Finances of Research Universities - 2008

This paper, published by COGR in March 2008, provides a detailed overview of the financial structures of research universities, focusing on their primary revenue streams and expenditures. It highlights the shift in revenue composition, particularly the increasing reliance on federal grants and contracts as state appropriations decline for public institutions, and outlines the significant university contributions required to support the costs of research—often beyond what is reimbursed by external sponsors, especially regarding indirect costs. The paper concludes by noting financial challenges faced by both public and private research universities, raising concerns about the sustainability of the U.S. research enterprise amidst growing expenses, limited external funding, and the critical role of universities in advancing national research and competitiveness.