Athabasca U could leave Athabasca
Serious “sustainability issues” at Athabasca University have caught the attention of Alberta’s new advanced education minister, who hinted Thursday the province may need to step in to protect the online learning hub from financial ruin.
In a written statement, Lori Sigurdson said the problems cannot be allowed to continue, and called on the school’s board of governors to get Athabasca on better financial footing.
“However, the Alberta government is ready to work with the university and help it become more sustainable,” the statement said.
Sigurdson’s comments stem from an alarming report submitted to the province this month that suggests insufficient funding, onerous union contracts, changing enrolment patterns—and even the university’s small-town location—mean Athabasca could close its doors by 2017.
“Without major remediation, our university faces the prospect of insolvency within two years,” said the report, which was put together by an Athabasca task force led by interim president Peter MacKinnon.
The reported noted Athabasca has been increasingly dependent over the last 20 years on out-of-province students signing up for its online programs. Currently, about 38 per cent of the school’s undergraduate students and 28 per cent of graduate students are from Alberta.
This low percentage of Alberta students has brought a corresponding low level of provincial funding, forcing the university to become more and more reliant on tuition for its revenue. However, this stream has been limited by tuition caps and market forces, such as increased competition from other universities’ online programs, including several within Alberta, the report said.
The school has been further burdened by the province’s failure to fund $39 million in information technology upgrades, overly generous union agreements, and the 1984 decision to move the university to the town of Athabasca, it said.
“Although the town is attractive and hospitable, its size (population 3,000) is an obstacle to the recruitment and retention of professional personnel.”
Whatever options are taken, more government funding will be a necessity, the report said, noting the university fills a crucial role catering to people in remote communities or attending on-campus classes.
Three unions with workers at Athabasca expressed concern about the task force report, saying it exaggerates the financial problems and seems to be pushing the province to move the school out of its small-town location.