ANNUAL REPORT 2012-2013
1INNOVATION 2 COMMUNITY 3WORLDVIEW
goal
goal
goal
foster
engage in the
develop a
from the
PRESIDENT The past fiscal year brought to a close the 2008-2013 Strategic Plan and saw the emergence of a new, ambitious plan. In February, the Board of Trustees approved the 2013-2017 Strategic Plan that set forth three areas of emphasis to guide the University in a time of rapid and profound change in higher education and in our world. Therefore, this Annual Report presents an extremely healthy Gannon University making a confident transition in full stride at the close of the 2013 fiscal year. Our Gannon community is committed to being a University that will Foster Innovation, the first of the Strategic Plan goals. In the past year, we achieved great success in enhancing and expanding instructional methods, learning technologies and University processes of all kinds. The effects of this focus on innovation are already being seen on and around campus in growing enrollments, new delivery
1
systems, greater operational efficiencies, investments in faculty development, new technology and facilities, and intensive partnerships in the community and around the world.
2
Gannon University has set forth a goal of Engaging in the Community as one facet of the articulation of our Mission as a Catholic University, and as an explicit recognition of the fact that the future of Gannon University is interwoven with the future of the region. The most potent expression of this goal is the work being done by our faculty, staff and students in our ErieGAINS (Erie-Gannon Alliances to Improve Neighborhood Sustainability) initiative. Deepening community partnerships and enhancing community and economic impact are metrics that we watch closely along with student diversity and charitable dollars raised. Gannon’s campus and our
3
community are becoming increasingly global. Developing a Worldview is the critical third goal of the Plan. We are gratifyingly making steady progress on this goal. International student enrollment is on the rise and our efforts to extend the University’s reach can also be seen in numbers of students and faculty who are engaging in study and service abroad, and in local cultural experiences. The development of a strong sense of our global citizenship is supporting the retention, graduation and engagement of students, and the placement success of students entering careers and graduate schools. Our challenges are great, but so are our focus, our resources and our resolve. Together we can—and will—achieve our goals and in doing so will support the health and development of each member of our Gannon family and of our community.
1
IN THE WAY WE CREATE POSSIBILITIES FOR VALUE AND IN THE WAY WE PROVIDE LEAD AND ECONOMIC ENVIRONMENT, UNIVERSITY EDUCATION—TO THOSE WHO THEIR PROFESSIONS, COMMUNITIES AND C
innovat
foster
INNOVATION 45
INDIVIDUAL BUILDINGS; GANNON’S CAMPUS FOOTPRINT IS EXPANDING Work began on the first phase of a $14.5 million project to modernize the Recreation Center. The project includes a 14,000-square-foot addition, a complete interior 2
renovation, a new 51,300-squarefoot indoor field house and a new Human Performance Center where students in physical therapy, sport and exercise science, occupational therapy, biomedical engineering and others will collaborate to put clients’ and community members’ well-being as the primary focus. In anticipation of the new facility, the University announced a competitive cheerleading team for 2013 and added acrobatics and tumbling to its list of sports, becoming one of only 10 colleges or universities in America to sponsor an acrobatics and tumbling team.
Advanced Power Control Solutions LLC (APCS) won the Ben Franklin Technology Partners BIG IDEA Business Plan Contest for Northwest Pennsylvania. APCS is one of 26 companies in the University’s Erie Technology Incubator, northwestern Pennsylvania’s only technology incubator, which provides early-stage, high-growth technology-based companies with office space, mentoring, strategic guidance and other resources including collaborations with Gannon’s Small Business Development Center (SBDC), and with faculty and students from the College of Engineering and Business.
1
goal
STUDENTS, IN THE WAY WE DELIVER DERSHIP IN A DYNAMIC EDUCATIONAL INCREASES THE VALUE OF A GANNON PURSUE IT, PROVIDE IT AND EMPLOY IT IN CHURCHES.
tion
500+
STUDENTS WERE INVOLVED IN FACULTYMENTORED RESEARCH AND PRESENTATIONS The former Tau Kappa Epsilon fraternity house was acquired to house a Forensic Investigation Center that will include an interview and control monitor room, a firearms training simulation room, three crime-scene simulation rooms, an evidence laboratory and a classroom. This project will create multi-disciplinary educational opportunities for students and training for investigative and
forensic careers, and for local and regional law enforcement agencies.
reduced the University’s carbon footprint by 1,916 tons annually.
Gannon University flipped the switch this past winter on 104 LED, energy-efficient light posts in an area covering 18 city blocks near campus. The lights, a $1.1 million investment in the City of Erie, improved neighborhood safety and livability and gave the area surrounding campus a more distinctive and artistic look, feel and identity.
Gannon University introduced an online option for students who want to pursue a Masters of Education in curriculum and instruction. Gannon currently offers the M.Ed. in a traditional classroom setting and as a cohort regionally.
Through energy curtailment events, the University reduced consumption of electricity and realized savings of $23,000. A $30,000 investment in lighting improvements yielded the University annual savings of $14,000 and $8,000 of rebates on electricity costs. The initiative also
$
$2,363,362 AWARDED TO THE UNIVERSITY AS PART OF 33 GRANTS
3
AT GANNON UNIVERSITY, ENGAGEMENT IS RATHER A MISSION-DRIVEN EXPRESSION O DEMONSTRATION OF OUR COMMITMENT T WHEN WE ENGAGE IN THE , TALENT AND CHARACTER OF OUR STUDENT AND VALUE OF OUR CATHOLIC UNIVERSITY.
community
engage in the
COMMUNITY GIVE
2,481
HOURS OF SERVICE COMPLETED DURING GANNON’S ANNUAL GIVE DAY The Gannon Goodwill Garden was built by a group of University and neighborhood volunteers. The raised bed gardens yielded a harvest of 600 pounds of
4
vegetables and herbs. The harvest was donated to local food pantries and social service agencies in Erie, which serve more than 1,000 people a week.
Gannon University was honored by the Pennsylvania Coalition Against Rape with its Vision of Hope Award for the University’s role in creating the Erie County Child Abuse Prevention Task Force. The award recognized those who showed a commitment to protecting children through violence prevention and intervention. GO College, a collaborative venture of the Erie School District,
Gannon University, Council for Opportunity in Education and the GE Foundation, is a national data-driven initiative that brings communities together to increase
73,505 HOURS OF SERVICE PERFORMED BY STUDENTS, STAFF AND FACULTY
2
goal
NOT MERE ACKNOWLEDGEMENT, BUT OF OUR CATHOLIC IDENTITY AND AN ACTIVE TO HUMILITY, SERVICE, AND RESPECT. , WE EXPOSE THE COMMUNITY TO THE TS AND FACULTY, AND TO THE QUALITY
y
college access, attendance and success through academic enrichment and college exposure. Gannon students and staff mentor, tutor and coach at-risk high school students. Nearly 100 percent of students in the program applied to colleges and universities while only 46 percent of the general student population at the participating schools did the same. Gannon’s Erie-GAINS (Gannon Alliances to Improve Neighborhood Sustainability) initiative introduced Little Free Libraries to Erie with a series of picnics attended by neighborhood residents. The libraries, designed and constructed by Gannon University engineering students were placed in neighborhoods around Erie, and hold at least twodozen books that can be borrowed in an effort to promote literacy and a love of reading.
10
RETREATS OFFERED BY CAMPUS MINISTRY TO ENCOURAGE SPIRITUAL GROWTH Gannon University’s 15th annual GIVE Day in September was highlighted by the “TreeVitalize” project, in which nearly 200 Gannon students planted 136 trees within the University’s Erie-GAINS neighborhood. Approximately 1,000 Gannon students, faculty, staff and alumni participated in Erie and across the country.
More than 400 Gannon University students, faculty, staff and alumni also dedicated a Saturday to making the Erie area a better place during United Way’s Day of Caring. Gannon volunteers worked on environmental projects at two-dozen sites located within the University’s Erie-GAINS neighborhood. Gannon created “Club Fit,” a voluntary fitness, nutrition and wellness program developed in partnership with Hamot Health Foundation and the Erie School District. Gannon was able to offer the program, which is held three times a week for 10 weeks, with the assistance of a $10,000 grant from the Foundation.
5
Mary Imma Limerick, Irel
Toronto, Canada Detroit, Michigan Staten Island, New York Washington, D.C. Newland, North Carolina
Haiti
Guatemala
gannon’s influence
ACROSS THE GLOBE 6
aculate College land University of Osnabrück Osnabrück, Germany Università Cattolica del Sacro Cuore Cremona, Italy American University of Madaba Madaba, Jordan
Sacred Heart School of Nursing Punjab, India
Assumption University Bangkok, Thailand
Australian Catholic University Brisbane, Australia
Home Country of Gannon Students
In Fall 2012, Gannon students came from 34 different countries including: Australia, Austria, Bahamas, Bangladesh, Burundi, Cameroon, Canada, Croatia, Iceland, India, Iraq, Japan, Jordan, Libya, Malaysia, Nepal, New Zealand, Nigeria, Pakistan, Palestine, Peoples Republic of China, Russia, Rwanda, Saudi Arabia, Singapore, South Africa, South Korea, Sweden, Syria, Ukraine, United Arab Emirates, United States of America, United Kingdom and Vietnam
International Partner University
Universities abroad that have agreements with Gannon to exchange students and faculty
Alternative Break Service Trip
During semester breaks, Gannon students, staff and faculty use their breaks to serve others domestically and internationally
7
ARTICULATING GANNON UNIVERSITY’S MIS WORLD, WILL BE AN IMPORTANT MEASUR DEVELOP A , WE ACKNOWLED LEARNING THAT IS GLOBAL IN ITS SCOPE. W AND SEND OUR STUDENTS AND FACULTY IN CHANGE IN THEM AND THE PEOPLE AND EN
worldview
develop a
WORLDVIEW
Criminal justice students led by Assistant Professor Christopher Magno, Ph.D., compiled maps specifying the location of the growing refugee community in Erie, Pa. The International Institute and Catholic Charities, two primary refugee resettlement agencies, will use the maps to target services to these populations in need.
Lynne Oberle, an instructor in Gannon University’s occupational therapy (OT) program, led a group of nine students and a professional occupational therapist to Ecuador for a clinical rotation at Camp Hope, an orphanage for children with disabilities.
8
More than 60 students, faculty, staff and alumni participated in this year’s Alternative Break Service Trips to Detroit, Guatemala, Haiti, New York City, North Carolina, Toronto and Washington, DC. The seven trips are the most ever undertaken by the University. Gannon University signed agreements with Mary Immaculate College in Limerick, Ireland, and the University of Osnabrück in Germany, for the exchange of students through study abroad programs, and ultimately for exchanges of faculty and staff, as well as research and professional collaborations.
292
INTERNATIONAL STUDENTS FROM 34 COUNTRIES ENROLLED IN FALL 2012 The College of Engineering and Business dedicated a new Interfaith Prayer Space located on the third floor of the Zurn Science Center. It was designed to be an area where
3
goal
SSION, AT HOME AND AROUND THE RE OF OUR FUTURE SUCCESS. WHEN WE DGE THE WEB OF INTERCONNECTION AND WE WELCOME THE WORLD TO OUR CAMPUS NTO THE WORLD TO EFFECT MEANINGFUL NVIRONMENTS THEY ENCOUNTER. all students can pray and reflect quietly or read the sacred books associated with their respective faith traditions. Marie Soudnie Rivette, a native Haitian who spent four months at Gannon University as a visiting international fellow, and Erika Ramalho, Gannon’s Director of Community and Government Relations, won a first-place award for their presentation of a project to the U.S. Department of State and to the International Research & Exchanges Board (IREX) on tolerance and conflict resolution. Rivette was one of only 11 international fellows from a group of 70 to have made the presentation. More than 500 students representing more than 40 high schools attended the 60th session of Gannon University’s High School
Model United Nations, which is the oldest continuously operating Model United Nations in the nation. When the Gannon Model UN was founded by Father Joseph J. Barr Ph.D., 60 students from 11 area high schools participated.
361
ALUMNI ACTIVELY SERVING THE MILITARY
7
ALTERNATIVE BREAK SERVICE TRIPS INCLUDED 55 STUDENTS, 11 FACULTY AND 3 ALUMNI
are collected in a new Archaeology Museum Gallery that opened in the Palumbo Academic Center. The objects, some of them nearly 5,000 years old, came from an excavation directed by history professor Suzanne Richard, Ph.D.
Objects unearthed at a Bronze Age site at Khirbat Iskandar, Jordan, 9
university
Linda L. Wagner Vice President for Finance and Administration
FINANCIALS Gannon University completed fiscal year 2013 with a strong financial performance. Net assets increased by $9.7 million. The increase in net assets from operating activities totaled approximately $4.2 million, and $5.5 million from non-operating activities. Approximately $4 million of the non-operating increase in net assets was due to the positive endowment performance. Net tuition and fees increased by approximately $1.3 million or 2.3 percent over the prior year. University-funded financial aid was maintained at a higher level to ensure that Gannon remains an affordable institution for students who wish to pursue their education. Unrestricted and restricted contributions totaled $3.3 million; an increase of $677,000 over the prior year. Federal, state and private grants totaled $3.8 million.
10
Gannon received a renewal award for the NSF S-STEM program, and a new NSF Advance grant as well as continuing several other grants. The total return on the endowment was $5.4 million or 13.4 percent. The endowment grew from $41.3 million at the end of FY12 to $47.3 million at June 30, 2013. This increase of $6 million includes both the positive returns as well as gifts to the endowment, net of spending. Expenses increased by 2 percent or $1.5 million. Compensation increased by approximately $1.3 million. Faculty and staff received an average salary increase of 2.85 percent. Operating expenses remained relatively constant from the prior year at $14.8 million. A continued University-wide effort to contain and reduce costs produced positive results. Independent financial audit services as well as investment consulting services
REVENUE Tuition and Fees, net of scholarships Federal, State and Private Grants Contributions Auxiliary Enterprises Other Total
2011-12 $56.4 4.5 2.6 11.5 2.2 $77.2
2012-13 $57.8 3.8 3.3 11.5 7.2 $83.6
EXPENSES Compensation Operating Expenses Interest Depreciation Auxiliary Enterprises Total
2011-12 $48.8 14.8 2.0 4.7 2.1 $72.4
2012-13 $50.1 14.8 1.9 4.9 2.2 $73.9
EXPENSES BY FUNCTION Instruction and Research Public Service Student Services Institutional Support Auxiliary Enterprises
2011-12 $34.7 2.0 12.5 14.5 8.7 $72.4
2012-13 $35.3 1.6 12.9 14.9 9.2 $73.9
2011-12 $30.1 5.8 6.3 0.8 $43.0
2012-13 $31.6 3.2 9.0 1.7 $45.5
$41.3
$47.3
USE OF FUNDS Student Scholarships Capital Spending Debt Retirement Endowment Activities Total Value of Endowment
were re-bid and produced savings. The University continues to achieve savings in utility costs and reduced utilities expenses by 2.3 percent over the prior year. Depreciation grew by $200,000 and interest expense fell by almost $100,000. The University refinanced a callable bond issue and received a substantially reduced interest rate. Auxiliary enterprise expenses increased approximately $100,000 over the prior year. The quality of life for our students remains a top priority. To this end, more than 100 energy-efficient LED light posts were installed in an area covering 18 city blocks on and around the Gannon campus. The lights have helped create a safer environment for students and give the campus
a more distinctive look, feel and identity. The Knight Club, Gannon’s newest gathering place for students, opened at the corner of W. Fourth and Sassafras streets (in the old Antler’s location). The Knight Club blends academic and social opportunities for all students and features a full menu of food, games and entertainment. An apartment complex at 210 W. Eighth Street was completely renovated to include upgrades to heating systems, plumbing, flooring, kitchens and appliances. In addition, a new parking lot was added at W. Eighth and Sassafras streets for student parking. This lot contains 63 parking spaces and serves both resident students living in the building as well as commuter students who could not obtain parking elsewhere.
2012-13 REVENUE
• Tuition and Fees, net of scholarships 69% • Federal, State and Private Grants 4% • Contributions 14% • Auxiliary Enterprises 9% • Other
2012-13 EXPENSES
• Compensation 68% • Operating Expenses 20% • Interest 2% • Depreciation 7% • Auxiliary Enterprises 3%
EXPENSES BY FUNCTION
• Instruction and Research 48% • Public Service 2% • Student Services 18% • Institutional Support 20% • Auxiliary Enterprises 12%
all values in millions of dollars
Strategic faculty positions were added to support growing enrollments, and several other strategic investments were made to ensure that enrollments remain at the levels needed to sustain the University. A space utilization study was completed and identified several academic and administrative projects that will be completed over the next few years. The University will continue to exercise prudent fiscal management and allocate financial resources to ensure that students receive the best possible experience at Gannon.
11
2012-13 board of
TRUSTEES Most Rev. Lawrence T. Persico • Chairperson Bishop of Erie Thomas C. Guelcher ’62, MBA ’76 Vice Chairperson Properties Director Sisters of Mercy Mark Minnaugh ‘81 Secretary EVP-CAO Giant Eagle, Inc. Allison Park, PA Keith Taylor, Ph.D. • President Gannon University
William I. Alford II ’65 Head Start Director Akron Summit Community Action, Inc. Akron, OH Benny C. Askew, Jr., Ph.D. ‘83 President Breakthrough Chemistry Advisors, LLC Marshfield, MA Robert P. Barker ‘72 Executive Vice President/ Operating Officer Parker Hannifin Corp. President Parker Aerospace Laguna Niguel, CA Rev. Msgr. Robert L. Brugger Pastor St. George Church Marcia A. Dall Executive Vice President and CFO Erie Insurance Group Tina M. Donikowski ’85 Vice President GE Transportation Systems Sr. Mary Drexler, SSJ ‘71VMC Principal Villa Maria Academy Deborah A. Dubik, Esq. ‘76 Retired Business Executive Judge Advocate Davenport, IA
12
James J. Duratz Consultant Barco-Duratz Foundation Meadville, PA Angela Coustillac • President Gannon University Student Government Association James E. Gehrlein ’72 CFO Sisters of Saint Joseph of Northwestern Pennsylvania Rev. Scott Jabo President Cathedral Prep/Villa Maria Academy Rev. Msgr. Andrew H. Karg Greenville, PA James W. Keim, Jr. Senior Vice President RBC Dain Rauscher Scott Krall ‘84 Alumni Director H. J. Heinz Company Pittsburgh, PA Urban J. LaRiccia ’59 Private Investor Rancho Santa Fe, CA Thomas J. Loftus ’56, ’74M Retired Business Executive Cary, NC James Miller, Ph.D• President Gannon University Faculty Senate Robert H. Morosky ’63 Private Investor Columbus, OH Susan M. Nedza, M.D. ‘80 Vice President HealthyCircles, LLC Hinsdale, IL Dr. Richard G. Orlando ’76 Ophthalmologist/President Columbus Ophthalmology Dublin, OH Thomas F. Power, Jr. ’63 Retired Business Executive Green Oaks, IL
Rev. Nicholas Rouch, S.T.D., ‘83 Vicar for Education Diocese of Erie James J. Rutkowski, Jr. ’83 General Manager/Treasurer Industrial Sales and Manufacturing, Inc. Robert F. Ruyak, Esquire ‘71 Partner Winston & Strawn LLP Washington, DC James A. Scozzie, Ph.D. ‘65 Retired Business Executive Cleveland, OH Timothy G. Shuttleworth President and CEO Eriez Magnetics Rev. Msgr. Robert J. Smith, JCL Vicar General Diocese of Erie Christopher B. Snyder ‘81 Co-founder and CEO Spectrum Direct Rev. Msgr. Richard J. Sullivan Pastor St. Andrew Church James F. Toohey, Esquire ’56 Partner Quinn, Buseck, Leemhuis, Toohey & Kroto Inc. Margaret A. “Meg” VanderLaan, ’89 Vice President of Corporate Communications MWH Global Broomfield, CO Sr. Mary Ann White, SSJ • President Sisters of Saint Joseph of Northwestern Pennsylvania William M. Zeitler ‘69 Retired Business Executive New Canaan, CT
• Ex-officio Members
Gannon University
MISSION
Gannon is a Catholic, Diocesan university dedicated to excellence in teaching, scholarship and service. Our faculty and staff prepare students to be global citizens through programs grounded in the liberal arts and sciences and professional specializations. Inspired by the Catholic Intellectual Tradition, we offer a comprehensive, values-centered learning experience that emphasizes faith, leadership, inclusiveness and social responsibility.
Non-Profit Org. U.S. Postage PAID Permit No. 5605 Pittsburgh, PA
Gannon University 109 University Square Erie, PA 16541-0001
FACEBOOK.COM/GANNONU
GANNON.EDU
TWITTER.COM/GANNONU
GANNON.EDU/LINKEDIN