University of Michigan President Mary Sue Coleman to get 3% raise
University of Michigan President Mary Sue Coleman will receive a 3 percent raise, the Board of Regents decided this afternoon.
That will raise Coleman’s base salary to $570,105, university officials said.
In addition to her base, Coleman also gets:
- $75,000 deferred compensation
- $100,000 retention bonus
- $24,500 retirement pay
- $30,850 supplemental retirement pay
- A house and car
Melanie Maxwell | AnnArbor.com
Regents said they offered the raise after reviewing Coleman’s efforts over the course of the past year. Coleman requested a freeze in her pay last year.
Regents discussed the review in the personnel, compensation and governance committee today. That committee meeting is closed to the public.
Regent Andrew Richner, who chairs that committee, reported on the accomplishments during the public meeting. He noted the opening of the North Quad dorm, the renovation of Michigan Stadium, holding down tuition increases, the increase of the endowment, and Coleman's naming by Time magazine as one of the top 10 university presidents in the nation.
“All in all a pretty good year,” Richner said.
Coleman thanked the board for the positive review.
“I very much appreciate it and working with this team and this board,” she said.
Crisler Arena project grows
The Board of Regents agreed to add $3 million to a project to renovate Crisler Arena.
The money will be used to replace the seats in the upper bowl of the arena. The project was already slated to replace the seats in the lower bowl.
Doing both at the same time will be a more efficient use of resources, university officials said.
Investment returns positive
The University of Michigan has a 6.2 percent average annual return on investments for the last decade, Regent Katherine White, the chair of the regent’s Finance, Audit and Investment Committee, said during the board’s regular meeting.
That compares with a 3.9 percent average return for all college and university endowments and an average loss of 1.6 percent for the S&P 500 for the same period, the university said in a news release.
For the year ending June 30, 2010, U-M reported a 12.3 percent return on investment. That matched the average return for college and university endowments for the period, the university said in a news release.
That growth helped the university endowment from $6 billion last year, to $6.6 billion this year.
The university distributed $255.6 million from the endowment to support operations in financial year 2010, White said. That’s up from $244 million in FY 2009.
U-M endowment is the seventh largest in the country among institutions of higher learning and the second largest among public universities.
Twenty-four percent of the endowment is restricted for use by the health system.
The Board of Regents voted this year to reduce the amount of the endowment that is distributed from 5 percent to 4.5 percent.
David Jesse covers higher education for AnnArbor.com. He can be reached at email@example.com or at 734-623-2534.