Dive Brief:
- Northland College, a private nonprofit institution in Wisconsin, is attempting to raise $12 million by early April to stay open beyond this academic year, it announced Monday.
- The environmentally focused liberal arts college is staring down insufficient resources and will be forced to close after the spring term if it doesn’t secure the funding.
- If Northland raises the needed funds, they would be used to support the college during the 2024-25 academic year while officials develop a new model. “Northland College acknowledges the unwavering support of its community and remains optimistic about the future,” it said in the announcement.
Dive Insight:
The 132-year-old college offers programs spanning from those focused on the environment, such as climate science, to more traditional liberal arts degrees like those in English and history. However, the college may need to refine its focus to survive, officials said Monday.
“Northland College has evolved many times in the last 132 years,” Northland President Chad Dayton said in a statement. “Every decision we’ve made to date has been made with the goal of ensuring the Northland experience for as many students as possible for as long as possible— and that continues today.”
The small college has struggled with enrollment over the past few years. Its total student headcount dipped from a recent high of 609 students in fall 2019 to 518 in fall 2022, representing a 14.9% decline.
Northland noted that enrollment declines are commonplace across the small liberal arts colleges now, with many recently closed colleges citing difficulties in attracting enough students to their campuses.
They include Medaille University, a New York institution that shuttered last August, and Cardinal Stritch University, a Wisconsin college that closed partly because of enrollment losses.
Northland has been financially struggling for years, according to tax documents. When reviewing the institution’s finances for the 2022 fiscal year, auditors raised doubt that the institution would be able to continue operating.
The college also did not meet financial health standards required by the U.S. Department of Education, prompting the agency to step up its financial oversight of the institution.
To counter some of its financial challenges, Northland has reduced expenses by lowering compensation levels and pausing interest payments on money it borrowed from its endowment, according to the fiscal 2022 audit. The college has also focused on consolidating its academic offerings and increasing class section sizes.
Ted Bristol, chair of Northland’s trustee board, stressed the gravity of the situation in Monday’s announcement.
“Northland College has reached a critical crossroad,” Bristol said in a statement. “We believe we can reinvent Northland, carrying forward our legacy and advancing our mission in a meaningful way. But that will only be possible with the funding in place.”
