Feds cut off Union

https://www.insidehighered.com/news/quick-takes/2023/11/27/education-dept-cuts-federal-funds-union-institute

 

Other blighted schools - take warning.

 

Good grief. Sounds like Union Institute is circling the drain. Very sad. It was an innovative school in its day. At least according to the Feds, they made some poor decisions.

"The department wrote that the college failed to pay students more than $750,000 in student loan refunds, hasn’t processed payroll for employees since Aug. 11 and took $43,524 more in federal financial aid than it needed."

Before anyone asks or those who don't like Rich or Steve rejoice, even if the school goes under or loses accreditation or some combination Steve and Rich will continue to have "accredited PhDs".

 

I don't think it should be news to anyone here, that degrees a school awarded while accredited stay valid, pretty much no matter what. Consequently, If I didn't like someone - anyone, no names today, I think I'd be an idiot to rejoice over something like this. However, if there was lightning involved...

Union will probably get what it deserves. No grads, or their degrees earned while the school was accredited, will be harmed in this production... No rejoicing here. Probably some crying and pooping at Union. They shouldn't have done what the Dept. says they did. That's the whole thing.

 

It would be nice to see a financially sustainable white knight acquire the PhD in Interdisciplinary Studies for teach-out then also make it available to new enrollees. (Lasell University? They're already teaching out some Union master's programs, and they previously acquired the distinctive Solstice MFA in CW on the closure of Pine Manor College.)

 

And in my case a spare.

When Roger Sublett retired, Union had a small endowment of $1M and about $4M in cash. What his replacement did with everything is a mystery to me. But schools go out of business every year. I doubt if graduates of the University of Sarasota have lost any sleep over Argosy's death, for example. Or Argosy grads, for that matter.

Unfortunate, but unless you're in the stranded pipeline, not really meaningful.

 

Mishandling student loan money is a long walk off a short pier. That's one of the things that killed the New College of California, another significant loss to Higher Education.

 

I suspect it was a last-ditch effort to stay solvent, rather than a fraud perpetrated for personal gain. Same outcome, though.

 

That could be embezzlement. Ugly, anyway.

 

It was a sudden downturn, with the university having problems almost immediately after the leadership change. But they don't seem to stem from that previous administration.

Without knowing more, I'm inclined to start with Hanlon's Razor.

 

I use Gillette myself.

Or do you mean clams?

 

Let me Google that for you:

"Hanlon's razor is an adage or rule of thumb that states: "Never attribute to malice that which is adequately explained by stupidity." It is a philosophical razor that suggests a way of eliminating unlikely explanations for human behavior."

 

I linked an article in another thread that went over it in depth, I'll see if I can find it again.

The new president cut marketing heavily among other things yet spent more than the old president.

Enrollment went down sharply but expenses didn't change until the school was bankrupt. Then the president skipped town.

 

Malice generally is stupid.

 

I think this is the one, Dustin.
https://www.degreeinfo.com/index.php?threads/feds-intervene-as-financial-turmoil-worsens-at-union-institute.62377/

 

That's the one, and here's the article I was thinking of: https://www.wcpo.com/news/local-news/i-team/what-went-wrong-at-union-institute-enrollment-declined-spending-did-not

Enrollment fell 36%. She cut advertising by 14% while spending 25% more on facilities and maintenance. Program service expenses increased 2% to $15m while tuition declined to $10.5m. What a disappointment.

 

I wonder what happens to the former president ( ok, still current)..I guess ok.. this is of two weeks ago...

Leadership & Offices - Union Institute & University (myunion.edu)

IU Presents Its Highest Honor for Alumni : Pride of IU Stories: My IU: Indiana University

Dr. Karen Schuster Webb is Union Institute & University’s sixth president, having taken office on July 1, 2018. Dr. Webb is a visionary leader with a passion for community and mentoring women in leadership, having dedicated her career to the equity of access to educational excellence in the United States, as well as around the world. She brings more than 20 years of executive leadership and an impressive career in higher education, most recently as the Midwest campus president and senior advisor for Academic Innovation to the Chancellor at the Antioch University System. She also served as provost and vice president for Academic Affairs at Antioch University Midwest Campus. Prior to her work at Antioch University, Webb served at Alliant International University System from 2000 to 2013, where she was founding university dean of the California School of Education, overseeing programs in California, Mexico, and the Far East, as well as online programs.

 

Wow!

 

Oh my! Sounds like those CEO situations where things don't go well under their watch and yet they are rewarded. The spin and superlatives are a little nauseating.