Department of Education

HOWARD UNIVERSITY

Fiscal Year 2018 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

S-1

Appropriations Language

For partial support of Howard University, $221,399,000, 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 2017 appropriation for this account was not enacted at the time the budget was prepared; therefore, 

the budget assumes this account is operating under the Further Continuing Appropriations Act, 2017 (P.L. 114–254). 

The amounts included for 2017 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, which follows the appropriation language.
HOWARD UNIVERSITY

S-2

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.
HOWARD UNIVERSITY

S-3

Appropriation, Adjustments and Transfers

(dollars in thousands)

Appropriation/Adjustments/Transfers 2016

2017 

Annualized CR 2018

Discretionary appropriation:

Discretionar y budget authority: Appropriation .................................................... $221,821 0 $221,399

Discretionar y budget authority: Annualized CR.................................................. 0 $221,399 0

Discretionar y budget authority: Total, discretionary appropriation.................. 221,821 221,399 221,399
HOWARD UNIVERSITY

S-4

S-4

Authorizing Legislation

(dollars in thousands)

Activity

2017

Authorized

2017

Annualized CR Footnote

2018

Authorized

2018 

Request

General support (20 U.S.C. 121 et seq.) Indefinite $194,1261 Indefinite $194,126

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

Howard University Hospital (20 U.S.C. 128) Indefinite 27,273 Indefinite 27,273

Total appropriation 221,399 221,399

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 2017, the University must allocate at least $3,405 thousand for the endowment program. For fiscal year 2018, the Administration 

requests that not less than $3,405 thousand be allocated to the endowment program.
HOWARD UNIVERSITY

S-5

Appropriations History

(dollars in thousands)

Year

Budget 

Estimate 

to Congress

House 

Allowance F

Senate 

Allowance F AppropriationF

2009 233,245 236,7091233,2441234,977

2010 234,977 234,977 234,9772234,977

2011 234,977 234,9773234,9772234,5074

2012 234,507 234,5075234,5075234,064

2013 234,064 234,0646234,0646221,821

2014 234,064 N/A7234,0642221,821

2015 221,821 N/A7221,8218233,245

2016 221,821 221,8219219,5009221,821

2017 221,82110 221,82110 221,82110 221,82110

2018 221,399

1 The levels for the House and Senate allowances reflect action on the regular annual 2009 appropriations 

bill, which proceeded in the 110th Congress only through the House Subcommittee and the Senate 

Committee.

2 The level for the Senate allowance reflects Committee action only.

3 The level for the House allowance reflects the House-passed full-year continuing resolution. 4 The level for appropriation reflects the Department of Defense and Full-Year Continuing Appropriations 

Act, 2011 (P.L. 112-10). 5 The level for the House allowance reflects an introduced bill and the level for the Senate allowance 

reflects Senate Committee action only.

6 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.

7 The House allowance is shown as N/A because there was no Subcommittee action. 8 The level for the Senate allowance reflects Senate Subcommittee action only. 9 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.

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

appropriation bill; the Appropriation reflects the Consolidated Appropriations Act, 2017.
HOWARD UNIVERSITY

S-6

Howard University

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

(dollars in thousands)

FY 2018 Authorization: Indefinite

Budget authority: Period of fund availability: 

2017

Annualized CR

2017

Appropriation 2018

Change from

Annualized CR

General Support $194,126 $194,4961$194,12610

Howard University Hospital 27,273 27,325 27,273 0

Total 221,399 221,821 221,399 0

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

Howard University. However, the 2017 appropriation required the University to allocate at least $3,405 

thousand for the endowment program. The Administration proposes the same language for 2018.

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 
HOWARD UNIVERSITY

S-7

services further the University’s goals of expanding the opportunities of graduates, particularly 

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 three-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 is scheduled for fall 2017 and the second tower for 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.
HOWARD UNIVERSITY

S-8

Funding levels for the past 5 fiscal years were:

Fiscal Year (dollars in thousands)

2013.................................................................................$221,821

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

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

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

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

FY 2018 BUDGET REQUEST

The Administration requests $221.4 million for the University in fiscal year 2018, the same as 

the fiscal year 2017 annualized Continuing Resolution (CR) level. The Department of Education 

Appropriations Act, 2017, provided $221.8 million for this program. 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 high 

quality postsecondary education.

The Federal appropriation constituted approximately 31 percent of the University’s total 

revenues and 10.3 percent of the Hospital’s total revenues in fiscal year 2016. In order to 

maintain current levels of educational and healthcare services, approximately $194.5 million of 

the fiscal year 2018 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 2018 appropriation, approximately $87.5 million 

would support instruction. Another $9 million would support public service program services. 

The University would utilize approximately $34.5 million for academic support and an additional 

$32.7 million for student services.

The University anticipates revenues (i.e., approximately $143.5 million) from tuition and fees to 

be an additional source of funding for academic programs and support services in fiscal 

year 2018. The University’s 2015-2016 academic year tuition and fees totaled $23,790, 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 2015-2016 Georgetown 

University and George Washington University tuition and fee costs per student were $48,611 

and $50,435, respectively. Average tuition and fees for the other 46, 4-year, private HBCUs 

was $14,098 for the 2015-2016 academic year. The University anticipates another $52.5 million 

from sales and auxiliary enterprises and approximately $344 million in other operating revenues

to cover additional expenses related to academic programming.

Endowment Program — From the fiscal year 2018 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 Administration believes earmarking a 

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

S-9

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

University maintains a pooled endowment that is comprised of 800+ individual endowments.

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 2018.

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. The University reported figures (i.e., $685.8 million in fiscal 

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

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

definition. The University’s consolidated financial statements 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 the discrepancies, the Department urged the University to consult with 

NACUBO to clarify methodology. As a result, the University’s future submissions will conform to 

the methodology described by NACUBO. According to the University, the spending rate for the 

endowment is 5 percent of the donor endowment market value, based upon a three-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 Administration’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 recently 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 be to better manage the University’s risk 

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

balance sheets, but interlocking missions and a detailed academic affiliation agreement. The 

University believes this 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 Hospital are, in the future, legally 
HOWARD UNIVERSITY

S-10

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 2016, the University dedicated $40.1 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 

2018.

Construction — In fiscal year 2016, the University allocated $1.7 million of the Federal 

appropriation for construction. The fiscal year 2018 request includes $1.7 million for 

construction and maintenance.

PROGRAM OUTPUT MEASURES

(data in whole numbers)

Output Measures 2016 Fo

2017

Annualized CR Fo2018

Student population by enrollment:

Number of full-time undergraduate students 6,075 5,623 5,651

Number of full-time graduate students 1,196 1,024 1,036

Number of full-time professional students 1,446 1,409 1,409

Total number of full-time students 8,717 8,056 8,096

Total number of undergraduate students 7,098 6,567 6,599

Total number of graduate students 1,753 1,490 1,508

Total number of professional students 1,493 1,493 1,493

Total number of students 10,344 9,550 9,600

Student population by race:

Number of Black U.S. undergraduate students 6,378 5,900 5,930

Number of other U.S. undergraduate students 315 292 293

Number of foreign undergraduate students 405 375 376

Number of Black U.S. graduate students 1,338 1,137 1,151

Number of other U.S. graduate students 140 119 120

Number of foreign graduate students 275 234 237

Number of Black U.S. professional students 1,060 1,060 1,060

Number of other U.S. professional students 367 367 367

Number of foreign professional students 66 66 66

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

academic year. The Department is not able to confirm the accuracy of the FY 2016 data.
HOWARD UNIVERSITY

S-11

PROGRAM OUTPUT MEASURES

(in whole dollars)

Output Measures 2016

2017

Annualized CR 2018

Student population by family income:

Number of undergraduates with family income of 

less than $40,000 2,650 2,675 2,675

Number of graduate students with family income 

of less than $40,000 801 815 815

Number of professional students with family 

income of less than $40,000 955 945 950

Undergraduate student financial aid:

Number of U.S. students receiving Federal aid 5,750 5,850 5,850

Average amount of aid U.S. students r ecei ving Feder al aid $17,500 $17,500 $17,500

Number of U.S. students receiving non-Fed’l aid 5,300 5,350 5,350

Average amount of aid U.S. students r ecei ving non-Fed’l ai d $14,500 $14,575 $14,600

Number of foreign students receiving non-Fed’l 

aid 265 266 270

Average amount of aid foreign students recei ving non-Fed’l aid $23,970 $23,990 $24,000

Graduate student financial aid:

Number of U.S. students receiving Federal aid 2,559 2,600 2,625

Average amount of aid U.S. students r ecei ving Feder al aid $48,670 $48,700 $48,900

Number of U.S. students receiving non-Fed’l aid 795 795 800

Average amount of aid U.S. students r ecei ving non-Fed’l ai d $15,945 $16,250 $16,500

Number of foreign students receiving non-Fed’l 

aid 125 130 135

Average amount of aid foreign students recei ving non-Fed’l aid $21,230 $21,186 $22,200

Professional student financial aid:

Number of U.S. students receiving Federal aid 1,350 1,355 1,360

Average amount of aid U.S. students r ecei ving Feder al aid $54,005 $54,005 $54,100

Number of U.S. students receiving non-Fed’l aid 792 795 800

Average amount of aid U.S. students r ecei ving non-Fed’l ai d $15,250 $16,275 $16,300

Number of foreign students receiving non-Fed’l 

aid 60 65 70

Average amount of aid foreign students recei ving non-Fed’l aid $31,000 $32,500 $33,000

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

academic year. The Department is not able to confirm the accuracy of the University’s FY 2016 data.
HOWARD UNIVERSITY

S-12

PROGRAM OUTPUT MEASURES

(in whole numbers)

Output Measures 2016

2017

Annualized CR 2018

Degrees awarded by type and race:

Baccalaureates awarded to Black U.S. students 1,187 1,180 1,180

Baccalaureates awarded to other U.S. students 61 60 60

Baccalaureates awarded to foreign students 50 45 50

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

Masters awarded to Black U.S. students 284 285 285

Masters awarded to other U.S. students 25 30 32

Masters awarded to foreign students 34 35 36

Total number of Masters awarded 343 350 353

Ph.D.s awarded to Black U.S. students 80 85 85

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

Ph.D.s awarded to foreign students 14 12 12

Total number of Ph.D.s awarded 101 104 104

Professional degrees awarded to Black U.S. 

students 308 310 312

Professional degrees awarded to other U.S. 

students 99 95 95

Professional degrees awarded to foreign 

students 9 20 20

Total number of Professional degrees 

awarded 426 425 427

Faculty:

Number of paid faculty 1,333 1,306 1,310

Number of faculty serving without compensation 28 28 25

Total number of faculty 1,361 1,334 1,335

Construction:

Construction expenditures (dollars in 

thousands) $8,219 $15,000 $16,500

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

academic year. The Department is not able to confirm the accuracy of the University’s FY 2016 data.
HOWARD UNIVERSITY

S-13

PROGRAM OUTPUT MEASURES

(dollars in thousands)

Output Measures 2016

Footnote

2017

Annualized CR Footnote2018

Footnote

Endowment program:

Federal appropriation Endowment program : Endowment pr ogram 3,40513,40513,4051

Matching funds raised by University Endowment pr ogram : Endowment pr ogram Endo wment program 3,405 3,405 3,405

Total new contributions: E Endowment pr ogram : Endowment pr ogram endo wment program 6,810 6,810 6,810

Market value of total University endowment 577,132 600,866 630,909

Endowment investment income 14,274 15,701 17,272

Investment income as percent of 

endowment 2.5% 2.6% 2.7%

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 47,922 65,000 65,000

Total Federal funding Howard Universit y General Supp ort 242,418 259,126 259,126

Restricted non-Federal revenue Howard Universit y General Support 13,010 16,794 17,633

Revenue from tuition and fees Howard Universit y Gen eral Support 256,887 259,107 261,698

Other non-Federal revenue Howard Universit y General Support 109,732 107,503 108,578

Total non-Federal revenue Howard Universit y General Support 379,629 383,404 387,909

Total University revenue Ho ward Univ ersit y General Su pport 618,921 642,530 647,035

Total University expenditures Howard Universit y General Supp ort 627,606 645,647 667,909

Federal funding as percent of total revenue 39.2% 40.3% 40.0%

Tuition and fees as percent of total revenue 41.5 40.3 40.4

Federal appropriation as percent of total 

revenue 31.4 30.2 30.0

Howard University Hospital:

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

Other Federal funding Howard Universit y Hospital 66,616 65,000 65,000

Total Federal funding Howard Universit y Hospit al 93,941 92,273 92,273

Total Hospital revenue Howard Univ ersit y Hospital 265,241 265,690 267,842

Total Hospital expenditures Howard Universit y Hospital 260,705 258,098 271,819

Federal appropriation as percent of total 

revenue 10.3% 10.3% 10.2% _____________________________

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

academic year. The Department is not able to confirm the accuracy of the University’s FY 2016 data.

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

for Howard University General Support.
HOWARD UNIVERSITY

S-14

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 2018 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

2013 70% 61%

2014 70 60

2015 70 61

2016 70 59

2017 70

2018 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.
HOWARD UNIVERSITY

S-15

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

2013 88% 83%

2014 89 80

2015 90 89

2016 90 87

2017 90

2018 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

2013 12,000 8,818

2014 12,000 9,065

2015 12,000 9,029

2016 12,000 8,717

2017 12,000

2018 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. The University currently estimates that fewer than 8,100 students are enrolled fulltime in fiscal year 2017, and projections indicate this will be consistent for 2018 as well. 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. 
HOWARD UNIVERSITY

S-16

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 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

2013 $88,000 $90,337

2014 88,000 95,108

2015 88,000 88,127

2016 88,000 90,128

2017 88,000

2018 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., 
HOWARD UNIVERSITY

S-17

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 

(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 strives to create a University Budget Office that can 

develop improved revenue projections, multi-year financial forecasts, and intra-year and 

year-end projections at the enterprise level and at the Accountable Unit level. The University is 

in the process of hiring staff for positions in the Chief Budget Office. In an effort to provide 

managers with tools needed to monitor finances and ensure accountability and compliance, the 

University engaged Oracle Consulting in October 2016 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 2017 and 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. 
HOWARD UNIVERSITY

S-18

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_Analysis_Sep_2

016.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 years

2017 and 2018 to ensure continued improvements in financial and operational management and 

full compliance in regards to the Federal appropriation.