Colleges in Dire Financial Straits

[apl68]

Cabrini University:

https://www.inquirer.com/education/cabrini-university-cuts-staff-programs-pandemic-20210315.html.

Deficits every year since FY 2013. Undergraduate FTE is ~ 1,500 and its endowment is less than $40 million.

And they changed the name from "College" to "University" only in 2016! 

Looks from the article as though they tried several trendy-sounding majors that haven't panned out.

[Mobius]

PASHE chancellor threatens dissolution of system if campuses don't consolidate:

https://www.pennlive.com/news/2021/03/leader-of-pa-state-universities-delivers-blunt-message-reorganize-or-dissolve-the-system.html.

A good effort to get the attention of a legislature that has been unwilling to pay the cost of the system in order to offer the educational, economic, and civil-society benefits of local higher ed.

Chancellor Greenstein had a tough job with these legislators. How do you get support from those who like the money coming to their districts but don't like that they are educating people? And at the same time, those who like the education, but don't want to pay for it?  Without those two factions on board, I don't see a helpful budget passing.

A big part is political attitudes toward higher ed have changed. There used to be a broad coalition that supported higher ed, especially with normal schools transitioning to regional comprehensives after WWII. GOP support has eroded (part of it is due to culture wars, but state budget crunches and anti-tax movement is another factor). The regional comprehensives also spent too much money trying to compete with the flagships in terms of student services and amenities. I'm an odd duck in that I'd like my kids to have the basic dorm and cheap apartment experience I had.

[TreadingLife]

Cabrini University:

https://www.inquirer.com/education/cabrini-university-cuts-staff-programs-pandemic-20210315.html.

Deficits every year since FY 2013. Undergraduate FTE is ~ 1,500 and its endowment is less than $40 million.

And they changed the name from "College" to "University" only in 2016! 

Looks from the article as though they tried several trendy-sounding majors that haven't panned out.

Oh no! That's in the strategic plan for at least 75% of the small liberal arts schools! 

[Hibush]

Henderson State University's new leadership now expressing optimism for the long-term future--although in the short term enrollment is down 21% (11% if you allow for dropping concurrent enrollment students).  They now owe the state $7 million in zero-interest loans, with no plans at this time to take on more debt.



https://www.nwaonline.com/news/2021/feb/03/hsu-beginning-its-new-chapter-in-asu-system/

Moody's somewhat endorsed the optimism, saying that joining the Arkansas State System for support services means there is a chance of not dropping further.

[polly_mer]

Henderson State University's new leadership now expressing optimism for the long-term future--although in the short term enrollment is down 21% (11% if you allow for dropping concurrent enrollment students).  They now owe the state $7 million in zero-interest loans, with no plans at this time to take on more debt.



https://www.nwaonline.com/news/2021/feb/03/hsu-beginning-its-new-chapter-in-asu-system/

Moody's somewhat endorsed the optimism, saying that joining the Arkansas State System for support services means there is a chance of not dropping further.

Yes and yet the PA system may dissolve because of the problems of cross-subsidizing.

[polly_mer]

Bennett College has a new mission with a new accreditor: https://www.bennett.edu/news/designing-future-bennett-college/

Under 300 student enrollment and SACSOC revoked accreditation for financial instability and enrollment in 2018: https://www.wxii12.com/article/new-bennett-college-president-discusses-accreditation-her-goals-moving-forward/29235431#

[spork]

Bennett College has a new mission with a new accreditor: https://www.bennett.edu/news/designing-future-bennett-college/

Under 300 student enrollment and SACSOC revoked accreditation for financial instability and enrollment in 2018: https://www.wxii12.com/article/new-bennett-college-president-discusses-accreditation-her-goals-moving-forward/29235431#

"The Strategic Direction is the framework for the development of the Strategic Plan. The Strategic Plan requires engagement of all stakeholders to bring the Strategic Direction to life."

I don't think it will matter what the Strategic Direction or the Strategic Plan is once the CARES Act money runs out.

[Hibush]

Bennett College has a new mission with a new accreditor: https://www.bennett.edu/news/designing-future-bennett-college/

Under 300 student enrollment and SACSOC revoked accreditation for financial instability and enrollment in 2018: https://www.wxii12.com/article/new-bennett-college-president-discusses-accreditation-her-goals-moving-forward/29235431#

They are literally striving to be a microcollege under the strategic direction, offering academic terms called minimesters. While they don't give numbers, it appears that they feel 300 is too large a student body, and whole semesters too long a commitment to make to them.

[apl68]

Bennett College has a new mission with a new accreditor: https://www.bennett.edu/news/designing-future-bennett-college/

Under 300 student enrollment and SACSOC revoked accreditation for financial instability and enrollment in 2018: https://www.wxii12.com/article/new-bennett-college-president-discusses-accreditation-her-goals-moving-forward/29235431#

They are literally striving to be a microcollege under the strategic direction, offering academic terms called minimesters. While they don't give numbers, it appears that they feel 300 is too large a student body, and whole semesters too long a commitment to make to them.

And they're a formerly co-ed institution that later became single-sex.  Sounds like they have a long history of bucking trends.

[Hibush]

The Mills campus is beautiful, and certainly has the potential to be developed into a conference and meeting center. Not sure if that's enough to pay the bills in the Bay Area though. I find it interesting that they plan to let in new students this Fall, but are not planning for those students to stay a full 4 years.

In addition to the meeting center, Cal has just claimed space for a freshman enrichment program and are moving in a few hundred students to start. Including boys.

[spork]

The Mills campus is beautiful, and certainly has the potential to be developed into a conference and meeting center. Not sure if that's enough to pay the bills in the Bay Area though. I find it interesting that they plan to let in new students this Fall, but are not planning for those students to stay a full 4 years.

In addition to the meeting center, Cal has just claimed space for a freshman enrichment program and are moving in a few hundred students to start. Including boys.

I assume Mills was trying to get Berkeley to agree to a land for debt swap, and Berkeley wisely said "no thanks" -- given that Berkeley can now rent space for much less than it would have cost to service Mills' loans.

[TreadingLife]

Another one bites the dust: Becker College in Worcester, Massachusetts.

https://www.boston.com/news/education/2021/03/29/becker-college-worcester-closure

[apl68]

The article says that they sought to merge with other schools in the region, apparently without success.  Now neighboring Clark University is picking up some of their programs, including a video game design program.  The trendy new program didn't save the school, but at least the students in it will be taken care of.

[polly_mer]

The article says that they sought to merge with other schools in the region, apparently without success.  Now neighboring Clark University is picking up some of their programs, including a video game design program.  The trendy new program didn't save the school, but at least the students in it will be taken care of.

When did video game design become a major?  That's at least a trendy new major with prospects if Becker advertised in the right markets and could make a case for internships with relevant companies that would lead to jobs.

If the major didn't have time to take off but all the pieces were in place, then picking up faculty, students, and infant networks could be a smart move.

[lightning]

The article says that they sought to merge with other schools in the region, apparently without success.  Now neighboring Clark University is picking up some of their programs, including a video game design program.  The trendy new program didn't save the school, but at least the students in it will be taken care of.

When did video game design become a major?  That's at least a trendy new major with prospects if Becker advertised in the right markets and could make a case for internships with relevant companies that would lead to jobs.

If the major didn't have time to take off but all the pieces were in place, then picking up faculty, students, and infant networks could be a smart move.

Video game design majors can sometimes be ensconced within different academic units. It's hard to start and sustain good video game design programs without being interdisciplinary. But it also makes it hard to communicate the existence of said programs if housed in multiple departments--this in addition to merely running one without pulling your hair out.

Regarding Becker and Clark,

It's as if a struggling private sector company broke off its more successful and profitable entities and sold them off as an entire division, to another company.

Like I mentioned earlier, it's often hard to get a video game design program going (& ultimately self-sustaining and operationally efficient) because of its dependency on multiple departments. If one already exists, self-contained, with tested curriculum & outcomes, a real business model & financial projections, a culture of student excellence & research excellence, tech infrastructure, positive brand reputation, and pipelines (both recruiting pipelines and pipelines to internships & jobs), it would be so much easier to poach one than start one.

It will be interesting to see how this works out.