Ranks of millionaire college presidents up again

The fast-growing group of millionaire private college and university presidents hit a record in recent years, and it's likely more college leaders will make seven-figure salaries once the slumping economy rebounds.

A record 23 presidents received more than $1 million in total compensation in fiscal 2008, according to an analysis of the most recently available data published Monday by the Chronicle of Higher Education. A record one in four in the study of 419 colleges' mandatory IRS filings made at least $500,000.

Topping the list is Shirley Ann Jackson at Rensselaer Polytechnic Institute in Troy, N.Y., whose total compensation the Chronicle pegged at nearly $1.6 million. She was followed by David Sargent at Suffolk University in Boston, who made $1.5 million. However, one-third of his compensation had been reported as deferred compensation last year and counted as salary this year — an example of the difficulty of making straightforward compensation comparisons.

Overall, median compensation for the group rose 6.5 percent to $359,000, and 15.5 percent at major private research universities, to $628,000. The figures essentially cover the 2007-2008 academic year.

Those averages have almost certainly flattened or perhaps fallen since then, with numerous presidents — including Jackson — taking voluntary pay cuts this year amid widespread budget-cutting at their institutions.

But experts say the upward trend will almost certainly resume eventually. It may frustrate parents who are paying higher tuition, but experts insist the salaries reflect supply and demand.

"The baby boomers are retiring," said Ray Cotton, a Washington D.C.-based lawyer and expert on presidential contracts and compensation. "Boards are in a scramble competing against each other for the remaining available talent."

But the 24-7 nature of the job and the stresses stemming from the recession have made it unappealing to prospective candidates.

"Some people just don't want anything to do with the job because it keeps them up at night," said Chronicle editor Jeffrey Selingo. "In order to attract and retain good talent they're going to have to pay for it. They may take a little break now because of the economy, but these pieces are still in place."

Still, colleges will have to absorb the public relations hit that comes with offering seven-figure compensation to an academic leader. The average price of tuition plus room and board at four-year private colleges surpassed $39,000 last year, according to the latest figures from the College Board.