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Southern Oregon University races to build plan to cut $20 million
Southern Oregon University races to build plan to cut $20 million
Southern Oregon University races to build plan to cut $20 million

Published on: 05/22/2026

This news was posted by Oregon Today News

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Southern Oregon University President Rick Bailey answers questions from reporters at a press conference on May 8, 2026.

Southern Oregon University is using a consultant’s report for guidance as it works to cut about $20 million in order to keep the institution afloat.

Two new workgroups are assessing the university’s administrative footprint and academic portfolio. The groups, made up of faculty and staff, will make recommendations.

Speaking at a finance committee meeting on Thursday, SOU President Rick Bailey said the timeline for this work, known as the SOU Vitality Plan, is quick.

“We have pretty much until the end of next week to really start to receive most of the big ideas so that we can actually start to put those things in place,” he said. “That is a dizzying pace, and that’s why everyone has been working around the clock.”

Bailey plans to release a draft of the plan on June 15, with the board of trustees scheduled to vote on it June 18.

Finance Committee Chair Liz Shelby was concerned about how detailed the budget information in the plan would be, given the quick timeline. The committee is scheduled to review the plan on June 17.

“Usually we adopt a budget, so that’s kind of what I’m expecting to see,” she said. “Are we thinking that it’s a budget document we’ll be adopting, in addition to implementation?”

Consulting firm proposes drastic cuts to Southern Oregon University

Vice President for Finance and Administration Carson Howell said providing a detailed budget at that stage would be difficult.

“It will be difficult to provide that budget because we won’t know what that plan is,” Howell said. “If there is a department or something that will be transitioning away or even reduced, we won’t necessarily have that information until that plan is approved and adopted.”

Howell said there would be “some sort of budget,” but specific details would take longer to finalize, especially because ongoing union negotiations could require adjustments.

Bailey sought to reassure the committee.

“What we need to give you on June 15 is something that gives confidence in this board and the state that we have a plan that is going to drive us to fiscal sustainability,” he said. “We are not going to let go of that. We are going to meet that mission.”

The committee also received an update on the institution’s overspending on remissions, which has cost SOU over $1 million, Howell said.

Remissions are tuition reductions for students, including recruitment aid and affordability programs. Universities use them for purposes such as affordability and access.

However, they also “represent tuition revenue the university chooses not to collect,” according to slides presented by Zac Olson, executive director of admissions and recruitment.

SOU emergency funding advances as education officials criticize Deloitte’s proposal

The university is reviewing its remission and discount programs and evaluating their effectiveness. This issue, and how to address it, is just one of many that will be considered in the upcoming plan.

Bailey said a new “student voice organization” has also been organized, led by Dean of Students Carrie Vath.

Vath didn’t respond to a request for comment about the group, its goal or its impact on the Vitality Plan.

In addition, a transformation advisory committee, which includes representatives from the board of trustees, students, faculty and staff, met this week and discussed how to improve communication with students about the plan and the timeline for updates.

The public can still offer suggestions and recommendations on the path forward.

Once the plan is approved, all changes to the university must be completed by June 2027, when SOU is projected to run out of cash without any adjustments.

Meanwhile, SOU is on track to receive $15 million from the state legislature, which would help support the university over the next fiscal year.

JPR is licensed to Southern Oregon University, but our newsroom operates independently. Guided by our journalistic standards and ethics, we cover the university like any other organization in the region. No university official reviewed or edited this story before it was published.

Jane Vaughan is a reporter with Jefferson Public Radio. This story comes to you from the Northwest News Network, a collaboration between public media organizations in Oregon and Washington.

It is part of OPB’s broader effort to ensure that everyone in our region has access to quality journalism that informs, entertains and enriches their lives. To learn more, visit our journalism partnerships page.

News Source : https://www.opb.org/article/2026/05/22/southern-oregon-university-races-costcutting-plan/

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