9. Put our money where our values are.

At St. Olaf, we've tried to be conscientious about putting our money into resources that offer a better education for our students. Compared to most other colleges, St. Olaf puts a greater proportion of its annual budget into instruction (the main business of the college) than into administration and other support services. And we've tried to give students good value for their money. Since the beginnings of the environmental movement in the 1970s, the college has also begun to include environmental values in its mix of financial considerations.

The college invests in faculty and staff and facilities, but it also invests the endowment in the stock market, where it generates necessary income for the college budget. The college bylaws require the Regents to exercise their fiduciary responsibility by investing endowment funds wisely. In general, this means investing in funds that provide steady long-term growth without a lot of risk-that's why we don't buy lottery tickets, or invest lavishly in "the next new thing."

Another snapshot of the beautiful forests around St. Olaf. photo by Gene Bakko

These days, both individual and institutional investors are increasingly interested in making good money by making their money do good. Interest in socially responsible investing is rising. This usually takes three forms: social and environmental "screens" for investments; shareholder resolutions for better corporate performance; and direct investment in community development organizations. The ELCA has taken a stance on these issues, advising members to look to the "triple bottom line" of social, economic and environmental returns. Its Division for Church in Society recommends both social and environmental screens for investments, and the ELCA manages a fund for its member churches that applies such screens. Working with the Interfaith Center on Corporate Responsibility, the church has endorsed and filed shareholder resolutions urging implementation of the CERES principles, and is supports resolutions asking companies to make sustainability reports detailing their environmental impacts.

In the past, St. Olaf has occasionally used its investing to leverage beneficial social change. In 1985, for example, the Regents voted to adhere to the Sullivan Principles concerning investment in South Africa, and they initiated a policy of divestment, which helped pressure the South African government to end its policy of apartheid a few years later.

Currently, St. Olaf isn't been as active as the ELCA in these matters, but the college hasn't been indifferent either. The investment committee has preferred not to require "green screens" for endowment funds because such screens sometimes limit flexibility and profitability. But it may be time for a second look.

As a stockholder in many of America 's best companies, the college is entitled to offer its input at annual corporate meetings. In recent years, faith-based investors have used stockholders' resolutions to encourage companies to petition for annual sustainability reports that include the company's operative definition of sustainability, a review of policies and practices that enhance (or threaten) sustainability, and a summary of long-term plans to integrate sustainability practices throughout normal business operations. In the past, shareholder resolutions have assisted in ending apartheid in South Africa; revising practices concerning the sale of infant formula in developing countries; getting companies like General Motors and Ford to sign the CERES Principles; encouraging Home Depot to take the lead in phasing out old-growth wood from its supply chains; persuading office companies like Staples to offer recycled paper products with substantial amounts of post-consumer waste.

In addition to investing its endowment wisely, the college has also begun to establish endowments for environmental purposes, allowing donors to express their interests in campus ecology in gifts that keep on giving to the St. Olaf community, both human and natural. In May 2000, for example, Donald H. Nelson, a graduate of the St. Olaf class of 1950, established the Henry and Agnes Nelson Family Endowment to provide resources for active environmental stewardship of college-owned land and related academic activities. This endowment funds a part-time curator of natural lands, and many improvements and interactions on the college's ecological restorations.

In the same way, the college has also actively sought grants related to environmental issues. In 2004, for example, the college received a $500,000 grant from the Keck foundation to assist in converting chemistry laboratories to "green chemistry," and a $98,000 grant from the Kresge Foundation to help make the new Science Complex a sustainable and environmentally friendly building.

Finally, St. Olaf makes it possible for individuals to put their money where their values are. There is, for example, a "Social Choice" option for faculty in their TIAA-CREF retirement funds. Currently, however, it is not actively promoted.