KENTUCKY STATE UNIVERSITY MANAGEMENT'S DISCUSSION AND ANALYSIS (CONTINUED) JUNE 30, 2023 (UNAUDITED)

Long-Term Debt

Bonds and leases payable are summarized below:

20232022
Certificates of Participation$ 49,190,000$ 49,190,000
Certificates of Participation - Premium7,739,0868,306,728
Finance Purchase14,742,11815,212,532
General Receipts Bonds1,225,0001,505,000
Bond Discount(18,409)(18,409)
HB 250 Stabilization Funding23,000,00023,000,000
Subscription Liability2,660,834-
Lease Liability503,261434,321
Total$ 99,041,890$ 97,630,172

Kentucky State University Foundation

The Kentucky State University Foundation, Inc. (the Foundation) is a Kentucky not-for-profit corporation established to receive, invest, and expend funds in support of the University's educational and developmental activities. Managed by an independent Board of Trustees, the Foundation is primarily funded through contributions from donors and alumni. Key financial highlights of the Foundation include:

  • The assets of the Foundation exceed its liabilities by $13.0 million and $12.3 million at June 30, 2023, and 2022, respectively.
  • Net assets increased by $0.7 million and decreased by $2.4 million for the fiscal years ended June 30, 2023, and 2022, respectively.
  • The Foundation recognized $2.0 million in total revenue for the fiscal year ended June 30, 2023, compared to revenue of $(1.0) million for the fiscal year ended June 30, 2022.
  • Total support provided by the Foundation to the University was $0.4 million and $0.5 million for the fiscal years ended June 30, 2023, and 2022, respectively.

The four largest endowments held by the Foundation constitute 46% of the endowment balance and include the Diego Stu Scholarship Fund, College Endowment Fund, Pearl Dale Endowment Fund, and the Permanent Alumni's Scholarship Fund. There are over fifty additional permanently restricted endowment funds that represent less than 54% of the total endowment balance.

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