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Keystone College Faces Accreditation Loss Following MSCHE Decision

The Middle States Commission on Higher Education (MSCHE) has voted to revoke Keystone College’s accreditation, effective December 31, 2024. This decision stems from the college’s inability to demonstrate financial sustainability and non-compliance with several accreditation standards related to ethics, planning, and governance.

Consequences of Revocation

If the decision to revoke accreditation is upheld, Keystone College would lose eligibility for federal Title IV funds, which are essential for student financial aid, including loans and Pell Grants. The college has the right to contest the MSCHE’s decision and will maintain its accreditation status during the appeals process. Keystone must communicate its intention to appeal to MSCHE by mid-December.

College’s Response

Initial responses from Keystone College officials were unavailable. However, President John Pullo, in a statement reported by local media, indicated plans to appeal the decision. He noted that the MSCHE’s evaluation fails to accurately reflect the college’s recent advancements in improving its financial condition and addressing prior weaknesses.

Noncompliance Issues

In a correspondence dated November 26, MSCHE highlighted Keystone’s noncompliance with accreditation standards, specifically citing a lack of adequate evidence to support operational guidelines. The commission emphasized the college’s challenges in illustrating both short- and long-term sustainability.

Teach-Out Plan Enhancement

In response to the potential loss of accreditation, MSCHE has instructed Keystone to enhance its teach-out plan by December 6, which aims to facilitate student transitions for degree completion either at Keystone or through partner institutions.

Ongoing Evaluation Process

The commission’s recent actions are part of an ongoing evaluation process. Earlier in the year, MSCHE issued a show-cause order to Keystone, which required the institution to demonstrate compliance with accreditation standards amid identified risks to its operational status.

Attempts to Address Financial Challenges

Efforts by Keystone to address its financial challenges included an agreement made in August to align with the nonprofit Washington Institute for Education and Research, established by investor Ahmed Alwani. However, negotiations for this merger ultimately fell through earlier this year.

Documentation on Potential Closure

Following the breakdown of merger talks, MSCHE requested Keystone to prepare documentation regarding a potential closure, underscoring the institution’s ongoing financial difficulties and its attempts to maintain accreditation under challenging conditions.

(Source: Higher Ed Dive)

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