SOU recently announced that it will drop below its approved cash threshold of $12.68 million this year. By the end of February 2027, the university projects it won’t have enough cash to make payroll. University officials project a shortfall of more than $14 million by June 2027.
About 25 students gathered to ask the administration questions Wednesday at a town hall hosted by the student government.
Some were straightforward: What does running out of cash flow mean? Will tuition or student fees be raised? Will there be a graduation this year? (The answer to that one was a resounding yes.)
Others asked about the future of specific programs, like emerging media and digital arts and athletics.
A few raised concerns about the institution's long-term future.
Student Body Vice President Lillian Alexander read questions submitted online.
"Of everything that is currently going on with the school, what are you personally most worried about?" she asked. "What is the worst case scenario for SOU?"
"I don't want to create panic," SOU President Rick Bailey said. "The worst case scenario is existential."
Some students offered cost-saving suggestions: being more sustainable with food and water costs, reviewing the dining services contract and offering grant-writing training.
Others wanted to help.
"How can students get involved in not only the decision-making process, but also advocacy and other events?" freshman Mason George asked.
University leaders attribute the crisis to rising costs, declining enrollment and what Bailey described as inadequate state funding.
In 2023, the university cut almost 82 full-time-equivalent positions. Trustees approved an additional plan in September 2025 to cut more than $10 million over four years. Between the two plans, Bailey said SOU has cut one-quarter of its faculty and staff.
At Wednesday's meeting, many students sought reassurance after years of uncertainty.
"I want confidence in a plan that will address this directly," one attendee said. "What’s the way that the school can go about creating a plan without finding itself in this situation about six months later?"
Some wondered whether they'd be able to finish their degree at SOU.
"Being a non-traditional student, I want to be as optimistic as possible, but I also kind of want to look at reality," one first-year graduate student said. "I was wondering if you could give me any kind of specifics that the university would be able to do for students if it comes to that [worst-case scenario] situation."
Administrators said no decisions have been made about changes to academic or other programs.
Bailey acknowledged that these and other unanswered questions create stress for students.
"I apologize that we can't give you a better answer," he said. "My hope is that you take away from today that the three of us, that our faculty and staff, that our board of trustees, that everyone is going to be laser focused on what post 2027 looks like."
University leaders say a request to the legislature for $15 million in state funding could help address the problem. The legislative session ends March 9, and Bailey said the university plans to have more clarity then.
JPR is licensed to Southern Oregon University, but our newsroom operates independently. Guided by our journalistic standards and ethics, we cover the university like any other organization in the region. No university official reviewed or edited this story before it was published.