On February 13, Concordia University Wisconsin/Ann Arbor (CUWAA) President Erik Ankerberg released a statement that CUAA was facing significantly reduced operations by June 30, 2024, including staff reductions and disposition of property, facilities, and equipment. This shock announcement came despite Ann Arbor’s impressive growth over the past decade, record incoming classes, and a 3.0 score (on a scale of -1.0 to 3.0) from the US Department of Education that calculates the overall financial responsibility of institutions participating in federal student aid.
Optimism briefly returned a few weeks later when the CUWAA Board of Regents paused action on President Ankerberg’s plans. Board Chair John Berg announced that CUAA would remain open for the 2024-2025 academic year and that CUAA will “continue its momentum forward through the 2024-25 academic year and prayerfully beyond.” In addition, a subcommittee of the Board would “begin an intense and focused exploration” of CUAA becoming an autonomous university within the Concordia University System.
Unfortunately, on June 6, the Board of Regents determined that CUAA “does not possess the resources or ability to pursue autonomy as an independent university within the Concordia University System”. This was despite a plan submitted by Michigan District President David Davis entitled “A Roadmap to Autonomy” that laid out a plan for autonomy over a four-year period. While the Board of Regents affirmed that CUAA will remain open for the 2024-2025 academic year, it is safe to assume significant changes are in the works for the period beyond. In fact, just this week, we learned that all intercollegiate athletic programs at CUAA will be discontinued after the 2024-25 academic year. More details of what lies beyond will be unveiled in the coming weeks and months.
The Subcommittee and its Report
I frequently receive questions about my role on the subcommittee noted above. I accepted an invitation to sit on the subcommittee to explore CUAA returning to a self-governing university. After the work of this subcommittee began, however, I was faced with a predicament in that the work of the subcommittee veered outside of the scope of the Board of Regents resolution. Michigan District President Davis raised this concern with Board of Regents leadership to no avail. Thus, my only option was to resign my involvement in the subcommittee. That occurred on April 12, 2024.
There is one important point regarding the subcommittee report that must be addressed. The subcommittee’s final report (page 24) states that CEF was contacted about financially supporting CUAA’s effort to be independent by 12/31/24 as well as future support. The report then states CEF failed to respond to this inquiry. This is not true. First, CEF was never contacted as alleged in the report. Second, CEF’s rich history of supporting CUAA makes the implication that CEF was indifferent without merit.
The Future for CEF and CUAA
CEF and CUAA have a long history of partnership. Whether it involved loans, investments, grants, sponsorships or other collaborations, the two entities have always had a uniquely close tie – dating back to the creation of the CUAA campus, and the construction of its first buildings. In 2013, it was CEF action that allowed the merger to go forward which helped pave the way for the substantial growth CUAA experienced in subsequent years. Student enrollment grew from approximately 750 to 1,350 during this 10-year period making it the fastest growing university (public or private) in Michigan for several years!
We appreciate that CUAA will likely be a different organization from what CEF has known over the years. There is new leadership at CUWAA from what existed prior to 2023, and the bonds that brought the two organizations together in the past may not be as strong going forward. CEF welcomes ongoing collaboration, but also understands changes are afoot. I say this because I was made aware that in February 2024, LCEF (our sister organization in St. Louis) was asked by leadership at CUWAA to provide the Board of Regents with guidance and assistance regarding CUAA going forward.
Regardless of how this all plays out, know that CEF will not be financially impacted. We are confident CUWAA has abundant resources to continue making its debt service payments as scheduled on its loans with CEF.
A Time for Prayer
I close by asking you to keep CUAA in your prayers – including the impacted students and parents, its faculty and staff, its alumni, and its many ministry partners. CEF has had the honor and privilege of working with many great Lutheran leaders from CUAA and CUWAA over the years, and we’ve seen the Gospel message vigorously resound at CUAA. We pray that God leads what lies ahead.
In His Service,
Jim Saalfeld - CEO