ontario universities: tuition and endowment funding in ... · ontario universities: tuition and...

Ontario Universities: Tuition and endowment funding in perspective

Financing Higher Education in the Current Economic Climate – Selected Data

OCUFA

Toronto, 22 January 2010

Hugh Mackenzie

0  

1  

2  

3  

4  

5  

6  

7  

8  

9  

10  

Ontario's  rank  on  key  university  funding  metrics  2008-­‐9  -­‐-­‐  Sta;s;cs  Canada  

Undergraduate  tui6on  (10  is  lowest)  

Graduate  tui6on(10  is  lowest)  

Tui6on  %  (10  is  lowest)  

Grants  %  (10  is  highest)  

0%  

10%  

20%  

30%  

40%  

50%  

60%  

70%  

80%  

90%  

100%  

1989   2009  

Sources  of  Ontario  University  Financing  1989  and  2009  

Other  revenue  

Other  investment  

Endowment  (est.)  

Federal  

Provincial  

Other  fees  /  sales  

TuiGon  

Source: StaGsGcs  Canada  

0%  

10%  

20%  

30%  

40%  

50%  

60%  

70%  

80%  

90%  

100%  

Tui$on  /  fees  vs.  provincial  as  source  of  university  general  purposes  funds    2007-­‐08  -­‐-­‐  Source:  CAUBO  

Provincial  %  

Tui8on  &  Fees  %  

0%  

10%  

20%  

30%  

40%  

50%  

60%  

70%  

Sources  of  Ontario  University  Finance  1989  to  2009  Source:  Sta9s9cs  Canada  Universi9es  and  Colleges  Revenue  and  Expenditures  

Provincial  %  revenue  

Tui7on  %  revenue  

Other  %  revenue  

Tui7on  net  of  assistance  %  revenue  

Federal  %  revenue  

Investment  %  revenue  

-1%

0%

1%

2%

3%

4%

5%

6%

Share of All-Objects Revenue from Investments and Endowments 2007-08 Academic Year -- Ontario Universities

Other Investment

Endowment

0.0%  

0.5%  

1.0%  

1.5%  

2.0%  

2.5%  

3.0%  

3.5%  

4.0%  

Hypothe(cal  Endowment  Revenue  Share  of  Opera(ng  3  %  payout  basis  

Sources:  CAUBO  2009  University  Investment  Survey  and  2007-­‐08  Financial  Report  

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

Bottom quartile Lower middle quartile

Upper middle quartile Top quartile

% of university students 16% 24% 22% 37% % of college students 22% 24% 28% 24% % of college & university students 20% 24% 25% 31% % income Households with Children 8% 18% 27% 47%

Households -- shares of postsecondary enrolment and income, by quartile

% of university students

% of college students

% of college & university students

% income Households with Children

Chart 5

-20,000

-18,000

-16,000

-14,000

-12,000

-10,000

-8,000

-6,000

-4,000

-2,000

-

$ m

illio

n Annual Tax Cut Impact on Fiscal Capacity in Ontario

1995-96 to 2009-10 ---

Debt Carrying Cost and Revenue Loss

Other Tax Cuts

Employer Health Tax Cuts

Corporate Income Tax Cuts

Personal Income Tax Cuts offset by Health Premium

Direct Debt Carrying Cost