TCNJ

26 OUR FINANCIALS ASSETS AND LIABILITY The assets of the college totaled $820 million (net of accumulated depreciation of $270 million) as of June 30, 2016. This balance reflects a $25.7 million, or 3.2 percent, increase compared to fiscal year 2015. This increase in assets resulted primarily from the net addition of capital assets and cash receipts from operations, coupled with appreciation of the investment portfolio. Deferred outflows increased by $21.5 million, or 82.9 percent, due to the recognition of additional bond issue costs from the Series 2015G bond issuance, and the GASB 68 pension amounts allocated to the college. Total liabilities increased by $17.7 million, totaling $571 million as of June 30, 2016, primarily due to an increase in the college's allocation of the State of New Jersey pension liabilities under GASB 68. As a result of these changes, the college's net position increased by $32 million, or 12.3 percent, resulting in a year-end balance of $295 million. The change in net position is a measure of whether the overall financial condition has improved or worsened during the year. The consistent increase in net position is one indicator that the college's financial health continues to improve, reflecting sound and careful fiscal management across the institution. STATE SUPPORT The base state appropriation for 2016–17 is flat compared to 2015–16, a year in which the college received $2.1 million less in institutional operating aid from Trenton. Work is progressing on the $75 million STEM project (see page 3), which is being constructed with $40 million in funding through New Jersey's Building Our Future Bond. An additional $1 million is coming from the New Jersey Higher Education Technology Infrastructure Fund. In total, the state provided $57.5 million in support for these and other projects through various bonds. STRATEGIC PARTNERSHIPS TCNJ is committed to seeking innovative approaches to improve the campus without putting additional pressure on the budget. This is evident in the $120 million Campus Town development, which was completed in July of 2016. Thanks to the public-private partnership provision of the state's Economic Stimulus Act of 2009, the project was constructed without any state or tuition dollars. The entire cost was funded privately by The PRC Group, Campus Town's developer. Thanks to a long-term agreement with the college's food service provider, Sodexo, almost the entire $38 million cost of a two-year renovation and expansion of Brower Student Center is being funded privately. The project is being completed in stages. Work will continue through the summer of 2017. THE AUDITED FINANCIAL STATEMENTS MAY BE FOUND ONLINE AT treasurer.tcnj.edu e College of New Jersey has a long tradition of prudent financial planning and thoughtful resource allocation. is was underscored in an August 2016 Moody's Investors Services credit opinion in which it upheld the college's A2 rating with a stable outlook: "e college's market strength, combined with good financial planning and forecasting, improves prospects of fiscal stability even as the college confronts what is likely to be an increasingly challenging state funding environment over the next several years," wrote Moody's analyst Pranav Sharma. In short, TCNJ is well positioned to address future challenges and opportunities. 26 ANNUAL REPORT 2015–2016

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