F E AT U R E S T O R Y
A President’s Report foreword from Trustee Ken Moreland
HOPE possibilities INVESTING IN
and
President’s Report CONTENTS 14 Scholarships, Financial Aid
15 Timeline
16 Revenues, Expenditures, Donor Profiles
18 Net Assets
20 Lifetime Societies
22 New Heritage Society, Board of Trustees
24 Charitable Gift Allocation
RYAN SMITH PHOTOGRAPHY
1 2 | FA L L 2 0 1 6 • T H E B R I D G E • M E S S I A H C O L L E G E
fulfilled by Messiah College
In our world today, the dividing line between the “haves” and the “have nots” has never been greater. Honest, hard-working people are having a very hard time affording even the basics, like quality housing and health care for their families. On top of these pressures, educating themselves and/or their children can often require personal sacrifices, debt and significant emotional and financial pressures. Many struggle with embracing the hope and possibility of being able to afford a Christ-centered education from Messiah College. continued
M E S S I A H C O L L E G E • T H E B R I D G E • FA L L 2 0 1 6 | 1 3
FINANCIALS
But God’s promises and the provision of manna for the Israelites, as depicted in Exodus, gives us a model as to how the Lord can have us provide hope and possibilities in the lives of others. Webster’s dictionary defines manna as “something needed that is received unexpectedly.” In speaking of God’s provision, Exodus 16: 17-18 (NLT) states: “So the people of Israel did as they were told. Some gathered a lot, some only a little. But when they measured it out, everyone had just enough. Those who gathered a lot had nothing left over, and those who gathered only a little had enough. Each family had just what it needed.” The trustees, and senior leaders, educators and staff at Messiah College are committed to the faithful stewardship and balancing required to delivering the highest quality Christian education experience at affordable cost. But the facts are that operating and facilities costs have been rising at a pace that exceeds the pace of growth of available resources from most of our students and their families. Thus, the only way that Messiah can maintain this precious balance is to seek and rely on the generosity of those whom the Lord has blessed financially to provide for those who have needs. There are many ways that we can give hope and fulfill the possibilities of the current and future generations of students desiring a Christ-centered education at Messiah College. The most direct way is to share our financial blessings through our financial giving, either to the Messiah College Annual Fund to be used for general operating needs, gifts to a specific Messiah College facility project, or through establishing a new or contributing to an existing endowed scholarship that will deliver direct financial support to deserving Messiah College students. Thank you, and may God truly bless you for your faithfulness and obedience to the calling to prayerfully and financially support Messiah College as we educate men and women toward maturity of intellect, character and Christian faith in preparation for lives of service, leadership and reconciliation in church and society. Ken Moreland – Trustee, Chair of Finance Committee
“ For I know the plans I have for you, declares the Lord, plans to prosper you and not to harm you, plans to give you hope and a future.” Jeremiah 29:11 (NIV)
SCHOLARSHIPS THE FOLLOWING SCHOLARSHIPS, ESTABLISHED DURING THE 2016-17 ACADEMIC YEAR, ARE AN INVESTMENT IN THE LIVES OF STUDENTS THAT WILL YIELD FRUITFUL AND LASTING RETURNS. •D r. Andrew T. and Lauren J. Babyak Endowed Scholarship •B arnabas Endowed Scholarship Fund •B igelow Family Endowed Scholarship •G ary & Sylvia B. ’95 Emberger Research Endowed Scholarship •C harles ’23 and Mary (Lenhert) ’28 Eshelman Scholarship •L ester N. Fortney ’78 Family Endowed Scholarship Fund •F rom His Bounty Art Endowed Scholarship •H arry and Norma Hamsher Internship Endowment •H arry and Norma Hamsher Career & Prof. Development Center Endowment
• Richard B. & Judith M. Hiler Music Education Scholarship • HOPE International Scholarship Fund • D. Ray Hostetter ’48 Memorial Leadership Grant • Leidy Family Oak Foundation Scholarship • Joshua S. ’02 and Heather L. (Clark) ’04 Manifold Endowed Scholarship • Tom and Linda Pheasant Endowed Scholarship • Briar K. Logee Stahl ’02 Scholarship Endowment in Business • Stuckey Family Endowed Scholarship • YongSoo Scholarship Endowment Fund
$35
G R OW T H O F F I N A N C I A L- A I D G R A N T S AT M E S S I A H
$30 $25 $20 $15 $10 $5
2002
2005
2008
2011
2014 2016
$0 AAP
MG
O O FR : INF
RCE
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in thousands
continued
SOU
P&L
FINANCIALS
2 0 1 6 2 0 1 5 2 0 1 4
REVENUES (IN 000S)
DONOR PROFILE
Student tuition and fees Less, financial aid Net tuition and fees Governmental grants and appropriations Gifts and grants Capital gifts Endowment return designated for operations Investment income Other sources Auxiliary enterprises Total operating revenues
93,411 (37,894) 55,517 1,118 3,724 1,508 7,148 637 3,946 21,065 94,663
90,254 (36,039) 54,215 982 2,848 2,179 7,075 643 3,516 21,656 93,114
88,024 (34,186) 53,838 862 3,094 2,622 6,803 997 3,692 20,693 92,601
35,016 9,512 17,718 2,617 15,230 14,148 94,241 422
32,402 9,438 16,944 2,273 16,696 14,191 91,944 1,170
32,994 9,013 16,181 2,396 17,023 13,530 91,137 1,464
EXPENSES (IN 000S)
Instructional Academic support Student services Public service Auxiliary enterprises General institutional support Total operating expenses Net operating income
N O N O P E R AT I N G R E V E N U E S , E X P E N S E S A N D OT H E R C H A N G E S ( I N 0 0 0 S )
Endowment and life income gifts 2,078 Endowment investment returns, net of amount designated for operations (8,265) Change in value of beneficial interest in perpetual trusts (292) Other non-operating income - Investment return on trusts and gift annuities (70) Change in value of split interest agreements (Trusts and CGA’s) (79) Total nonoperating revenues, expenses and other changes (6,628) Total changes in net assets Net assets, beginning of year Net assets, end of year
(6,206) 244,291 238,085
1,501
3,210
(7,824) (174) - 17 (364) (6,844)
9,969 578 (38) 1,673 (1,567) 13,825
(5,674) 249,965 244,291
15,289 234,676 249,965
ANN B. BARSHINGER GENEROSITY OF SPIRIT Ann B. Barshinger is a highly respected and beloved philanthropist throughout the south central Pennsylvania region. She and her husband Richard lived very generous lives in their joint giving efforts. She has faithfully carried on that legacy in a variety of ways since her husband’s passing, and she has had a tremendously positive impact on our community. Barshinger funded the Barshinger Scholars Program at Messiah College where students receive scholarship support for all four years of their education. This wonderful program ensures that those students with the greatest academic promise but with limited or no financial resources can still obtain a high-quality education at Messiah College. Barshinger is a remarkable testament to the profound influence that kindness and generosity can have on the lives of neighbors and on the local and regional community. She is directly helping to support the future of countless talented young leaders.
Expenses
2015-2016 fiscal year
3%
Public service
Revenues
2015-2016 fiscal year
15% 19% Supporting Student services, services institutional support 10% 16% Academic Auxiliary support enterprises
8% Endowment return
designated for operations
59%
Net tuition and fees
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22%
Auxiliary enterprises
37%
Instructional
4% Other sources 3% Operational gifts and grants 2% Capital gifts 1% Government grants and appropriations 1% Investment income
FINANCIALS
2 0 1 6 2 0 1 5 2 0 1 4 MESSIAH COLLEGE NET ASSETS
S U M M A R Y S TAT E M E N T O F E N D OW M E N T F U N D S ( I N 0 0 0 S )
Donor endowment Board-designated endowment Total endowed funds Endowment percent change
34,422 91,627 126,049 -3.87%
33,266 33,242 97,858 103,523 131,124 136,765 -4.12% 10.72%
$ millions 250
ASSETS (IN 000S)
Cash and cash equivalents Notes and accounts receivable, net Promises to give, net Interest receivable Inventories Prepaid expenses and other assets Investments, gift annuities and trusts Loans receivable - students Deposits with trustee under debt agreements Beneficial interest in perpetual trusts Property and equipment, net Total assets
10,464 13,210 14,809 1,761 1,687 1,602 4,219 4,736 5,080 190 163 156 546 591 804 1,548 1,360 767 144,056 146,684 154,435 2,854 2,787 2,855 14,526 595 3,901 3,704 3,995 4,169 145,320 134,981 131,272 329,188 310,789 319,850
200
150
LIABILITIES AND NET ASSETS (IN 000S)
Liabilities: Accounts payable and accrued expenses Student deposits Funds held in custody for others Deferred revenue Annuities payable Funds held in trust for others Long-term debt U.S. government grants refundable Other liabilities Total liabilities Net assets: Unrestricted Temporarily restricted Permanently restricted Total net assets Total liabilities and net assets Total change in net assets
8,963 1,595 51 1,243 6,272 819 66,916 2,435 2,809 91,103
6,260 1,613 146 1,109 7,341 1,499 43,372 2,410 2,748 66,498
5,517 1,682 123 1,130 7,788 1,819 46,839 2,383 2,604 69,885
189,870 196,812 203,213 13,878 14,896 15,219 34,337 32,583 31,533 238,085 244,291 249,965 329,188 310,789 319,850 (6,206) (5,674) 15,289
Unrestricted Temporarily Restricted Permanently Restricted
100
50
0
2008
2010
“ One person gives freely, yet gains even more; another withholds unduly, but comes to poverty. A generous person will prosper; whoever refreshes others will be refreshed.” Proverbs 11:24-25 (NIV) 1 8 | FA L L 2 0 1 6 • T H E B R I D G E • M E S S I A H C O L L E G E
2012
2014
2016
FINANCIALS
6.3%
Organizations
SU PPORTERS OF MESSIAH COLLEGE
29.5%
Community friends
20.6%
Trustees
14.7%
Alumni
13.1%
1.7%
10.3%
Sponsorships and government grants
Current and former Foundations parents
0.2%
Churches
3.6%
Corporations
LIFETIME SOCIETIES M E S S I A H L E G AC Y
Lifetime cumulative giving totaling $10,000,000 or more Leonard Fry† Calvin G. & Janet C. High* Abram† & Gladys† Mellinger MESSIAH TRUST
Lifetime cumulative giving of $1,000,000 to $9,999,999 Vernon E. & Faye R. Anderson Ernest L.† ’48 & Kathryn G. (Tyson) ’46 Boyer Brethren in Christ - Cooperative Ministries Covenant Fund Conestoga Wood Specialties Norman & Elizabeth M. Hahn* Harold H.† ’37 & Mary Elizabeth (Hoover)† ’40 Engle Charles F. † & Ann E.† Frey* Emerson C.† ’57 & May† Frey* Larry E. & Lois A. Gladfelter* Harry R. Hitchcock† William M.† & Lucille M.† Hollinger David G.† & Beatriz A.† Howe 2 0 | FA L L 2 0 1 6 • T H E B R I D G E • M E S S I A H C O L L E G E
Richard† & Louise K.† Jordan* Josiah W. & Bessie H. Kline Foundation The Kresge Foundation Ralph S.† & Dorothy Larsen* Lilly Endowment Inc. Martin’s Famous Pastry Shoppe James A. & Donna F. Martin* McCormick Family Foundation W. Edwin† & Miriam† Naugle George A. & Barbara J. Parmer* D. S.† & Helen† Poorman Maurice E.† & Dorothea I.† Shaffer John E.† & Ida† Sollenberger The Stabler Foundation Donald B.† & Dorothy† Stabler LeRoy M. ’55† & Eunice (Frey) ’58 Steinbrecher* The Whitaker Foundation John L.† & C. Jeanette† Witmer World Vision Inc. Anonymous Donors (4) THE PRESIDENT’S CIRCLE
Lifetime cumulative giving of $250,000 to $999,999 Association of Independent Colleges & Universities of Pennsylvania M. Louise Aughinbaugh Quentin Berg Trust
Francis H. Berg† John A. Blessing Foundation Marion Barker Burr† David E.† ’61 & Jean Byer Charlie B. ’56 & Miriam (Nissly) ’56 Byers Asa W.† ’16 & Anna E. (Kipe)† ’16 Climenhaga J. Harold Engle ’58* Melvin E.† ’48 & Vivian Eyster* Richard F. Fake† ’37 C.J.† & Harriet† Fredricksen S. Johannah Gearhart† General Electric Foundation HARSCO Corporation Scott A. ’89 & Gaye Y. Heintzelman* The High Foundation Evert C.† & Mildred S.† Hokanson Charles B. & Sally Hoober George C.† & Patricia† Hoopy Lowell D. † ’40 & Dorcas (Alderfer) † ’39 Hoover Clyde W. & Barbara A. Horst* D. Ray † ’48 & Audrey (Fisher) ’50 Hostetter* Clarence W. Hottel Sr.† Lawrence L. & Julia Z. Hoverter Charitable Foundation Randall B. ’66 & Judy G. Inskip Johnson & Johnson Family of Companies Richard E. ’70 & Sharon N. Jordan W. M. Keck Foundation W. Wayde† & Glenda Kelly
FINANCIALS
Allen F. Knouse ’68 Leon E.† & Margaret M.† Kocher Jeffrey F. ’74 & Leslie (Lustig) ’75 Lehman Wayne A. & Martha G. Marcho* Aaron J. ’48 & Jean Martin Stephen W. ’78 & Jana M. (Shultz) ’77 McBeth Jacob & Ada Miller Trust Kenneth V. & Renee A. Moreland* William L.† & Geraldine† Murray Paul W. Nisly* Galen M. ‘48 & Beulah L.† (Buckwalter) ‘49 Oakes* P.B.S. Coal, Inc. Jeannie Pascale Pew Memorial Charitable Trusts
Harry W.† & Nancy R. Preis Marlin & Nancy† Riegsecker Maynard & Carolyn Sauder Sawyer Products Oscar F.† & Pauline M.† Shafer Jerry Tyson† & Hilary M. Simpson L.B. Smith Estate Foundation Inc. Robert H.† ‘42 & Marilyn L. (Byer) ‘51 Smith John B.† & Mary V.† Sollenberger Ellis R. † & Louise P.† Speakman The John Frederick Steinman Foundation Stover Family Foundation John Templeton Foundation Marlin H. & Doris Ann Thomas* Kermit Thomas†
Turkey Hill Dairy Daniel Vollmer† Franklin H. & Ruth L. Wells Foundation Amelia C. Winter† Leslie K. & Marian H. Witmer* Kenneth E.† & Minta Wolfe Anonymous Donors (4) *M essiah College thanks the parents of our current and former students who continue to generously support the College’s ongoing education mission. † Messiah College gratefully acknowledges the generosity of donors who are deceased.
N E W H E R I TAG E S O C I E T Y M E M B E R S
Andrew T. & Lauren J. Babyak Ivan E. Beachy ’60 & Martha (Kuhns) 57’ Eshelman Lynn & Karen Bigelow Thomas & Kathleen Cole Gary & Sylvia B. ’95 Emberger Peter K. ‘97 & Laurel J. (Steinweg) ‘00 Greer Richard B. & Judith M. Hiler Yong J. & Soo Kyung Lee Joshua S. ’03 & Heather L. (Clark) ’04 Manifold
Thomas & Linda R. Pheasant Mynette J. Satoris Larry L. ’76 & Carol Y. Sollenberger Matthew J. ’01 & Tiffany L. (Bower) ’02 Stuckey Steven E. & Diana M. (Hoffman) ’68 Vellines Louis M. & Donna R. Walters David Weidemann Rowland A. Yeo
2 2 | FA L L 2 0 1 6 • T H E B R I D G E • M E S S I A H C O L L E G E
CALEB BORNMANN ’18
Thank you to those who became members of the Heritage Society, now with 565 members, during the 2015-2016 fiscal year. The Heritage Society was established to appropriately thank those who have included Messiah College in their wills, created a deferred gift arrangement or established an endowed fund. Their dedication is greatly appreciated.
B OA R D O F T R U S T E E S | 2 0 1 6 –2 0 1 7
George A. Parmer chair Harrisburg, Pa. Dr. Craig E. Sider vice chair Secaucus, N.J Heidi G. Bingaman ’80 secretary Kreamer, Pa. Rim A. Hinckley ’83 treasurer New York, N.Y. Barbara Avery Safety Harbor, Fla. Larry Bashore Mechanicsburg, Pa. Wendy L. Cole
Winfield, Pa. Richard L. Godshall Souderton, Pa. Anthony H. Hahn ’93 East Earl, Pa. Scott A. Heintzelman ’89 Mechanicsburg, Pa. Joachim J. Huerter Annville, Pa. Linden K. Hustedt Placida, Fla. Richard E. Jordan II ’70 Mechanicsburg, Pa. J. Gary Langmuir Manheim, Pa.
Dr. Emerson L. Lesher ’74 Mechanicsburg, Pa. James A. Martin Chambersburg, Pa. Stephen W. McBeth ’78 Camarillo, Calif. Kenneth V. Moreland West Friendship, Md. Barbara G. Moses Sicklerville, N.J. Rodney L. Musser ’83 Pomona, Calif. Edward Nevin Finksburg, Md. Linda R. Pheasant Wormleysburg, Pa.
Marlin Riegsecker Upland, Calif. Dr. Alan Robinson Dillsburg, Pa. Anthony J. Schiano Duck, N.C. Eunice F. Steinbrecher ’58, Greenville, Ohio Dr. Kimberly C. Thornbury ’93 New York, N.Y. John C. Wagner Jr. Phoenix, Md. Dr. Jerry L. Wenger Bird in Hand, Pa.
FINANCIALS
C H A R I TA B L E G I F T S A L LO C AT E D BY P U R P O S E F O R 2 0 1 5 ( F I S C A L Y E A R)
“ And do not forget to do good and to share with others, for with such sacrifices God is pleased.”
7.4%
Messiah Fund
26%
Endowment
21.4%
Building projects
16.6%
14.9%
4.6%
Restricted Unrestricted gifts and bequests grants
Government grants
0.8%
Deferred gifts
Hebrews 13:16 (NIV)
0.5%
Budgeted restricted
7.8%
Designated budget
DONOR PROFILE
A LU M N I C O U N C I L | 2 0 1 6 –2 0 1 7
DAVID ’88 AND BONNIE (RAPP) ’90 MILLARY A FAITHFUL LEGACY David ’88 and Bonnie (Rapp) ’90 Millary met while students at Messiah College. They have three children: Rachel, Thomas and Nathan, a current student at Messiah. David Millary, who grew up in Lusaka, Zambia, heard about Messiah College through family friend, Andrew Samuel ’84. During his senior year of high school, he also had the opportunity to meet Professor Martin Schrag, who spoke at some local churches. For the couple, the lure of a Christian college that also could provide a first-class education was intriguing. The Millarys have a great appreciation for Messiah’s well-rounded education that opened their minds to new ideas and world views. They also value the role models of professors and administrators who live out their faith both in and beyond the classroom. Messiah also has offered them the ability to build lifelong friendships. They greatly value Messiah’s impact on the local and international communities and the way the College fosters a genuine caring for others and a deep desire to be a reflection of 2 4 | FA L L 2 0 1 6 • T H E B R I D G E • M E S S I A H C O L L E G E
Christ’s love to all people. They credit their connections to Messiah in helping them to be servant leaders. They choose to contribute back to Messiah to continue and to enhance the legacy of Christ-centered development of young people who can impact the world for the greater good. They want to help students to learn, grow, change and be challenged to pursue passions and to reach goals. We are deeply grateful for their commitment to their alma mater and for the way they are reflecting the love of the Gospel in their own lives.
George M. Book ’97, M’16 Ray Chung ’04 Doris (Heisey) Crider ’60 Rudyard L. Crider ’71 Ethan J. Eshbach ’14 Craig C. Flemmens ’93 Elizabeth S. Gallo ’16 Gina (Blyther) Gilliam ’83 Mark D. Hopkins ’94 Bryan Ji Yang Leong ’16 Scott D. Martin ’91 Louisa T. MfumMensah ’12 Michael B. Miller ’68 Kurt S. Shook ’92 Sean R. Sims ’08
Jacob P. Specht ’11 Charles R. Starr ’68 Martha L. (Brubaker) Starr ’68 A. Kenneth Stern ’68 Lois E. (Brandt) Stern ’70 Kathleen J. (Winger) Stuebing ’59 Ulysse Toussaint ’08 Bonita (Kline) Troxell ’71 Lawrence P. Williams ’11 Gerald N. Wingert ’47 Gerald F. Wolgemuth ’58 Ruth A. (Bryan) Wolgemuth ’60