President’sStateoftheMount

JANUARY23, 2018

President’sStateoftheMountqMountNewsqMissionq ImplementationoftheStrategicPlanq Financesq GrowTotalEnrollmentq EnhanceandDevelopCurricularandCo-CurricularProgramsqMarketing– BrandDevelopmentq GrowandModernizeourFacilitiesq ImproveGovernance&BusinessProcessesq CultivateFurtherourCommunityEnvironment

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CelebratingSuccess

MarylandCommerceSecretary,MikeGill,visitedMSMUPalmieriCenterforEntrepreneurshipandtheComputer

Science,CybersecurityandData(CSCD)suite.

DylanHolden,C‘18,becametheMount'sfirstsemi-finalistfortheMarshallScholarship.

Sciencedepartmentprofessorspublishedinprestigiousjournals:PatrickLombardiinNatureandDanaWardinPNAS.

BishopBarryKnestout,S‘89,wasnamedBishopofRichmond.

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Mountimprovedfacilitiestosupportagrowingnumberofstudentathletes.

Newappointments:Provost,BoydCreasman,Ph.D.andBusinessSchoolDean,MichaelDriscoll,Ed.D.

DivisionofGraduate,ContinuingandProfessionalStudiesaddedundergraduateAdultAccountingandgraduateQuality

AssuranceandRegulatoryScienceprograms.

MountSt.Mary’scollaboratedwithSt.MariaGoretti HighSchool.

BuildingfortheFuture

PhillipsLibraryreceivedpreservationgrantfromNationalEndowmentfortheHumanities.

ChosentoprovideselectiveprofessionaldevelopmentprogramforAACPS

AsaCatholicuniversity,MountSt.Mary’sUniversitygraduates ethicalleaders whoareinspiredbyapassionforlearningandleadlivesofsignificanceinservice to

Godandothers.

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UniversityMissionStatement

MountSt.Mary’sUniversitywillbethe#1regionaluniversityinthenortheast by2023,recognizedforarelentless

commitmenttostudentsuccess,financialsustainabilityandstewardship,andafaith- andvalues-basedcampus

environmentthatinspiresgraduatestoleadlivesofmeaningandpurpose.

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UniversityVisionStatement

DefiningNo.1

RankOutOf197Schools

130 23

First-YearRetentionRate(%)

Four-YearGraduation Rate(%)

0 20 40 60 80

OverallBlack,non-Hispanic

HispanicAsian

Multi-racialAllotherraces

White,non-Hispanic

Six-YearGraduationRatebyStudentGroup(%)

2015-16GraduateOutcomes

Full-TimeEmployment(%)

GraduateSchool(%)

Part-TimeEmployment(%)

SeekingorUnemployedbyChoice(%)

99%

ComparisonGroup

Publicandprivate,non-

profit,four-year,Master’s

institutionsfromVAtoME

(n=197)

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KeyPerformanceIndicators– Howdowecomparewithpeerinstitutionsthataresimilartous?

KPI

MSMUFall2015orFY2015

MSMUFall2016orFY2016

MSMUFall2017orFY2017

PeerGroupAvg.

AspirationGroupAvg.

CrossAdmit

GroupAvg.

MedianFreshmanSAT* 1020 1050 1075* 1048 1135 1068

PercentageofInstructionandAcademicExpenditurestoTotalExpenditures 36.5% 35.4% 37.1% 46.4% 47.9% 45.5%

%MinorityFaculty 7.6% 7.1% 9.3% 11.2% 14.9% 17.1%

StudentAthleteGraduationRate(4yraverage) 73% 74% 74% 72% 80% 71%

NetTuition&Fees(notroom&board)perFTEStudent $18,084 $18,419 $18,729 $18,655 $25,474 $19,894

CompositeFinancialIndex 1.33 1.87 2.50 3.53 4.86 5.38

PrimaryReserveRatio 0.37 0.42 0.49 0.63 1.04 1.17

ViabilityRatio 0.41 0.49 0.57 1.47 1.62 2.15

ReturnonNetAssetsRatio -0.3% 3.2% 6.9% 3.7% 4.7% 3.5%

NetOperatingRevenueRatio 2.3% 3.7% 2.4% 4.7% 5.5% 6.5%

*TheCollegeBoardrevisedtheSATin2017,thenewSATscoresaverageapprox.40pointshigherthantheformerSAT

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StrategicPlan2018-2023:CreatingEthicalLeadersWhoLeadLivesofSignificance- Overview

ThePrimaryLinesofEffortoverthenext5years:• Enhanceanddevelopcurricularandco-curricularprogramsthatarethemost

relevantinpreparingstudentsforsuccessinleadinglivesofsignificanceinservicetoGodandothers.(curriculumdrivesenrollment!)

• Growtotalenrollment(undergraduate,graduate,seminary,non-traditional,transferstudents)throughenhancedrecruitment,retentionandbrandingefforts.

• Integrateallstudentdevelopmentefforts(academic,spiritual,social,athletic,workexperiences)indefiningandassessingourmodelfordevelopingethicalleaders.

• Growandmodernizeourbuildings,utilitysystems,athleticandsupportfacilities.• Improveourgovernanceandbusinessprocessesinordertoincreaseinstitutional

effectivenessandefficiency.• CultivatefurtherourcommunityenvironmentrootedinCatholicfaithandvaluesso

thateveryoneregardlessoffaithgrowsinunderstanding,feelswelcomedandincluded,istreatedwithdignityandrespect,andknowstheyaretrustedandvaluedmembersoftheMountteam.

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StrategicPlanImplementationStatus

WeareintheProjectInitiationPhase◦ Oct.17,2017- Jan.31,2018◦ PurposeistoinitiateAY17-18priorityspecialprojects

Progress◦ 49specialprojectsselectedbyCabinetthatwilladvance16ofthePlanobjectivesthisyear

◦ Leadershavebeenassignedfor36;proposalssubmittedfor24◦ Projectplansforeachprojectarebeingdevelopedthismonth

Training◦ ProjectmanagementtrainingsessionswereheldinDecemberfor36administratorsandfaculty

Reporting◦ TheASPIRE Office(Assessment,StrategicPlanning,InstitutionalResearchandEffectiveness)willgenerateanannualStrategicPlanAssessmentReportforthePresidentandBoardeachJune

◦ Semi-annualupdateswillbedeliveredtothemasterplanninganddevelopmentcommitteebyVicePresidentGreen

ImproveGraduationRatesValueourEmployeesGrowTotalEnrollmentImproveIntellectualGrowthPremierAcademicProgramsBrandDevelopmentFinancialSustainabilityForward!CampaignCatholicFaithUnderstandingIntegratedLeadershipDevelopPartnershipsEthicalLeaderFormationPlanStewardourPlaceEliminateSexualHarassmentandAssaultCommunitySafetyandPrivacyProtectionCultureofTeamwork

StrategicPlan

ProjectPortfolio

Top16

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CurrentFinancialOverview

FY18BudgetPlan:AnotheryearoflossfromoperationsbutwearemakingStrategicvs.Tacticalleveldecisionstoimproveourunderlyingfinancialsustainability:

• Continueinvestingforenrollmentgrowththrunewcurricularandathleticprograms

• Substantialinvestmentinmarketingtoimprovebrandrecognitionandrecruiting

• Debtrestructuringtoreduceannualdebtservice• JCI20-yearutilitysystemprojectinvestment• InvestmentinWorkdayERP

FY18Performance:ThruDec:TotaloperatingresultsconsistentwithbudgetForecastforJan- June:Operateconsistentwithbudgetbutconcernedaboutrevenueduetolowerretention

FY17ExternalAuditResults:• FinancialResultsmuchbetterthanbudget• Lost$340Kfromoperationsversuslossof$5.3Mprojectedinthebudget• Underinvestedininfrastructureandgrowthinitiatives

KeyImprovementsfromDebtRestructuring:• Eliminatesmandatory

accelerationofdebtpayments

• Reducesannualdebtpaymentsby:

$1.3Mforthreeyears$0.13Mthereafter

• Provides$3Mforuseoncapitalprojects

FY19Budget:• Generatepositive

dollarsfromoperationstoreinvestinrenovationoffacilities,andinnovationofprograms

• Supportcurricularandco-curricularprogramsthatwillleadtogrowthinenrollment

• Reduce/eliminatespendingonlowvalue-addedactivities

• TakedraftbudgettoBoardinJune.

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NationalEnrollmentTrendGoingfromBadtoWorse

NationalChallengesforHigherEducationprovidedbyEABGlobal,Inc.

Source:NationalStudentClearinghouseResearchCenter,“CurrentTermEnrollmentEstimates—Fall2017.”

0.7% 0.4% 0.2%

-0.2% -0.4% -0.6%

1.6%

-0.3% -0.6%

-0.4%

-1.2%

-2.6%

2014 2015 2016 2017 2016 2017

PrivatesPublics

PercentageChangeinEnrollmentfromPreviousYear

TotalEnrollment(Undergraduate&Graduate)EnteringClasses2014-2017

UndergraduateOnly

Objective10.5:GrowTotalEnrollment

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GraduateandCertificateProgramsOutpacingUndergraduateProgramsprovidedbyEABGlobal,Inc.

Source:NationalCenterforEducationStatistics,“ProjectionsofEducationStatisticsto2022,”Feb.2014,Pearson-Embanet;KeypathEducationdata,proprietaryclientlist;EABinterviewsandanalysis.

AdultLearnersCanFuelGrowth

36%vs.17%Projectedmaster’senrollmentgrowthcomparedtobachelor’sgrowththrough2022

6XGreaterenrollmentgrowthincertificateprogramscomparedtomaster’sprograms

21%Projectedincreaseintheenrollmentofstudentsaged25to34from2016to2022

AdultLearnersKeytoSustainingEnrollmentGrowth

GrowingConsumerInterest SuperiorGrowthProfile CredentialsontheRise

UniversityLeadersMobilizingBehindAdultLearnersGrowthExpectationsSoaringatMostUniversities

10-25% IncreasedgrowthgoalsforCOEprogramsacrossthelastseveralyears

Ifwearegoingtohitourenrollmentgrowthtargets,wecannolongerfocusentirelyonthehighschoolmarket.Ourcampusisstartingtoembracethefactthatgrowthislikelygoingtocomeinthegraduateandonlinemarkets.

TotalEnrollment:GrowthInManyAreas,ButStillNeedtoImproveRetention

1/22/16 1/19 /17 1/19/18

FTUndergraduate 1,540 1,510 1,548

Freshman ClassRetention 89% 94% 89%

NewSpringUndergrad 16 19 26

Frederick 3,650CreditHours

3,575CreditHours

3,934CreditHours

FreshmenFallDeposits 36 54 53

Seminary 123 117 146

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StrategicEnrollmentTargetsCurrentlyBeingAnalyzedandDiscussed

2017 2018 2019 2020 2021 2022 2023

Undergraduate 1,648 1,681 1,738 1,820 1,870 1,930 2,000

Seminary 145 150 152 155 160 160 160

Frederick 320Headcount

337Headcount

354Headcount

371Headcount

390Headcount

410Headcount

421Headcount

• Theseareonly“marksonthewall”tostartcampusdiscussions• TheEnrollmentManagementCommittee,inaccordancewithObjective10.5

(GrowTotalEnrollment),isshapingthedetails• Implicationsbeingdiscussedatvariouslevels:Housingby2021,BrandEnhancement,

Academics,Athletics,Dining,MinorityStudentSupport,AthleticGrowthandSpaceNeeds

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TheMountgraduatesethicalleaderswhodemonstratecontinuousgrowthinintellectualskillsandunderstandingattainedthroughtheintegratedCatholicliberalartscurriculuminordertoachievetheirlifelongpursuitsandleadlivesofsignificance.

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EnhanceandDevelopCurricularandCo-CurricularProgramsGoal1:IntellectualExcellence:

NewAcademicPrograms:• UndergraduateMajors:• Entrepreneurshipmajorstartsthissemester• Cybersecurity;Philosophy,PoliticsandEconomics;ForensicAccounting• GraduateandContinuingStudies• Bachelor’sdegreeinAccountingavailableatFrederick• GraduatecertificateinQualityAssuranceandRegulatoryScienceavailable• GraduatecertificatesinDataScienceProfessionalandRiskManagementandCybersecurityProfessionaljustapprovedbytheBoardofTrustees;pendingMHECapproval

TailoredAcademicPrograms:• M.Ed.InInstructionalLeadershipforAnneArundelCountyPublicSchools• 1st cohortinprocess;2nd cohortstartsthissummer

• WarriorstoWorkforcefortheVeteransAffairsAcquisitionAcademy• AcquisitionProgramcohortwilldoubleinsizesummer2018

• DevelopingaCybersecurityprogramfortheVAAA

DevelopingNewCommunityCollegePartners,e.g.,HACC,tofacilitatetransfers

HighSchoolProgramwithSt.John’sPrepstarting2nd term;addingstudentsfromSt.MariaGoretti

DevelopGrantsCulture(OBJ12.2SupportScholarship)tofacilitatebringinginmoregrantdollars

IncreaseSummerBridgeProgram

CSES havingwellattendedworkshopsthatfocusonhelpingandengagingstudentsinlearning

iLEAD gettingmanystudentsengagedintheNationalAssociationofStudentLeaders

Upgrading theITin classrooms,andCanvasisnowinplaceforallclasses

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Goal1:IntellectualExcellence - AdditionalInitiatives

2015-16 Varsitysportssponsored:16(9women/7men)290*student-athletes

2016-17 Varsitysportssponsored:17(9women/8men)330*student-athletesMen’sswimmingadded.Men’ssoccerprogramreinstated;headcoachhired.

2017-18 Varsitysportssponsored:18(10women/8men)415*student-athletesWomen’srugbyteambeginsNCAAcompetition.Men’sandwomen’sgolfprogramreinstated.

2018-19 Varsitysportssponsored:22(12women/10men)460-475*student-athletesFournewsportsbeginofficialplay:men’ssoccer;women’sbowling;men’sandwomen’sgolf. IncreasingTrack&Fieldfrom100to120student-athletes.

2019-23:Futurewomen’ssportsbeingconsidered:volleyball;fieldhockey;waterpolo;women’striathlon.(Withtheexceptionoftriathlon,allofthesesportsarecontingentuponfacilityupgrades.)

*Numbersdonotincludecheerleadingandmen’srugbyasthesearenotNCAA-sponsoredsports.

StudentAthleteGrowthisFuelingEnrollmentGrowth

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• TheSetonDuboisinitiative’spilotprogramofaservicesemesterhasbeenapprovedandwillbelaunchedinfallof2018

• TheOfficeofSocialJusticehad1,500inattendanceduringtheirprogramsthispastfall.Thebiggesthighlightwasapproximately300studentvolunteersandotherswhosupportedtheMount-hostedSpecialOlympicsMarylandFallSportsFest.▫ Nearly90studentstookpartinourannualMLKDayof

Serviceatmultiplesitesaroundtheregion

• Developedacoordinated“GlobalIncidentResponsePlan”fortheUniversity

Goal7:CultureofService

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Objective12.4:BrandDevelopment- LiveSignificantlyCampaign

Digital/Social• 1.5millionimpressionsinthefirsttwomonths• 14,500clickonadds• Facebook:315,000impressionsand3percent

clickthroughrate(nationalaverage1percent)

CableTV• WashingtonandBaltimore:356,000

impressionsof30-secondcommercial

ViewBook(Mailed)• 6,000acceptedstudents.Additional

communicationsflowbeingdeveloped.

PrintAdvertising• PrintadsinCatholicpublications

CatholicReview,Standard&Heraldcombined182,000circulation

LiveSignificantlyCampaignisLeadingtoIncreasedExposurefortheMount

CollegeSearchWebsites

Dec. 21,2017 Dec. 21,2016 %Change

SundayVisitRegistrations 109 61 79%

DailyVisitRegistrations 181 131 38%

TotalNumberofLeads

NumberofNewNames

%ofNewNames

Niche.com 2,275 1,093 48%

Hobson 1,305 294 22.52%

CampusVisits

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Trafficincreasetoadmissionsmicrosite:• Sessionsincreased1,238%(10,745in2017vs.803

sessionsin2016)

Goal:Developanewwebsitethat...

isMobileResponsiveandADACompliant

enhancesthevisibilityandreputationoftheMount

facilitatesgrowthinenrollment&retention

supportsourfundraisingandengagementofalumnianddonors Studentsareonmobile.

Ourdevicetrafficbreakdownlookslikethis:2016– 57.7%desktop,34.6%mobile2017– 17.9%desktop,75.5%mobile

NewWebsiteDevelopment

January February March April May June July August September

WebsiteDevelopmentTimeline

Site Maintenance & Assessment

1st Designs

Testing/Content Migration

LaunchAugust 1

CMS System Development

Content Creation / Sitemap Development

Visual Design & User Experience

Communications• CommunityEmailUpdates• OpenTownHallMeetings• SmallGroupContentDiscussions• SharePointSite• End-UserTraining

JCIonsite:§ Equipmentbeingdelivered§ Workcommencedonseveralbuildings

$3millioninnewfundsfromrefinancing:§ 5%tobespentwithinsixmonthsonlibraryADAandwindows§ Remainingfundsinvestedwithinthreeyearsonlonglifeassets

PlanningimprovementsrelatedtoForward!Campaignfunding:§ Seminary- $1.25M§ Grotto- $1.25M§ Academics- $20M§ Athletics- $7.5M

SummerCapitalProjectsplanningtobefinalizedendofJanuary:§ High-riskareasprioritized§ PastendoflifefacilityneedscoordinatedwithForward!Campaign§ Phase1ofTowerrenovations

GrowandModernizeourFacilitiesOBJ11.3:StewardOurPlace

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A$30-millioncampaigntoprovideourstudentsandmembersofourcampuscommunitywithexcitingnewspacestoengagethemind,bodyandspirit.

Mind SpiritBody

OBJ11.4StewardourDollars- Workday:• Difficulttransition• Secured$175KinservicecreditsfromWorkdayandthreefreeyearsofstudentlicenseat$150Kperyear• Focusingon:oStabilizingpoordeliverybyprimecontractors,estimatedMarchcompletion

oChangemanagement:trainingandculturaladjustments

oP-Cards,timetracking,payrollinproduction,budgettrackingbyFebruary

• DelayingstudentimplementationworkuntilSept.2019

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ImproveGovernanceandBusinessProcesses

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OBJ13.1IntegratedLeadership- BoardandCabinetlevel•Boardadoptedarevisedcommitteestructureinlinewithbestpracticestofocusonstrategiclevelgovernanceandoversightofthestrategicplanwhileimplementingtheirfiduciaryresponsibilities•Boardmembersmeetaftereachmeetingwithmembersofourcommunityinlisteningsessions•Presidentmeetsonaregularschedulenowwithafacultycommunicationscommittee•StartingJan26,anupdateofkeyactivitiesbeingworkedonbytheCabinetwillbemadeavailableeveryotherweekthroughmyweeklyemail

OBJ13.3SeminaryGovernance:•BoardapprovedthismonthachangeingovernanceoftheSeminaryinordertoconformwithCanonlaw•FormalincorporationoftheSeminaryasa509(a)(3)Type1supportingorganizationtotheUniversity

ImproveGovernanceandBusinessProcessescontinued

• OBJ5.3:UnderstandingofourCatholicFaith• CatholicIdentityCommitteeisdevelopingacultureofengagementwhereconversations

aboutCatholicmissionareanaturalpartofeveryone’swork• CICisalsofacilitatingadeeperunderstandingourrolesandcontributionstothemission

• OBJ6.2:DiversityandInclusion• InclusiveExcellencecommitteedevelopingplansthatseektoimproveretentionof

diversestudents,andincreasethediversityoffaculty,administrators,andstudentsbyusingDarylSmith’s(2009,2015)frameworkofAccessandSuccess,ClimateandIntergroupRelations,EducationandScholarship,andInstitutionalViabilityandVitality

• Multipleinitiativesintendedtobetterandmoreinclusivelyserveourincreasingminoritystudentpopulationshavebeenenacted.Hereareafewexamples:▫ Conductedaculturalcompetencein-servicetrainingforfaculty▫ Increasedethnicproductavailabilityinthebookstore▫ Holdingnon-denominationalChristianserviceeverySundayoncampusandsoon

willofferaweeklySpanishMassattheGrotto

CultivateFurtherourCommunityEnvironment

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• OBJ9.1:EliminateSexualAssaultandHarassment• Startingprojectteamtolookatpolicies,supportservices,educationandtrainingto

insureourcollectiveeffortsarethemosteffectivetheycanbe• CreatedapeereducatorsgroupentitledEMPOWERmount toaidinourwidespread

effortstoeducatestudentsonsexualassaultpreventionandbystanderintervention

• OBJ8.2:StudentSatisfaction• Reversedafive-yearnegativetrendinResidenceLiferelatedtostudentviewsonstrict

rulesandregulationsinasingleyearwithoutaffectingthequalityofsafety

• OBJ11.1:VoiceoftheMount• Workinganelectronicmeanstogarnerfeedbackandnewideastoimprovefromthe

community;pilotthroughMyMount HubwilltakeplaceinFebruary

CultivateFurtherourCommunityEnvironment

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QuestionsandComments