Latest news with #BrianTrott
Otago Daily Times
2 days ago
- Business
- Otago Daily Times
University unfazed by dwindling donations
The University of Otago is brushing off another dramatic drop-off in donations to its Foundation Trust, saying donors continue to seek other ways to contribute. The trust's annual report for 2024, released last week, records that the trust received $3.87 million in new donations for the year. That was down from $7.1m in 2023 and $12.3m in 2022. Otago University chief financial officer Brian Trott said there had not been a drop-off in donations, rather there had been a change in giving patterns. Donors were opting to support immediate and short-term projects managed directly through the university ledger and not endowments that would traditionally go to the trust, he said. "In 2024, total donations to the university amounted to $8.3m, with $3.87m donated to the Foundation Trust and $4.43m allocated to university-managed projects. "Overall donations to the university for 2024 were still healthy. The drop in donations to the foundation does not have any immediate effect on operations." The trust provides funding for research, teaching, scholarships and prizes. Dr Trott said the university's development and alumni relations office had active staff who were experienced in networking with alumni and developing "philanthropic and alumni engagement strategies" to support the university's priority projects. Last year, the university attributed 2023's $5m drop in donations to the trust compared with 2022 partially to the ongoing impact of Covid-19, the economic recession and the prevailing cost-of-living crisis but otherwise gave the same reasoning as Dr Trott for there being no real concern — people donating in other ways. In 2023 and 2024 a controversial rebrand, particularly a new logo, together with significant staff cuts led some donors to threaten pulling their donations or endowments. Asked whether rebranding had affected overall donations, Dr Trott said total "donations to the university itself were in line with expectations". Universities New Zealand chief executive Dr Chris Whelan said tertiary institutions — and indeed the whole country as a rule — did not have the philanthropic culture of universities in the United States, for instance. "In world terms, we're not talking big numbers for donations — although every university in New Zealand welcomes them when they arrive." Donations could "fluctuate" depending on what was going on with the university. Many donors were alumni who contributed widely to further a personal area of interest in study or research and therefore gave for scholarships or equipment or funded specific research, Dr Whelan said. During Covid-19, the university launched a wide-ranging campaign seeking donations or funding to help to cover electricity bills, accommodation costs, travel costs back to campus, essential groceries and toiletries for struggling students. During that period donations to the trust nearly doubled, from $6.8m in 2019 to $12.3m in 2022. Established in August 2002, the trust has a target of making a return on investment of 6.5% a year — it distributes about 4.5% of its returns a year. It made returns of 11.14% last year compared with returns of 9.37% in 2023. During the past year, the trust distributed $11.67m to the university, an increase of about $0.56m on the previous year.
Otago Daily Times
2 days ago
- Business
- Otago Daily Times
University unfazedby dwindling donations
The University of Otago is brushing off another dramatic drop-off in donations to its Foundation Trust, saying donors continue to seek other ways to contribute. The trust's annual report for 2024, released last week, records that the trust received $3.87 million in new donations for the year. That was down from $7.1m in 2023 and $12.3m in 2022. Otago University chief financial officer Brian Trott said there had not been a drop-off in donations, rather there had been a change in giving patterns. Donors were opting to support immediate and short-term projects managed directly through the university ledger and not endowments that would traditionally go to the trust, he said. "In 2024, total donations to the university amounted to $8.3m, with $3.87m donated to the Foundation Trust and $4.43m allocated to university-managed projects. "Overall donations to the university for 2024 were still healthy. The drop in donations to the foundation does not have any immediate effect on operations." The trust provides funding for research, teaching, scholarships and prizes. Dr Trott said the university's development and alumni relations office had active staff who were experienced in networking with alumni and developing "philanthropic and alumni engagement strategies" to support the university's priority projects. Last year, the university attributed 2023's $5m drop in donations to the trust compared with 2022 partially to the ongoing impact of Covid-19, the economic recession and the prevailing cost-of-living crisis but otherwise gave the same reasoning as Dr Trott for there being no real concern — people donating in other ways. In 2023 and 2024 a controversial rebrand, particularly a new logo, together with significant staff cuts led some donors to threaten pulling their donations or endowments. Asked whether rebranding had affected overall donations, Dr Trott said total "donations to the university itself were in line with expectations". Universities New Zealand chief executive Dr Chris Whelan said tertiary institutions — and indeed the whole country as a rule — did not have the philanthropic culture of universities in the United States, for instance. "In world terms, we're not talking big numbers for donations — although every university in New Zealand welcomes them when they arrive." Donations could "fluctuate" depending on what was going on with the university. Many donors were alumni who contributed widely to further a personal area of interest in study or research and therefore gave for scholarships or equipment or funded specific research, Dr Whelan said. During Covid-19, the university launched a wide-ranging campaign seeking donations or funding to help to cover electricity bills, accommodation costs, travel costs back to campus, essential groceries and toiletries for struggling students. During that period donations to the trust nearly doubled, from $6.8m in 2019 to $12.3m in 2022. Established in August 2002, the trust has a target of making a return on investment of 6.5% a year — it distributes about 4.5% of its returns a year. It made returns of 11.14% last year compared with returns of 9.37% in 2023. During the past year, the trust distributed $11.67m to the university, an increase of about $0.56m on the previous year.
