Courtesy of Saint Augustine’s University
Raleigh, NC-based HBCU Saint Augustine’s University (SAU) continues to navigate its path to financial stability and sustainability as it prepares for its important accreditation meeting with the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC) this December. In a significant move toward fiscal responsibility, the HBCU will eliminate several positions this month, including part-time and full-time non-faculty roles and some vacant positions. Specific details regarding the affected positions remain undisclosed.
“As stewards of this institution, our focus is on its long-term sustainability through shared governance,” said Mr. Hadley Evans, Jr., Vice-Chairman of the Board of Trustees & Chair of the Finance Committee. “While we recognize the seriousness of these financial adjustments, these decisions are essential for safeguarding the future of Saint Augustine’s University and the students we serve.”
Last December, the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC) voted to remove the HBCU from membership after two years of warnings because of its financial status. After being denied in their appeal hearing in February, the SACSCOC arbitration committee reversed the decision in July and reinstated SAU’s accreditation to probation for good cause. A team from SACSCOC visited SAU last month for a follow-up, and the board will vote on the next step regarding SAU in December.
“The momentum we are building is promising. While difficult, we acknowledge the seriousness of our financial challenges, and these measures are crucial for our long-term sustainability,” said Interim President Dr. Marcus H. Burgess. “We are committed to transforming SAU into a financially stable institution that prioritizes the success of our students and stakeholders. Our ongoing efforts to stabilize the financial condition of Saint Augustine’s University are now showing tangible results—our community is responding positively, and we are excited about our future. Together, we will work diligently to rebuild our foundation.”
As part of a comprehensive strategy to ensure compliance with SACSCOC and secure its accreditation, SAU has reduced its expenses by approximately $17 million in fiscal year 2024 compared to fiscal year 2023. Significant reductions, totaling 50% of the university’s employees, involved difficult decisions, including eliminating 67 staff positions (41% reduction), 37 full-time faculty positions (67% reduction), 32 adjunct faculty positions (57% reduction), and discontinuing several under-enrolled programs. Furthermore, the university is actively settling outstanding balances with vendors while adjusting various contracts, demonstrating a steadfast commitment to restoring financial integrity and ensuring a sustainable future for SAU.
“The steps we take today symbolize our dedication to a financially secure future,” said Mr. Mark Yates, Vice President for Business & Administration & Chief Operating Officer. “By addressing our challenges head-on, we are not just complying with accreditation standards; we are laying the groundwork for a resilient institution that prioritizes the needs of our community.”
SAU has reported several significant milestones toward enhancing financial stability and demonstrating compliance with accreditation standards, including:
- The completion of four financial audits for fiscal years 2021, 2022, 2023, and 2024.
- Securing a critical agreement with Gothic Ventures to ensure operational continuity for the 2024-2025 academic year.
- After a challenging period, the university restored employee payroll and health insurance benefits.
- The implementation of a comprehensive cost optimization strategy alongside a robust financial sustainability plan.
- Strengthening and improving oversight of essential financial policies, procedures, and internal controls.
- The successful dismissal of the lawsuit filed against the board of trustees by the SAVE SAU Coalition.
Despite the obstacles, SAU proudly reports sustained support from its HBCU alumni, with giving levels remaining consistent with the previous three years. Moreover, the university has received over 700 enrollment applications for Fall 2025, signaling strong interest in its academic offerings.
As SAU looks ahead, it remains devoted to fiscal responsibility, academic excellence, and service to its community while working diligently toward a successful accreditation review.
Click here for more information about SAU’s SACSCOC updates.