Chapman University maintains financial growth during pandemic

President Daniele Struppa gave updates on Chapman’s finances, diversity initiatives and construction projects in his Feb. 19 State of the University Address. Graphic by HARRY LADA, Art Director

When the coronavirus forced Chapman University to move its classes entirely online in March, administrators, including President Daniele Struppa, were not certain how the school’s finances would fare in the coming months. At the Feb. 19 State of the University Address, Struppa announced that the university has been able to thrive financially following an influx of donations from families, alumni and first-time donors.

“We are a very healthy institution, but we have a significant responsibility toward all of you to make sure that we remain healthy and that we are able to provide you all with the kind of institution that supports your work,” Struppa said at the event.

Capital recovery spells out return of retirement funds

Approved by Chapman’s Finance and Budget Committee an hour before the address, Struppa also announced that contributions to employees’ retirement plans will resume in March. Retirement contributions were temporarily suspended in August when the university was determining methods to mitigate its $57 million deficit as a result of the pandemic.

“We did ask (faculty and staff) to make a sacrifice for several months,” Struppa said at the event. “I’m grateful to the Finance Committee who has approved this particular benefit. I think that we come out of this well, strong and thankful to the help of everybody.”

Approximately $21 million of the university’s $60 million donations received during the 2020-2021 fiscal year will be put toward Chapman’s endowment. The university’s endowment market value increased by $5.8 million from 2018-2019, totaling $412.1 million in the 2019-2020 academic year. About 63% of that value, or $258.7 million, will benefit students through scholarships and loan funds. 

“Scholarship money is fundamental,” Struppa said at the event. “As we face some of the challenges we shall mention in the future, this is where we can really protect not only the institution, but to make sure the students are still able to come and really take advantage of the wonderful education that (faculty and staff) provide.”

Promoting diversity efforts

Chapman has also continued to work on its diversity initiatives in drawing from the 2017-2022 Strategic Plan for Diversity and Inclusion. Struppa noted during the event that there was an increase in minority undergraduate and graduate student enrollment among Asian, Hispanic and Black students from 2015 to 2019.

“You see really the change the institution has gone through in just a few years,” Struppa said. “We have made these one of our priorities and the numbers confirm that we are moving successfully.”

The Black Alumni Association’s creation was highlighted at the address, as well as the founding of the Black Staff and Faculty Forum. Both groups aim to promote collaboration and cultivate community while raising awareness on diversity efforts.

“The idea here is to do for our Black community on campus what the Latinx Staff and Faculty Forum has done,” Struppa said at the event. “I mentioned before that I give a lot of credit to the Latinx (Staff and Faculty) Forum for the success we had with our Hispanic students, and I believe that the creation of this new forum for our Black community will have the same impact on our Black students.”

Donations and research accomplishments

Major financial accomplishments from this 2020-2021 academic school year include $60 million garnered from gifts and pledges alone, $10 million and $3.7 million of which will go to academic programs and scholarships, respectively.

“Fundraising is a contact sport: you need to meet with people; you need to talk with them; you need to make them become part of the vision,” Struppa said. “Despite the challenges that the coronavirus has (brought about), the university has been incredibly successful.”

Among the many research accomplishments acknowledged during the address was Chapman’s recent acceptance as one of 12 universities participating in the Beckman Scholars Program, which will provide mentorship and research opportunities for undergraduate science majors.

At the address, Struppa also noted that the largest amount of publications and citations written by Chapman faculty in a single year occurred in 2020, with over 500 publications and 9,455 citations.

“The numbers are growing in ways that are almost making us unrecognizable for what used to be,” Struppa said. “It’s important because it shows not only our faculty write a lot, but it shows that people read what we write and pay attention to what we do.”

Upcoming construction projects

Major construction projects will be taking place on both the university’s main campus in Orange as well as the Harry and Diane Rinker Health Science Campus in Irvine. One such project involves completing the $19 million Fowler School of Engineering building, which began construction last summer, by May 2021.

Another involves renovating the Hilbert Museum of California Art in Orange to create a new artistic gateway that will serve as a formal entrance to the university. Since the museum is located next to the Orange Metrolink Station, the renovation hopes to triple foot traffic to Chapman’s main campus. The museum will feature lecture spaces, a mural at the front entrance, a courtyard and a coffee shop.

“You’re going to have an entrance that expresses our values in terms of value of the arts,” Struppa said. “It’s going to be a great thing for the city; it’s going to be a great thing for the university.”

The Sandi Simon Center for Dance will serve as the new dance center, directly facing The K Residence Hall. Construction for the new dance center is set to begin this June and is expected to be completed next summer, with a budget of $21.2 million.

As for the Rinker Health Science campus, there are three projects lined up that will be split in two phases. The first consists of the expansion of the Institute for Interdisciplinary Brain and Behavioral Sciences, as well as the creation of the first student center at the Irvine campus. In the final phase, a new parking structure will be constructed further away from the campus, but will bridge two towers bearing the university’s logo.

“We have a very important growth of students there, and we need to provide them the facilities,” Struppa said. “It’s going to become really a beautiful and university-like campus.”