Students’ ‘lives are up in the air’ as university prepares to close

SHAWNEE — St. Gregory’s University had operated at a deficit for years, but a financial plan gave officials hope things could turn around, President Michael Scaperlanda said Thursday.

That hope came to an end abruptly when the U.S. Department of Agriculture denied a $12.5 million loan.

“It wouldn’t have guaranteed success, but it would have given us realistic hope,” Scaperlanda said.

The university’s board of directors voted Wednesday to close the Catholic liberal arts college after the fall semester, saying it wasn’t possible to sustain operations without the loan.

Scaperlanda said the Citizen Potawatomi Community Development Corp. was willing to make the loan from USDA dollars it received for distribution. St. Gregory’s didn’t qualify initially because it wasn’t in a rural area.

“The city of Shawnee deannexed us in January of this year to allow us to get the loan, and the USDA informed us last week that the loan was denied because they had created a new rule or a new guideline that said you had to be in a rural area as of the previous census,” Scaperlanda said.

“We’ve be working with the USDA for several months. This has never been mentioned until last week. It totally came out of the blue.”

Students were given the news in a meeting Wednesday afternoon.

“They’re wonderful ... grieving and sad but understanding,” Scaperlanda said Thursday.

St. Gregory’s is working on teach-out agreements with four or five other universities to allow students to transfer and graduate without losing any credits, he said.

“Our lives are up in the air. We know we’ll land somewhere but we don’t know where we’re going to land,” said Oklahoma City senior Ashley Hann. “It’s an inconvenient opportunity. We just continue to pray about it.”

Houston senior Duncan Tiemeyer said, “I do believe that God has a plan for all of us, and I cannot wait to see what that is.”

He is more concerned about the faculty and staff who are losing their jobs.

“For students, all we have to do is find a new school, and transfer and then study hard. Faculty and staff, they have to find a new house, find a new job — right before Christmas, too, so that’s very disappointing,” Tiemeyer said.

Students must transfer

Oklahoma Baptist University, located just down the road, had admissions and financial aid staff on the St. Gregory’s campus Thursday to talk with students about transferring in general and transferring to OBU, Scaperlanda said.

“We are deeply saddened by the news from St. Gregory’s University,” OBU officials said in a statement. “We have experienced a long and mutually beneficial relationship including a decades-long articulation agreement with the university.

We stand ready to offer assistance to SGU students to accommodate them in completing their academic pursuits.”

The University of Oklahoma extended the spring semester transfer deadline for St. Gregory’s students after hearing the news. The deadline was Nov. 1, but St. Gregory’s students will have until Dec. 4, said Jeff Blahnik, executive director of admissions and recruitment.

“It’s the right thing to do,” Blahnik said. “We’re going to do everything we can.”

The University of Science and Arts of Oklahoma issued a statement that it “welcomes fellow students in the liberal arts with open arms.”

Scaperlanda said St. Gregory’s will host transfer fairs next week so students will be able to talk with representatives from many institutions in one place. He expects other Benedictine colleges and lots of Oklahoma schools will participate.

Efforts fell short

“As the administration works to assist students and their families, I hope these young men and women do not become discouraged as they seek to further their education. The entire St. Gregory’s University community is in my prayers,” Oklahoma City Archbishop Paul S. Coakley said Thursday.

“It is a terrible loss to lose such an exceptional institution. My heart goes out to all of the students, faculty, staff and administration at such a time.”

Coakley said he is thankful for the effort of Scaperlanda, the board of directors and university leaders to resolve the university’s financial situation.

The archdiocese has given more than $1 million to St. Gregory’s in recent years and also has provided loans.

“The Archdiocese of Oklahoma City has been tremendous,” Scaperlanda said, noting it had been the largest giver for many years.

St. Gregory’s Abbey pledged 495 acres of land to the university last year to secure bridge funding, Scaperlanda said.

“They could lose that,” he said. In addition, whatever becomes of the university property will affect Benedictine monks’ daily life.

The Mabee-Gerrer Museum of Art, is located on the campus but is not affected by the university’s closing. The museum is a separate nonprofit corporation with its own employees and funding sources, said Dane Pollei, director and chief curator.

“It’s sad to lose a good neighbor. Especially one the museum has partnered with since 1919,” Pollei said.

The Citizen Potawatomi Nation has been another good neighbor and supporter, Scaperlanda said.

In August 2015, tribal leaders provided $5 million to St. Gregory’s University for operations in exchange for full scholarships to 60 tribal members. Scaperlanda said the university owes the tribe $2.7 million in unused scholarships.

Arkansas senior Caleb Payne, one of the scholarship recipients, transferred to St. Gregory’s three semesters ago.

“This school was an opportunity for me to get closer to my tribe. I’m a Citizen Potawatomi. I had a lot of options open up for me here,” Payne said. “I was very thankful for that.”

Scaperlanda said the board of directors “did everything that could be done” to keep the doors open.

“We just didn’t find the pathway,” he said. “We have no regrets. We did what we could do.”