Kent State University 2015 Generosity Report

Š 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

The Critical Importance of Private Support

Y

Your giving, through the Kent State University Foundation, provides support that not only sustains but elevates us.

We are extraordinarily gratified that you not only believe in our community, but have invested in it. In the past year, your new commitments to our students, faculty and staff have reached almost $30 million — with a significant portion dedicated to student scholarships.

Student success continues to drive our work as the top priority for Kent State — and your contributions help us achieve our goals in this area. We are now focused on executing our new university vision, which states we will be “a community of change agents whose collective commitment to learning sparks epic thinking, meaningful voice, and invaluable outcomes to better our society.”

You — our supporters — are essential to helping us achieve our vision. It is no secret that in this time of reduced public support, private philanthropy plays a critical role. Your gifts have funded scholarships, professorships, leading-edge academic and athletic programs and 21st-century learning facilities — allowing us to achieve excellence and impact every aspect of the education of our students.

Thanks to your generosity, our students are dreaming about and attaining greatness. I am deeply grateful for your continued involvement in the life of Kent State University.

Beverly J. Warren President, Kent State University

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

building a bold future

H

Higher education is society’s greatest transformation agent, and the Kent State University Foundation is the way we build and sustain a vibrant future for our students. To ensure financial stability and long-term growth, the Foundation is committed to supporting scholarships, programs and capital projects that lead to successful academic progress, and expand our outreach as a destination university for the next generation of students.

In 2015, the Foundation is celebrating 50 years of service to Kent State, supporting the university’s mission and vision of excellence, enriching the learning experience and ensuring success for every student. Your gifts make that possible.

I’m proud to be able to play a role in the future of this great university, and you should be as well. Thank you.

Gary L. Brahler, ’89 Chair, Kent State University Foundation Board

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

G

philanthropy and impact

Gifts from donors like you are making it possible to build first-class teaching facilities, fund scholarships for hundreds of deserving students and provide programs that expand and enrich cultural, artistic and athletic endeavors. These are the foundation for epic thinking.

Aeronautics and Technology Building

Thanks to the giving spirit and collective vision of our amazing donors, our students benefitted from each of your gifts. Please continue to help us maintain momentum and look forward to continued growth and development as we build toward a distinctive future.

Here, read about some of the commitments from the past year that are making a positive impact at Kent State.

center for the visual arts

Our ongoing capital campaign, Foundations of Excellence – Building the Future, has resulted in one of the most exciting transformations in university history. Thanks to your commitment and support, the construction of new buildings, upgrades to facilities, and the establishment of dynamic, new spaces are in progress that will create the most outstanding academic experience for the entire Kent State community.

Already completed as part of this vision for the future is the Aeronautics and Technology Building, a new facility for the College of Applied Engineering, Sustainability and Technology that opened this year.

The finishing touches are being completed on a new Center for the Visual Arts. In addition, the spectacular Center for Architecture and Environmental Design is well underway along the Lester A. Lefton Esplanade, located prominently

center for architectural and environmental design

Š 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

philanthropy and impact

GIVING IMPACTS

integrated sciences Building

at the main entrance to campus. Ground has also been broken for the Integrated Sciences Building, which is part of a comprehensive Science Mall installation — a corridor of facilities that will bring new energy to our science, technology, engineering and mathematics programs, sparking new educational and research achievements.

For many in Northeast Ohio, summer wouldn’t be complete without taking in the season at Porthouse Theatre, the region’s premier outdoor theatre. It’s also fertile training ground for students studying in the School of Theatre and Dance. For the acclaimed program’s 50th anniversary, The Gregory Hackett Family Foundation has provided seed money for a matching gift toward a $1 million campaign that will support renovations and new construction at Porthouse to expand patron services. This year, audience members experienced a new, upgraded box office provided by the campaign, with more innovations to come.

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

philanthropy and impact

S

Special purpose gifts add to the richness of students’ experience at Kent State. Fulfilling our donors’ philanthropic visions, these gifts provide research funding, visiting artist and lecture experiences and study abroad opportunities, among others. Our donors’ dreams soon become our students’ realities.

GIVING IMPACTS The insurance industry is poised for strong growth in Ohio and across the country, offering graduates in the field healthy employment opportunities. A gift from Westfield Insurance has established an insurance education endowment that supports the Bachelor of Science in Insurance Studies degree program at the Salem Campus, and helps promote careers within the industry. The Westfield Insurance Campus Tour Center, named as part of the gift, is located in the Kent Student Center and hosts potential students, parents and other visitors to the Kent Campus, making their first impression of Kent State an enjoyable and memorable one.

At-risk high school students can thrive at Kent State — but first, some need help preparing for the rigors of a university education. Through the College Ready Grant from Great Lakes Higher Education Guaranty Corporation, these students will receive extra educational services to help them reach college readiness benchmarks in math and English, and earn college credit over the course of their junior and senior years in high school. study abroad

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

philanthropy and impact

S

GIVING IMPACTS

“Students First” Scholarships As a key component of the university’s “students first” focus, scholarships are a top priority to ensure that students have access to the high-impact teaching and learning opportunities they need to graduate and enter into post-graduate work or meaningful careers. In the past year, donor support allowed the university to award deserving students more than $3 million in privately funded scholarship.

Kent State’s top priority is to ensure that our students have the education, experience, inclusive environment and resources that they need to graduate and be successful in their work, and engaged in their communities as informed leaders.

One part of this goal is a focus on improving retention and graduation rates. Contributions from donors like you provide the financial means for more students to complete their education, preparing them for meaningful lives—and to change the world.

Richard and Karen Bobcheck believe the best goal to have is to finish one’s education, obtain a degree and become successful. That’s why they have created The Finish Line Achievement Grant (F.L.A.G.) for the College of Business Administration. The name of their scholarship not only signifies their chance to repay what they say the university gave them, but also represents the help they’re giving to students in order to reach the important milestone of graduation.

Army Specialist Adam S. Hamilton excelled in football, hockey and lacrosse as a star at Kent Roosevelt High School. Sadly, he was killed in Afghanistan in 2011 at age 22 while serving his country in Operation Enduring Freedom. Adam’s parents, Scott and Connie Hamilton, have made a heartfelt gift to fund an endowed field hockey scholarship in his name, as well as the lead gift for the football locker room renovations. The Adam S. Hamilton West Entrance at Dix Stadium has been named in his memory.

The university received a wonderful and unexpected gift from the estate of Wallace J. Hagedorn, who attended Kent State’s Short Course in News Photography in 1941. He was so impressed with the class that he made a $3 million bequest — the largest single gift ever made to Kent State University to fund only scholarships, benefitting the photojournalism and photo illustration programs in the School of Journalism and Mass Communication.

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Changing the future one student at a time Read about scholarship recipients whose lives were changed by generous Kent State University donors.

LaQuann Dawson Jr., ’17

LaQuann

LaQuann Dawson Jr., ’17, is no stranger to hard work. He’s doublemajoring in two of Kent State University’s most challenging academic programs, fashion and graphic design. Also, as he’s been doing since the age of 16, he works as a freelance photographer, graphic designer and painter.

“I’m the oldest of six, and I’m paying for college on my own,” LaQuann says. “I take pride in being independent and in setting a good example for my siblings. I think it makes me well-rounded to balance work, school and extracurricular activities.”

LaQuann was accepted into several well-known fashion and design schools in New York. He chose to attend Kent State based on the reputation of its programs.

LaQuann says Kent State’s impressive array of options for financial assistance also contributed to his decision to become a Golden Flash.

“I’ve been lucky to earn academic scholarships, and I’m grateful for that,” he says. “Kent State would be a very different place if alumni didn’t give back in order to give students like me a chance.”

LaQuann is just one of many Kent State students who have benefitted from an endowment or other private scholarship gift, including the Oscar Ritchie Scholarship. His hard work and diligence have paid off, but his scholarships have enabled him to fully immerse himself in his education and college experiences without burdening his family or his own financial future, helping ensure his future success.

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Changing the future one student at a time

Theresa Medrano, ‘16

Theresa

Anything is possible. Theresa Medrano, a Kent State University senior is living proof of this.

At age 17, like most high school seniors, Medrano should have been thinking about senior prom and graduation. But she became a victim of domestic violence and was forced to withdraw from high school.

Instead of planning the next chapter of her life, she suddenly found herself homeless. Still, she found the strength to remain hopeful, and today she’s a full-time student, on track to graduate.

Although she spends much of her week working, Medrano is also an executive board member of FLASHanthropy, a student organization of dedicated students at Kent State committed to raising awareness of philanthropy and the importance of giving back to Kent State undergraduate students. She was also the recipient of the organization’s Pay it Flash Forward Scholarship.

“I know how important financial assistance is for me,” she said. “It’s a big reason why I’m able to be here at Kent State today.”

Though she has come a long way already, Medrano continues to work hard to achieve her dreams. She hopes to establish a career working in nursing home administration to improve the quality of life for senior citizens under her care.

In the meantime, she is giving back to the Kent State community and helping her peers.

“I received help from other people along the way, so now I’m giving back and helping others,” Medrano said. “I want to share my story. I learned that you can do anything, even with a hard situation. I never thought I would be here and I’ll work hard to stay here. It pays off.”

As Theresa has learned, anything is possible. The support she has received has made a difference between a life of homelessness and a life that’s full of unlimited potential — a future that is hers to explore and shape and inhabit, thanks to generous people who have made her way possible.

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Changing the future one student at a time

Matthew Toro, ’15

Matthew

Matthew Toro, ’15, had a simple but daunting goal: to graduate from college, debt-free.

“There were two reasons for this,” Matthew says. “First, my older brother was in his second year of college when I started, and I recognized that a second child in college would be a lot for my parents. It was important to me that they not have the financial responsibility of another, concurrent college tuition.”

Matthew, who double-majored in criminology and justice studies, and sociology, has obtained two degrees in four years and graduated with zero debt with the help of several scholarships, including one from George and Kady Pownall, as well as a fellowship from donor Margarete Spears.

Next, Matthew aims to simultaneously earn a master’s degree and doctorate in sociology.

“Second,” he continues, “it was a decision for me on a personal level as well. While in high school, I realized I didn’t want to have any student debt when I graduated from college.”

“The generosity of those who have made all of this possible has truly impacted me and my family,” Matthew says. “I hope they know I am deeply grateful. Their generosity has truly shaped my life for the better.”

Matthew knew he would have to work hard and be academically successful during high school and throughout his undergraduate years to make this a reality — which he has — thanks to scholarships.

Your gifts ensure a sustainable and vibrant future for Kent State University and its students. Meeting the challenges of college affordability, access and support for success have never been more important. Any they’re only achievable with the help of friends like you.

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Impact by the Numbers Thanks to You

82%

$3 million

Percentage of Kent State students receiving financial assistance

Amount of private scholarship support provided to students by Kent State University Foundation donors in 2014-15

1,051

Total number of donor-funded Kent State University Foundation endowments

Š 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Fiscal Year 2014–2015 assets and disbursements

foundation assets in millions, for fiscal year 2014 – 2015 140.4

2011

2011

90.4 136.7

2012

2012

85.3 163.5

2013

94.6 174.2

2014

110.9 179.4

2015

115.9

foundation support to kent state in millions, for fiscal year 2014 – 2015

2013

2014

2015

14.0 2.8 10.2 3.1 10.5 3.1 8.7 2.9 10.9 3.9

TOTAL ASSETS

GRANTS TO KENT STATE UNIVERSITY

ENDOWED ASSETS

SCHOLARSHIPS AWARDED

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Fiscal Year 2014–2015 STATEMENTS OF FINANCIAL POSITION June 30, 2015 and 2014

ASSETS Cash and cash equivalents Receivables

Pledges

Interest on notes receivable

Investments

Long-term pool

Charitable remainder trusts

Annuity pool

Short-term pool

Beneficial interest in trusts held by others Notes receivable – Hotel and Conference Center Property, net of depreciation

LIABILITIES AND NET ASSETS Liabilities

Accounts payable

Funds held for others

Actuarial liabilities

Annuities

Charitable remainder trusts

Net assets

Unrestricted

Temporarily restricted

Permanently restricted

2015 2014 $ 2,202,184 $ 1,594,579 8,901,105 436,129 9,337,234

8,522,683 132,396 8,655,079

141,781,472 6,127,738 — 18,162 147,927,372

138,095,169 6,330,534 3,240,040 11,974 147,677,717

4,265,258 14,426,108 1,305,688 $ 179,463,844

355,927 14,426,108 1,506,448 $ 174,215,858

$ 92,084 9,039,339 1,774,536 2,457,202 13,363,161

10,997,258 114,097,081 41,006,344 166,100,683 $ 179,463,844

$ 88,435 9,003,091 2,063,941 2,609,396 13,764,863

10,229,182 113,388,802 36,833,011 160,450,995 $ 174,215,858

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Fiscal Year 2014–2015 STATEMENT OF activities year ended June 30, 2015

Unrestricted Revenue and Support Gifts Cash and securities $ 81,978 Net change in pledges receivable (2,498)

79,480 Losses on pledges receivable 375

79,855

Restricted Temporarily Permanently

Total

$ 15,346,781 (84,324) 15,262,457 (14,226) 15,248,231

$ 2,455,663 591,806 3,047,469 (112,711) 2,934,758

$ 17,884,422 504,984 18,389,406 (126,562) 18,262,844

Net investment income Securities Investment pool operator fee Investment in Hotel and Conference Center

392,699 1,493,216 910,382 2,796,297

2,124,177 (1,493,216) — 630,961

— — — —

2,516,876 — 910,382 3,427,258

Sales, services, events and other Gain or loss on sale of property Changes in designation of prior contributions Change in actuarial liabilities Release of restrictions

764 — (2,554) — 13,980,813 6,855,175

183,303 (177,636) (1,304,382) 108,615 (13,980,813) 708,279

25,077 — 1,306,936 (93,438) — 4,173,333

209,144 (177,636) — 15,177 — 21,736,787

Expenses and losses Grants for Kent State University Administration

15,410,049 677,050 16,087,099

— — —

— — —

15,410,049 677,050 16,087,099

768,076

708,279

4,173,333

5,649,688

10,229,182

113,388,802

36,833,011

160,450,995

$ 10,997,258

$ 114,097,081

$ 41,006,344

$ 166,100,683

Change in net assets Net assets at beginning of year Net assets at end of year

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

Fiscal Year 2014–2015 STATEMENT OF activities year ended June 30, 2014

Unrestricted Revenue and Support Gifts Cash and securities $ 70,632 Net change in pledges receivable (2,165)

68,467 Losses on pledges receivable (22,306)

46,161

Restricted Temporarily Permanently

$ 10,407,273 (836,313) 9,570,960 (1,609,251) 7,961,709

$ 2,508,303 (7,320) 2,500,983 (104,406) 2,396,577

Total

$ 12,986,208 (845,798) 12,140,410 (1,735,963) 10,404,447

Net investment income Securities Investment pool operator fee Investment in Hotel and Conference Center

3,593,757 1,399,715 495,611 5,489,083

Sales, services, events and other

Changes in designation of prior contributions Change in actuarial liabilities Release of restrictions

144 10,445 — 9,965,322 15,511,155

534,759 (392,704) 23,518 (9,965,322) 13,804,738

25,000 382,259 519,876 — 3,323,712

559,903 — 543,394 — 32,639,605

Expenses and losses Grants for Kent State University Administration

11,442,276 717,254 12,159,530

— — —

— — —

11,442,276 717,254 12,159,530

3,351,625

13,804,738

3,323,712

20,480,075

6,877,557

99,584,064

33,509,299

139,970,920

$ 10,229,182

$ 13,388,802

$ 36,833,011

$ 160,450,995

Change in net assets Net assets at beginning of year Net assets at end of year

17,042,493 (1,399,715) — 15,642,778

— — — —

20,636,250 — 495,611 21,131,861

© 2015 Kent State University Foundation

Kent State University 2015

GENEROSITY Report

BOARD OFFICERS

LEADERSHIP 2014–2015 BOARD OF DIRECTORS

Gary L. Brahler, ‘89 Chair First Vice President - Investments, Polcar Brahler Heil Belden Wealth, Management Group of Wells Fargo Advisor F. Carl Walter, Jr., ‘73 Chair-Elect and Treasurer Chair, Committee on Finance Chairman (retired), Chess Financial Corporation Larry R. Armstrong, ‘79, ‘80 Immediate Past Chair CEO, Ware Malcomb Dr. Linda M. Neiheiser, ‘90, ‘00 Secretary Manager of Psychological Services, Cleveland Municipal School District Jeffery L. McLain, MMC, CFRE Executive Director Vice President, Institutional Advancement, Kent State University Stephen G. Sokany, MBA, ‘96 Interim Executive Director Director, Board Relations Executive Associate Vice President, Institutional Advancement, Kent State University Michael T. Strebler Assistant Treasurer Chief Financial Officer, Kent State University Foundation Inc.

BOARD OF DIRECTORS James W. Arthur, ‘62 Property Manager, TransOhio Properties Harvey J. Bazaar, ‘62 Caldwell, New Jersey

Christopher P. Bray, ‘89 Managing Director - Florida, Ariel Capital Advisers LLC Edmund D. Cooke Jr., ‘65 Partner, Law Offices of Cooke Robotham LLC R. Douglas Cowan, ‘64 Chairman of the Board (retired), The Davey Tree Expert Company Robert J. DiDiano, ‘87 Senior Vice President and Senior Director of Banking, Wachovia Wealth Management, Northeast Region Barbara A. Donaho, ’92 President and CEO (retired), St. Anthony’s Hospital Timothy D. Eippert, ‘92 President, MC Sign Company John R. Elliot, ‘70 President, AMFM, LLC Barry E. Fetterman, ‘74, ‘76 Chair, Committee on Institutional Advancement Principal (retired), Sirach Capital Management Inc. Richard J. Frenchie, MBA, FACHE Chief Development and Community Relations Officer for the Eastern Region (retired), University Hospitals Health System Cathy D. Hemming, ‘70 Founder, Cathy D. Hemming Literary Agency LLC Peter M. Holway, ‘82 Chair, Committee on Investments Investment Director, Hirtle, Callaghan & Company Dr. Candice A. Hughes, ‘70, ‘72 Associate Professor, Department of School Psychology, The Chicago School of Professional Psychology

Nora Conway Jacobs, ‘73 Chair, Committee on Grants Senior Vice President, Crisis Communications, Hennes Paynter Communications Steffany Matticola Larkins, ‘92 Chief of Staff, Chief Diversity Officer, Medical Mutual

At Large Members Representing Alumni Association Brian M. Marino, ‘01 Financial Advisor and Special Care Planner, Skylight Financial Group

Judie Fall Lasser, ‘00 Hudson, Ohio

Maria E. Schneider, ‘86 Managing Consultant, Premier Segment, Institutional Relationships, TIAA-CREF

James M. Pazderak, ‘74 President, Covenant Financial Group Ltd.

Ex Officio Members

Joseph F. Rich Senior Director, North America Sales & Marketing, Danfoss Power Electronics Robert G. Risman President and CEO, Burton Carol Management LLC Robert E. Ross, ’70 Director, Private Asset Management (retired), Robert W. Baird & Co. Richard D. Selip President, Grand River Rubber & Plastics Co. David J. Sibits, ’72 Chair, Committee on Membership Senior Vice President, Strategic Development, CBIZ, Inc. Stephanie Danes Smith, ‘79 Principal and Owner, TrueNorth Strategies, LLC; School of Journalism and Mass Communications, Kent State Buzz Starner, ‘67 President and Owner (retired), Starner Sales & Marketing Robert W. Woolf, ‘65 Chairman and President (retired), Chemi-Troll Chemical Company

Trustee Representative Richard H. Marsh, ‘73 FirstEnergy Solutions Corp. (retired) Lori A. Randorf, ‘99 Assistant Vice President, Kent State University Alumni Association

Executive Officers of Kent State University Dr. Beverly J. Warren President Dr. Todd A. Diacon Senior Vice President and Provost Jeffry L. McLain Executive Director, Foundation Vice President, Institutional Advancement Gregg S. Floyd Vice President for Finance and Administration

Presidential Appointments Dr. Daniel F. Mahony Dean, College and Graduate School of Education, Health & Human Services

© 2015 Kent State University Foundation

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© 2015 Kent State University Foundation