Minnesota State approves temporary aid for two universities

Minnesota State trustees approved a temporary funding transfer on October 14 that will direct money from colleges across the system to financially challenged institutions, including St. Cloud State University and Bemidji State University. The plan allows transfers of up to $25 million annually for four years, with $14.8 million allocated to the two universities for fiscal 2028. Most of the money is expected to come from community and technical colleges. In the first year, system institutions are expected to contribute between $121,000 and $1.8 million. Dakota County Technical College and Inver Hills Community College together would contribute $747,533. The approved plan requires St. Cloud State and Bemidji State to prepare financial recovery plans. It also reduces contributions from institutions with the lowest cash reserves, following revisions to an earlier proposal. The system’s 26 colleges and seven universities serve about 270,000 students. Officials describe the transfer as a short-term measure while Minnesota State works on broader changes to address financial pressures.