News Summary
Louisiana legislators have voted to transfer the University of New Orleans (UNO) from the University of Louisiana System to the LSU System in response to significant financial challenges. Senate Bill 202 passed overwhelmingly, with hopes that the transition will enhance UNO’s stability and academic standing. The restructuring involves a comprehensive audit and the allocation of funds to address UNO’s financial distress. Supporters believe this shift could lead to increased enrollment and resources, while ensuring the integrity of UNO’s athletic program.
New Orleans, Louisiana – Louisiana legislators have approved a significant measure to transfer the University of New Orleans (UNO) from the University of Louisiana System to the LSU System. Senate Bill 202, authored by Senator Jimmy Harris from New Orleans, sailed through the legislative process, passing the House with an overwhelming vote of 95-1 after receiving unanimous support in the Senate. The bill now awaits the signature of Governor Jeff Landry to become law.
The transition is largely seen as a necessary response to UNO’s financial distress, with a projected budget shortfall estimated at $30 million. In recent months, UNO has implemented drastic measures to address its financial issues, including a spending freeze, staff layoffs, and furloughs. The approved state budget includes a one-time allocation of $20 million aimed at alleviating UNO’s debts, along with an additional $450,000 for a comprehensive financial and academic audit to assess the university’s needs and future. By August 1, UNO President Kathy Johnson is required to inform the Southern Association for Colleges and Schools, Commission on Colleges (SACSCOC) of the governance change.
The formation of a transition committee, appointed by the LSU System Board of Supervisors, is part of the restructuring plan. This committee will conduct the financial and academic audit, make recommendations, and hold public meetings to ensure community involvement. A report from the committee is expected to be submitted by April 1, which will be crucial in determining the future path for UNO.
UNO’s enrollment has drastically declined over the years, dropping from approximately 17,000 students before Hurricane Katrina to just 6,488 students in the Fall of 2024. This declining enrollment contrasts sharply with other institutions within the LSU System, which have generally shown increases in student numbers. This decline has raised questions about the sustainability of UNO under the current system and has catalyzed the push for its transfer back to LSU jurisdiction.
Having been part of the UL System since 2011, UNO was originally established under LSU’s control in 1958. Proponents of the transition argue that returning to the LSU System could not only secure additional financial stability but may also lead to an enhancement in the university’s research activity designation. Currently, LSU holds an R1 designation as a research university, while UNO’s could improve to R2 status following this transition.
The legislative move will also ensure that UNO’s Division I NCAA athletics program remains intact, even though there may be potential changes in the university’s branding and mascot as part of the reorganization. Although the change is set to forge a new pathway for UNO, the estimated cost of transitioning is projected at around $81 million over the next five years, raising considerations about funding allocation and resource management across the LSU System as a whole.
Immediate measures to provide financial support to UNO will include $20 million in the upcoming fiscal year, with further funding options to be explored as the transition process unfolds. Additionally, the legislation includes stipulations to prevent the UL System from obstructing the transfer process and mandates that the UL and LSU boards coordinate their efforts for a seamless transition.
While optimism surrounds the potential for increased enrollment and revenue following the shift to the LSU System, concerns have also been voiced about ensuring that the needs of other LSU campuses are met and not neglected during this transformative period for UNO.
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Additional Resources
- LA Illuminator
- NOLA.com
- WDSU
- Higher Ed Dive
- LSU Reveille
- Wikipedia: University of New Orleans
- Google Search: University of New Orleans LSU System
- Google Scholar: University of New Orleans LSU transfer
- Encyclopedia Britannica: University of New Orleans
- Google News: UNO transfer to LSU
