutions

52

Appendices

K

Notes:• Institutions are ranked in descending order of endowment per full-time student (undergraduate, graduate, and professional) for each year.• Endowment per student calculated based on endowment value as of June 30th of the fiscal year divided by the full-time

equivalent enrollment for the previous fall semester.• Endowments include true endowments, funds functioning as endowment, and funds held in trust by others. Endowments

exclude living trusts and pledges.* MIT did not participate in the NACUBO 2009 endowment survey.

Source: 2009 NACUBO Endowment Study; updated data for 2009-10 unavailable at publication.

Institution 84-85

Princeton 255,600

Harvard 166,000

Rice 145,000

Yale 125,300

Stanford 86,800

Dartmouth 85,800

MIT 84,700

Washington U. 77,200

Rochester 77,000

Chicago 74,700

Columbia 62,900

Emory 62,800


Northwestern 39,900

Vanderbilt 34,900

U. of Texas System 34,600

Carnegie Mellon 33,600

Brown 31,800

Cornell 29,900

Duke 26,900

U. of Pennsylvania 23,100

RPI 20,900

Tufts 12,800

Boston U. 5,000

Institution 07-08

Princeton 2,255,391

Yale 2,020,827

Harvard 1,880,854

Stanford 1,155,138

MIT 985,205

Rice 910,380

Dartmouth 579,506

Chicago 491,391

Duke 480,633



Emory 429,050

Brown 348,671

Columbia 333,713

Vanderbilt 297,488


Cornell 271,994

Rochester 209,182


Tufts 154,534



RPI 108,689

Boston U. 45,975

Institution 08-09

Princeton 1,720,916

Yale 1,435,593

Harvard 1,309,890

Stanford 932,606

Rice 681,034

Dartmouth 495,769

Chicago 372,975


Duke 341,386


Emory 334,759

Columbia 269,706

Brown 252,916


Vanderbilt 234,319

Cornell 195,632

Rochester 151,837


Tufts 114,251


RPI 81,484


Boston U. 35,904

MIT *

Gifts/Contributions - Through March 31, 2011

Reconciliation of Contributions to Cash Gifts(dollars in thousands)

OPERATING REVENUE

1. Unrestricted 34,644 10,316 - 44,960 48,031

2. Temporarily Restricted 102,829 31,882 - 134,711 61,166

3. Funds Functioning as Endowment * 6,305 26 - 6,331 1,968

4. Subtotal 143,778 42,224 - 186,002 111,165

NON-OPERATING REVENUE

5. True Endowment 25,198 12,274 - 37,472 48,496

6. Funds Functioning as Endowment § 3,813 126 5,722 9,661 14,776

7. Life Income Funds 2,316 42 - 2,358 2,212

8. Trusts Held by Others 4,897 - - 4,897 (457)

9. Loan Funds - 166 - 166 80

10. Capital Acquisitions - Cash Gifts 10,502 7,568 - 18,070 93,602

11. Capital Acquisitions - Gifts in Kind 2,992 - - 2,992 1,211

12. Subtotal 49,718 20,176 5,722 75,616 159,920

13. Financial Statement Total 193,496 62,400 5,722 261,618 271,085

ADJUSTMENTS

14. Gifts from Outside Trusts (4,897) - - (4,897) 1,897

15. Pledges (Net Present Value) (32,263) 2,045 - (30,218) (49,304)

16. Timing 8,662 (21,410) - (12,748) (108)

17. Other - - - -

18. Total Adjustments (28,498) (19,365) - (47,863) (47,515)

19. Gift Records Total 164,998 43,035 5,722 213,755 223,570

Notes:• This table reconciles the differences (line 14 through 17) between contributions as displayed in the financial statement (line 13)

and cash gifts as reported by Alumni Affairs and Development (line 19). The largest of these adjustments (positive or negative )are often change in the net present value of pledges (line 15) and timing differences in the recording of gifts between the twosystems (line 16).

• Line 14 shows the net difference in valuation of gifts from outside trust agreements that are recorded in the contributors relations system at full value and may be reflected at present value in the financial statements. Line 15 reflects the net presentvalue of relations system. Lines 16 and 17 identify other periodic adjustments.

• Some of these exclusions--all of which are based on reporting standards appropriate for each record--are entire (e.g., the inclusion of pledges in the financial statements and the exclusion of such promises form the cash gifts of the contributor relations system). Others are partial (e.g., the recognition in the financial statements of the interest that beneficiaries may havein split-interest agreements).

† The Cornell University Foundation is a service for Cornell alumni and friends who wish to make charitable gifts through the structure of a donor-advised fund.

* Unrestricted funds functioning as endowment are classified as operating revenues.§ Restricted funds functioning as endowment continue to be classified as non-operating revenues.

53

Appendices

L

IthacaCampus

MedicalCollege

Cornell †Foundation

10-11Year toDate

09-10Year toDate

March 31

Campaign For Cornell Gifts - Through March 31, 2011

Gifts Raised - Ithaca Campus(dollars in thousands)

CAMPAIGN GOALS

1. Professorships & Deanships $229,785

2. Academic Positions 17,365

3. Non-Academic Positions 20,487

4. Instruction/Research Programs Enhancements 772,107

5. Instruction/Research Programs Facilities 55,816

6. Subtotal Faculty & Program $1,785,000 $1,095,560 61%

7. Undergraduate Scholarship 201,416

8. Graduate Fellowships 77,053

9. Professional School Scholarship 50,776

10. Living & Learning 51,131

11. Subtotal Student $690,000 $380,377 55%

12. CIS-Gates Hall 39,576

13. Helen Newman Hall 17

14. Johnson Museum Expansion 12,242

15. Life Sciences Building 54,879

16. Lynah Rink Expansion 6,782

17. Milstein Hall 10,574

18. Other Facilities 15,185

19. Physical Sciences Complex 13,844

20. West Campus Residential Initiative 23,022

21. Subtotal Facilities $225,000 $176,120 78%

22. Cornell Annual Fund Unrestricted 141,099

23. Other Unrestricted 173,567

24. Subtotal Unrestricted $300,000 $314,666 105%

25. Pending Designation 47,740

26. Campaign Goals Total $3,000,000 $2,014,463 67%

COLLEGE AND UNIT TARGETS

1. Agriculture and Life Sciences 370,000 253,465 69%

2. Architecture, Art and Planning 65,000 36,216 56%

3. Arts and Sciences 435,000 239,482 55%

4. Computing Information Science 78,000 44,469 57%

5. Cornell Library 60,000 34,551 58%

6. Engineering 375,000 216,015 58%

7. General University 1,007,000 646,765 64%

8. Hotel Administration 70,000 69,496 99%

9. Human Ecology 70,000 45,183 65%

10. Industrial and Labor Relations 60,000 49,570 83%

11. Johnson Graduate School Mgmt 100,000 83,213 83%

12. Law School 70,000 51,480 74%

13. Student and Academic Services 150,000 150,335 100%

14. Veterinary Medicine 90,000 94,222 105%

15. College and Unit Targets Total $3,000,000 $2,014,463 67%

54

Appendices

M

Goal/Target

Raisedthrough3/31/11

Percent ofGoal/Target

Projected Maintenance Funding - Ithaca Campus

Maintenance Inventory(dollars in millions)

ENDOWED ITHACA

1. Beginning Inventory $147.0 $173.4 $182.3 $205.9 $230.6 $253.8 $278.7

2. Maintenance Projects 38.8 27.2 40.5 41.9 43.4 44.8 46.3

3. Operational Funding (12.4) (15.1) (13.7) (14.3) (15.9) (15.7) (16.5)

4. Capital Funding 0.0 (3.2) (3.2) (3.0) (4.3) (4.2) (3.4)

5. Year-End Inventory $173.4 $182.3 $205.9 $230.6 $253.8 $278.7 $305.2

RESIDENCE FACILITIES

6. Beginning Inventory 81.9 88.9 95.0 99.4 102.7 108.8 114.8



9. Capital Funding (0.9) (1.5) (3.5) (5.2) (2.4) (2.5) (2.5)


CONTRACT COLLEGES




14. Capital Funding (33.6) (27.0) (9.4) (6.3) (23.3) (22.6) (22.2)


ITHACA CAMPUS TOTAL




19. Capital Funding (34.5) (31.7) (16.1) (14.5) (30.0) (29.3) (28.1)


Notes::

• This table provides a projection of building maintenance activity, the funding of maintenance costs from operating and capitalplans, and the inventory of unfunded maintenance for the Ithaca campus through 2015-16. Excluded are utilities, parking, andinformation technology projects. The projected year-end inventory of unfunded maintenance is for planning purposes only, andillustrates the potential need for maintenance resources beyond those already identified in operating and capital plans.

• There are three categories of building maintenance: routine, preventive, and planned. Maintenance needs and projects areidentified annually. Most routine and preventive activities are funded and completed. Some planned maintenance is deferreddue to timing issues or lack of funding.

• The lines labeled maintenance projects include routine and preventive activities and additions to the planned maintenance inventory. The projection of such projects through 2015-16 was made using a model developed by the Association of Higher Education Facilities Officers.

• Operational funding is that portion of total maintenance funding that is expended on routine and preventive activities andplanned maintenance, and includes the use of operating reserves. It excludes certain administrative costs and debt.

• Capital funding is from projects in the capital plan, not all of which have been approved or funded. The impact of capitalfunding is shown in the year that the project is expected to be completed.

55

Appendices

N

Actual09-10

Forecast10-11

Plan11-12

Proj.12-13

Proj.13-14

Proj.14-15

Proj.15-16

Work Force – Ithaca Campus

2010-11 Ithaca Campus Work Force Distribution

1. Agriculture & Life Sciences 361 337 1,061 1,759 1.52

2. Architecture, Art & Planning 48 12 43 103 0.72

3. Arts & Sciences 501 177 283 961 0.42

4. Engineering 230 62 162 454 0.55

5. Hotel Administration 40 18 244 302 4.21

6. Human Ecology 90 77 241 408 1.44

7. Industrial & Labor Relations 52 54 135 241 1.27

8. Johnson School 51 22 91 164 1.25

9. Law School 52 2 72 126 1.33

10. Veterinary Medicine 124 120 604 848 2.48

11. Subtotal Colleges 1,549 881 2,936 5,366 1.21

12. Research Centers 114 272 386 2.39

13. Other Academic Programs 15 104 605 724 5.08

14. Subtotal Other Centers 15 218 877 1,110 3.76

15. Total Academic Units 1,564 1,099 3,813 6,476 1.43

16. Student Services 12 1,050 1,062

17. Administrative & Support 1,324 1,324

18. Physical Plant 783 783

19. Subtotal Support 0 12 3,157 3,169

20. Total Work Force 1,564 1,111 6,970 9,645 2.61

Change In Support Staff1. Agriculture & Life Sciences 1,122 1,155 1,089 1,061 (61) -5.44%

2. Architecture, Art & Planning 44 51 47 43 (1) -2.27%

3. Arts & Sciences 296 302 287 283 (13) -4.39%

4. Engineering 199 202 173 162 (37) -18.59%

5. Hotel Administration 264 272 246 244 (20) -7.58%

6. Human Ecology 187 185 188 241 54 28.88%

7. Industrial & Labor Relations 161 160 137 135 (26) -16.15%

8. Johnson School 98 104 88 91 (7) -7.14%

9. Law School 69 71 70 72 3 4.35%

10. Veterinary Medicine 707 729 652 604 (103) -14.57%

11. Subtotal Colleges 3,147 3,231 2,977 2,936 (211) -6.70%

12. Research Centers 301 269 260 272 (29) -9.63%

13. Other Academic Programs 681 689 616 605 (76) -11.16%

14. Subtotal Other Centers 982 958 876 877 (105) -10.69%

15. Total Academic Units 4,129 4,189 3,853 3,813 (316) -7.65%

16. Student Services 1,108 1,163 1,057 1,050 (58) -5.23%

17. Administrative & Support 1,484 1,521 1,355 1,324 (160) -10.78%

18. Physical Plant 819 841 777 783 (36) -4.40%

19. Subtotal Support 3,411 3,525 3,189 3,157 (254) -7.45%

20. Total Support Staff 7,540 7,714 7,042 6,970 (570) -7.56%

56

Appendices

O

Faculty OtherSupportStaff Total

Ratio ofSupport

toAcademic

Academic Staff

2007-08 2008-09 2009-10 2010-11 Number PercentChange from 07-08

Room And Board Rates - Ithaca Campus

Selected Institutions

Notes:• Institutions are ranked in descending order of rates for 2010-11.* Room rates shown represent average double occupancy for undergraduates.† Board rates shown generally represent full meal plans, providing 18 to 21 meals per week.‡ Cornell rates shown are for the Traditional 14 Meals Per Week Plus $800 Declining Balance Plan.

Cornell University

ROOM RATES

1. Undergraduate - Average Double 6,390 6,680 6,950 7,210 7,500 7,800 4.0%

2. Undergraduate - Average All Types 6,713 7,015 7,320 7,594 7,885 8,200 4.0%

3. All Students - Average Double 6,390 6,680 6,950 7,210 7,500 7,800 4.0%

BOARD RATES

4. Full Meal Plan ◊ 4,336 4,510 4,690 4,900 5,100 5,310 4.1%

5. Administrative Fee § 50 50 50 50 50 50 0.0%

Notes: ◊ The 09-10 through 11-12 rates shown are for the Traditional 14 Meals Per Week Plus $800 Declining Balance Plan. § Nonrefundable administrative fee that is charged to participants in the meal plans that covers the cost of flexible enrollment,

allowing students to change, add, and drop meal plans. The fee funds the tracking and processing system used to record and monitor changes.

ROOM RATES*


NYU 9,212 9,350 1.5

Harvard 7,248 7,525 3.8

Cornell 7,210 7,500 4.0

U. Pennsylvania 6,936 7,248 4.5

Johns Hopkins 6,882 7,150 3.9

Dartmouth 6,750 7,077 4.8

SUNY-Binghamton 6,546 7,036 7.5


MIT 6,850 6,884 0.5

Stanford 6,411 6,700 4.5

Brown 6,360 6,522 2.5

Duke 5,875 6,502 10.7

Princeton 6,340 6,467 2.0

Yale 6,000 6,300 5.0

Columbia 5,954 6,170 3.6

BOARD RATES†


Princeton 5,340 5,473 2.5

Johns Hopkins 5,158 5,360 3.9


Yale 5,000 5,200 4.0

Stanford 5,052 5,176 2.5

Cornell ‡ 4,950 5,150 4.0

Duke 5,279 5,120 (3.0)

Harvard 4,608 4,783 3.8

Dartmouth 4,545 4,761 4.8

Columbia 4,274 4,402 3.0

MIT 4,510 4,350 (3.5)

SUNY-Binghamton 4,068 4,208 3.4

U. Pennsylvania 4,080 4,182 2.5

NYU 4,016 4,160 3.6

Brown 3,920 4,018 2.5

57

Appendices

P

06 –07 07–08 08–09 09–10 10–11 11–12

Changefrom10–11

58

Appendices

Q

Ithaca Campus Faculty Peers by College(Ivy peers shown in red)

AAP A&S CALS CIS ENG HE ILR Johnson Law Vet

Arizona •

Brown • • • •

Cal Tech • •

Carnegie Mellon • • • •

Chicago • • • • •

Colorado State •

Columbia • • • • •

Dartmouth •

Duke • • • • •

Florida • •

Georgia Tech • •

Harvard • • • • •

Illinois • • • • • • • •

Iowa State • •

Maryland •

Michigan • • • • • • •

Michigan State • •

Minnesota • • •

Missouri •

MIT • • • • •

Nebraska • •

North Carolina • •

Northwestern • • • •

NYU • • • •

Ohio State • •

Penn • • • • • • •

Penn State • • •

Princeton • • • • • •

Purdue • •

Rutgers • •

Stanford • • • • • • • •

Texas • • • • •

Texas A&M •

UC Berkeley • • • • • • • • •

UC Davis • • •

UCLA • • • • • • •

UC San Diego •

USC • • •

U Washington • • • •

Vanderbilt •

Virginia • • • • •

Washington U • • •

Wisconsin • • • • •

Yale • • • • •

Capital projects may move forwardwith the following restrictions:

• With a very preliminary cost estimate, a unit may

request to spend a limited amount of its own existing

funds through the normal PAR process, to the extent

necessary to conceptually develop and size a project

idea for the purpose of advancing discussion for possible

inclusion in the university’s approved five-year capital plan.

• Before any formal design or construction work begins,

the project must be included in the university’s ap-

proved five-year capital plan.

• Before inclusion in the university’s approved five-year

capital plan, the project must contain a submitted and

approved funding strategy which must include: 1) the

full anticipated cost of the project, including construc-

tion, architectural and design fees, equipment, contin-

gencies, etc.; 2) the incremental annual cost of

ongoing operations and maintenance for the facility;

and 3) any other relevant information. Because funding

sources are as diverse as university projects, each

project’s funding strategy should be developed with

consideration given to both the project’s merit and uni-

versity priorities. Funding guidelines are as follows:

• No more than 50 percent of any capital project

should be debt-financed unless the project is a

life-safety or major infrastructure priority;

• The balance sheet expendable resources to debt

ratio must always be greater than 1.0. If a new

project is added to the plan and brings the University

below the minimum ratio, a trade-off decision must

be made.

• Academic facilities should be at least 50 percent

funded by available resources such as unit re-

serves, philanthropy, or other sources;

• Non-core facilities (e.g., the Johnson Art Museum,

the Plantations, etc.) will be expected to fund up to

100 percent by available resources such as unit

reserves, philanthropy, or other sources;

• General feasibility of planned fundraising must be

approved by the Vice President for Alumni Affairs

and Development.

• Departure from the above rules is permissible only

in exceptional circumstances, as determined by the

president and the provost.

• The sources for any additional operations and

maintenance payments must be identified, in writing.

• Once included in the university’s approved five-year

capital plan, preliminary work may be authorized through

the design phase if funded by existing available resources.

• Before a project’s construction phase is permitted to

begin, the following must be true:

• All funds within the funding strategy must be

committed in writing for 100 percent of project

cost, including debt.

• At least 75 percent of gifts planned must be cash-in-hand.

• Committed New York State funds must include an

assessment of certainty of funding.

• A utility or other rate-recovery project must include 1)

a detailed statement of expected cash flow, indicating

whether short-term debt is required, and 2) a rate

impact of the terms of the debt on the university’s

balance sheet.

• Analysis must be approved by the CFO and VP for

Budget and Planning.

• Fundraising must be complete before construction

begins or an approved “backstop” plan must be

in place.

• The majority of the gift pledges must be scheduled

to be collected within five years of the start of

construction.

• If there is debt funding:

- The project must establish and document

the maximum project debt allowed, and

include a written evaluation of the impact

of the terms of the debt on the university’s

balance sheet.

- The project must identify and disclose, in

writing, sources of the debt payment. If

there is a planned incremental revenue

stream for this purpose, this disclosure

should include any incremental program-

related investments, (such as faculty hiring

costs or the additional overhead revenue),

and their associated assumptions.

Capital Project Spending Guidelines

59

Appendices

R

Division Directory

Office of the Vice President of Planning and BudgetElmira Mangum, Vice President

Maureen Quartararo

Sara Gibbons

Kim Fassett

Administrative Streamlining ProgramJohn Adams, Assistant Vice President

Ralph Canfield

Ron Huggins

Diane McNamee

Academic Planning & Information SystemsMichael Matier, Director

Dan McGough

Josh Brockner

Budget OfficeDavina Desnoes, Director

Maggie Liu

Ellen Mastrogiovanni

Scott McIlvennie

Jean Palmer

Karen Pearson

Sandra Redfield

Rose Wright

Capital BudgetTom Cole, Director

Institutional Research and PlanningMarin Clarkberg, Director

Cathy Alvord

Marne Einarson

David Fontanella

Chari Fuerstenau

Kevin Rexford

Dan Robertson

William Searle

Kristin Walker

Space PlanningMary-Lynn Cummings, Director

60

Appendices

S