For the Future – fall/winter 2011

future For the

Fall/Winter 2011 Fall/Winter

Forever Blue & White

In This Issue: Through endowments, donors help Penn State to endure

Simple, Flexible, Smart The Pennsylvania State University Charitable Gift Fund: A Donor Advised Fund Managing your charitable giving doesn’t have to be costly or complex. The Pennsylvania State University Charitable Gift Fund (PSUCGF), a donor advised fund, offers a convenient way to support Penn State and other causes that matter to you. As an alternative to starting a private foundation or establishing a charitable gift fund with a commercial investment firm, the PSUCGF also involves lower fees and taxes, letting you get the most out of your charitable investment.

Why esTablIsh esT a Donor aDvIseD vIseD FunD WITh Penn sTaTe? sT n

Simplicity With a minimum gift of $25,000, you can establish one source for your charitable giving. You avoid the complexity of creating a private foundation. When you decide to make gifts, Penn State will handle the payments and paperwork.

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Flexibility You can take your time in deciding when and how to give because no immediate distribution is required. At least 50% of your contributions must ultimately be gifted to Penn State, and the rest may go to Penn State or to other charities you care about. You may also add to your fund whenever you want with contributions of $1,000 or more at a time.

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Immediate Tax Benefits You take the tax deduction for your charitable donation right away when you establish a donor advised fund. You also avoid the excise tax associated with a private foundation.

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Excellent Fund Management Penn State is committed to good stewardship of its endowed gifts and a prudent management philosophy. You can choose from one of eight investment options, each of which operates much like a mutual fund and gives you the same sense of security.

For more information, contact the Office of Gift Planning, 888-800-9170, GiftPlanning@psu.edu, www.giftplanning.psu.edu.

A Message from Peter Tombros The tragic events that tore at the heart of Penn State and the hearts of Penn Staters in early November remain in the thoughts of all of us who love and support this University. I would like to thank the thousands of you who have reached out to share your profound concern for the children and families who may have been harmed, your anger and sadness about the allegations and the events which have followed, and your insights on how we can move forward as an institution. Above all, I am grateful to you for your belief, expressed in countless e-mails and letters, that Penn State can and will endure.

Over the generations, thousands of alumni and friends have expressed that same belief in our future by creating endowments, funds that through the University’s careful investment and management will provide support in perpetuity. Today, Penn State students are still benefiting from endowments established more than a century ago, and the donors’ aspirations for the University as well as their gifts have sustained us through the Great Depression and the dot com boom and bust, through shifts in the educational economy and changes in the needs of our students and our nation. Endowments will also help us to regain the national reputation and public faith that have been challenged in 2011, and in this edition of For the Future, we are highlighting the power of endowed gifts in four critical categories to define this institution in our own eyes and the eyes of the world.

Scholarships are one of the most powerful ways to celebrate and perpetuate the values that have made Penn State great, and a group of loyal friends and former students have banded together to honor a faculty member and support undergraduates at the campus to which he’s devoted his career. Graduate fellowships in the College of the Liberal Arts are helping outstanding students to become outstanding scholars and educators who will go on to be our ambassadors at institutions around the world. An innovative faculty endowment is breaking down traditional boundaries to support excellence across a college and change the choices we all make about our health, and a father’s memory lives on through support that will help the University to lead the search for cancer treatments and cures.

Endowments are so important to Penn State’s future that the University is partnering with donors to establish new funds through several matching programs, and you can learn more in the following pages. Such programs represent an opportunity to increase the impact of your giving and build a lasting legacy at the University while helping us to reach the goals of For the Future: The Campaign for Penn State Students. Those goals are more important than ever as we work to make the Penn State name stand for integrity, opportunity, and excellence once more. Many of you have said that the University will never be the same again, and that may be true. But we can be better, stronger, and prouder with your support.

If you’d like to read other Cover photo: Andrew Dunheimer

Sincerely,

stories about Penn State philanthropy or learn more about how you can support

Peter G. Tombros Chair, For the Future: The Campaign for Penn State Students

the University, please visit giveto.psu.edu.

For the Future 3

“Surviving” Sam, Supporting Students

Sam Zabec (center) with Shelbie McCurdy and Phuc Nguyen

It’s not unusual to hear students making wisecracks about their professors, but the jokes and jibes exchanged at Penn State Greater Allegheny on May 21, 2011, were delivered with affection and respect. Nearly 250 alumni, faculty, administrators, family, and friends of Sam Zabec, a former faculty member, gathered to honor and roast Sam’s years of service to the campus and community. The evening was also a celebration of a new Trustee Scholarship established in Sam’s name.

“I was completely overwhelmed when I first heard about the scholarship and event,” Sam says. “I didn’t care what people would say about me at the roast; what was important was that students were going to get help earning their degrees and improving their lives.”

Sam was a faculty member at Penn State Greater Allegheny from 1966 to 2004, teaching courses in

engineering, mathematics, computer science, and information sciences and technology. Over the years, he also served as a residence hall coordinator and the faculty adviser for the Delta Kappa Phi fraternity. He still teaches occasional classes, and he remains close to colleagues and students at the campus.

The idea for the scholarship and roast originated over a year ago with Victor Orler ’79, who had attended the Greater Allegheny campus and was a member of the Delta Kappa Phi fraternity under Sam’s leadership.

“Sam has given so much to the University and impacted the lives of so many students,” Vic says. “I knew there were a lot of Penn State alumni who might not have the capacity to create a scholarship, but who would love the opportunity to join with others and establish this endowment in Sam’s name.”

million 76% of all Penn State $330 million $8.6 in Trustee Scholarships students receive financial aid in unmet need each year awarded in 2010-2011

Trustee Scholarships received by students last year

4,327

Linda Curinga

Members of the Penn State Greater Allegheny community honor a beloved faculty member with a roast and scholarship in his name.

Vic approached James Minarik ’75, a friend and fellow member of the Delta Kappa Phi fraternity, with his idea for the scholarship and roast. “Vic told me his idea, and I agreed immediately,” Jim says. “Sam is an exceptional individual. He is a true mentor and friend, and he deserves this recognition.”

Together, Vic and Jim pledged the $50,000 minimum needed to fund a Trustee Scholarship. They then established a board of twenty individuals, tasked with the goal of raising an additional $50,000 for the scholarship and planning the roast. The board sent personalized solicitation letters to approximately 14,000 alumni and friends of the University, all of whom had been impacted by Sam’s guidance and support.

Redheaded Ninja

The fundraising efforts culminated in the May roast, where Sam’s friends, family, colleagues, and students came together to share stories about the beloved faculty member. All attendees wore matching t-shirts that read “I survived the Sam Zabec years” and jeans to commemorate Sam’s “relaxed style.” During the evening, several of Sam’s friends joined him on stage to share memories, crack jokes, and reminisce about the important role Sam played in their lives. “I couldn’t believe all the people who were there,” Sam says. “It was incredible to have that kind of recognition, just for doing something I loved. I never minded spending nights or weekends on campus; it never felt like work.”

The Trustee Matching Scholarship Program maximizes the impact of private giving while directing funds to students as quickly as possible, meeting the urgent need for scholarship support. In this groundbreaking philanthropic model, Penn State matches 5 percent of the total pledge or gift at the time a Trustee Scholarship is created, making funds available immediately for student awards. This University match, which is approximately equal to the endowment’s annual spendable income, continues in perpetuity, doubling the support available for students with financial need.

Phuc Nguyen, a freshman studying Forensic Science and another Sam Zabec Trustee Scholarship recipient, echoes Shelbie’s gratitude. “When I found out about the scholarship, I was so thankful,” says Phuc. “My parents help me pay for my education, and it’s not easy for them.

The scholarship is giving me the support to be the best student I can be.”

Vic Orler says the success of the roast and scholarship is all thanks to Sam. “The Sam Zabec Trustee Scholarship demonstrates how one man’s dedication to his students inspired thousands to follow his example and create tremendous student opportunity,” says Vic. “Sam is a very special person, and this is just one small way for us to recognize his lifetime of service.”

To date, the Sam Zabec Trustee Scholarship has raised more than $110,000, surpassing the committee’s fundraising goal. The first awards were made this fall to four undergraduates at the Greater Allegheny campus. Shelbie McCurdy, one of the recipients, says the scholarship has already impacted her college experience.

“I chose to come to Penn State Greater Allegheny because I could save money by commuting,” said the sophomore Elementary Education major. “But I still faced large financial hurdles in paying for my education. Scholarship support allows me to work fewer part-time jobs, remaining focused on my studies and involved in campus life.”

Left to right: Victor Orler, Patricia Orler, Megan Minarik, James Minarik

For the Future 5

Building the Faculty of the

Future

Distinguished Graduate Fellowships bring the best students to Penn State and help them to shine. financial resources and are among the most competitive forms of aid available to Penn State’s graduate students.

Michelle’s award is one of three Distinguished Graduate Fellowships—two in English and one in History—that Ted and Tracy McCourtney have created at Penn State.

Increasing graduate student support is a priority for the College of the Liberal Arts, where Tracy earned her own bachelor’s degree in English in 1965, and the McCourtneys often design their gifts specifically to meet a college’s strategic aims. The couple, who live in Katonah, New York, have also established multiple scholarships and endowed professorships, and they have made major gifts to the George and Ann Richards Civil War Era Center and the Moore Building addition project.

When Michelle Huang received a phone message in February from Mark Morrisson, then the graduate director of Penn State’s Department of English, she got a pleasant surprise. Not only had she been accepted to the master’s program that she had applied for, she also learned that she would receive the Tracy Winfree McCourtney and Ted H. McCourtney Distinguished Graduate Fellowship in English. “I still have the voice mail saved on my phone,” Michelle says, “because it was one of the best days of my life!”

Michelle has good reason to be excited. Distinguished Graduate Fellowships are both prestigious and practical awards. As endowed funds whose annual payout is matched by the University, they provide substantial For the Future 6

The McCourtneys believe that supporting graduate students also supports larger goals. “When you’re trying to enhance a university’s reputation and build its academic credentials, faculty has to be foremost in your mind,” Ted says. “But an important element of building a strong faculty is to have strong graduate students. A faculty’s interaction with their graduate students helps promote their own research and academic development.”

And there’s an even longer-term benefit. “Many of these young men and women who want to get advanced degrees will go on into academic work,” says Ted. “Supporting Michelle Huang (above); Ted and Tracy McCourtney (right)

Andrew Dunheimer

Andrew Dunheimer

Argentina. He was also able to complete and publish an academic article about controversial Confederate general William Barksdale. Evan says, “Distinguished Graduate Fellowships help to fund the cutting-edge research that we do and keep the field moving along.”

Evan Rothera

them at their graduate level is helping to build the faculty of the future.”

Distinguished Graduate Fellowships cover students’ tuition and health care and provide additional resources for their advancement. “It allows me to focus on my studies without taking on financial strain and debt, and the mental strain of that,” Michelle says. Her fellowship frees her for one year from the teaching commitments she would otherwise have. “It’s amazing,” she says. “It gives me a lot of extra time that I can use toward developing my interests.”

Penn State’s stewardship efforts ensure that Ted and Tracy McCourtney feel the satisfaction of helping students and understand the impact of their giving. Ted says, “We’ve gotten outstanding feedback from students, and we’re kept fully informed on what these young people are studying.”

He also points to Evan Rothera’s comments in a recent promotional video for the college. “Evan said how appreciative he is of aid he’s received,” Ted explains, “and how it’s inspiring him to think of what he could do for the next generation. We really enjoyed hearing that, and we hope that our recipients do continue the tradition of giving.”

To view the College of the Liberal Arts video featuring Evan Rothera, please visit: http://youtu.be/3ebawQ_xn9u

One of the most important functions of these awards is their recruitment value. Evan Rothera, who received the Ted H. and Tracy Winfree McCourtney Family Distinguished Graduate Fellowship in American History last year, says it was a key factor in his decision to attend Penn State. “It really gives a school a very strong hand when you’re trying to attract new graduate students who might be wavering between two places,” Evan notes.

The Distinguished Graduate Fellowship Program is a University-wide initiative to attract the nation’s most promising graduate students to Penn State by increasing the number of available fellowships through philanthropic support. When a fellowship is fully funded at its $250,000 minimum, the University, through the Graduate School and the fellowship’s affiliate college, will match the endowment’s annual spendable income in perpetuity, thus increasing the amount available to the recipient in the

During his own fellowship year, Evan was able to make a research trip to the Library of Congress (“an amazing institution”) for a paper on Abraham Lincoln and

22 graduate programs 3,000 Penn State ranked in the top ten of graduate degrees awarded last year

their kind by U.S. News & World Report

form of tuition aid, a stipend, and health insurance. This support can be invaluable in recruiting top applicants and accelerating their achievements.

34%

of all graduate students receive assistantships or fellowships

18 Distinguished Graduate Fellowships established to date

Choices for Giving, Choices for Living

An alumni couple invests in young Penn State faculty— and in health discoveries.

Study of Health Promotion and Disease Prevention.

For Suzy and Jim Broadhurst, healthy habits aren’t just a personal choice—they’re a business mission, too. Their family’s Pittsburgh-based company, the Eat’n Park Hospitality Group, may be famous for its Smiley cookies, but the Broadhursts are also industry leaders in offering smart options, from salad bars to trans-fat-free frying, for nutrition-conscious customers. Their new LifeSmiles program, launched earlier this year, is partnering with a range of organizations to fight childhood obesity. In 2008, that same commitment to the well-being of individuals and communities led the couple to create one of the University’s most innovative endowments: the Broadhurst Career Development Professorship for the For the Future 8

Suzy, a 1966 Education graduate, and Jim, who earned his Liberal Arts degree in 1965, have focused their past Penn State philanthropy on scholarships, but their long involvement with the University—Jim is a current member and former chair of the Board of Trustees as well as a chair of the Grand Destiny campaign, and Suzy has been a leading Penn State volunteer—has also made them aware of the impact of faculty support. While most such endowments are targeted to a particular department or program, however, the Broadhursts’ gift is the first of its kind to take a thematic approach. The College of Health and Human Development can award the post to any faculty member in the early stages of his or her academic career who is committed to examining the connections between lifestyle and health. As the recipients of the Broadhurst Career Development Professorship secure funding from government grants and other sources, the position will rotate to new faculty members, allowing the college to recruit other young researchers with the potential to make groundbreaking health discoveries.

“The Broadhurst Career Development Professorship was the extra vote of confidence, the extra source of support, that made it possible for me to choose Penn State,” Jim and Suzy Broadhurst (above); Connie Rogers with students in her lab (opposite), including Huicui Meng (far right)

Harry Giglio

“You can approach issues like cancer risk and immune regulation from so many different directions,” says Jim. “We want to encourage talented young researchers, regardless of field or discipline, to pursue the possibilities that will help us all to make healthier choices and live longer, better lives.”

In 2009, the University launched the Faculty Endowment Challenge, which offers donors an opportunity to leverage a 1:2 match from the University for gifts creating new Early Career Professorships in any of Penn State’s academic units.

These awards, like the Career Development Professorship that the Broadhursts established, rotate every three years to a new recipient in the first ten years of his or her academic career, providing seed money for innovative research projects and flexible funding for new approaches Andrew Dunheimer

to teaching. The endowments typically require

says Connie Rogers, Ph.D., M.P.H., the first faculty member to hold the position. A tumor immunologist by training, Dr. Rogers studies the role of both nutritional factors and physical activity in enhancing the body’s ability to fight cancer. She has used funds from the Broadhursts’ endowment to purchase equipment, implement new methodologies, and train both undergraduate and graduate students to collaborate in her research.

“It’s a scary time to be a researcher, with government and foundation support drying up due to the weak economy,” says Dr. Rogers. “To get grant funding, you have to present strong initial results, but you can’t get those results without an investment of time and money.

The Broadhursts’ endowment has been absolutely essential to the work that I’m doing and to the opportunities that I can offer to my students, from attending conferences to ensuring that they have the skills not just to work in my lab but to pursue careers in research.”

Huicui Meng, a second-year graduate student in nutritional sciences, came to Penn State from her home in China to work with Dr. Rogers. “Like most graduate students, I don’t receive any funding during the summers, but Dr. Rogers was able to use support from her professorship to help me continue my research,” says Huicui.

“The students in the lab are also able to go to scientific

$804 million in research conducted by Penn State faculty last year

a minimum commitment of $500,000, but through the Faculty Endowment Challenge, donors may establish new Early Career Professorships for any of the University’s colleges or campuses with a commitment of $334,000. The University will commit the remaining 1/3 of the necessary funds, approximately $166,000, from unrestricted endowment resources, ensuring support for rising faculty stars.

meetings and learn how to communicate about our work, and that’s really important when we’re working in a field that can impact so many lives. Ultimately, a professorship like this one benefits not just Dr. Rogers, and not just students like me, but everyone.”

The Broadhursts also believe that the endowment’s impact can go far beyond Penn State’s laboratories and classrooms. “We really care about the communities where we do business and the more than 9,000 employees of Eat’n Park, Parkhurst Dining Services, and Cura Hospitality, and this gift is an investment in their future as well as in the careers of remarkable faculty members and the education of Penn State students,” says Suzy. “We’re very excited about what Connie’s research is bringing to light, and we hope that other Penn State alumni and friends will think about how they can support faculty members who might change how we all live.”

Endowed positions available for only of tenured and tenure-track faculty

9%

13 Early Career Professorships established to date through the Faculty Endowment Challenge

A Legacy of Hope

Dan Z. Johnson

By honoring their father, a grateful family helps cancer researchers and patients at Penn State Hershey.

Every August, Earl Clouser received a plethora of birthday cards and well-wishes from his five children and fifteen grandchildren. Although Earl passed away in 2009, the close-knit family continues to honor him on his birthday each year: They write a check to the Earl “Bumps” Clouser Memorial Endowment at Penn State Milton S. Hershey Medical Center. The fund, which supports lymphoma research at Penn State Hershey Cancer Institute, was the family’s way of keeping Earl’s memory alive for his children and grandchildren—and future Clouser generations to come.

“For me, the endowment is a nice way to stay connected to my father,” says Earl’s son, Randall Clouser.

“It’s also something our children can do to stay con-

$90 million 14 research centers and institutes

in research across Penn State Hershey last year

nected to him. I can’t think of a more meaningful way of honoring someone and helping other people at the same time.”

Earl, a native of central Pennsylvania, came to Penn State Hershey Cancer Institute after he was told by physicians at another cancer center that there was nothing more they could do for his advanced nonHodgkin’s lymphoma, a cancer affecting the tissues of the lymph nodes, spleen, and immune system. At Penn State Hershey, Earl and his children met Dr. Elliot Epner, an oncologist who told Earl to remain positive while on clinical trial drugs for the treatment-resistant disease. That approach alone was enough to change Earl’s life.

Clinical trials in of study

18 fields 29 private endowments for research

“He went from hopeless to hopeful,” Randall says. “He was like a new man, and the quality of life he had during his last year with us would have never been possible without Penn State Hershey.”

Earl responded positively to the treatment, but it was Dr. Epner’s commitment to patient-first care that made the greatest impression on the Clousers. “I don’t like formal doctor-patient boundaries,” Dr. Epner says. “I treat people like they’re my own family and friends, and I care about them personally. I sit down in the waiting room and talk to patients, and I will travel to people’s homes if they can’t come to the clinic. And I always believe every patient’s disease is curable.”

Their family’s extraordinary experience at Penn State Hershey motivated the Clousers to give back. Only one week after Earl’s death, Randall and his wife, Caroline, began exploring ways to commemorate Earl’s life and help advance the work of Dr. Epner.

With a $50,000 gift, the Princeton, New Jersey couple created the Clouser Memorial Endowment to perpetually support cancer research.

“When you lose someone who’s really special, you want to do something to add to his legacy, to honor his memory, to laugh a little bit and remember the stories,” Caroline says. “Creating an endowment at Penn State Hershey Medical Center allowed us to do just that.”

Earl Clouser was an all-state basketball player at Altoona High School and spent a few years playing in the former New York Giants baseball minor league system.

Without a college degree, he returned to Pennsylvania, started a career and family, and stressed higher education for his children. The endowment in his name has grown to about $100,000 in less than two years because of contributions from family and friends. One of Earl’s granddaughters, Ashley, has created a website (wearefightingcancer.org) to continue fundraising for the endowment and tell his story.

“My father-in-law didn’t like a lot of fanfare, but this endowment was a way to actively make a difference, something that’s reflective of his personality,” Caroline says. “Randall and I feel this gift is making a direct impact on the work of Dr. Epner and Penn State Hershey Cancer Institute. We are involved in a lot of charitable organizations, and our experience with Penn State Hershey has been one of the most rewarding.” Randall joined the Penn State Hershey campaign committee last year to help other donors have that experience, too.

The Clousers are also giving hope to future generations of patients by helping advance promising new treatments pioneered by Dr. Epner and his team. Currently, they’re investigating epigenetics, or the study of changes in gene expression, to create new drugs for treatment. The Clouser Memorial Endowment and other philanthropy will help Dr. Epner take these innovations and apply them to the treatment he offers patients at Penn State Hershey.

“I like seeing ideas that we develop in the lab actually make a difference in people’s lives,” Dr. Epner says. “But treating patients takes time, and it’s hard for me to compete for grants with scientists who are always in the lab.

The climate for research dollars is very tight, and I’m becoming increasingly dependent on philanthropy to support my work. I’m grateful for all families that are willing to help us because we’re all fighting cancer together.”

Endowments are increasingly important for Penn State researchers pursuing innovative investigations in fields ranging from genetic medicine to sustainable energy.

With a gift of $50,000 or more, donors can create a permanent, stable source of support for experts and scientists in the areas that matter most to them. These endowments will provide resources that can be directed to needs such as state-of-the-art software and laboratory staffing, even as funding from government agencies and foundations fluctuates. Endowed positions for faculty can also be a critical component in establishing strong research programs at the University.

Randall and Caroline Clouser (opposite)

For the Future 11

Office of University Development 2 Old Main University Park, PA 16802 W E

A R E

P E N N

S T A T E

Penn State is committed to affirmative action, equal opportunity, and the diversity of its workforce. U. Ed DEV 12-11

T H E C a m pa i g n O B j E C T i v E S

Progress to date: $1,449,534,065

Goal: $2,000,000,000 72.5%

Ensuring Student Opportunity

Students with the ability and ambition to attend the University will have this opportunity through scholarship support.

Time elapsed: 65.7%

Total to date

Goal

%

$293,382,813

$435,000,000

67.4%

$63,669,449

$100,000,000

63.7%

$97,525,806

$164,000,000

59.5%

$135,083,144

$271,000,000

49.8%

$254,777,018

$386,000,000

66.0%

$605,095,835

$644,000,000

94.0%

Enhancing Honors Education

Students of exceptional ability will experience the best honors education in the nation.

Enriching the Student Experience

Students will thrive in a stimulating atmosphere that fosters global involvement, community service, creative expression, and personal growth.

Building Faculty Strength and Capacity

Students will study with the finest teachers and researchers.

Fostering Discovery and Creativity

Students and faculty members will come together within and across disciplines to pioneer new frontiers of knowledge.

Sustaining a Tradition of Quality

Students will continue to work and study with faculty whose scholarship is enhanced by continuing philanthropic support.

as of November 30, 2011