Department of Education

HOWARD UNIVERSITY

Fiscal Year 2019 Budget Request

CONTENTS

Page

Appropriations Language ........................................................................................................S-1

Analysis of Language Provisions and Changes.......................................................................S-2

Appropriation, Adjustments, and Transfers .............................................................................S-3

Authorizing Legislation............................................................................................................S-4

Appropriations History.............................................................................................................S-5

Activity:

Howard University .............................................................................................................S-6
HOWARD UNIVERSITY

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Appropriations Language

For partial support of Howard University, $221,821,000, of which not less than $3,405,000 

shall be for a matching endowment grant pursuant to the Howard University Endowment Act 

and shall remain available until expended.

1

NOTES

A full-year 2018 appropriation for this account was not enacted at the time the budget was prepared; therefore, 

the budget assumes this account is operating under the Continuing Appropriations Act, 2018 (Division D of P.L. 115–

56, as amended). The amounts included for 2018 reflect the annualized level provided by the continuing resolution. 

Each language provision that is followed by a footnote reference is explained in the Analysis of Language 

Provisions and Changes document that follows the appropriations language.
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Analysis of Language Provisions and Changes

Language Provision Explanation

1 ...of which not less than $3,405,000 shall be 

for a matching endowment grant pursuant to 

the Howard University Endowment Act and 

shall remain available until expended.

This language establishes a minimum 

funding level for the endowment program. 

Endowment funds would remain available for 

obligation until expended.
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Appropriation, Adjustments, and Transfers

(dollars in thousands)

Appropriation/Adjustments/Transfers 2017

2018

Annualized CR 2019

Discretionary appropriation:

Discretionar y budget authority: Appropriation .................................................... $221,821 0 $221,821

Discretionar y budget authority: Annualized CR (P.L. 115-56, as amended)....... 0 $220,314 0

Discretionar y budget authority: Total, discretionary appropriation.................. 221,821 220,314 221,821
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S-4

Authorizing Legislation

(dollars in thousands)

Activity

2018

Authorized

2018

Annualized CR Footnote

2019

Authorized

2019

Request

General support (20 U.S.C. 121 et seq.) Indefinite $193,1751 Indefinite $194,496

Endowment program (P.L. 98-480) (2) (3) (2) (3)

Howard University Hospital (20 U.S.C. 128) Indefinite 27,139 Indefinite 27,325

Total appropriation 220,314 221,821

1 The University has discretion to allocate funds for activities authorized under the general statute for Howard University.

2 Title II of P.L. 98-480, the Howard University Endowment Act, authorized $2,000 thousand in fiscal year 1985 to establish an endowment program. Subsequent 

year appropriations language has authorized minimum funding levels for the endowment program under the terms and conditions of the Act. 3 For fiscal year 2018, the University must allocate at least $3,405 thousand for the endowment program. For fiscal year 2019, the Administration requests that not 

less than $3,405 thousand be allocated to the endowment program.
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Appropriations History

(dollars in thousands)

Year

Budget 

Estimate 

to Congress

House 

Allowance F

Senate 

Allowance F AppropriationF

2010 $234,977 $234,977 $234,9771$234,977

2011 234,977 234,9772234,977 234,5073

2012 234,507 234,5074234,5074234,064

2013 234,064 234,0645234,0645221,821

2014 234,064 N/A6234,064 221,821

2015 221,821 N/A 221,8217233,245

2016 221,821 221,8218219,5008221,821

2017 221,821 221,8219221,8219221,821

2018 220,314 221,82110 221,82110 220,31510

2019 221,821

 1 The level for the Senate allowance reflects Committee action only. 2 The level for the House allowance reflects the House-passed full-year continuing resolution. 3 The level for appropriation reflects the Department of Defense and Full-Year Continuing Appropriations Act, 2011 

(P.L. 112-10). 4 The level for the House allowance reflects an introduced bill and the level for the Senate allowance reflects Senate 

Committee action only.

5 The levels for the House and Senate allowances reflect action on the regular annual 2013 appropriations bill, which 

proceeded in the 112th Congress only through the House Subcommittee and the Senate Committee.

6 The House allowance is shown as N/A because there was no Subcommittee action.

7 The level for the Senate allowance reflects Senate Subcommittee action only.

8 The levels for House and Senate allowances reflect action on the regular annual 2016 appropriations bill, which 

proceeded in the 114th Congress only through the House Committee and Senate Committee.

9 The levels for the House and Senate allowances reflect Committee action on the regular annual 2017 

appropriations bill.

10 The levels for the House reflect floor action on an Omnibus appropriation bill; Senate allowances reflect Committee 

action on the regular annual 2018 appropriations bill; the Appropriation reflects the annualized Continuing Resolution 

level.
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Howard University

(20 U.S.C. 121, et seq.)

(dollars in thousands)

FY 2019 Authorization: Indefinite

Budget authority: Period of fund availability: 

2018

Annualized CR 2019

Change from

Annualized CR

General Support $193,1751$194,4961+$1,321

Howard University Hospital 27,139 27,325 +186

Total 220,314 221,821 +1,507

1 The University has discretion to allocate funds for activities authorized under the general statute for Howard 

University. However, the 2018 request required the University to allocate at least $3,405 thousand for the 

endowment program. The Administration proposes the same language for 2019.

PROGRAM DESCRIPTION

Howard University (University) was established in 1867 as a federally chartered, private,

nonprofit educational institution in Washington, DC. As a comprehensive, research-oriented

historically Black university, Howard’s mission is to provide an educational experience of 

exceptional quality at the undergraduate, graduate, and professional levels. The University has 

an enduring commitment to the education and advancement of underrepresented populations in 

America and the global community, and ranks among the highest producers of the Nation’s 

Black professionals in medicine, dentistry, pharmacy, engineering, nursing, architecture, 

religion, law, music, social work, and education. For example, according to the National Science 

Foundation, the University consistently ranks among the highest producers of Black Ph.D.

students. Likewise, according to the most recent data from the Association of American Medical 

Colleges, the University ranks first among all colleges and universities in the total number of 

Black graduates who go on to apply to medical school.

The annual appropriation for Howard University provides partial support for construction, 

development, improvement, endowment, and maintenance of the University and Howard 

University Hospital. Howard University has discretion in allocating funds for its academic, 

research, and endowment programs, and for construction activities.

Academic Programs — The University offers more than 120 fields of study leading to 

undergraduate, graduate, and professional degrees within 13 schools and colleges: Arts and 

Sciences; Business; Communications; Dentistry; Divinity; Education; Engineering, Architecture; 

Graduate School; Law; Medicine; Nursing and Allied Health Sciences; Pharmacy; and Social 

Work. To support these academic programs, the University provides a wide range of 

administrative, library, computer, and technology resources and services. These programs and 

services further the University’s goals of expanding the opportunities of graduates, particularly 
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minorities, especially in fields in which they are still underrepresented. The University recently 

announced a new partnership with Google and the launch of ‘Howard West,’ a 3-month, 

summer Computer Science residency for rising juniors and seniors in the University’s Computer 

Science program. The residency includes a dedicated workspace on Google’s Mountain View 

campus and a stipend to cover housing and other expenses in Silicon Valley.

Research Programs — The University’s research programs provide support for doctoral and 

post-doctoral research in scientific disciplines, pilot studies by interdisciplinary faculty teams, 

and the purchase of laboratory equipment. In addition, they provide new faculty with start-up 

research funding and offer bridge support for externally-funded research programs. The 

Interdisciplinary Research Center concentrates on a range of emerging disciplines including 

Nanoscience, Natural Products Research, Microbial Ecology, Diversity and Immunology, 

Atmospheric Sciences, Developmental Biology, and Stem Cell Differentiation.

Endowment Program — The endowment program is designed to assist the University in 

increasing its financial strength and independence by stimulating private contributions. To 

receive Federal endowment funds, the University must provide a one-for-one match through 

non-Federal contributions to the endowment. The endowment fund continues to grow by 

generating income that may be used to pay University expenses such as costs related to 

operations, maintenance, administration, personnel, construction, technical assistance, and 

research. However, the University may withdraw no more than 50 percent of the yearly income

generated by the endowment to help meet operating costs, except in the case of a financial 

emergency or another unusual occurrence.

Construction — The University has discretion in allocating funds for capital construction and 

renovation of buildings to maintain and improve the University’s ability to provide high-quality 

postsecondary education and research opportunities. The University commenced a $144 million

public-private partnership in January 2017 to fully renovate its largest existing residences (the 

Towers) with 1,850 beds (35 percent of Howard’s residential cohort). Completion of the first 

tower was completed in 2017, and the second tower is scheduled for completion in fall 2018.

Howard University Hospital — Howard University Hospital (Hospital) was established in 1862 

as Freedmen’s Hospital, and was incorporated into the University by Congress in 1962. Today, 

the Hospital is a general medical and surgical facility, and is designated as a DC Level 1 

Trauma Center. The 241-bed hospital is one of several comprehensive health care facilities 

serving the Washington, DC metropolitan area, with over 11,000 admissions and 

60,000 emergency room visits annually. Hospital operations are financed through a combination 

of Federal funds, hospitalization insurance, patient payments, Medicare and Medicaid

payments, and contractual agreements for patient care services with the District of Columbia

government and other local jurisdictions. The Hospital is also a major teaching facility, providing 

training opportunities across a wide variety of specialty areas for graduate and professional 

students in the health sciences.
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Funding levels for the past 5 fiscal years were:

Fiscal Year (dollars in thousands)

2014.................................................................................$221,821

2015...................................................................................221,821

2016...................................................................................221,821

2017...................................................................................221,821

2018...................................................................................220,314

FY 2019 BUDGET REQUEST

For fiscal year 2019, the Administration requests $221.8 million for Howard University (the 

University), to restore funding to the fiscal year 2017 level. This request supports the 

Administration’s goals to advance opportunities in higher education and strengthen the capacity 

of Historically Black Colleges and Universities (HBCUs) to provide the highest quality education.

As a congressionally-chartered HBCU, the University plays an important role in providing 

disadvantaged individuals, particularly Blacks or African Americans, with access to a highquality postsecondary education.

According to the University, the Federal appropriation constituted approximately 30 percent of 

the University’s total revenues and 11 percent of the Howard University Hospital’s (Hospital) 

total revenues in fiscal year 2017. In order to maintain current levels of educational and 

healthcare services, approximately $194.5 million of the fiscal year 2019 request would be 

allocated under General Support to the University, and $27.3 million would go to the Hospital. 

General Support includes the University’s academic programs, research programs, endowment 

program, and construction.

Academic Programs: From the fiscal year 2019 appropriation, approximately $72.7 million would 

support instruction. Another $7.5 million would support public service program services. The 

University would utilize approximately $27 million for academic support, $25.6 million for student 

services, and $58.7 million for institutional support and grant aid to students. 

The University anticipates revenues (approximately $144.1 million) from tuition and fees to be 

an additional source of funding for academic programs and support services in fiscal year 2019.

The University’s 2017-2018 academic year tuition and fees totaled $25,997, well below that of 

nearby private universities, but significantly higher than the average cost for students attending 

other 4-year, private HBCUs. In comparison, the 2017-2018 Georgetown University and George 

Washington University tuition and fee costs per student were $52,300 and $53,868, 

respectively. Average tuition and fees for the other 45, 4-year, private HBCUs reporting 

preliminary data in IPEDS was $14,527 for the 2016-2017 academic year. The University 

anticipates another $45.5 million from other operating revenues to cover additional expenses 

related to academic programming.

Endowment Program: From the fiscal year 2019 appropriation, at least $3.4 million would be 

directed to continue building the University’s endowment, and the University would be required 

to match this contribution on a one-to-one basis. The Department believes earmarking a 

minimum dollar level to be allocated for the endowment will continue to encourage the 

University to increase its financial strength and independence from Federal support. The 

University maintains a pooled endowment that is comprised of 800+ individual endowments.
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Revenue earned through the consolidated endowment program is intended to be used for 

instructional and research support, professorships, scholarships and other forms of student aid, 

and facilities. In recent years, the University has matched all Federal funds appropriated for 

endowment purposes in the fiscal year in which they were appropriated. The University plans to 

match all endowment funds appropriated in fiscal year 2019.

According to a recent study published in February 2017 by the National Association of College 

and University Business Officers (NACUBO), called the NACUBO–Commonfund Study of 

Endowments (NCSE), Howard University’s total endowment value ranked 136th out of 

815 participating institutions. The study was based on an analysis of 2015 and 2016 endowment 

data from the 815 institutions (http://www.nacubo.org/Documents/EndowmentFiles/2016-

Endowment-Market-Values.pdf). The University’s self-reported figures (i.e., $685.8 million in 

fiscal year 2016 and $704.8 million in fiscal year 2015) to the NCSE showed total assets and 

liabilities measured at fair value, including a broader array of assets than the endowment 

definition. The University’s consolidated financial statements, on the other hand, indicated a 

total market value of the endowment at $578 million at the end of fiscal year 2016 and 

$590 million at the end of fiscal year 2015. Due to these discrepancies in the value of the 

University’s endowment, the Department urged the University to clarify the methodology they 

should be using with NACUBO. As a result, the University’s future submissions will conform to 

the methodology described by NACUBO, and there should be better alignment between the 

University’s NCSE reported figures and its consolidated financial statements. 

According to the University, the spending rate for the endowment is 5 percent of the donor 

endowment market value, based upon a 3-year moving average. This rate is slightly higher than 

that of institutions with similarly sized endowments (i.e., between $501 million and $1 billion) 

participating in the NCSE study cited above which found an average annual effective spending 

rate of 4.3 percent for fiscal year 2016.

Howard University Hospital: The Department’s request includes $27.3 million for the Hospital. 

Federal support for the Hospital enables provision of medical, dental, and other health-related 

education, research, and training opportunities for students. As of October 2014, Paladin 

Healthcare assumed responsibility for day-to-day operations of the Hospital under the oversight 

of a joint University and Paladin Healthcare Management Committee. Under this signed 

Management Service Agreement, the University continues to be the licensed operator of the 

Hospital. The University has raised the idea of selling the hospital, which has been a financial 

drain and indicated that Paladin Healthcare may be a potential buyer. According to the 

University, they are open to working with business partners that can assist in improving the 

operation and management of Howard University Hospital. 

The University’s primary objective regarding the Hospital is a reorganization that results in the 

removal of the Hospital from the University’s balance sheet, not a “sale” per se. The University 

proposes that this kind of reorganization would better enable the University to manage its risk 

exposure by separating the current Howard University legal entity into two distinct entities with 

separate balance sheets, but with interlocking missions and a detailed academic affiliation 

agreement. The University believes this strategy would preserve the Hospital’s role as an 

academic medical center, closely and inextricably tied to the University, operating in support of 

the University’s mission as an educator of medical and other health care students. Additionally, 

the University maintains that current activities of the Hospital that utilize the Federal 

appropriation as a funding source will continue to take place even if the University and the 
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Hospital are, in the future, legally separate but affiliated entities. At this time, no decision to 

separate the University and the Hospital has been made, and no authorization to separate has 

been sought from or given by the Trustees.

Research Programs: In fiscal year 2017, the University dedicated $38 million to research 

programs, though the Federal appropriation was not a source of funding in this area. The 

University does not plan to allocate any of the Federal appropriation for research in fiscal year 

2019.

Construction: In fiscal year 2017, the University allocated $1.7 million of the Federal 

appropriation for construction. For fiscal year 2019, the University has identified $35.4 million in 

expenses related to construction and maintenance. These costs will be covered by other 

operating revenues. 

PROGRAM OUTPUT MEASURES

(whole numbers)

Output Measures 2017 Fo

2018 Fo2019

Student population by enrollment:

Number of full-time undergraduate students 5,485 5,972 6,031

Number of full-time graduate students 1,240 1,478 1,507

Number of full-time professional students 1,439 1,440 1,440

Total number of full-time students 8,164 8,890 8,978

Total number of undergraduate students 6,100 6,644 6,709

Total number of graduate students 1,734 2,016 2,046

Total number of professional students 1,485 1,490 1,495

Total number of students 9,319 10,150 10,250

Student population by race:

Number of Black U.S. undergraduate students 5,469 5,990 6,047

Number of other U.S. undergraduate students 234 254 260

Number of international undergraduate 

students

397 400 402

Number of Black U.S. graduate students 1,302 1,544 1,565

Number of other U.S. graduate students 168 185 186

Number of international graduate students 264 287 295

Number of Black U.S. professional students 1,063 1,067 1,070

Number of other U.S. professional students 352 353 354

Number of international professional students 70 70 71

NOTE: Howard University has provided all data, which is based on the University's July 1 to June 30 academic year.
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PROGRAM OUTPUT MEASURES

(in whole numbers and dollars)

Output Measures 2017 Fo2018 F

o

2019

Student population by family income:

Number of undergraduates with family income 

of less than $40,000 1,539 1,539 1,539

Number of graduate students with family 

income of less than $40,000 471 471 471

Number of professional students with family 

income of less than $40,000 745 745 745

Undergraduate student financial aid:

Number of U.S. students receiving Federal aid 4,382 4,382 4,382

 Average amount of aid U.S. students recei ving Feder al aid $16,428 $16,428 $16,428

Number of U.S. students receiving non-Fed’l aid 3,338 3,338 3,338

 Average amount of aid U.S. students recei ving non-Fed’l ai d $20,997 $20,997 $20,997

Number of international students receiving nonFed’l aid 371 371 371

 Average amount of aid foreign students recei ving non-Fed’l ai d $30,437 $30,437 $30,437

Graduate student financial aid:

Number of U.S. students receiving Federal aid 745 745 745

Average amount of aid U.S. students r ecei ving Feder al aid $37,047 $37,047 $37,047

Number of U.S. students receiving non-Fed’l aid 116 116 116

Average amount of aid U.S. students r ecei ving non-Fed’l ai d $23,053 $23,053 $23,053

Number of international students receiving nonFed’l aid 45 45 45

Average amount of aid foreign students recei ving non-Fed’l aid $19,902 $19,902 $19,902

Professional student financial aid:

Number of U.S. students receiving Federal aid 1,263 1,263 1,263

Average amount of aid U.S. students r ecei ving Feder al aid $56,998 $56,998 $56,998

Number of U.S. students receiving non-Fed’l aid 532 532 532

Average amount of aid U.S. students r ecei ving non-Fed’l ai d $21,528 $21,528 $21,528

Number of international students receiving nonFed’l aid 29 29 29

Average amount of aid foreign students recei ving non-Fed’l aid $29,466 $29,466 $29,466

NOTE: Howard University has provided all data, which is based on the University's July 1 to June 30 academic year. 
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PROGRAM OUTPUT MEASURES

(in whole numbers)

Output Measures 2017 2018 2019

Degrees awarded by type and race:

Baccalaureates awarded to Black U.S. students 1,227 1,200 1,215

Baccalaureates awarded to other U.S. students 53 55 55

Baccalaureates awarded to international

students 75 60 60

Total number of Baccalaureates awarded 1,288 1,285 1,290

Masters awarded to Black U.S. students 230 250 252

Masters awarded to other U.S. students 33 32 33

Masters awarded to international students 37 36 37

Total number of Masters awarded 300 318 322

Ph.D.s awarded to Black U.S. students 88 90 90

Ph.D.s awarded to other U.S. students 11 7 8

Ph.D.s awarded to international students 25 18 19

Total number of Ph.D.s awarded 124 115 117

Professional degrees awarded to Black U.S. 

students 277 290 292

Professional degrees awarded to other U.S. 

students 69 70 70

Professional degrees awarded to international

students 12 15 15

Total number of Professional degrees 

awarded

358 375 377

Faculty:

Number of paid faculty 1,234 1,153 1,220

Number of faculty serving without compensation 26 26 50

Total number of faculty 1,594 1,545 1,550

Construction:

Construction expenditures (dollars in 

thousands) $15,001 $35,900 $35,400

NOTE: Howard University has provided all data, which is based on the University's July 1 to June 30 academic year. 
HOWARD UNIVERSITY

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PROGRAM OUTPUT MEASURES

(dollars in thousands)

Output Measures 2017 Footnote2018 Footnote2019Footnote

Endowment program:

Federal appropriation Endowment program : Endowment pr ogram $3,4051$3,4051$3,4051

Matching funds + other funds raised by 

University Endowment program : Endowment program End o wment p rogram

 5,298 5,563 5,841

Total new contributions: E Endowment pr ogram : Endowment pr ogram endo wment program 8,703 8,968 9,246

Market value of total University endowment 643,705 649,661 659,081

Endowment investment income 15,515 20,000 21,000

Investment income as percent of 

endowment 2.4% 3.1% 3.2%

Howard University General Support:

Federal appropriation Howard Universit y General Sup port $194,4961$194,1261$194,1261

Other Federal funding Howard Universit y General Support 45,367 48,759 50,279

Total Federal funding Howard Universit y General Supp ort 239,863 242,885 244,405

Restricted non-Federal revenue Howard Universit y General Support 17,194 23,575 36,590

Revenue from tuition and fees Howard Universit y Gen eral Support 245,789 267,551 275,578

Other non-Federal revenue Howard Universit y General Support 93,260 107,115 109,654

Total non-Federal revenue Howard Universit y General Support 356,243 398,241 408,822

Total University revenue Ho ward Univ ersit y General Su pport 627,129 641,126 653,227

Total University expenditures Howard Universit y General Supp ort 644,450 627,867 658,039

Federal funding as percent of total revenue 38.2 % 37.9 % 37.4 %

Tuition and fees as percent of total revenue 39.2 % 41.7 % 42.2 %

Federal appropriation as percent of total 

revenue

30.4 % 30.3 % 29.8 %

Howard University Hospital:

Federal appropriation Howard Universit y H ospital $27,325 $27,273 $27,325

Other Federal funding Howard Universit y Hospital 63,876 59,379 58,934

Total Federal funding Howard Universit y Hospit al 91,201 86,652 86,259

Total Hospital revenue Howard Univ ersit y Hospital 262,223 254,256 284,906

Total Hospital expenditures Howard Universit y Hospital 245,145 230,759 241,048

Federal appropriation as percent of total 

revenue 10.4% 10.7% 9.6%

NOTE: Howard University has provided all data, which is based on the University's July 1 to June 30 academic year. 

1 Federal funding for the Howard endowment program ($3,405 thousand) is drawn from the appropriation for Howard 

University General Support.
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PROGRAM PERFORMANCE INFORMATION

Performance Measures

This section presents selected program performance information, including, for example, GPRA 

goals, objectives, measures, and performance targets and data; and an assessment of the 

progress made toward achieving program results. Achievement of program results is based on 

the cumulative effect of the resources provided in previous years and those requested in fiscal 

year 2019 and future years, as well as the resources and efforts invested by those served by 

this program. 

Goal: To assist Howard University with financial resources needed to carry out its 

educational mission.

Objective: Maintain or increase the undergraduate graduation rate.

Measure: The percentage of first-time, full-time, degree-seeking, undergraduate students who 

graduate within 6 years of enrollment.

Year Target Actual

2014 70% 60%

2015 70 61

2016 70 59

2017 70

2018 70

2019 70

Additional Information: This measure defines the graduation rate as completion of a 4-year 

degree within 6 years of enrollment at the University. The measure uses data taken from the 

Integrated Postsecondary Education Data System (IPEDS) database maintained by the 

National Center for Education Statistics (NCES) rather than directly from the University. The 

2016 IPEDS data are not yet available; however, the University reports an estimated 59 percent 

for this year and will provide this figure to IPEDS. Previous years in this table have been 

updated to reflect actual IPEDS reporting. 

The long-term goal is to increase Howard University's graduation rate. According to the IPEDS 

data, in 1998, the graduation rate for Howard University was only 41 percent, but by 2003, it had 

significantly increased to 69 percent. Since then, Howard’s graduation rate has declined, and 

has hovered around 60 percent. In comparison, the average graduation rate for 4-year, private, 

not-for-profit universities is approximately 64 percent. However, the graduation rate for the 

University is significantly higher than the average graduation rate (i.e., 33 percent) for other 4-

year, private, not-for-profit HBCUs. The Department plans to work with Howard in fiscal years

2017 and 2018 to improve performance in this area and will review targets for possible 

adjustment.
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Objective: Maintain or increase the retention of full-time undergraduate students.

Measure: The percentage of first-time, full-time, degree-seeking, undergraduate students who 

were in their first year of postsecondary enrollment in the previous year and are enrolled in the 

current year.

Year Target Actual

2014 89% 80%

2015 90 89

2016 90 87

2017 90

2018 90

2019 90

Additional Information: The long-term goal is to increase the percentage of first-time, full-time 

students who return for their second year of undergraduate education. Data from IPEDS 

showed Howard University’s persistence rate steadily dropped beginning in 2007, when it 

dipped to 85 percent after multiple years at 90. The rate fell further through 2014 before 

improving in 2015 and decreasing again in 2016. The 2016 IPEDS data are not yet available; 

however, the University reports an estimated 87 percent for this year and will provide this figure 

to IPEDS. The University’s persistence rate is higher than the average of 4-year, private, notfor-profit universities in general (i.e., 82 percent), as well as other 4-year, private, not-for-profit 

HBCUs (60 percent).

Objective: Increase student enrollment over the long term.

Measure: The number of full-time, degree-seeking, undergraduate and graduate students 

enrolled at Howard University.

Year Target Actual

2014 12,000 9,065

2015 12,000 9,029

2016 12,000 8,717

2017 12,000

2018 10,000

2019 10,000

Additional Information: This measure utilizes data provided by Howard University. Combined 

enrollment of degree-seeking undergraduates and graduates at the University has remained 

around 9,000 students annually since fiscal year 2012 but decreased by 3.5 percent in fiscal 

year 2016. In fiscal year 2015, the freshman class was one of the largest classes enrolled in the 

past 30 years, which stretched the capacity of the University in every administrative and 

academic area, including providing on-campus housing, creating additional stress on the 

network, adding additional course sections, and addressing increased financial needs of 

students. As a result, the University intentionally planned for a smaller freshman class for fiscal 

year 2016, as they sought to balance enrollment and capacity. Demand for the University 

continues to remain high. Annual applications range between 17,000-18,000. This has permitted 

the University to be more selective in the students who are accepted. As a result, the 
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Department is discussing a plan with the University to ensure sufficient capacity as they seek to 

gradually increase enrollment and may consider adjusting targets beyond 2018.

Efficiency Measures

The efficiency measure tracks the cost of a successful outcome, where success is defined as 

graduation and Federal cost is defined as the program appropriation. This measure ties in with 

the program’s performance indicators. 

Measure: Federal cost of degrees and certificates awarded by Howard University.

Year Target Actual

2014 $88,000 $95,108

2015 88,000 88,127

2016 88,000 90,128

2017 88,000

2018 88,000

2019 88,000

Additional Information: The efficiency measure is calculated by dividing the total funds 

appropriated for Howard (exclusive of Hospital funding) by the number of students successfully 

completing degree or certificate programs. This measure allows the Department to track 

program performance in terms of cost to the Federal Government and the efficiency of Federal 

funds in achieving successful outcomes. With the exception of 2015, the Federal cost per

degree or certificate awarded has remained well above the target. As a result of the decreased 

enrollment at the University, the Department will consider revising targets for future years. 

A similar efficiency measure has been established for the higher education programs authorized 

under Titles III and V of the Higher Education Act, as well as for Gallaudet University and the 

National Technical Institute for the Deaf. 

Other Performance Information

The University’s fiscal year 2016 audit, required by OMB Circular A-133 (A-133) identified a 

number of concerns with internal control over financial reporting, including eight material 

weaknesses and three significant deficiencies. In summary, for the fiscal year ending in June 

2016, the University did not have adequately designed internal controls over: human resources; 

information systems; accounting transactions; medical malpractice reserves; account 

reconciliations and consolidated financial reporting; journal entry support and review; internal 

communications and financial reporting; system interfaces; and expense cut-off. Similarly, the 

audit of the University’s major federal programs disclosed seven instances of noncompliance as

a result of a lack of sufficient administrative oversight and one significant deficiency. 

The following Uniform Guidance areas had associated findings: B. Allowable Costs/Cost 

Principles - Effort Certification; I. Procurement and Suspension and Debarment; Reporting (of 

federal awards); L. Reporting – Common Origination and Disbursement (COD) System (i.e., 

Federal Pell Grant Program payment data reporting); N. Special Tests and Provisions –

Verification (Education Department-approved Quality Assurance (QA) Program verifications 

procedures; N. Special Tests and Provisions – Disbursements To or On Behalf of Students 
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(transfer monitoring procedures); N. Special Tests and Provisions - Enrollment Reporting; N. 

Special Tests and Provisions - Return of Title IV Funds; and N. Special Tests and Provisions –

Publications (not attributing source of federal grants funds). It should be noted that many of 

these are repeat findings from the prior fiscal year audit that had not been resolved according to 

the Corrective Action Plan developed by the University at that time. As a result of the audit for 

the fiscal year ending June 30, 2016, the University developed a new Corrective Action Plan, 

including descriptions of corrective actions and the anticipated time needed to implement the 

actions for each finding; in most cases, the University listed the date for the fiscal year ending 

June 30, 2017. 

In addition to these issues, the teaching Hospital has struggled repeatedly to maintain several of 

its residency programs. Records for the Chicago-based Accreditation Council for Graduate 

Medical Education (ACGME) indicate that ACGME has withdrawn the accreditation of residency 

programs at Howard more often than at any other Washington, D.C. hospital in the last 

15 years. The Hospital lost accreditation for five training programs since 2002: emergency 

medicine, pediatrics, urology, radiation oncology and diagnostic radiology, none of which have 

been reaccredited. In comparison, the ACGME database indicates that George Washington 

Hospital, MedStar Georgetown and MedStar Washington Hospital Center have lost 

accreditation for one program in the same time period. According to ACGME, hospitals cannot 

use public money to employ residents from programs that are not accredited. 

In response to ongoing annual revenue losses at both the Hospital and the University, in recent 

years the University reports that it has taken several steps to improve its overall financial 

standing. The University claimed their strongest financial performance in five years in fiscal year

2016, with a gain from operations of almost $12 million for the year ending June 30, 2016. 

According to the University, operating revenues stabilized compared to fiscal year 2015, due to 

improved fiscal management and increases in operating efficiencies, namely costs associated 

with employment.

During fiscal year 2017, the University created a University Budget Office to focus on improved 

revenue projections, multi-year financial forecasts, and intra-year and year-end projections at

the enterprise level and at the Accountable Unit level. In an effort to provide managers with tools 

needed to monitor finances and ensure accountability and compliance, the University engaged 

Oracle Consulting to create monthly financial reports for University accountable unit managers, 

including revenue and expense reports, position and headcount reports, vendor spending 

reports, and restricting fund. Additionally, the University is seeking to improve forecasting 

models for enrollment, financial aid packaging, and net tuition revenue realization. The 

Department will work with the University in fiscal year 2018 to determine what impact, if any, 

these initiatives had on the institution’s financial standing, as well as enrollment patterns and 

graduation rates. In addition, the Department will analyze the effects of these initiatives over 

longer periods of time. 
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Despite these recent improvements and institutional enhancements, the Department has 

ongoing concerns about Howard’s overall financial health and stability. Recent (March 2017) 

Washington Post articles (https://www.washingtonpost.com/local/howard-university-hospitalshows-symptoms-of-a-severe-crisis/2017/03/24/dc84ca34-02a5-11e7-b9faed727b644a0b_story.html?tid=a_inl&utm_term=.caa2e97dd85d and 

https://www.washingtonpost.com/local/howard-university-hospital-shows-symptoms-of-asevere-crisis/2017/03/24/dc84ca34-02a5-11e7-b9faed727b644a0b_story.html?tid=a_inl&utm_term=.caa2e97dd85d) describe the numerous 

challenges plaguing the Hospital and University in detail. 

Standard & Poor’s (S&P) further lowered the University’s stand-alone credit profile and longterm rating in September 2016. S&P’s Global Ratings affirmed its 'BBB' long-term and 

underlying rating on the District of Columbia's $292 million revenue bonds issued for Howard 

University; the outlook is negative, citing declining revenues and significant operating losses in 

recent years (https://www2.howard.edu/sites/default/files/pdf/2.05.2_SandP_Ratings_Direct_An

alysis_Sep_2016.pdf). Combined, these credit factors lead to an indicative stand-alone credit 

profile of 'bbb' and a 'BBB' long-term rating (down from bbb+ and BBB+, respectively, reported 

in the fiscal year 2017 budget request for the University), though the S&P credit analyst expects 

“the financial performance will stabilize and be positive in 2017.” 

Most recently, senior faculty of the University cited significant concerns regarding financial 

problems, lack of transparency, and failures of leadership in their vote of no confidence in 

University President Wayne A.I. Frederick and Provost Anthony Wutoh. The Department will 

continue working with leadership to stabilize the University’s financial condition in fiscal year 

2018 to ensure continued improvements in financial and operational management and full 

compliance in regards to the Federal appropriation.