Section 3: Comprehensive Standards
3.10.1 The institution's recent financial history demonstrates financial stability.
Judgment of Compliance:
Compliance
Narrative/Justification for Judgment of Compliance:
Christopher Newport University is in compliance with this standard. CNU has a sound financial base and financial stability, and adequate physical resources to support the mission of the institution and the scope of its programs and services, as demonstrated by the University's audited financial statements for the fiscal years ending June 30, 2002 through June 30, 2004. These statements show a consistent pattern of growth in revenue, expenditures, and net assets. The most recent audit (FY 2004) confirms that the University maintains a strong financial position with net assets totaling $102.2 million, an increase of $18.7 million over the prior year.
CNU depreciates assets in accordance with GASB 34/35, as described in the Notes to the Financial Statements under Capital Assets in the Report on Audit.
State appropriations received in fiscal year 2003-2004 were $21,581,394. This is 93% of the appropriations received in fiscal year 1999-2000, $23,127,724, and reflects the national economic downturn and the state budget cuts imposed during that period. During the same five year period, revenue from tuition and fees increased by more than 31% to $13,143,515 from $9,999,277. In fiscal year 2004-2005, state appropriations increased to $24,877,681, 15% over the prior fiscal year. State appropriations for fiscal year 2005-2006 will increase to $27,195,986, for a 26% increase over fiscal year 2003-2004.
The University's on-going commitment to its physical resources is impressive. Over $313 million has been invested in new and renovated buildings over the past 10 years. Funding was provided by the Commonwealth of Virginia, student and user fees and through private gifts. CNU will hold enrollment to about 5,000 students and increase faculty from its present level of 221 to nearly 300 over the next six years. To achieve this goal, the Six Year Capital Plan anticipates several new academic buildings with the construction of three over the next few years: the renovation and new construction of Gosnold Hall, a new building that will be located on the old student center site and a new building to replace McMurran Hall—in all, approximately 115,000 square feet in new academic space (see Campus Development Summary).
The University's financial position is also strengthened through its fund raising efforts and a growing endowment. Over $25 million was raised to complete the Ferguson Center for the Arts. The most recent faculty/staff campaign included over 88% of all faculty and staff contributing and raising over $114,000.
The investments of the University are managed through the CNU Educational Foundation. The Investment Committee of the Foundation meets quarterly and includes members of the senior administration and Board of Visitors. The spending rate can be found in the Investment Policy.
The core competencies and experience of the administrative staff are demonstrated under supporting documentation found in Executive Vice President Staff.
Support Documentation:
FY 2002 Audit
FY 2003 Audit
FY 2004 Audit
FY 2005 Audit
FY 2002 Single Audit Report
FY 2003 Single Audit Report
FY 2004 Single Audit Report
FY 2003 through 2005 Management Standards Letter
Campus Development Summary
Investment Policies
December 2005 Investment Committee Report
Administrative Staff
Additional Live Web Resources:
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