Northwestern continues to expand as one of the nation’s top universities despite an economic downturn that has impacted the school’s endowment and led to decreasing donations, University President Henry Bienen said Wednesday in his annual State of the University Address.
“We are seeing a slowdown in new gifts and pledges to Campaign NU, and our endowment earnings are considerably less robust than they have been in previous years,” Bienen told about 50 people in Thorne Auditorium on the Chicago Campus. “This does not mean we are in any type of financial peril, but it does mean that we must be more selective in undertaking new initiatives.”
For the first time, Bienen spoke only on the Chicago Campus, although about 45 Evanston staff and faculty members viewed the address through a live broadcast in McCormick Auditorium and 15 watched at Hardin Hall.
Bienen discussed the university’s ongoing construction projects and explained the need to fill in one-fifth of the Lagoon despite students’ concerns. He also pointed out the impending completion of the McCormick Tribune Foundation Broadcast Journalism Center, the Nanofabrication and Molecular Self-Assembly building, and Slivka Residential Hall as evidence of NU’s growth. The buildings, all on the Evanston campus, are slated to open in the fall.
But Bienen added that accepting donations for larger buildings strains fund-raising efforts, obligating NU to raise the remainder of the needed money and pay for construction costs.
“The operating and maintenance costs of these facilities will add between $10 (million) and $12 million to our operating budget, and that’s exclusive of the personnel costs for the faculty and staff who will occupy the spaces,” he said.
NU eventually may be forced to turn down some building grants if the strain becomes too great, he said.
While Bienen said NU has reached the end of its major building phase, administrators are cultivating spaces for future construction with plans to fill in four of the Lagoon’s 19 acres. Bienen reiterated that plans to build a “pedestrian mall” on the newly filled land land will result in grassy areas and walkways, not stores.
“How do people get in their heads that I’m going to put a Taco Bell on the Lakefill?” he said. “A pedestrian mall, for goodness’ sake – not a strip mall.”
Upset that administrators developed the Lagoon plan without seeking their input, students have protested the decision in recent weeks. Bienen responded to these concerns by highlighting committees where students and administrators work together, such as the Undergraduate Budget Priorities Committee, a group of five students who make recommendations for the university’s budget.
But while students should not have a vote on how administrators make decisions, he said, students and faculty could have their voices heard on long-term capital projects in the future.
“I’m a big believer in discussing things,” Bienen said. “This place does not do referendums. … If it were (a democracy), I wouldn’t be here and NU would be a vastly inferior place than it is now.”
Bienen took on a different tone this year than in previous addresses, especially when discussing the Lagoon, said Barb Seegert, an accounting clerk in Hogan Hall who’s worked at NU for 20 years.
“He seemed to be more defensive than in past years,” said Seegert, adding that she appreciated his openness and informality. “He’s now becoming more open. I’d say that’s a good thing.”
Although increased student and faculty input would be beneficial, Law School Prof. John Elson said, he doesn’t count on Bienen seeking it anytime soon.
“I don’t think this was a priority matter, I think he was just ruminating,” said Elson, who attended the address downtown. “(But) reflecting that may be useful.”
