General Discussion Forum / Re: Bennett College loses appeals hearing and, for now, its accreditation« on: February 26, 2019, 08:31:37 PM »
Second, there are alternative accreditors with less onerous standards that Bennett can use. Paul Quinn College is accredited by TRACS. Paine College has sought a back-up accreditation from them as well. At Bennett’s late December (?) press conference, President Dawkins said that they would seek alternative accreditation just in case.
Third, the $5 million number did not come from the SACS accreditation criteria. The rules are somewhat subjective. However, SACS is just as, if not more, interested in the net assets, incoming revenues and debt structure of the institution. So if you draw down on your line of credit to produce an operating surplus, that credit shows up as additional debt. (Dawkins mentioned in the press conference that SACS expressed some concern about their use of their line of credit.) Similarly, if you get the Trump administration to put your debt service payments in forbearance, your operating numbers will look better because the debt service is no longer included as an expenditure. However, the debt is still on your books. Lastly, they have not solved the most difficult problem which is enrolling enough students at a price-point at which the institution can break even. (Malveaux succeeded at this for a time by making admissions easier, front-loading institutional aid and spending on building projects. However, it wasn’t sustainable.)
Lastly, the SACS accreditation rules state that any institution can be on probation for only two years. After that it must be removed or it must have met (or demonstrated the ability to meet) all of the conditions to be retained as a member.