USD President's Report 2014

2014 President’s Report

M I S S I O N S T A T E M E N T

The University of San Diego is a Roman Catholic institution committed to advancing academic excellence, expanding liberal and professional knowledge, creating a diverse and inclusive community, and preparing leaders dedicated to ethical conduct and compassionate service.

P R E S I D E N T ’ S M E S S A G E

Dear Friends:

As I reflect on my time at the University of San Diego, I am especially proud of our students, not only for their academic and athletic achievements, but also for their desire to serve both the local community and communities around the world.

We are a university that embraces a rich Catholic intellectual and social tradition that teaches us to recognize the needs of those less fortunate and to protect those who are most vulnerable. It is a tradition that is dedicated to the education of the whole person in mind, body and spirit. Its principles are reinforced in the classroom, where our faculty ignite a commitment to service in the students, not only through pedagogy, but also through their own tireless work outside the classroom and in the community. Our alumni recognize this special relationship between faculty and students who are working together in service. We recently announced the renaming of our Center for Community Service Learning to the Karen and Tom Mulvaney Center for Community, Awareness and Social Action as a result of Tom ‘77 (JD) and Karen’s generous financial support. While our commitment to service grows, our academic profile is also rising. The University of San Diego continues to rank among the top 100 universities in the nation, according to the most recent U.S. News & World Report ranking. The Shiley-Marcos School of Engineering catapulted to 14th this year among national universities with undergraduate engineering programs that do not offer a PhD program. Soon new instructional space will be completed on the first floor of Loma Hall. It will provide a creative, garage-like environment, similar to those of real-world innovators who conceptualize and create prototypes of new inventions. Students will tap into their creative and technical potential in an atmosphere of developing ideas, building working models, and then engaging in full-scale development. Construction is also well underway for the Betty and Bob Beyster Institute for Nursing Research, Advanced Practice, and Simulation at the Hahn School of Nursing and Health Science. The new building, scheduled for completion in fall 2015, will include a state-of-the-art nursing simulation center, which is the heart of the school’s clinical teaching facilities. We are very proud of our long-standing partnership with the military, returning service men and women and their families. In October we unveiled the Student Veterans Center, which provides a dedicated space for our growing veteran population to meet, study and network with their peers. Our global footprint continues to expand. In November we celebrated the opening of our first permanent international studies facility in Madrid, Spain. More than 200 students annually will be studying at the new USD Madrid Center, joining dozens of other study abroad opportunities for students each year. And of course, we celebrate our student athletes whose dedication, teamwork, and leadership on the courts, courses, and fields of play exemplify the very best of what it means to be a Torero. Their accomplishments this year have been noteworthy, including for the first time in Torero football history, USD advanced to the NCAA Division I Football Championship, earning the Pioneer Football League’s automatic bid as the regular-season champion. Our university is blessed by its students, faculty, staff, administrators, and a growing network of alumni, friends and benefactors who generously share their talents and resources. The University of San Diego is truly a remarkable community of teaching, learning and discovery. And with your continued sustaining support, participation and encouragement, USD will continue its momentum in enhancing academic excellence, cultivating its culture of care, and producing Changemakers equipped to make lasting differences in our world.

Sincerely,

Mary E. Lyons, PhD President, University of San Diego

T H E 2 0 1 3 - 2 0 1 4 Y E A R I N R E V I E W

Around the Park In January 2014, USD’s famed leaning Star Pine tree, located near The Immaculata Church, Maher Hall and Aromas, was removed due to disease and safety reasons. The tree was planted in the 1960s. This action resulted in an outpouring of fond recollections by students, alumni, staff and faculty. In February 2014, President Mary E. Lyons, PhD, announced she would step down from her role. Lyons, who took over as president in July 2003, has provided transformational leadership during her tenure. Among her many notable accomplishments is the creation of the new Shiley-Marcos School of Engineering, the university’s continuing high ranking undergraduate study abroad participation, USD’s nationwide statute as a leader in sustainability efforts and the school’s designation as an Ashoka U Changemaker Campus. Also in February, Founders Chapel turned 60. This cherished space within Founders Hall serves students, staff, faculty and administrators for daily worship, and Catholic alumni, faculty and staff choose it as a favorite place to get married, to baptize their children and to renew their faith at Homecoming and Christmas. Copley Library hosted its inaugural Digital Initiatives Symposium in April 2014, bringing 130 representatives nationwide to campus to discuss the digital aspects of library ecosystems and institutional learning centers. “I believe it’s the future. There is a paradigm shift, a new era of automation,” said Theresa Byrd, EdD, dean of the University Library, referring to increased interest in institutional repositories and a greater emphasis on digital solutions.

2014 President’s Report

Gatherings The annual USD Wine Classic was celebrated in July 2014. This event has proven a popular way to sample excellent wines produced by USD alumni, family and friends, eat delicious food, take in amazing views from the Joan B. Kroc Institute for Peace and Justice’s Garden of the Sea and contribute to the Alumni Endowed Scholarship Fund. October 2014’s annual Homecoming and Family Weekend delivered a Big Blue Bash and a thrilling football win over Marist. Also of note was a new tradition celebrating alumni who graduated 50 years ago or longer. These “Golden Toreros” were feted at a special dinner with USD President Mary E. Lyons, where they were presented with a commemorative medallion. April 2014’s Alumni Honors recipients are pictured from left to right, below: Kevin W. Dooley ‘93 (BA), Mauricio López-Hodoyán ’93 (BS/BA), ’95 (IMBA), Jeffrey T. Thomas ’82 (JD), James W. Brennan ‘96 (BBA), Stuart Grauer ’89 (EdD), Robert Bruning ’86 (BBA), Susan Stone, PhD, RN, NEA-BC ’94 (MSN), ’07 (PhD), Peter Kiley ’85 (BA), Andrew Rae ‘76 (BBA) and Shobha Pradhan Shrestha ’08 (MA).

Hallowed Halls In August 2013, Living-Learning Communities (LLCs) — a concept in which first-year students attending USD belong to one of nine designated themed groups to foster academic and personal connections — went to full capacity. Members of LLCs participate in a preceptorial class with a faculty member who serves as their initial advisor, along with resident assistants and preceptorial assistants who organize fun get-togethers and activities to further promote the educational and social connections among students. The Shiley-Marcos School of Engineering hosted an inauguration ceremony in September 2013 to launch its new identity and school. At that time, Founding Dean Chell Roberts (pictured below right) launched his initiative to expand the program’s academic offerings, and develop new workspace within Loma Hall so that engineering students have the room and tools they need to do even more innovative work. The university’s study abroad programs for both undergraduate and graduate students, have been a nationally-ranked endeavor that prepares our students to be engaged, informed global citizens. Internationalization at USD was taken to the next level when the International Center announced in March 2014 that USD would be opening a permanent international studies center in Madrid, Spain, beginning in fall 2014. In May 2014, the university broke ground on the Beyster Institute for Nursing Research, Advanced Practice, and Simulation, part of the Hahn School of Nursing and Health Science. The 30,000- square-foot, three-story building will be connected to the current school by a bridge and a plaza. The institute “ultimately will stand as a symbol that nursing is indeed a science, as well as an art, and that nursing research and practice save lives,” said USD Nursing Dean Sally Brosz Hardin.

2014 President’s Report

Leading Change The Joan B. Kroc Institute for Peace and Justice brought another cohort of extraordinary Women PeaceMakers to USD’s campus in 2014. Robi Damelin (Israel), Nimalka Fernando (Sri Lanka), Ashima Kaul (India/Kashmir) and Margaret Arach Orech (Uganda) shared their life story with the campus community. Part of their eight-week residency included participation in the IPJ conference, “Defying Extremism: Gendered Responses to Religious Violence.” In 2014, the second group of Summer Changemaker Fellows completed their research projects. Topics included raising greater awareness of environment and sustainability habits; teaching young girls in Tijuana computer coding; improving student spirit; creating a Changemaking approach to office space and innovation via architecture; developing a Hearts of Hope program; and enhancing an anti-bullying program that equips bystanders with both confidence and the information they need to prevent it. The university’s April 2014 Earth Day celebration featured a celebration of USD’s sustainability efforts and successes, including the Electronics Recycling Center, a “green” move-in and move-out initiative in residence halls, designation as a bicycle-friendly campus, noteworthy transportation programs, and a gold rating from the Association for the Advancement of Sustainability in Higher Education. The annual event also showcased student winners from the USD Changemaker Hub’s Changemaker Challenge. The fourth annual Social Innovation Challenge, held in May 2014, awarded its top prize to student engineering entrepreneurs (pictured below left) who designed the “Rice Pollution Solution,” a project that developed a solution for China’s rice contamination problem. The system was formulated in a Sustainability in Engineering elective class, taught by Industrial and Systems Assistant Professor Truc Ngo.

The Sporting Life Major League Baseball’s San Diego Padres and Cleveland Indians moved their final two Spring Training pre-season exhibition games from their facilities in Arizona to USD’s Fowler Park in March 2014. Splitting the series, both teams made a point of praising the facility. In April 2014, the University of San Diego’s women’s rowing team was ranked No. 20 in an NCAA poll. “To be ranked in the top 20 for the first time in USD rowing history is a huge accomplishment,” said senior captain Brianna Lamb. “We couldn’t have gotten to this spot without all the alumni that have rowed for this program and without the help from our coaches.” In November 2014, USD’s women’s volleyball team earned a spot in the NCAA Tournament, its 18th appearance in the event and fifth consecutive trip. The Toreros are 13-17 all time in the tournament and have advanced to the Sweet 16 three times. This year, they were one of four teams from the West Coast Conference to receive a bid into the field of 64. Also in November 2014, the University of San Diego’s football team won its third Pioneer Football League championship in four years; the win brought their record to 9-1 overall and 7-1 in the PFL, culminating in an impressive eight-game winning streak. The thrilling victory saw quarterback Keith Williams throwing a 44-yard touchdown pass to receiver Brandon White with just seconds on the clock in a 32-27 win over Valparaiso.

F I N A N C I A L O P E R A T I O N S

The University of San Diego is committed to upholding the highest standards of honest behavior, ethical conduct and fiduciary responsibility with respect to university funds, resources and property. Following is an accounting of resources and activities by combined net asset categories for the fiscal year ending June 30.

S O U R C E S O F 2 0 1 3 - 2 0 1 4 R E V E N U E , G A I N S A N D O T H E R S U P P O R T

Tuition and fees:

57 %

Investment income, net: 20 % Sales and services of auxiliary enterprises 12 % Contributions: 6 % Grants and contracts: 3 % Athletics, recreation and other: 2 %

O P E R A T I N G R E V E N U E S , G A I N S A N D O T H E R S U P P O R T

2013 - 2014 2012 - 2013 2011 - 2012 $221,869,637 $213,683,743 $214,754,779 12,096,375 12,149,553 13,184,992 24,010,963 21,542,128 30,524,106

Tuition and fees

Grants and contracts

Contributions

Investment income, net 76,158,395 61,387,888 -25,280,925 Sales and services of auxiliary enterprises 47,349,407 47,183,248 46,851,157 Athletics, recreation and other 5,449,757 4,312,247 3,757,361 Total $386,934,532 $360,258,806 $283,791,471

O P E R A T I N G F U N C T I O N A L E X P E N S E S Educational and program expenses $178,405,808 $173,998,051 $164,419,657 Auxiliary enterprise expenditures 42,559,861 40,849,444 41,978,481 Management and general expenses 61,336,555 54,950,962 58,279,266 Total $282,302,224 $269,798,457 $264,677,404

I N C R E A S E I N C O M B I N E D N E T A S S E T S Unrestricted net assets

$62,402,456 $ 75,765,949

$8,520,053 1,430,515

Temporarily restricted net assets Permanently restricted net assets Overall Increase in Net Assets

37,226,661 5,003,191

11,288,689

3,405,711 9,163,499

$104,632,308 $90,460,349 $19,114,067

2014 President’s Report

F I N A N C I A L A I D AWA R D E D *millions of dollars/number of students 2013-2014

$224.48/6,440 *

2012-2013 2011-2012 2010-2011 2009-2010

$223.33/6,418 $224.22/6,595 $220.86/6,544

$196.99/6,149

Note: These figures include all sources of aid.

F A L L E N R O L L M E N T 2013-2014

8,349 8,321 8,105 8,317 8,201

2012-2013 2011-2012 2010-2011 2009-2010

D E G R E E S AWA R D E D 2013-2014

2,272

2012-2013 2011-2012 2010-2011 2009-2010

2,321 2,375

2,164 2,164

*Based on year-end estimates

G I V I N G T O T H E U N I V E R S I T Y

S I N C E I T S F O U N D I N G , T H E U N I V E R S I T Y O F S A N D I E G O H A S A C H I E V E D D I S T I N C T I O N O N M A N Y L E V E L S . I T H A S O U T S T A N D I N G F A C U L T Y A N D E X C E P T I O N A L S T U D E N T S , I N N O V A T I V E U N D E R G R A D U A T E A N D G R A D U A T E P R O G R A M S , C E N T E R S A N D I N S T I T U T E S , A C C L A I M E D C O M M U N I T Y O U T R E A C H E F F O R T S A N D C O M P E T I T I V E M E N ’ S A N D W O M E N ’ S A T H L E T I C P R O G R A M S . T H E G E N E R O U S S U P P O R T O F D O N O R S H A S H E L P E D M A K E T H E U N I V E R S I T Y A P R E E M I N E N T I N S T I T U T I O N O F C A T H O L I C H I G H E R E D U C A T I O N .

2 0 1 3 - 2 0 1 4 S O U R C E S O F T O T A L P H I L A N T H R O P I C S U P P O R T

Foundations and Corporations

48.9 %

Community/Friends

16.4 %

Alumni

15.4 %

Parents

12.6 %

Faculty/Sta

2.7 %

Other Donors

4.0 %

2 0 1 3 - 2 0 1 4 D E S I G N A T I O N S O F P H I L A N T H R O P I C C O M M I T M E N T S

General Scholarships/Financial Aid 22.3 % School of Leadership and Education Sciences 22.3 % School of Business Administration 8.9 % School of Nursing 8.0 % School of Law 7.1 % College of Arts and Sciences 5.2 % School of Peace Studies 1.5 % School of Engineering 0.4 % Athletics 12.9 % Other Restricted 7.2 % Unrestricted 2.2 % Buildings 2.0 %

2014 President’s Report

T O T A L P H I L A N T H R O P I C A N D G R A N T C O M M I T M E N T S T O U S D *

60

$55.33

$ 3.07

50

$10.11

$ 1.09

40

$34.11

$33.94

$ 3.12

$ 2.16

$30.09

$29.86

$18.13

30

$ 1.66

$ 2.45

$ 9.99

$10.02

$ 7.76 $ .88

$ 9.64

$ .59

$ .54

20

$ .77

$14.84

$19.35

$18.29

$14.8

$22.93

10

$ 5.59

$ 2.43

$ 1.85

[millions]

$ 1.27

2009-2010

2010-2011

2011-2012

2012-2013

2013-2014 *

Endowed

Restricted

Unrestricted

Federal Grants

Other Grants

E N D O W M E N T F U N D

500

$468.77

$395.59

400

$345.59

$326.82

300

$260.07

200

100

[millions]

2009-2010

2010-2011

2011-2012

2012-2013

2013-2014 *

* Figures are unaudited and subject to change. Final year-end results may vary from those reported here.

L E A D E R S H I P

Executive Officers

Mary E. Lyons, PhD, President Andrew T. Allen, PhD, Vice President and Provost

Msgr. Daniel J. Dillabough ‘70, Vice President, Mission and Ministry Terry Kalfayan, CPA, Vice President, Finance and Chief Financial Officer Timothy L. O’Malley, PhD, Vice President, University Relations Carmen M. Vazquez, MSW, CSW, Vice President, Student Affairs

Deans

Theresa Byrd, EdD, University Library Paula Cordeiro, EdD, School of Leadership and Education Sciences Stephen Ferruolo, JD, PhD, School of Law Sally Brosz Hardin, PhD, RN, FAAN, Hahn School of Nursing and Health Science Jason Lemon, PhD, Division of Professional and Continuing Education

Patricia Marquez, PhD, School of Peace Studies Noelle Norton, PhD, College of Arts and Sciences David Pyke, PhD, School of Business Administration Chell A. Roberts, PhD, Shiley-Marcos School of Engineering

Board of Trustees – Officers

Ron L. Fowler, Chair Frank D. Alessio, Vice Chair Margarita Paláu Hernández, Secretary James C. Peters, Treasurer

Board of Trustees – Members Richard M. Bartell William Barulich Cindy Basso ’89 Constance M. Carroll, PhD Royal W. Carson III Richard K. Davis Robert R. Dean ‘94

Susan H. Mallory Jeffrey W. Martin James B. McCarthy Liam E. McGee ’76 Rev. Peter M. McGuine ‘85 Darrin Montalvo Sister Mary Theresa Moser, RSCJ, PhD Ann Navarra Sister Carolyn Osiek, RSCJ, ThD James D. Power IV ’85 Byron C. Roth ’85 Peter Seidler David H. Shaffer Darlene Marcos Shiley Susann Stanford, Esq. ‘75

Very Rev. Msgr. Richard F. Duncanson, STD Kevin R. Green, ’76 and ’79 Daniel C. Herbert, ’82 and ’86 Roger A.P. Joseph ’74

Donald R. Knauss Stanley W. Legro Mary E. Lyons, PhD Luis Maizel

Names are current as of November 2014. For the most recent list, go to www.sandiego.edu/about/administration.

2014 President’s Report

UN I VERS I T Y OF SAN D I EGO 5998 ALCALÁ PARK SAN D I EGO, CA 92110-2492 (619) 260-4600

Produced by the Office of University Publications, November 2014. [11-14/ur-14-0713]