Unrestricted assets at U-M campuses grow 42 percent

Posted on Mon, Jan 16, 2012 : 8:59 a.m.

Unrestricted assets at U-M campuses grow 42 percent

By Cindy Heflin

Unrestricted assets at the University of Michigan grew by nearly 42 percent during the last fiscal year, the Detroit Free Press reports.

The University of Michigan led public universities in the state in growth of unrestricted assets.

U-M’s figure, an increase from about $1.8 billion to about $2.6 billion, was the biggest one-year gain among the 12 public universities reporting numbers. Together, the universities' unrestricted assets, or those not designated for a specific purpose, grew by 24 percent to about $4.2 billion, the newspaper reported.

The Free Press included U-M Flint, U-M Dearborn and the U-M Health System in its analysis.

Officials at several universities told the Free Press the money is meant for one-time special projects, and therefore, using it to lower tuition for students is not wise.

Eastern Michigan University, whose unrestricted assets dropped from $56.1 million to $40.5 million, according to the Free Press report, used some of that money to fund the restoration of it’s Pray-Harrold classroom building. The project, completed in 2011, had long been on the university’s wish list for major campus upgrades.

Read the Detroit Free Press article.

Comments

Huron 74

Mon, Jan 16, 2012 : 3:08 p.m.

Would you mind explaining what an "unrestricted asset" is, for those of us who don't even like accountants? Some of you A2.com writers forget the basics.

deb

Mon, Jan 16, 2012 : 3:17 p.m.

<a href="http://adminguide.stanford.edu/34_1.pdf" rel='nofollow'>http://adminguide.stanford.edu/34_1.pdf</a> 1. BASIS OF ACCOUNTING a. Fund Accounting — The University maintains it accounts in accordance with the principles of fund accounting. Because the University receives its money from a variety of sources with different restrictions, it is tracked in individual funds and their related expenditure accounts. Each fund is a separate accounting entity with its own assets, liabilities and fund balance. b. Restrictions on Use of Funds — Depending on their source, funds may be: ? Restricted by a source external to the University, such as a donor or a sponsoring agency. Funds can also be restricted internally by the recipient; however, restricted funds may only be used in accordance with the purposes established by the sources of such funds. ? Designated for a specific purpose by action of the Board of Trustees. ? Unrestricted, funds that can be used for any institutional purpose. From the stanford guide

cinnabar7071

Mon, Jan 16, 2012 : 3:06 p.m.

And yet they have their hand out every time they think they can dime from the tax payers.

hut hut

Mon, Jan 16, 2012 : 3:05 p.m.

And continue to pay the HAVES piles of dough while the HAVE NOTS won't be able to get jobs that will allow them to pay down their student loans.

deb

Mon, Jan 16, 2012 : 2:56 p.m.

But they won't do a PILOT,help with the stadium bridge, or the Fire Department . . . .