Dive Brief:
- Martin University will “pause operations” at the end of the current semester amid "financial and student enrollment challenges."
- The private Indianapolis nonprofit has no endowment, according to a Tuesday press release, and federal data shows that its enrollment dwindled to 223 students in fall 2023, down nearly 30% from five years prior..
- Martin's trustees are working to establish a path to viability and minimize the educational disruption to those that remain enrolled, said Board Chair Joseph Perkins in a Tuesday statement. The board did not say when they hope to resume classes.
Dive Insight:
Martin's former president, Sean Huddleston, departed the university last month after six years. During his tenure, he oversaw a tuition reset in 2022 and a tuition forgiveness program that erased up to $10,000 in debt for qualifying students.
Martin had also announced a forthcoming “virtual campus" earlier this year that was originally set to launch in January. Tuesday's press release did not address the initiative.
According to Perkins, Huddleston explored numerous options to keep the university viable through his last day on the job, but he was ultimately unsuccessful.
“Our Board appreciates the work Dr. Huddleston did to maintain the viability and mission of the institution for more than six years; however, the board now finds it necessary to work on a plan regarding the university’s future,” Perkins said.
Martin, Indiana's only predominantly Black institution, has struggled in recent years amid financial and organizational challenges.
A fiscal 2023 audit of Martin found “substantial doubt” about the university’s ability to keep operating, citing enrollment challenges, increased borrowing to sustain itself and the "use of restricted funding for operational needs."
The audit further pointed to an extensive 2022 cyberattack that corrupted the university's records. The recovery process required considerable time and effort "due to significant turnover and instability in the finance and operation teams," the audit found.
Martin's prospects also dimmed this year when the Indiana Legislature declined to allocate any funding for the private university, in line with Gov. Mike Braun's 2025-27 budget proposal.
The state's 2023-25 budget granted Martin $5 million, which a state budget committee said would go toward "preparing and producing more Black teachers, Black law enforcement professionals, and creating a more diverse STEM workforce for Indiana."
When Braun released his proposal in January, Perkins said that Martin had historically not received state funds and did not consider the money foundational to its operations.
"The withdrawal of state funding does not mean that the university lacks funding," he said at the time.
The Higher Learning Commission continued Martin’s accreditation with monitoring in March following a comprehensive evaluation. HLC has either sanctioned the university or had it on monitoring since 2012.
Martin has an open admission policy and primarily enrolls students from underrepresented backgrounds, according to federal data.
In fall 2023, 74% of its undergraduate students were 25 years or older, and 83.4% were Black or African American. Another 71% receive Pell Grants, according to the most recent federal data.
According to Perkins, Martin also serves a "vast" number of first-generation students.
But just 15% of those who attended Martin graduated within eight years, according to the College Scorecard.
