Category Archives: Lists

The 2017-2018 SWAC/MEAC Athletic Financial Review

In the third report over the past five years since HBCU Money first began reporting the SWAC/MEAC Athletic Financial Review, there have been losses of $130 million, then $147 million, this year they continue their trend of the athletic black hole of almost $151 million loss through athletics with no correction in sight. Almost unfathomable is that nine of the twenty-one schools* in the SWAC/MEAC have athletic budgets higher than their research budgets. It is disheartening at best that these two HBCU conferences can justify their member institutions athletic spending increasing at a faster rate than college inflation for tuition is in America.

If there is a canary in the coal mine, it is that the amount of subsidies put on the back of students this year overall, median, and average decreased for the first time, albeit by a negligible amount. But that canary is barely seen when no matter how you cut it, students are bearing the brunt of generating HBCU athletic revenues. This year’s review shows that approximately 70 percent of HBCU athletic revenues are generated through subsidies. Something to consider when 90 percent of HBCU students graduate with student loan debt.

REVENUES (in millions)

Total: $202.9 (up 7.1% from 2015-2016)

Median: $10.8 (up 6.1% from 2015-2016)

Average: $10.1  (up 6.8% from 2015-2016)

Highest revenue: Prairie View A&M University  $18.6 million

Lowest revenue: Coppin State University  $3.6 million

EXPENSES (in millions)

Total: $212.0 (up 9.2% from 2015-2016)

Median: $10.8 (up 7.1% from 2015-2016)

Average: $10.6 (up 9.3% from 2015-2016)

Highest expenses: Prairie View A&M University  $18.6 million

Lowest expenses: Mississippi Valley State University  $4.1 million

SUBSIDY

Total: $141.5 (unchanged from 2015-2016)

Median: $6.4 (down 18.4% from 2015-2016)

Average: $7.1 (unchanged from 2015-2016)

Highest subsidy: Prairie View A&M University $15.5 million

Lowest subsidy: Mississippi Valley State University $2.0 million

Highest % of revenues: Prairie View A&M University: 83.7%

Lowest % of revenues: Florida A&M University: 34.2%

PROFIT/LOSS (W/ SUBSIDY)

Total: $-9.1 million (down 97.9% from 2015-2016)

Median: $-26,890 (down 1,244.5% from 2015-2016)

Average: $-455,318 (down 97.9% from 2015-2016)

Highest profit/loss: North Carolina A&T State University  $573,062

Lowest profit/loss: South Carolina State University  $-3,560,974

PROFIT/LOSS (W/O SUBSIDY)

Total: $-150.7 million (down 2.4% from 2015-2016)

Median: $-7.0 million (up 10.0% from 2015-2016)

Average: $-7.5 million (down 1.8% from 2015-2016)

Highest profit/loss: Mississippi Valley State University  $-2,041,761

Lowest profit/loss: Prairie View A&M University  $-15,586,904

CONCLUSION: Older alumni’s desire for athletic glory without assessing the cost to obtain it is going to set younger alumni back decades from becoming contributing alumni – if they are ever able to. This shortsighted vision may have ripple effects far beyond the athletic realm. At current, it would take approximately a $3 billion endowment dedicated to athletics to ween the SWAC/MEAC off of these subsidies onto a sustainable path. Steph Curry’s adoption of Howard’s golf team is clearly a step in the right direction of trying to solve this puzzle without burdening students of today and tomorrow. In fact, the top 10 paid NBA players salary for 2019 is a combined $372 million or $160 million above what all of the SWAC/MEAC expenses are combined. Of course these players by no means can or should fund all of HBCU athletics, but it does show that if we can begin to think outside of the box about how to solve this crisis we must do so before it spirals beyond our reach.

Editor’s Note: Howard and Bethune-Cookman are excluded in this report because they are private institutions and their athletic finances were not included in this report or the 2015-2016 review.

HBCU Money™ Presents: The George W. Carver 2017’s Top 20 HBCU Research Institutions

Dr. George Washington Carver (January 5, 1864-January 5, 1943) was an American scientist, botanist, educator, and inventor. Carver is best known for his research into alternative crops to cotton, such as peanuts, soybeans, and sweet potatoes. He wanted poor farmers to grow these alternative crops to aid in the nutrition of farm families and to provide another source of cash income to improve the farmer’s quality of life. Dr. Carver is shown at work at Tuskegee University in September 1938. Photo Courtesy National Archives and Records Administration. r

HBCUs continue to go backwards in the research field according to the latest National Science Foundation data. In 2015, research expenditures for the top 20 HBCUs combined for $425.7 million, while 2017 combines for $424.7 million. Over the past five years, HBCU research expenditures have dropped almost 4.7 percent or a loss of $20.7 million.

  • The top ranked HBCU, Howard University, ranked 203rd and the twentieth ranked HBCU, Virginia State University, ranked 325th among America’s college research landscape.
  • The MEAC maintains their dominance with eight schools versus the SWAC’s four.
  • Division II/III schools also comprise four schools on the list.
  • 1890 HBCUs, land-grant universities, dominate the top twenty with eleven of the top HBCU research universities.
  • All HBCUs combined account for $537.8 million in research expenditures. There are 45 PWI/HWCUs who have research budgets above this amount individually.

Rank. HBCU. Previous Year In Parentheses.

  1. Howard University – $45.8 million ($41.0 million)
  2. Florida A&M University – $37.6 million ($45.4 million)
  3. N.C. A&T State Univ. – $37.4 million ($33.8 million)
  4. Morehouse School of Medicine – $36.9 million ($38.8 million)
  5. Alabama A&M University – $31.7 million ($30.3 million)
  6. Jackson State University – $22.8 million ($23.8 million)
  7. Delaware State University – $20.8 million ($21.3 million)
  8. Tennessee State University – $18.1 million ($19.5 million)
  9. Meharry Medical College – $16.8 million ($14.8 million)
  10. Tuskegee University – $16.5 million ($16.5 million)
  11. Hampton University – $16.6 million ($14.2 million)
  12. Alcorn State University – $16.1 million ($8.2 million)
  13. Charles R. Drew University – $15.7 million ($13.4 million)
  14. Morgan State University – $15.0 million ($15.7 million)
  15. S.C. State University – $14.3 million ($13.1 million)
  16. N.C. Central University – $14.1 million ($12.5 million)
  17. Prairie View A&M University – $14.0 million ($12.6 million)
  18. Xavier University of LA. – $12.4 million ($12.1 million)
  19. Langston University – $11.5 million ($11.2 million)
  20. Virginia State University – $10.8 million ($8.1 million)

TOP 20 COMBINED TOTAL: $424.7 million ($425.7 million)

Additional Notes:

The HWCU-HBCU gap for research among top 20 research institutions is $53:1

Top 20 HWCUs Combined: $22.7 billion ($23.2 billion)

Top 20 Average HWCU – $1.2 billion

Top 20 Average HBCU – $21.2 million

Top 20 Median HWCU – $1.1 billion

Top 20 Median HBCU – $16.5 million

Source: National Science Foundation

HBCU Money’s 2019 African American Owned Bank Directory

For the most current African American Owned Bank Directory visit the 2020 link by clicking here.

All banks are listed by state. In order to be listed in our directory the bank must have at least 51 percent African American ownership. You can click on the bank name to go directly to their website.

OTHER KEY FINDINGS:

  • AAOBs are in 16 states and territories. Key states absent are Florida, Mississippi, New York, Ohio, and Virginia.
  • There has not been an AAOB started in 18 years.
  • Only 4 of 2018’s 19 AAOBs saw increases in assets, down from 11 last year.
  • Alabama, Georgia, and Tennessee, each have two AAOBs.
  • Only 5 of the 19 remaining AAOBs saw increases in assets. A drop of over 50 percent from 2018, when 11 AAOBs saw increases.
  • African American Owned Banks have approximately $4.1 billion of America’s $17.1 trillion bank assets or 0.02 percent.
  • AAOBs control 1.8 percent of FDIC designated Minority-Owned Bank Assets, which is down from 1.9 percent in 2018. A second straight year of declines.
  • 2018 Median AAOBs Aseets: $142,129,000 ($133,096,000)*
  • 2018 Average AAOBs Assets: $217,533,000 ($222,831,000)*
  • For comparison, Asian American Owned Banks have approximately $119.4 billion in assets spread over 75 institutions. Asian AOBs saw an increase of $7 billion increase (6.2 percent) in assets from 2018, while African American Owned Banks saw a 2.4 percent decrease in assets.
  • TOTAL AFRICAN AMERICAN OWNED BANK ASSETS: $4,133,126,000

 

ALABAMA

ALAMERICA BANK

Location: Birmingham, Alabama

Founded: January 28, 2000

FDIC Region: Atlanta

Assets: $27,122,000

Asset Change (2018): Down 23.2%

COMMONWEALTH NATIONAL BANK

Location: Mobile, Alabama

Founded: February 19, 1976

FDIC Region: Atlanta

Assets: $46,771,000

Asset Change (2018): Down 5.5%

CALIFORNIA

BROADWAY FEDERAL BANK FSB

Location: Los Angeles, California

Founded: February 26, 1947

FDIC Region: San Francisco

Assets: $417,335,000

Asset Change (2018): Up 1.4%

DISTRICT OF COLUMBIA

INDUSTRIAL BANK

Location: Washington, DC

Founded: August 18, 1934

FDIC Region: New York

Assets: $421,121,000

Asset Change (2018): Down 0.5%

GEORGIA

CARVER STATE BANK

Location: Savannah, Georgia

Founded: January 1, 1927

FDIC Region: Atlanta

Assets: $39,686,000

Asset Change (2018): Down 5.7%

CITIZENS TRUST BANK

Location: Atlanta, Georgia

Founded: June 18, 1921

FDIC Region: Atlanta

Assets: $395,923,000

Asset Change (2018): Down 7.6%

ILLINOIS

GN BANK  (FORMERLY ILLINOIS SERVICE FEDERAL)

Location: Chicago, Illinois

Founded: January 01, 1934

FDIC Region: Chicago

Assets: $142,129,000

Asset Change (2018): Up 6.8%

LOUISIANA

LIBERTY BANK & TRUST COMPANY

Location: New Orleans, Louisiana

Founded: November 16, 1972

FDIC Region: Dallas

Assets: $596,695,000

Asset Change (2018): Down 1.5%

MARYLAND

HARBOR BANK OF MARYLAND

Location: Baltimore, Maryland

Founded: September 13, 1982

FDIC Region: New York

Assets: $284,055,000

Asset Change (2018): Up 6.7%

MASSACHUSETTS

ONEUNITED BANK

Location: Boston, Massachusetts

Founded: August 02, 1982

FDIC Region: New York

Assets: $649,058,000

Asset Change (2018): Down 1.4%

MICHIGAN

FIRST INDEPENDENCE BANK

Location: Detroit, Michigan

Founded: May 14, 1970

FDIC Region: Chicago

Assets: $255,617,000

Asset Change (2018): Down 10.8%

NEW JERSEY

CITY NB OF NEW JERSEY

Location: Newark, New Jersey

Founded: June 11, 1973

FDIC Region: New York

Assets: $180,631,000

Asset Change (2018): Down 15.5%

NORTH CAROLINA

MECHANICS & FARMERS BANK

Location: Durham, North Carolina

Founded: March 01, 1908

FDIC Region: Atlanta

Assets: $262,050,000

Asset Change (2018): Up 2.9%

PENNSYLVANIA

UNITED BANK OF PHILADELPHIA

Location: Philadelphia, Pennsylvania

Founded: March 23, 1992

FDIC Region: New York

Assets: $54,055,000

Asset Change (2018): Down 8.4%

SOUTH CAROLINA

SOUTH CAROLINA COMMUNITY BANK

Location: Columbia, South Carolina

Founded: March 26, 1999

FDIC Region: Atlanta

Assets: $59,771,000

Asset Change (2018): Up 13.7%

TENNESSEE

CITIZENS SAVINGS B&T COMPANY

Location: Nashville, Tennessee

Founded: January 4, 1904

FDIC Region: Dallas

Assets: $104,819,000

Asset Change (2018): Down 2.2%

TRI-STATE BANK OF MEMPHIS

Location: Memphis, Tennessee

Founded: December 16, 1946

FDIC Region: Dallas

Assets: $83,180,000

Asset Change (2018): Down 4.0%

TEXAS

UNITY NB OF HOUSTON

Location: Houston, Texas

Founded: August 01, 1985

FDIC Region: Dallas

Assets: $89,522,000

Asset Change (2018): Down 6.8%

WISCONSIN

COLUMBIA SAVINGS & LOAN ASSOCIATION 

Location: Milwaukee, Wisconsin

Founded: January 1, 1924

FDIC Region: Chicago

Assets: $23,586,000

Asset Change (2018): Down 1.6%

HBCU Money’s 2018 Top 10 HBCU Endowments

The past 365 days for HBCU endowments has seen a lot of press, mainly led by Bennett College’s #StandWithBennett campaign as the school is embattled and was raising money to retain its accreditation and keep the doors open. A constant reminder of the fragility of HBCUs and their financial uncertainty. Economic conditions in the United States have made overall growth in higher education tempered and with it HBCU endowments have been a mixed bag. While the top ten HBCU endowments have five endowments that beat the median increase in endowment market value, only two endowments beat the national average. In comparison the top ten PWI endowments had eight endowments beat the national median average and seven of the ten exceeding the national average.

Over the past 12 months, the top ten HBCU endowments have increased their market value by $134.5 million or an increase of 7.4 percent over last year. There is plenty of argument that HBCUs should not be compared to the largest PWI endowments in behavior and instead to schools that are comparable in their size and scope. This is certainly a valid argument, but at a time when there are more PWIs with $1 billion plus endowments than there are HBCUs, it maybe hard to continue to lean on such an argument. The reason being is that higher education in general is experiencing and going to continue to consolidation and contraction with education alternatives entering the market. Smaller colleges and HBCUs are going to have to be over capitalized and nimble in order to shift to changing market demands and conditions. At the moment, over 90 percent of HBCUs do not have even $100 million endowments leaving them highly vulnerable as we have seen with the closure of a number of HBCUs in recent years and more than just Bennett in current crisis.

This year we included more than just the top ten, but all HBCUs who reported to NACUBO, which is the reporting endowment organization we use to keep our reporting date uniformed.

All values are in millions ($000)

1. Howard University – $688,562 (6.5%)

2. Spelman College – $389,207 (6.3%)

3.  Hampton University – $285,345 (2.2%)

4.  Meharry Medical College – $159,908 (4.1%)

5.  Morehouse College – $145,139 (2.6%)

6.  North Carolina A&T State University  – $63,827 (14.9%)

7.  University of the Virgin Islands – $61,491 (10.7%)

8.  Tennessee State University – $58,697 (5.1%)

9.  Texas Southern University – $58,158 (7.4%)

10.  Virginia State University – $54,479 (6.6%)

OTHERS REPORTING:

Take a look at how an endowment works. Not only scholarships to reduce the student debt burden but research, recruiting talented faculty & students, faculty salaries, and a host of other things can be paid for through a strong endowment. It ultimately is the lifeblood of a college or university to ensure its success generation after generation.

*Note: The change in market value does NOT represent the rate of return for the institution’s investments. Rather, the change in the market value of an endowment from FY2016 to FY2017 reflects the net impact of: 1) withdrawals to fund institutional operations and capital expenses; 2) the payment of endowment management and investment fees; 3) additions from donor gifts and other contributions; and 4) investment gains or losses.

HBCU Money™ Presents: 2018’s HBCU Alumni NFL Players’ & Salaries

In our 5th annual installment of tracking the earnings of HBCU alumni who are NFL players, the University of Arkansas-Pine Bluff’s Terron Armstead takes the crown.

HBCU Money™ FACTS:

  • HBCU NFL players combine for $38.7 million, an almost 32 percent decline from our last list in 2016, when HBCU NFL players earned $56.4 million.
  • South Carolina State University leads the way with 4 NFL players.
  • 16 HBCUs are represented in the NFL. Up from 15 in 2016.
  • Average salary for HBCU NFL players is $1.8 million, a sharp decrease from $2.1 million in 2016.
  • Median salary for HBCU NFL players is $630,000, down 35 percent from 2016.
  • HBCU players account for 1.3 percent of the NFL’s 32 team active roster spots.
  1. Terron Armstead /University Arkansas-Pine Bluff / Saints / $10.3 million
  2. Antoine Bethea / Howard University / Cardinals / $4.48 million
  3. William Hayes / Winston-Salem State University / Dolphins / $4.05 million
  4. Isaiah Crowell / Alabama State University / Jets / $4 million
  5. Rafael Bush / South Carolina State University / Bills / $2 million
  6. Joe Thomas / South Carolina Sate University / Cowboys / $1.575 million
  7. Brandon Parker / North Carolina A&T State Univ. / Raiders / $1.538 million
  8. Anthony Levine / Tennessee State University / Ravens / $1.4 million
  9. Rodney Gunter / Delaware State University / Cardinals / $705,000
  10. Javon Hargrave / South Carolina State Univ. / Steelers / $691,000
  11. Antonio Hamilton / South Carolina State University / Giants / $630,000 (Tied)
  12. Chester Rogers / Grambling State University / Colts / $630,000 (Tied)
  13. Ryan Smith / North Carolina Central University / Buccaneers / $630,000 (Tied)
  14. Trenton Cannon / Virginia State University / Jets / $619,224
  15. Chad Williams / Grambling State University / Cardinals / $581,500
  16. Tarik Cohen / North Carolina A&T State Univ. / Bears / $555,000 (Tied)
  17. Tony McRae / North Carolina A&T State Univ. / Bengals / $555,000 (Tied)
  18. Michael Ola / Hampton University / Saints / $511,181
  19. Danny Johnson / Southern University / Redskins / $490,000
  20. Trent Scott / Grambling State University / Chargers / $451,674
  21. KhaDarel Hodge / Prairie View A&M University / Rams / $423,529
  22. Jawill Davis / Bethune-Cookman University / Giants / $395,294