JACKSONVILLE, Fla. — Jacksonville University is responding to serious questions raised about the institution’s financial health.
A source sent Action News Jax Ben Becker internal documents and an email sent out by JU President Tim Cost to the school’s faculty, staff, and employee advisory council.
>>> STREAM ACTION NEWS JAX LIVE <<<
This email and document titled “Financial Q&As” spell out some of the financial challenges the private university is facing.
For example, in one section, the JU leadership explains:
“Like many private universities nationwide, Jacksonville University is navigating rising costs and shifts in enrollment trends. These challenges are not unique to us and are not a result of mismanagement. They reflect the realities of today’s higher education landscape.”
The university explains a so-called “breach of debt covenant” linked to bonds the university issued in 2018, stating:
[DOWNLOAD: Free Action News Jax app for alerts as news breaks]
“A single debt covenant for the fiscal year ending June 30, 2024, was not met. This is not unusual in higher education and reflects a point in time. We didn’t miss any payments to our bondholders. The fiscal year this relates to closed six months ago, and we’ve since taken steps to strengthen our financial position and will continue to do so.”
The document goes on to say the university remains “financially resilient” and leadership is “confident” about j-u’s future. It emphasizes the university is not in danger of closing. However, j-u says it is “implementing strategies focused on growing revenue, managing costs and improving operational sustainability.”
As for the future of certain academic programs, JU says currently enrolled students should not be impacted, saying:
“We are carefully evaluating all options to improve efficiency and reduce costs. If we were to close any programs, the timing of such actions would allow all current students to complete their degrees.”
Action News Jax reached out to the university to confirm these documents provided by a source but has not heard back.
[SIGN UP: Action News Jax Daily Headlines Newsletter]
Click here to download the free Action News Jax news and weather apps, click here to download the Action News Jax Now app for your smart TV and click here to stream Action News Jax live.