$4 Billion Campaign Races Ahead of Schedule

Correction appended.

Columbia is ahead of schedule on the way to its goal of raising $4 billion in a capital campaign slated to last through 2011, according to University officials.

Since the campaign's beginning in July 2004, the University has raised $2.2 billion. John Kluge's $400 million gift this semester earmarked for financial aid constituted 10 percent of the campaign's total goal and put the University over the halfway mark.

"The powerful role of alumni in the Columbia community includes giving," Susan Feagin, executive vice president for University Development and Alumni Relations, said. "I am an alumna myself, and I'm not ashamed to admit that monetary support is one of the roles that alumni play."

As designed, the campaign will allocate $1 billion to facilities, $1.4 billion to be earmarked for "current use," and $1.6 billion to the University's endowment. Columbia also plans to distribute the funds across the 15 schools that it encompasses. Barnard, Teacher's College, Union Theological Seminary, and Jewish Theological Seminary are not included in the campaign.

While the University has laid out general guidelines for where the money is going, some remain skeptical about the specifics. "I'm not comfortable donating when I'm not sure where the money is going," said Calvin Sun, CC '08 and incoming president of the Asian American Alliance.

Of particular concern to many is the University's proposed expansion into Manhattanville, about which many at the University have raised concerns. "Kluge's not giving $4 billion to Manhattanville, he's giving it to financial aid. Young alumni should also be able to choose where their money is to be spent," Sun said. "Because the money seniors give to the senior fund is going into the general capital campaign pool, they're [the administrators] going to be forced to confront the Manhattanville issue and the uncertainty, or not donate altogether."

Susan Murray, director of the Young Alumni Fund, said, "Columbia College alumni can designate their gifts to the College's unrestricted fund, financial aid, student services, or the core curriculum," noting that nearly 80 percent of donors choose to give to the unrestricted fund. Donors can designate that gifts go to the Core Curriculum, financial aid, Student Affairs, or the Parent's Fund. That said, all class gifts go to unrestricted funds.

The plurality of donations, regardless of their designated purpose, will be put toward the University's endowment, which has been receiving about a 5 percent rate of return, meaning annual earnings of about $22 million per year for Columbia.

Columbia has lagged behind many of its peers in returns on its endowment, which many see as a draw on the University's prestige. Michael Foss, CC '03, said he doubted Columbia would catch up to its Ivy League adversaries, even with the capital campaign. "No matter how much money Columbia raises and how well our endowment performs, Harvard, Yale, and Princeton will always enjoy much higher absolute returns from their endowments while raising as much or more in gifts than Columbia," he said.

"It is a lot of money, certainly, and I guess my only concern or question that I have is how such a fundraising effort will affect Barnard, whose entire endowment is less than the last major gift made to CU," Monica Miller, assistant professor of English at Barnard College, said. Under outgoing president Judith Shapiro, Barnard has undergone many of its own fundraising efforts, most recently to pay for the construction of the new Nexus student center which is set to begin construction this summer.

CORRECTION: This article incorrectly stated that the University receives a five percent rate of return on its investments. It earns closer to 17 percent.