Michael Rhattigan, vice president of finance, shares how Adelphi University is staying ahead of the many challenges in higher education today.
To say that 2025 is a tumultuous time in higher education is an understatement. But amid widespread instability, some colleges are charting a steady course, showcasing solid growth, stable finances and exceptional financial leadership. Adelphi is one of those standouts.
Michael Rhattigan, Adelphi University vice president of finance, has been utilizing his extensive financial and managerial experience since 2022 to help ensure that the University’s finances are handled at the highest level, focusing on the Smart Growth and Infrastructure goals of the University’s Momentum 2 strategic plan.
Q: What are some of the challenges you see in higher education today?
A: Higher education everywhere is facing challenges. There are concerns about demographic changes and their impact on enrollment, as well as potential changes to federal or state policies. Then there are larger economic concerns, including the costs of education and enrollment from international students. Everybody’s dealing with these questions, and every university is dealing with deferred maintenance—especially since the COVID-19 pandemic—along with continued rising costs.
Q: You’ve worked across different sectors. How does that experience help, and what can you apply to higher education?
A: That’s a great question. Many sectors—like telecommunications, media and banking—have grappled with significant disruption and competition for years. My experience in those other segments provides a valuable framework for tackling challenges that are relatively new to higher education.
Q: How is Adelphi meeting those challenges, compared to other institutions?
A: I believe there are three primary keys to Adelphi’s success: transparency, widespread partnership, and thinking “university first,” rather than “department first.” Few decisions are simple. Most involve alternatives and trade-offs. By making the University’s long-term outcome our “North Star,” we reduce personal or departmental biases, ensuring our actions serve the greatest good.
Q: Tell us about the S&P Global Ratings. Why is that important?
A: When our S&P Global Rating was announced in July 2025, it reaffirmed the University’s A- credit rating with a stable outlook, underscoring Adelphi’s sound fiscal management and long-term stability. This rating reflects S&P’s in-depth analysis of Adelphi’s financial health and creditworthiness and affirms confidence in the University’s ability to deliver on its mission—all while navigating today’s economic and higher education landscape. Many other colleges did not fare as well.
Q: What about grants? We heard you have some big news to announce.
A: I do. We received great news this month that we have been awarded over $700,000 in HECap [New York State Higher Education Capital Matching Grant] funds for our new Manhattan Center furniture and equipment. On a bigger scale, the University’s sponsored research and sponsored programs efforts continue to excel. Adelphi received 22 new grants over the past year, totaling $12 million in funding. This compares to 20 new awards totaling $5.8 million in the previous year.
Q: You mentioned deferred maintenance. What is that, and how is Adelphi approaching that?
A: Just like at home, if you don’t reinvest in infrastructure, the repairs become more and more costly. We went several years with significantly reduced investments, so now we have an increase in operating costs. For example, we’re currently paying extra expenses every month to rent an external industrial chiller to support an aging HVAC unit in Hagedorn Hall. Eliminating these avoidable costs is our first goal. The second is finding new ways to save money. We’re looking to refinance based on market conditions, which will give us some annual savings and relieve the budget.
Q: What improvements have you made and do you plan for the future?
A: Finance might seem dull, but it’s the lifeblood that keeps the entire University operational. Getting these fundamentals right was our first and most important step. We rebuilt the team with a combination of dedicated veteran employees and new additions. Our focus for this year is process improvement. We’re reviewing the roles, functions and processes across all of finance and human resources to align with best practices in education and corporate sectors.
Q: How are you managing costs amidst the current uncertainties in the education sector?
A: Managing costs is a constant challenge, as core expenses—like salaries, healthcare, electricity and IT contracts—rise annually. Our focus in managing costs is to minimize the impact on students and teaching. The finance team, in partnership with many units across campus, plans to review a few big areas this year,
First, we are looking at our outside partnerships. Since we’re an educational institution, we know we’re not always the expert in areas like food service or legal advice. So we’re benchmarking those services to make sure we have the best mix for our community,
Second, we’re actively reviewing our major contracts, like utilities and telecommunications.
Finally, our health insurance costs were projected to jump by an unsustainable 22 percent—about $3 million. By switching to a new carrier, we are projected to save about $500,000 annually, which is huge for the University. Plus, it’s a win for our employees, who now have access to nearly 230 more in-network medical providers.
Q: Do you have a few examples of other shifts that you have made?
A: Yes. This year we produced a completely new budget model that is more focused on the big picture and how it affects University finances. We’re also working on a five-year budget and projection, which is going to help us plan more wisely and identify new opportunities.
For the first time this fall, we published the budget so all the budget managers over the whole University could see it. When everybody can see it and understand it, they may have other ideas of doing things, and that’s exactly what is needed—the conversation becomes collective and everybody gets involved in the solution. Again, it’s about transparency and University-wide collaboration.
Q: We hear you are trying some new approaches in how to track financial health.
A: We’ve abandoned the standard practice of yearly financial reporting. By moving to monthly financials, we gain rapid insight and real-time feedback.
Q: Can you give another real-life example of changes made?
A: One of my favorite changes came out of Facilities and the housekeeping staff. Housekeepers are often the first ones to notice issues on campus. Formerly, when they saw something that needed a repair, they were supposed to log it into the online system. Their tools, though, are mops and brooms—not laptops. So issues were often reported slowly, inaccurately or not at all.
We partnered with Facilities to develop new options for housekeepers to report issues more easily, including voice memos, which empowered them with a voice to help us quickly resolve problems and reduce costs.
That’s the way it should be—improved processes that improve service and reduce costs without impacting our students or teaching. That’s the goal.