Monday, December 9, 2024

THE CASH STUFF FOR DEC. 12, 2024

ST. AUG U DENIED

ACCREDITATION

BUT CAN APPEAL

IN FEBRUARY

By Cash Michaels

Contributing writer

The board of the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC) voted Tuesday to remove embattled HBCU St. Augustine’s University (SAU) in Raleigh from its membership.

The SACSCOC board voted to do so during its annual meeting this week in Austin, Texas. 

Though its accreditation has been denied, SAU can still hold on to its status while it appeals the decision, thus allowing December 2024 and May 2025 students to graduate. That appeal must be heard in February 2025, or the school loses accreditation permanently. An appeals committee will hear SAU’s appeal, and if necessary, an arbitration panel.

In order for SAU to practically remain in business, it must maintain its accreditation from a nationally recognized accrediting agency like SACSCOC, according to the U.S. Dept. of Education. Maintaining that accreditation entitles the school to participate in various federal student aid programs.

In SAU’s case, at issue was the school’s problem with financial management. Over the years, SAU has reportedly run up a sizable debt with vendors, federal taxes owed, and pending lawsuits.

The school recently reduced its student enrollment to just 200 students, and took out a $7 million loan to help pay off some of its debt, but the high 24% interest rate and terms outraged SAU supporters.

But then SAU announced a 99-year land-lease agreement that could yield at least $70 million towards it’s debts.

        "SACSCOC could only consider information SAU presented as of November 18, 2024. Saint Augustine's University has made significant progress even since that date, including finalizing the $70 Million deal with 50 plus 1 Sports. The SACSCOC Board could not consider that information on Saturday during our hearing. Still, we look forward to providing that evidence during our February appeals hearing, along with other information that will definitively resolve all the remaining areas of concern," said Dr. Marcus Burgess, president of Saint Augustine's University. "While this may seem like a disappointing decision, we view this as an encouraging outcome that acknowledges our progress, and we are excited about the opportunity the Appeal affords us. This opportunity to prove that SAU is now a stronger and more financially healthy institution will bring confidence to our stakeholders and partners, ensuring them that SAU remains a cornerstone of opportunity and innovation for our students and the Raleigh community."

SAU also completed its overdue financial audits for FY22, FY23 and FY24, and trimmed $17 million from its operating budget. 

It would appear that none of that moved the needle with SACSCOC, however, so SAU must now spend the next several weeks building its appeals case in order to stay in business.

Meanwhile, the NC attorney general’s office is investigating the SAU Board of Trustees, based on a dismissed lawsuit alleging financial improprieties filed against it by the SAU Coalition.

It was December 2022 when SACSCOC placed SAU on probation because it failed to comply with financial requirements necessary to maintain accreditation. In February 2024, the SACSCOC Board denied SAU’s appeal and stripped the school its accreditation, only to rescind that order in July.

Now SAU stands on the brink again, and has until Feb. 2025 to redeem itself, in order be recognized as a fully accredited institution.

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                                                        SEN. SYDNEY BATCH (D-WAKE)
                                                              SEN. DAN BLUE (D-WAKE)

BLUE STEPS DOWN

AS SENATE DEMOCRATIC

LEADER; BATCH SUCCEEDS

By Cash Michaels

Contributing writer


There has been a significant changing of the guard in the North Carolina Senate, as Senator Sydney Batch, a two-term state senator from Apex, has replaced veteran state Senator Dan Blue, as Senate Democratic Caucus and minority leader for the 2025 legislative session.

Blue, 75, a state senator from Wake County, has served as Democratic Caucus leader since 2014, but is best known and regarded as the first and only Black North Carolina speaker of the House in the state’s history. Sen. Blue is also credited with leading the fight for North Carolina to have a state paid holiday honoring the late civil rights leader Dr. Martin Luther King Jr.

He has served Wake County in the state Senate since 2009. Prior to that, Blue served in the state House from 1981 to 2003 ( two terms as speaker in 1991 and 1995) and again from 2006 to 2009.

The Democratic Caucus had announced on the evening of December 2nd that Leader Blue did not want to serve another term as leader, but published reports from Axios Raleigh stated that in fact, Blue had failed to round up enough votes to continue to serve in that capacity.

Blue issue a statement, saying that he was “excited to pass the torch into the capable hands of Senator Batch.” “Her vision for the future of the Senate Democratic Caucus builds upon the work we started and will ensure the end of the Republican supermajority and to a new Democratic Senate majority which will improve the lives of all North Carolinians,” Blue added. 

Sen. Batch, who served as deputy minority leader, thanked Leader Blue for his service, and said in a statement that North Carolinians are counting on Democrats “to protect their rights, expand opportunity, and fight for policies that prioritize people over politics.” “Our Caucus remains focused on creating a North Carolina where every resident can build the life they want for their families and themselves, and we are ready to work to get North Carolina back on the right track.”

Sen. Batch, 45, is an attorney and a social worker. She was first elected to the NC House District 37 in 2018. She lost re-election in 2020, but was appointed to replace Democrat San Searcy, who had won Senate District 17, but resigned to take a position in the private sector. Sen Batch won a full two-year state Senate term in 2022, and again in November.

As the new Senate minority leader, Sen. Batch will be leading 20 Democrats against a 50 Republican supermajority.

In the state House, the Democratic minority reelected Rep. Robert Reives (Chatham, Randolph) to another two-year term. Reives has served as House Democratic leader since 2021.

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