Saint Augustine’s University cancels fall classes amid bankruptcy

Saint Augustine’s University, a historically Black university in Raleigh, North Carolina, has cancelled its planned fall educational offerings. The decision marks a reversal of previous plans to launch online certificate and noncredit programs in fields such as artificial intelligence, programming, and public health.

The university filed for Chapter 11 bankruptcy in April following the loss of its accreditation. While administrators initially hoped these nondegree programs would generate revenue to address a $74 million debt, the plans have been paused to focus on the bankruptcy proceedings. University lawyer Ciara Rogers stated that the pause aims to reduce payroll obligations and expenditures while the institution works toward emerging as a stronger entity.

U.S. Bankruptcy Judge David Warren expressed concerns regarding the university's ability to deliver on promises to prospective students while managing limited resources. During proceedings, the judge characterized the institution as “essentially closed.” The university is currently operating using funds from the nonprofit lender Self-Help Ventures Fund and is considering selling campus real estate to manage its financial situation.