Birmingham-Southern College will stay open, officials announced Thursday.
Birmingham-Southern College’s Board of Trustees voted unanimously Wednesday evening to keep the private liberal arts college open for regular operations while the school works to get back on solid financial footing.
“The Board of Trustees has made the informed and thoughtful decision to keep Birmingham-Southern open,” Rev. Keith D. Thompson, chair of the Board, said in a news release Thursday. “We have been working closely with our allies in state and local government to secure bridge funding.”
“Thanks to their leadership, the Board felt comfortable with moving forward, and has charged President Daniel Coleman with preparing for a public fundraising campaign to restore the College’s endowment,” Thompson said.
The decision came after 24 hours of uncertainty as a student meeting was postponed Wednesday. Trustees met for more than eight hours to deliberate whether to stay open or close.
“The Board is receiving encouraging information hour by hour that could have significant bearing on this pivotal decision,” a notice said Wednesday evening.
Read more: Alabama House Speaker says loan is possible for Birmingham-Southern.
Officials at the small, private liberal arts school have spent months making their case to state and local legislators for taxpayer support.
It’s unclear where the funding to keep the school open came from; this winter, the school asked local and state governments for a one-time request of $37.5 million to keep doors open while school leaders work to replenish their endowment.
“It’s too early to tell,” Sen. Arthur Orr (R-Decatur), told AL.com Wednesday. “But like a lot of things, there’s always a possibility.”
In the news release Thursday, BSC officials said they will begin reaching out to prospective students and faculty to ensure the “full BSC experience this fall.”
But it’s impossible to answer with certainty every question relating to the college’s finances until the Alabama legislative session concludes, they said.
“President Coleman and so many others have been working tirelessly to secure the resources needed to take BSC forward,” Thompson said. “We are especially grateful to the elected officials who have championed this cause because of its impact on Birmingham and Alabama. And we are also deeply grateful for the outpouring of support from our alumni, students, faculty, staff, parents, the business community, and friends who have written, called, emailed, and met with elected officials to help make the case for public support. That has sent a powerful signal about what BSC means to Alabama.
“We will continue to work with legislators through the end of the legislative session to ensure all are aware of the significant direct economic impact BSC provides each and every year, as well as the immense contributions made by our alumni to the civic, business, and political leadership of our state.”
A ‘pivotal decision’
Officials revealed the extent of the school’s financial woes in December, when they asked the state legislature for $30 million in pandemic recovery and education funds, and a combined $7.5 million from city and county governments.
Financial problems first emerged in 2010, when then-president David Pollick resigned after a controversy over accounting errors, overspending and increasingly dire budget deficits. The school has worked to right-size its finances, but still has struggled to pay off debts and manage changing student needs.
Enrollment, which has typically hovered above 1,000, fell to 975 last fall.
Officials projected a rise in freshman applicants this year, but it is unclear how many students have committed for the fall 2023 semester.
“Quite simply, we can’t cut expenditures further and continue to provide a quality experience to our students,” BSC President Daniel Coleman told the Jefferson County delegation this winter.
School leaders have since been working against a ticking clock to save the school.
Students and staff already have been making decisions about whether to wait for a decision or make other plans. Many have already been meeting with advisors to help with the transfer process. Hiring cycles for staff have also begun.
“Students, as you return from spring break, please know that we understand that this is stressful for you,” Rev. Keith Thompson, chair of the Board of Trustees, said in a message to the campus community last week. “Try to focus on your classes and enjoy time with your friends, and trust that we all want what you want: for BSC to continue past the end of this term.”
‘Encouraging information’
From the onset, state support seemed unlikely.
In February, lawmakers called the outlook “doubtful.” Gov. Kay Ivey denied at least two requests from Birmingham-Southern for pandemic recovery funds, and recently told AL.com that she will not devote taxpayer dollars to “bail out a private college.”
In recent months, students, faculty and alumni have sent dozens of letters and emails to state lawmakers. Local business and tech leaders also have rallied behind the college, touting its contributions to the state’s workforce.
Alumni visited the state capitol Tuesday, urging legislators to again consider the request.
“Thanks to all of these loyal grads for taking the day to meet up in Montgomery on behalf of BSC,” an alumni group wrote on Facebook Tuesday evening. “They’ll spend today making sure the Alabama House and Senate know the value of BSC to Alabama.”
Sen. Rodger Smitherman (D-Birmingham), told AL.com last week he planned to file a bill asking for $15 million from the state’s supplemental education budget to go toward Birmingham-Southern. Lawmakers, he said, were working to find other ways to supplement the school’s $30 million goal.
“We’re just trying to look at different means and not just say it’s all or nothing for this one particular approach,” he said. “If we can get a collection of funds that we can come up to that point where we can save the school, it’s worth it.”
By the time of publication, no bills had been filed pertaining to the college.
Sen. Jabo Waggoner (R-Vestavia Hills) said he’s received more “positive comments” on the request in the past couple of days than he has all along.
Rep. Danny Garrett (R-Trussville), who said in February that he found it “difficult to see a way forward” for the request, told AL.com Wednesday that he wouldn’t rule out other possibilities for funding.
“It’s a slippery slope when you talk about taking public money to support private institutions,” he said. “That’s a difficult issue under the code. It’s just a difficult issue for a number of reasons. But I will say that we’re having discussions. They are making their case. I know that if we’re going to make private investments, then I think considering investments in education out of the education budget is better than making investments that are not education related.
“So I don’t know where that’s going to go. We’re going to have discussions about it. It’s a difficult subject. It’s a tough thing. It’s something the body would have to decide whether they want to go that direction or not. They have made a compelling case. But we’ll just have to see.”
Birmingham Mayor Randall Woodfin praised the decision to stay open Thursday, but did not say whether the city had decided to offer funding.
“I want to commend Birmingham-Southern College’s leadership for their tireless efforts to remain open. Thanks to those efforts, BSC will remain open,” he said. “This is particularly important for the students and staff that make up the @FromTheHilltop community. It is also good news for the surrounding residents who view Birmingham-Southern College as their neighbor.”
Thirty-five colleges and universities around the country closed in 2021, according to a recent analysis of federal data. That number included Judson College, a historic women’s college in Marion.
Mike Cason contributed reporting.