Nicholls State University strives to maintain financial stability in order to provide quality academic programs and support services for all students. The University continues to offer and maintain quality educational programs as evidenced by 100 percent accreditation of those eligible programs mandated by the Louisiana Board of Regents [1]. Financial stability is achieved by sound allocation of its financial and physical resources, responsible budgeting, and overall, responsible fiscal management. These achievements are demonstrated by the following:

1.	The Finance and Administration unit of the University prepares an annual, balanced budget for the Operating Fund for the ensuing year as established by annual legislative action and by Title 39 of the Louisiana Revised Statutes (copies are available in the Controller's Office). This budget is submitted to and approved by the University of Louisiana System, the University's management board, prior to presentation to the Louisiana Board of Regents and the Division of Administration (DOA) [2]. State-appropriated revenues and self-generated revenues are used to meet operational expenses linked to the University's mission and goals and are expended in accordance to the submitted budget, as evidenced in the Board of Regents' Revenue/Expenditure Data Forms 2002 [3], 2003 [4], 2004 [5], 2005 [6], and 2006 [7]. The University must adhere to Louisiana's Revised Statute 39:77, which governs the control over expenditures [8]. Deficits in any fiscal year constitute reasonable cause for removal from office of any appointed individual, including the University's President.
2.	Nicholls State University has not experienced an operating deficit for over 25 years. In fact, during the 1980s, when mid-year budget cuts were initiated by the State, the University, through sound fiscal management, was able to balance its revenues and expenditures without sustaining a deficit.
3.	Annually, the University prepares its financial statements (2002 [9], 2003 [10], 2004 [11], 2005 [12]) in accordance with GASB 34 and 35 that the Louisiana Legislative Auditor uses to audit the University of Louisiana System. After each review of financial statements, normally audited on a bi-annual basis, the Legislative Auditor prepares a management report (2002 [13], 2004 [14], 2005 [15]) which evaluates the financial compliance and internal controls of the University. The University is reported as a discrete component unit of the State of Louisiana since it is legally separate from and financially accountable to the State. During these past years, Nicholls has balanced its operating revenues and expenses, its auxiliary enterprises have sustained healthy profits, its endowment funds have steadily increased, and its Physical Plant fund has continued to subsidize necessary renovations and repairs to its physical assets. Presently, the University has no outstanding debt.