Board of Visitors approves another salary increase for Rao

Bryer Haywood, Contributing Writer 

VCU’s Board of Visitors unanimously approved a 9% salary increase for President Michael Rao at a meeting on Sept. 12, bringing his total base pay to $895,618 and his deferred compensation to $345,647 — an increase of $75,000.  

Board of Visitors rector Ellen Fitzsimmons said Rao has led the university with “vision, impact and integrity,” and cited Rao exceeding expectations across his annual goals as reason for the decision. 

Rao has held his office since 2009, making him the longest-serving university president in Virginia. 

Rao ranks No. 40 in his compensation nationally and No. 5 in the state of Virginia, according to the Chronicle of Higher Education.  

The ratio of Rao’s pay to the average VCU professor’s salary is listed as 6:1. The salary increase comes as many departments are either being cut, consolidated or restructured following multiple years of tight budgets and financial troubles.

In March, the board voted to combine the departments of craft and material studies, painting and printmaking with sculpture into one department in the School of the Arts. They also voted to merge the department of theatre with the department of dance and choreography.

In May, the Board of Visitors voted to increase tuition by 2.5% for in-state students, and increase resident mandatory student fees by $200 for the 2025-2026 academic year. An in-state student enrolled in 15 credits will now pay $17,240 in tuition and fees — out-of-state students pay upwards of $40,000. 

VCU spokesperson Brian McNeill provided some of the key points discussed in the board meeting on Sept. 12 regarding Rao’s salary increase. 

Previously, the board set Rao’s compensation within a target range between the No. 50 and No. 75 percentiles of a peer group of 18 universities determined by the board. To set Rao’s salary, the board compared his compensation to those of the presidents in the group. The salary increase positions Rao at the top of the peer group. 

The board said the new contract is a “commitment to Dr. Rao for the future and a statement of confidence in his leadership.” 

John Kneebone, a former VCU history professor, said former President Eugene P. Trani not only physically expanded the campus, but oversaw the addition of several new programs of study. 

Kneebone believes Rao expanded upon Trani’s mission for VCU. He also said many universities have raised tuition over the years to recoup financial losses. 

Rao’s position has also changed in line with governance structure changes at VCU Health. He supported his own removal as the president of VCU Health earlier this year. State legislators made the recommendation following the failure of the Clay Street Project. He remains the chairman of the VCU Health Board of Directors, as well as president of the university.. 

The project aimed to convert Richmond’s old Public Safety Building into MCV office space, but could not be completed within the set budget. VCU paid over $79 million to the city of Richmond to exit the deal. 

Some students think Rao’s raise is unnecessary, or that the money could be allocated differently.

Second-year psychology and health services student Kyla Callaham said she thought it was strange Rao got a pay raise when other departments could have used the money. 

Candace Collins, second-year mass communications student said “I think it’s too much of a coincidence that Michael Rao’s salary increased at the same time the tuition increased.”

“I think that the money that went to [Rao’s] pay raise should have gone back to the school,” said Jasmine Hayes, a fourth-year kinesiology student. “Like, I think that Ram Pantry could have used that money. Also, printing should be free.”

CORRECTION: A Previous iteration of this story said President Michael Rao stepped down as chairman of the VCU Health Board of Directors. He did not step down and remains chairman. However, he was removed as president of VCU Health.