USC estimates as much as $40 million financial impact on school from coronavirus
The University of South Carolina could lose an estimated $20 million to $40 million because of the coronavirus and the resulting shutdowns, according to a presentation made to the school’s board of trustees meeting Tuesday.
The school’s campus is closed for the rest of the semester and USC President Robert Caslen spoke on a virtual town hall Tuesday evening and said there will be refunds issues for students’ room and board.
“We’re looking at the end of spring semester here, plus the summer providing us with some challenges,” Ed Walton, the school’s executive VP for administration, said during the presentation. “An estimated financial impact, it’s hard to figure exactly. It’s somewhere between $20 [million] and $40 million” before USC accounts for money it can save.
Walton said the school believes it can manage through the spring. If the outbreak drags into the summer or into the fall, “it gets even more difficult to get through this challenge.”
According to the board presentation Tuesday, the state is projecting $100 million in losses, including the impact to USC. Money from the $2 trillion federal CARE Act could help at some point, but that is more a long-term question of how much relief could come.
The school has almost settled on its plan for refunds and is close to settled on retooled summer plans, recruitment and orientation. There will also be delays in the $240 million Campus Village project, the new health campus and a deferment of $88 million in planned projects.
A $22.5 million renovation of Williams-Brice Stadium will continue on, as it is months into construction.
Walton said areas across the university were looking for ways to save money.
“There are lots of one-time savings we’ll do through contract reviews and really just saving on what we’d deliver if we don’t receive the revenue,” Walton said.
The school also has nearly $3 million in leases that could be impacted. That includes $1.2 million in terms of suite revenues at Williams-Brice Stadium and Colonial Life Arena, and $800,000 from the Department of Justice for space in a building on Hampton Street.
“This thing is big, it’s unprecedented,” Walton said. “You can’t find anybody who has done this before.
“We think we’ve got the spring covered, that’s the most important thing in this story.”
BEHIND THE STORY
MOREWhat you should know about the coronavirus
The coronavirus is spreading in the United States. Officials are urging people to take precautions to avoid getting sick, and to avoid spreading the disease if they do contract it.
Click the drop-down icon on this card for more on the virus and what you should do to keep yourself and those around you healthy.
What is coronavirus?
Coronavirus is an infection of the respiratory system similar to the flu. Coronaviruses are a class of viruses that regularly cause illnesses among adults and children, but this outbreak has spawned a new disease called COVID-19, a particularly harsh respiratory condition that can lead to death.
Health officials believe COVID-19 spread from animals to humans somewhere in China. It spreads among humans by physical person-to-person contact, including via coughs. That’s why health officials urge sick individuals to avoid contact with other people.
For more information, visit the website for the Centers for Disease Control and Prevention.
What are the symptoms?
Symptoms are similar to the flu and include fever, coughing and shortness of breath.
How can I stop the spread of the coronavirus?
Wash your hands regularly with soap and water, and cover your mouth and nose when you cough or sneeze.
If you develop symptoms similar to the coronavirus, you should seek medical attention. Stay home from work or school and avoid contact with others. It can take up to 14 days after coming into contact with the virus to develop symptoms.
COVID-19 is a new condition and there’s much about the disease we still don’t understand. For now, taking precautions is the best way to stop the spread of the coronavirus.
