Financial Sustainability

COVID-19 has exacerbated systemic and institutional impediments that underlie equity disparities on campus, and higher education institutions are taking steps to support incoming and current students.

With the 2020–21 academic year underway, the American Council on Education (ACE) is examining how institutions are responding to the pandemic.

Looking beyond the pandemic, higher education institutions are evaluating what may need to change in their operating models.

In an era of declining public funding, private philanthropy has played an increasingly vital role for both public and private institutions.

The financial sustainability of private residential higher education is under siege, as revenue growth slows and costs continue to rise.

Higher education leaders are continually urged to innovate as they guide their institutions into the future. This compendium of research and best practices explains how successful institutions have translated this call to action into tangible results.

The decision to consolidate or merge higher education institutions is never easy, and the process is nearly always painful and costly. But given the potential benefits, and current fiscal realities, leaders need to consider mergers in their long-term strategic plans.

Each time a liberal arts college closes its doors, commentators predict the imminent demise of small private institutions. But does the data back up this belief?

Performance funding applies financial incentives to higher education, tying a portion of public institutions’ state appropriations to retention rate, degree completion and other student outcomes.