Can we wait to see how the financial situation changes in the next couple of years and allow natural attrition to bring us the savings we need?
There is no reasonable scenario for recovery of the capital markets that would eliminate the need for budget adjustments and the kind of budget restructuring that the college is undertaking. The rate of spending from the endowment, if we just waited for the economy and the financial markets to recover, would be so high that it would deprive future generations of Vassar students of the benefit of endowed funds intended for their support. In the short term the strength of the institution will be measured by its ability to respond responsibly to this financial challenge with careful planning that is based on the values of the institution. The Board of Trustees has a particular responsibility to ensure that the value of the endowment is protected to benefit Vassar today and in years ahead. The Board is fulfilling this responsibility by requesting a budget plan that reduces the reliance on an unsustainable draw from the endowment.
