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Texas Southern University: A Two-Year Progress Report

In February 1998, when the Comptroller’s Texas School Performance Review (TSPR) began a review of Texas Southern University (TSU), the university was experiencing serious financial and management difficulties. Warnings by the State Auditor’s Office and the Texas Legislature had gone substantially unresolved. Subsequently, the Legislature stipulated TSU must rectify its long-standing financial problems or face takeover by one of the state’s university systems. The key to independence was “substantial demonstrable progress.”

In February 1999, the State Comptroller released the results of its year-long review. The report detailed 124 recommendations that could save TSU more than $14.8 million over five years. The recommendations also provided a strategy for improving university operations and for instituting controls that would ensure TSU’s future viability and independence.

In February 2000, TSPR returned to assess TSU’s progress in implementing those recommendations. In one year, TSU officials had implemented or were in the process of implementing 107 of those proposals. The Comptroller commended TSU for taking these initial steps, but cautioned the university to be vigilant. The challenge now will be to sustain its progress and take the next critical steps toward excellence.

Nearly two years after the original report’s release, TSPR returned again to assess progress and found TSU has been vigilant. Of the 124 original recommendations, only one has not been addressed. TSU has faced some difficult problems head on, and, more importantly, it is putting processes and procedures in place to ensure its continued progress.

Areas of Significant Progress

Policies and Procedures. The most notable change in the university’s operations is the comprehensive documentation of policies and procedures. By the end of the first year after TSPR’s original report, TSU had developed financial and accounting procedures with assistance from KPMG Peat Marwick. There was little evidence that staff had yet taken ownership of those procedures. Today, however, almost every aspect of TSU’s operations are being documented, and some of those original financial procedures are now second and third generation updates – proof that documentation is a priority of the administration.

Technology. An area of considerable concern during both the initial review and after one year was technology. TSPR staff noted many of the obstacles to progress within TSU revolved around numerous delays in implementing the university-wide computer system. Today, with considerable effort, the system is nearing full implementation.

Financial Management. While there is still room for improvement, TSU has made substantial gains in preparing its Annual Financial Report and submitting it to the State Comptroller on time. The Comptroller’s staff will continue working with TSU to address those areas still needing attention for fiscal year 2001’s Annual Financial Report. But, TSU has clearly done considerable work in the last year to remedy the problems of the past.

Developmental Programs. TSU has critically assessed its developmental classes, which are designed to provide students the necessary academic tutoring to enable them to succeed in their chosen field of academic study. The university has put into place several innovative programs designed to increase enrollment, improve retention and graduation rates, and enhance the quality of educational opportunities for students at all levels.

Alumni and Community Involvement. External confidence in and support for TSU had fallen to an all-time low at the time of TSPR’s initial review. Today, confidence in the university is high and rising due in no small part to improved management practices and positive alumni and community relationships built by the president and the Board of Regents. Today, President Slade has initiated a $50 million capital campaign and expects to meet or exceed that goal.

TSU Report Card

Chapter
Total
Complete
In Progress
Not Implemented
Rejected
Percent Complete/ In Progress
Grades
16
13
3
0
0
81%/19%
Excellent
15
13
2
0
0
87%/13%
Excellent
13
10
3
0
0
77%/23%
Satisfactory
11
11
0
0
0
100%/0%
Excellent
10
7
3
0
0
70%/30%
Satisfactory
16
14
2
0
0
88%/12%
Excellent
12
11
0
1
0
92%/8%
Excellent
4
4
0
0
0
100%/0%
Excellent
8
8
0
0
0
100%/0%
Excellent
10
8
2
0
0
80%/20%
Satisfactory
9
8
1
0
0
89%/11%
Excellent
Overall Grade
124
107
16
1
0
86%/13%
Excellent

Excellent = More than 80% complete
Satisfactory = 80% to 100% complete or in progress
Needs Work = Less than 80% complete or in progress

Remaining Challenges

Facilities. Condition of the TSU campus remains a concern. Attractive and educationally conducive facilities are often an outward sign of stability and progress at an educational institution. An enhanced environment will help attract new students to the university. TSU faces two facility-related challenges. TSU needs new or renovated facilities to support its programs, and an adequate maintenance program for its existing facilities. President Slade’s $50 million capital campaign will provide much needed funds. Comprehensive planning and sound management of the construction and renovation projects, however, are necessary to preserve donors’ confidence and continue to attract new funds. Once built, these new facilities, as well as existing facilities, must also be properly maintained. TSU should continue its commitment to renovation of existing facilities and elimination of deferred maintenance through the maximum use of existing resources.