by JD Davidson
A Cleveland area community college is overstaffed and struggling with debt related to underused buildings all while enrollment continues to fall.
Those issues became more serious following a recent review of the Lakeland Community College’s operations by State Auditor Keith Faber, who raised concerns about whether the school can remain open.
“We have serious concerns about the college’s ability to continue to serve the residents of Lake County,” Faber said. “LKCC’s trajectory is unsustainable.”
Faber said the school is nearing fiscal watch and called on administrators to make difficult decisions related to workforce, class and program offerings and facilities to remain open.
Former LKCC President Morris Beverage Jr. resigned April 2 ahead of his planned retirement April 2. On April 4, Sunil Ahuja was named the school’s new president.
LKCC, founded in 1967, at its peak had more than 9,400 in 2012 but enrollment has steadily declined since then and reached around 5,000 students in the fall of 2022, more than doubling the percent of decline at the state’s other junior colleges.
“As a public institution of higher education, Lakeland Community College is committed to being a responsible steward of public resources with renewed focus on greater efficiencies and cost containment while seeking institutional growth,” the college said in a statement released to The Center Square. “We sincerely appreciate the work of the Auditor of State and look forward to incorporating their recommendations into our strategies and policies as we move forward.”
Currently, the school has 10 buildings and 156 classrooms or labs, and a full-time student cost of $4,312 per semester. It has a 10-to-1 student-teacher ratio.
Auditors blamed the college’s administrators for failing to make changes to meet growing expenses and declining enrollment.
“[The administration] has not made decisions to reflect the changes in operations,” auditors said. “Staffing has not been significantly reduced, new facilities have been acquired, and courses are being held with minimal enrollment.”
LKCC relies mostly on local property taxes and state funding for its operational revenue, with $25 million in taxpayer money coming from the state in fiscal year 2023. Another $18.4 million came from Lake County property taxpayers, while student fees accounted for $13.2 million of the overall $58 million operating fund.
The same fiscal year saw $51.7 million in operating expenses with 61.7 percent ($31.9 million) going to wages and salary. Another 19.1 percent ($9.9 million) went to benefits.
The audit also found the number of classrooms and lab spaces at the college “greatly” exceeds the demand of the student boy, and the college recently broke group on a 16,000-square-feet expansion to its main campus.
Also, a building bought by the school in 2014 for $13.5 million that was financed through bonds is no longer in use.
Finally, trustees were unaware of the school’s falling financial condition.
“The Board of Trustees at Lakeland Community College understands the dynamics of this report. We are committed to implementing changes. The board has provided for a balanced budget for this year and will in all future years while increasing financial reserves. Our Board of Trustees will make every change as recommended by the Auditor. Lakeland will remain a top community college in the state of Ohio,” Board President Ellen Foley Kessler said in a statement.
The report also laid out 10 recommendations to address enrollment and financial issues, including adopting a policy for canceling low-enrollment courses and adjusting faculty staffing accordingly and reviewing facility usage to make changes as needed, including potentially eliminating some space and/or leasing and selling property.
Earlier this week, the Lakeland Foundation announced a $400,000 gift to its nursing program.
The school did not respond to an email request for comment from The Center Square.
“It is my hope that the college will use the results of the performance audit as a resource for improving transparency, operational efficiency, and overall effectiveness,” Faber said in the audit.
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JD Davidson is a regional editor at The Center Square.
Image “Lakeland Community College” by Lakeland Community College.
