Undergraduate enrollment at American University for fall 2024 is projected to be 7,004 students – 400 below University targets – as announced by University leadership on Friday in an email. Numbers will be finalized with a census in October, but the incoming freshman class is projected at 1,864 full-time students — 386 students below target.
Projections of returning students are 14 below the target at 5,140 full-time students. Additionally, the incoming class demonstrated more need for financial aid than the University anticipated, and even with lower enrollment, AU will not save any money in financial aid.
The enrollment shortfall creates a new $23 million revenue deficiency after the previous $25 million gap was addressed earlier this year through spending adjustments.
In-person graduate credit hours are 4 percent above predictions, but online programs are below target.
This announcement marks the latest in a series of underperforming budget and enrollment figures from the University. As part of the effort to remedy the budget shortfall, the University announced a 4 percent tuition increase for the upcoming academic year. University President Jonathan Alger and his cabinet said in the email they will meet with important community figures including the University Budget Committee, Faculty Senate and Staff Council as they make further financial decisions.
The University plans on pausing hiring that is not considered “mission-critical” in order to save more money. Although the University did not specify which roles are considered critical, AU’s human resources department will share further details in the coming weeks, the email said.
Schools, colleges and administrative units will receive updated FY25 savings targets. The University also plans to explore “diverse revenue streams” such as increased rental income from commercial properties, conference services, fundraising and licensing.
AU will host forums for community feedback this fall.
“The enrollment and budget challengers are serious but solvable, and in a moment where we can act strategically and creatively, we will address them together as a community,” the email said.
This article was edited by Sydney Hsu, Tyler Davis and Abigail Turner. Copy editing done by Luna Jinks.
