The university’s accreditors have announced that Loyola will not be put on another year of financial probation.
The news comes after accreditors placed Loyola on a year-long financial probation in December of 2018 due to past financial mismanagement.
According to University President Tania Tetlow, the Southern Association of Colleges and Schools Commission on Colleges accrediting body has determined the university now has sound financial resources and responsible management of finances.
“It’s a nice public acknowledgment of what this community has achieved,” Tetlow said.
Tetlow said that while the accreditors don’t give official reasons behind their decision-making, she believes they see Loyola’s financial improvements as a long-term transformation.
“It basically gave us a deadline to make sure we could live within balanced budgets and do so going forward,” Tetlow said. “What it means is that we can breathe a little easier.”
While she admits the experience was tough, Tetlow said the situation put the university in a place to be more efficient and entrepreneurial going forward.
“I think in an odd way it came in a good moment to prepare us to do well in this tough market,” Tetlow said.
She also extended her gratitude to the entire Loyola community — specifically faculty and staff — and their hard work over the last year.
“I do think this is a moment for students to recognize how incredibly hard every member of the faculty and staff at Loyola works to do right by them, even at moments when our own lives are challenging,” Tetlow said.
John Lovett, vice-chair of the university senate, said he hoped that the university being taken off probation would mean the administration and Board of Trustees would move quickly to address sacrifices the faculty and staff have had to endure as a result of the university’s financial troubles.
“The university had to suspend contributions to faculty and staff retirement plans, and the university is hoping to restore those,” Lovett said. “I think this should give the university administration and Board of Trustees the confidence to restore the retirement contributions…”
According to Lovett, faculty and staff had not received salary raises or cost of living adjustments in years.
“Hopefully the university won’t be under such intense pressure and scrutiny, and the faculty and staff will be able to enjoy some of the increased tuition revenue that we have begun to see,” Lovett said.
He added that the university senate looks forward to working with administration toward that effort.
Earlier this semester, Tetlow told The Maroon that it was common for schools placed on financial probation to be kept on probation for two years, so today’s news was extra satisfying.
“I would say my Christmas just got a lot better,” Tetlow said.
Cristo Dulom contributed to this report.