The Massachusetts Department of Higher Education notified Anna Maria College that it cannot confirm the institution has sufficient resources to sustain operations at current levels or meet obligations for the current and following academic year. The state said it is working with college leaders on a long-term operating plan, including contingency steps that would support an orderly downsizing if needed. Anna Maria has previously reported major enrollment declines and multimillion-dollar losses; federal data show its fall headcount fell 16.6% from 2019 to 2024. The college carries $18.4 million in debt and reported a covenant breach on a note backed by college assets, though it received a lender waiver. The notice signals heightened scrutiny under state “closure risk” oversight mechanisms and raises immediate questions for student protections, teach-out planning, and credit transfer stability in the near term.