The primary concern is that Birmingham-Southern College has not presented any plan to ensure its financial stability. Without a viable plan, a loan is just a band-aid on the road to its inevitable financial collapse.
One perspective is to view the issue as a crusade to save a failing liberal arts college; but the more important perspective should view the economic impact and decay of a 200 acre highly developed portion of the city of Birmingham, Alabama.
In short, a viable long-term vision encapsulated in a plan is needed before anyone should throw good money after bad.
The reality is that there are too many 4 year colleges in the US, with many schools unable to fill all their seats each year. Especially hard hit are regionally focused liberal arts colleges with high acceptance rates. Some of these schools have tried different things, including offering business majors (about 22% of Birm Southern’s recent grads have been business majors)…stretching the very definition of a liberal arts education.
I expect we will see more colleges close over the next decade. I don’t think it appropriate that a state like Alabama, which chronically underfunds K-12 education, should spend a dime giving financial assistance to private colleges. I do understand the negative and sometimes deleterious impact school closings have on the local communities, but Alabama has better things to do with its money (if they are considering spending more in the education area).
These schools are also facing the looming 2008 baby bust. I feel for the kids at these schools.
Public funding should go towards public colleges, not to bail out private ones. The current students can be accommodated at other schools, or the college could have a planned, orderly closing and stop taking new students , run for 2.5 more years while plans are made to sell the property.
I’ve always wondered…why do they have to be liberal arts? Why can’t they be “conservative arts.”
In some situations, public financial assistance to a small private college can be the more affordable option as opposed to letting the school fail.