Senator Bosche questions education consolidation and closure impacts in Midwestern states

In a recent meeting of the Higher Education Institutions Committee held on August 22, 2025, members of the North Dakota Legislature engaged in a critical discussion about the challenges facing higher education institutions, particularly those in the for-profit sector. The atmosphere was charged with concern as lawmakers examined the troubling trend of institutional closures and consolidations across the Midwest, with states like Minnesota, Illinois, Missouri, and Ohio experiencing significant losses.

Senator Bosche raised pertinent questions about whether these closures stemmed from corporate consolidation or a complete loss of educational access for communities. The response highlighted that both factors are at play, with many institutions struggling under financial pressures exacerbated by declining enrollment. The committee noted that the majority of closures over the past two decades have occurred within the for-profit sector, particularly among two-year institutions.

A key point of discussion was the financial health of these institutions, which is often measured by a federal financial responsibility composite score. This score assesses an institution's ability to manage expenses and maintain operations. The committee emphasized the importance of financial oversight, citing examples of institutions that failed to plan for closures, leaving students and communities in distress.

The conversation also touched on the implications of state funding policies. Senator Beckettall inquired about the relationship between tuition caps and state appropriations, questioning whether other states impose tuition limits without adequately supporting institutions financially. While specific examples were not provided, the sentiment echoed a broader concern about the sustainability of funding models in higher education.

As the meeting concluded, it was clear that the committee's discussions reflect a growing urgency to address the financial viability of higher education institutions in North Dakota and beyond. With the landscape of higher education shifting, lawmakers are tasked with finding solutions that ensure access to quality education while navigating the complexities of funding and institutional management. The future of many institutions hangs in the balance, and the decisions made in these meetings will have lasting implications for students and communities alike.