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Statement Regarding the College’s Future
Statement Regarding the College’s Future
For Immediate Release
Dec. 17, 2022
Over the past 18 months, BSC President Daniel Coleman has secured firm commitments from hundreds of private donors for $45 million toward a goal of raising $200 million by May 2026 to refresh its endowment fund. This is a remarkable demonstration of support for BSC and a reflection of the fact that the College is important—not only to Birmingham, but to the State of Alabama.
In order to allow sufficient time for this fund-raising effort to succeed and to give BSC breathing room to operate, we are seeking a one-time contribution of $12.5 million from the second tranche of the American Rescue Plan Act and $17.5 million from the Education Trust Fund.
BSC is also asking for a commitment of $5 million from the City of Birmingham and $2.5 million from Jefferson County. We believe Birmingham-Southern College’s contributions to the greater Birmingham area and the state warrant such an investment, which is clearly permissible under state law and for which there is considerable precedent.
BSC’s financial challenges began with a building program in the mid-2000s that drew heavily upon the endowment and caused the College to take on significant debt. The financial crisis of 2008-2009 and an error in the accounting of federal financial aid further depleted the College’s resources. Subsequent presidents did a remarkable job of funding the year-to-year operations of the College despite significant challenges. Without a healthy endowment, the economic model under which BSC operates is simply not sustainable for the long term.
Some months ago, the College’s administration approached leaders in state government to share our plan for financial resilience. We found them receptive to our effort and we believe we will enjoy significant support for our plan.
Birmingham-Southern College and its graduates have made great contributions to our state, nation, and indeed the world. We are now asking for support with bridge funding to ensure the future of this valuable educational institution.
As our plan unfolds, we will continue to share reports on the progress toward our goal. We remain confident that BSC will endure and thrive, and we are committed to making good on the College’s motto: “Forward, Ever.”