Southern Oregon University told its governing board that it faces 'significant liquidity risks' and could breach its safety threshold and run a negative cash balance by spring 2027 without new resources. SOU leaders cited persistent enrollment declines, an ongoing mismatch between labor spending and revenue, and uneven state appropriations flows as drivers of a rapid projected cash decline. Administrators froze hiring and travel and are pursuing legislative relief while laying out multi‑year projections that show a potential $7.4 million deficit by June 2027. The situation is a cautionary case for mid‑sized public institutions where enrollment erosion and fixed labor costs combine to create acute operational stress.