After months of financial uncertainty, the university's board unanimously approved a plan Thursday aimed at stabilizing the institution's finances and keeping it viable for the long term.
Southern Oregon University leaders say the so-called Vitality Plan, which calls for more than $20 million in cuts — about one-fifth of the university's budget — will stabilize the institution and put it on a path to financial sustainability.
The university is facing a severe financial crisis after years of declining enrollment and structural budget deficits. Without major changes, leaders say SOU would run out of cash by next June.
The plan eliminates three bachelor's degree programs, restructures academic departments and cuts the equivalent of about 66 full-time positions after two previous rounds of significant reductions in recent years.
Approving the plan also satisfies a state requirement for SOU to receive a $15 million financial rescue package. The university is set to receive the first $7.5 million, with the remaining funding expected to be considered this fall.
Still, some trustees and employees worried about the cost of implementing the plan and its effects on staff and students.
At Thursday's board meeting, Student Body President Sophia Smith urged trustees to make sure this is the last major restructuring.
"SOU does not have the resiliency left within its community, students, staff, faculty, administration and even within this very board to endure more," she said. "This has to be it."
Many on campus say they feel defeated by the repeated cuts.
"It's really hard lately to try to find that hope," said Sage TeBeest, program coordinator for creative arts and president of SEIU 503 Sublocal 84, which represents classified staff at the university. "But I don't want to give up. I want to keep fighting."
Even supporters acknowledge questions remain about whether the plan can be implemented successfully and financed as projected.
The proposal emphasizes mentorship and practical and experiential learning. Trustee Hala Schepmann noted those approaches already define many academic programs.
"But those are the most expensive things to deliver. Those are the hardest things for our institution to deliver," she said during Wednesday's committee meeting. "How is this going to be financially viable and sustainable?"
Faculty members questioned the financial assumptions behind the proposal and how implementation will be funded.
"Our single biggest risk right now is not taking the time to fully vet the cash flow analysis," Maggie Vanderberg, chair of the computer science department, said during Wednesday's committee meeting. "We're being asked to trust numbers we cannot verify, which is part of the reason that we're here in the first place."
Some trustees have praised President Rick Bailey's work on the plan and the amount of community feedback it incorporates.
Trustee Daniel Santos supported the plan, saying he’s not one hundred percent confident they’ll succeed, but he’s confident they’re going to try.
"For those who express concerns, whether they're faculty, staff, students, or even trustees or the administration, that really isn't any choice," he said. "We can't go back and say no, we're not going to do this. That's not the choice. The choice is, let's go with this, let's go with the team we saddled up with and make this happen."
University leaders have cited several factors behind the crisis. Oregon ranks 46th nationally in state funding per four-year student. Leaders have also said the university's budget and finance offices have been understaffed, financial reporting has been inadequate and financial policies need strengthening.
Another challenge is the transition to the Workday software system.
During a Wednesday committee meeting, Project Manager Hart Wilson said implementing the Vitality Plan will likely require additional work and expense within Workday.
"It may be that we have some significant work to do to reorganize how that structure is set up," Wilson said. "There's significant impact on Workday from doing this."
Faculty and staff also say they feel caught between wanting more flexibility and more specificity in the plan.
"I want three more years to figure this out," Trustee Ashley King said Wednesday. "But I'd also like to know tomorrow if I have a job."
Many implementation details, including which employees will lose their jobs, will be determined this summer. The university also plans to hire a full-time project manager to oversee implementation.
Students will also be affected.
The university will phase out bachelor's degree programs in human service, music industry and production and financial mathematics.
Dean of Students Carrie Vath said Wednesday that nine incoming students are currently enrolled in those majors and that the university is developing plans to support them.
"A lot of students are saying they're not coming back, and they are planning to transfer," Vath said.
Bailey said fewer students have registered for fall classes than at the same point last year.
He acknowledged the emotional toll of the changes while arguing that the alternative would be far worse.
"We are fighting for the survival of this institution, and the thing that has kept me going through this is thinking about what the anxiety and emotional loss would be if we close the doors of this place. That is so much worse," Bailey said. "We have to all come together to figure it out in the midst of all of the challenges that we're facing."
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.
