Southern Oregon University is considering major operational cuts after financial consultants warned the institution could require a “controlled winddown” if it misses milestones. A Deloitte presentation to the university’s governing body recommended reducing money-losing programs, pursuing shared services for back-end operations, freezing salaries short term, and cutting assistant coaches. The plan targets up to $20 million in near-term savings and revenue actions, while also tying the university’s survival to emergency funding conditions from Oregon. Oregon Gov. Tina Kotek signed a measure providing $15 million, but required SOU to balance budgets by the 2027–2029 biennium and develop a longer-term regional higher-ed plan without relying on continuing state increases. Consultants’ analysis highlighted the academic unit problem: only 10 of SOU’s 23 academic units operated with positive gross income per student credit hour in 2024–25, while 13 generated losses. The strategy also included potential savings through shared IT, HR, finance, public safety, and enrollment management partnerships—framing cost controls as necessary but also time-sensitive given state reporting deadlines.
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