Portland State University Flags Multiple Departments for Possible Cuts as It Reviews Its Academic Budget

Facing a structural financial deficit, Portland State University (PSU) has initiated the Article 22 retrenchment process following an operational review to avoid a financial crisis. Certain academic departments may be reduced or eliminated.

PSA Academic Departments Could Be Reduced Or Eliminated

Ann Cudd, the President of Portland State University (PSU), issued a statement indicating that the Board of Trustees has directed that the use of reserves to fund the university’s operations be reduced and eliminated, as part of the Bridge to the Future 2.0 financial sustainability plan.

The entire campus has evaluated all its operations to identify efficiencies and potential savings in an effort to avoid a financial crisis that would jeopardize PSU’s ability to fulfill its mission. A plan is now being implemented based on these evaluations and input from university leaders.

The Article 22 retrenchment process, as outlined in the collective bargaining agreement, has now started. It allows faculty and staff to provide input, propose alternatives, and ensure transparent, collaborative decision-making about PSU’s future. The PSU-AAUP and its members have been informed.

In an earlier statement, the President outlined a “Plan for a Resilient PSU.” The university engaged in a collaborative process to review academic offerings and operations, prioritize students, invest in programs that will drive our region’s economy, and address the urgent issue of financial sustainability.

PSU saw a 23% decline in enrollment since 2019, driven by the problems in downtown Portland, pandemic-related declines in community college enrollment, and evolving federal policies impacting international students. Specific problems identified included:

• Costs are up despite having fewer students.
• Limited State funding as the state faces its own significant budget pressures.
• PSU has relied on its reserves to fund ongoing operations; it can no longer do so, as this is an unsustainable financial practice.

PSU departments that may be eliminated are:

• University Studies
• Conflict Resolution
• Portland Center

Departments that may be reduced:

• Educator Licensure
• Leadership, Learning, and Counseling
• History
• Philosophy
• School of Earth, Environment and Society
• World Languages & Literatures
• Criminology and Criminal Justice
• Economics
• Politics & Global Affairs
• Public Administration

PSU departments that could be affected by the possible elimination of University Studies are:

• English
• Physics
• Sociology
• Women, Gender, and Sexuality Studies
• School of Art + Art History + Design
• School of Public Health

Here is the state funding backdrop behind PSU’s warning.

No final decisions have been made, and the Article 22 process can be tracked or input submitted during open comment periods on a Google site. Further information is on the Resilient PSU page.