SAN MARCOS — The usual rush of end-of-year preparations at the University of Saint Katherine came to a sudden halt on Thursday when students and faculty received an email with the shocking news that the school was ceasing all operations effective immediately.
In a 4 p.m. notice of termination email to staff, USK President Frank Papatheofanis said the school, which opened in 2010, would be “ceasing all employment” as of April 25, “can no longer meet its financial obligations because of a steep shortfall in operating cash,” and is filing for bankruptcy.
“Multiple reasons for this shortfall include extraordinary inflation, higher-than-anticipated salary increases, and high institutional student financial aid. The same factors have resulted in the closure of many small colleges and universities across the country. The board and I have vigorously explored multiple options that might allow us to continue. Unfortunately, none of these have proven viable,” Papatheofanis said in the email.
The announcement came just two weeks before finals and three weeks before the scheduled Class of 2024 commencement, which is now not guaranteed to occur.
The private Christian school, which belongs to the National Association of Intercollegiate Athletes, enrolls under 300 undergraduate students annually. The school has relied on athletic recruiting as a means for enrollment, with over 85% of students involved in sports last year.
“Our hearts break for our student-athletes at the conclusion of their Firebird careers, and we pray for their continued success as they move forward,” the Athletic Department said in a statement on their website. “This website will continue to share the accolades won by our teams. Our student-athletes have worked hard this season, and we hope to provide them with the recognition they deserve.”
On Friday, the day after the announcement, students and staff could be seen clearing out their belongings from the university’s suite in the 220 Ranchero Drive building in San Marcos. People shared hugs and tears, and to-be graduates picked up their caps and gowns that they are now unsure if they will be able to wear at commencement.
Ulises Ramirez, a junior on the school’s volleyball team, said the news is hard to process. He had planned to return to the university in the fall but now realizes he will need to finish out his college career elsewhere.
“I’m shocked, sad, and devastated. It’s pretty hard to put into words right now since it’s so fresh. I’m not really sure of the future right now,” Ramirez said.
Crista Wagner, a natural sciences professor, said she and other staff members initially thought the email about the closure was fake until students came into her office with tears in their eyes. She said employees were given no warning of the closure.
“I’ve been here for three years. It’s been a beautiful place to work,” Wagner said. “I’ve been on the phone with parents, talking to places where people could transfer… I was talking to people until almost midnight last night.”
Students said they were told that finals are canceled, and their current grades are now finalized. Those who qualify for graduation will still be able to receive their diplomas, and students with any remaining credits needed to complete for graduation will have to complete them elsewhere.
The news comes as the women’s beach volleyball team is competing for the NAIA national title in Tennessee. The team is continuing to compete in the tournament on Friday and Saturday, the athletic department confirmed.
USK was originally located in Encinitas before relocating to San Marcos in 2014. The university offers more than 25 different undergraduate programs in liberal arts and sciences.
In early March, the University of Antelope Valley, another small, private NAIA school in Lancaster, also announced that it was closing due to financial difficulties.
