The Board of Trustees of The University of Tulsa held a special meeting today to discuss the financial challenges of the university and to define a new direction for its financial health. “TU is the highest ranked university in Oklahoma with increasing domestic enrollment,” said Board Chair Fred Dorwart. “As a board, it is our responsibility to ensure the university remains successful long into the future by maintaining affordability for our students and their parents, investing in areas of excellence and opportunity and becoming more efficient and focused.”
The board passed a resolution that tasks the administration to:
- Ensure TU is cash-flow positive by 2023, which will likely require approximately $14 million to $20 million in combined expense reductions and revenue increases;
- Set an initial goal of saving approximately half during FY21 and the balance during FY22;
- Commit to meeting budget goals; and
- End the use of an existing line of credit completely by 2028.
TU was recently downgraded by Moody’s Investment Services and has operated at a cash deficit for the past seven years in a row.
“These actions will set TU on a transformative path toward a sound financial footing and sustained growth,” Dorwart said.