Adelphi University: Finance Leadership Insights with VP Michael Rhattigan
Higher education institutions face a complex mix of enrollment pressures, budget constraints, and infrastructure needs. At Adelphi University, these challenges are met with a clear, data‑driven approach led by Vice President of Finance Michael Rhattigan. His leadership offers a practical blueprint for university executives, institutional investors, and policymakers seeking to sustain financial health in a shifting environment.
Understanding the Current Landscape
2025 has been an uneven year for colleges and universities. Key forces shaping the sector include demographic shifts that reduce domestic enrollment, fluctuating federal and state funding, rising operational costs, and the lingering impact of the COVID‑19 pandemic on campus facilities. In addition, the increasing presence of international students introduces new regulatory requirements and fee structures.
Over the past two years, Adelphi’s financial statement analysts have mapped these trends to a four‑year financial model. The model highlights that while tuition revenue remains stable, facility maintenance and support services are eroding margins. The result: a need to balance short‑term cash flow with long‑term capital commitments.
Leveraging Cross‑Sector Experience
Michael Rhattigan brings more than a decade of financial stewardship from telecommunications, media, and banking sectors. His exposure to high‑volume transaction environments and risk‑adjusted capital planning has translated into a structured approach at Adelphi:
- Risk Management. Using scenario analysis common in the banking industry, the finance team tests the resilience of the university’s budget against sudden enrollment drops or a spike in utility costs.
- Process Automation. In media post‑production, Rhattigan introduced automated cost tracking. At Adelphi, he has rolled out a monthly financial dashboard that replaces quarterly reports, providing real‑time visibility.
- Vendor Negotiation. He applied competitive bidding practices from the telecom sector to renegotiate campus service contracts, securing savings on food service and legal counsel.
Key Strategies for Institutional Resilience
Adelphi’s success is rooted in three primary principles that align financial decisions with institutional mission:
- Transparency. The university publishes a public financial data portal that allows faculty, staff, and students to view budget allocations and performance metrics.
- Partnership. Rhattigan has instituted cross‑department councils that evaluate capital projects, ensuring that each initiative serves the university’s strategic objectives rather than departmental interests.
- University‑First Mindset. Instead of reacting to individual departmental requests, the finance team assesses each proposal’s impact on the university’s long‑term value proposition.
These principles have helped keep Adelphi’s key performance indicators, such as debt‑to‑earnings ratios and liquidity, within healthy ranges.
S&P Global Credit Rating: A Validation of Fiscal Discipline
In July 2025, Adelphi University earned an A‑credit rating from S&P Global with a stable outlook. The rating is a defensive signal to potential donors and state legislators that the university’s financial statements are transparent, its capital structure is sound, and its risk management practices are rigorous.
Unlike many peers that reported downgrades or uncertain ratings, Adelphi’s assessment reflects a balanced capital mix and dependable revenue streams. The rating reassures stakeholders that the university can continue investing in scholarship, research, and infrastructure without compromising its financial soundness.
Capital Funding and Grants: Building a Modern Campus
One of the most visible signs of financial health at Adelphi is the acquisition of a $700,000 HECap grant. This funding accelerates the purchase of furniture and equipment for the new Manhattan Center, ensuring that the campus serves both local and commuter students.
Additionally, Adelphi has secured 22 new research grants totaling $12 million over 12 months—a growth from $5.8 million in the prior year. The increase showcases a robust research ecosystem that attracts funding and fuels academic excellence.
Addressing Deferred Maintenance
Deferral of infrastructure repairs has a compounding effect: short‑term savings turn into long‑term costs. At Adelphi, legacy HVAC units in key buildings now incur external costs for coolant displacement and temporary equipment like industrial chillers.
The finance strategy mitigates this by:
- Re‑engineering Contracts. The team refines maintenance agreements to include preventive care clauses, turning optional maintenance into scheduled, budgeted activities.
- Capitalize on Market Conditions. Leveraging favorable interest rates, the university refinanced campus debt, thereby reducing annual interest expenses.
- Adopting Energy‑Efficient Solutions. By investing in high‑efficiency HVAC components, the university reduced monthly operating costs and improved sustainability outcomes.
Cost Management in a Volatile Environment
Financial stewardship at Adelphi involves strategic cost reductions that do not compromise the student experience. Key initiatives include:
- Vendor Benchmarking. The finance team evaluates food service, legal, and IT vendor contracts against national benchmarks and existing contracts to ensure value for money.
- Utility Review. Utility contracts across campus are reassessed each year for pricing trends and new renewable options, aiming for long‑term savings.
- Health Insurance Optimization. An insurer swap projected a 22 % savings on employee health plans. By moving to a provider with a broader network, the university retained $500k in annual savings while expanding provider access for staff.
Implementing Advanced Budgeting Practices
Adelphi has transitioned from a static budget model to a rolling five‑year forecast. This approach aligns capital projects with projected revenue streams, allowing the finance team to reallocate resources proactively.
Moreover, the university has adopted a participatory budgeting process: the entire campus community accesses a consolidated budget view. Transparency fuels collaboration, enabling department chairs to propose cost‑saving ideas with a clear view of their financial impact.
Real‑Time Financials: Accelerating Decision‑Making
Where weekly and monthly summaries were once standard, Adelphi now harnesses a dynamic dashboard that updates financial metrics in real time. The system pulls data from payroll, procurement, and capital projects, delivering insights on cash flow, debt servicing, and cumulative capital expenditures.
Because the dashboard is accessible to a wide range of campus stakeholders, decisions—whether to delay a remodel or adjust a staffing plan—are grounded in up‑to‑date numbers rather than projections.
Humanizing Facility Management: From Mops to Digital Reports
Financial gains can also stem from operational innovations. Housekeepers—often the first to spot issues—previously had to use rudimentary request forms that delayed problem resolution.
Adelphi partnered with the Facilities team to develop a voice‑memo reporting tool. Housekeepers can now log maintenance needs via phone or text, which the system translates into actionable tickets within minutes. The result: early detection of problems, reduced repair costs, and a smoother campus environment for students and faculty.
Staffing and Culture: Building a Unified Finance Team
Rhattigan’s leadership focuses heavily on culture. He rebuilt the finance unit by blending veteran staff familiar with institutional nuances with fresh hires experienced in corporate finance. This hybrid team can navigate both the idiosyncrasies of a university and the rigor of corporate financial governance.
Additionally, the finance office has instituted monthly cross‑department workshops that demystify financial jargon and explain budget impacts. The approach enhances institutional understanding and encourages proactive cost management at all levels.
Lessons for Other Higher‑Education Leaders
1. Adopt Real‑Time Reporting. Replace quarterly laggers with monthly dashboards to maintain responsiveness to emerging trends.
2. Integrate Strategic Planning with Finance. Rolling forecasts align capital projects with revenue trajectories, enabling flexible resource allocation.
3. Stakeholder Transparency. Public budgets and accessible dashboards increase institutional trust and facilitate collaborative problem‑solving.
4. Continuous Vendor Benchmarking. Regularly compare contract spend to non‑institutional benchmarks to identify savings.
Future Outlook and Sustainability
Looking ahead, Adelphi intends to expand its sustainability portfolio with a $15 million project to retrofit old campus buildings for energy efficiency. This initiative aligns with the university’s strategic plan Momentum 2, which prioritizes smart growth and infrastructure.
In the same vein, the university plans to recruit additional research grant officers to capitalize on emerging funding opportunities, reinforcing Adelphi’s position as a research hub.
Take the Next Step in Institutional Finance
If you are a higher‑education administrator seeking to improve financial resilience, the strategies outlined here demonstrate the power of data‑driven decision‑making, cross‑department collaboration, and cost stewardship.
Feel free to download Adelphi’s full financial report for the latest fiscal year at https://www.adelphi.edu/finance/annual-report. For further insights, our faculty development series on institutional finance is available at https://www.adelphi.edu/career-center/finance-series.
To explore how your institution can adopt similar practices, contact the Office of Institutional Research at [email protected]. Ready to submit a funding proposal? Visit https://www.adelphi.edu/academics/research/grant-offices and start your application today.
