St. Augustine's vows to continue fight after arbitration panel upholds accreditation removal

RALEIGH, N.C. (WTVD) -- A final arbitration decision has upheld the Southern Association of Colleges and Schools Commission on Colleges' (SACSCOC) determination to remove Saint Augustine's University (SAU) from its membership. Yet, the historically Black institution is pressing onward.

Despite the setback, SAU remains accredited and active, with plans to begin Fall 2025 virtually, as university officials pursue alternate legal and accreditation pathways.

Earlier this year, Saint Augustine's made the move to pursue a 90-day arbitration process that will ensure all students graduating through May 2025 will earn degrees from an accredited university.

It now says its attorneys are filing an injunction in court to prevent any disruption to its accreditation status, with the hope that the legal action will extend the accredited status through that transition process.

In terms of its financial woes, SAU has secured a $7 million loan from Gothic Ventures and will use that partnership to leverage some of its real estate on campus for new investments and developments.

SAU said it has improved its management practices following its financial audits last year.

University leaders said they also saved $17 million in annual savings after budget cuts last year resulted in the loss of 50% of university employees.

These moves echo concerns raised by alumni and watchdog groups, particularly regarding debt, potential asset pledges, and lawsuits.

Earlier this spring, SAU was hit with more than $18 million in litigation tied to overdue contracts.

SAU's pending court filings could preserve its accreditation through the next academic cycle, and its pivot toward property redevelopment and cost containment may strengthen its financial footing.