Saint Martin’s alerts faculty to possible job and program cuts as it faces financial crisis

The financial crisis at Saint Martin’s University in Lacey has taken a new turn: Some faculty at the four-year Benedictine school have received “terminal appointment letters,” meaning they would not be guaranteed a future teaching position.

This is according to university officials, who have posted a series of frequently asked questions about the university’s restructuring on the school’s website, as well as emails and a terminal appointment letter that were shared with The Olympian.

“As you know, Saint Martin’s University is facing significant financial challenges that constitute a bona fide financial crisis,” the letter reads. “The impact of lower enrollment and retention of students requires us to make difficult decisions to address the budget shortfall, including reducing the number of faculty lines.”

The faculty received their annual appointment letters March 15 as outlined in a faculty handbook.

“Of the appointment letters issued, several faculty received terminal appointment letters,” according to an email from interim co-presidents Roy Heynderickx and Father Kilian Malvey to staff that was shared with The Olympian. “This means that faculty members receiving those letters are not guaranteed a teaching position in the 2025-2026 academic year.”

The email goes on to say that “in the case of academic program changes or restructuring, whether through renaming or combining with another program, the (faculty) handbook requires a year-long process, which is why the terminal appointment letters were sent immediately.”

“Due to the handbook process, we do not have the luxury of waiting to make these budget-saving decisions,” the email reads. “However, we may revisit decisions based on changing budget information.”

Nathan Peters, a spokesman for Saint Martin’s, said the university is unable to share how many faculty received terminal appointment letters “due to the personnel nature of the appointment letters.”

He also said it was too soon to say which programs might be affected by the potential cuts.

“Depending on how the restructuring takes place, which will include faculty input, the terminal appointment letters may or may not need to be acted upon,” he said.

The financial crisis at the school has largely been driven by a drop in enrollment.

“Saint Martin’s is experiencing a historic low in the enrollment of new and returning students,” university officials say in response to one of the FAQs posted on the website.

For the spring semester, the university has 1,357 students enrolled, 173 fewer than the spring semester a year ago. That means the school is projecting a deficit of $4.3 million for the July 2024 to June 2025 fiscal year.

Other budget-saving measures are being discussed, according to the FAQs.

“These options are currently being discussed, such as continuing freezing staff vacant positions (currently 25 staff positions are frozen), lowering adjunct faculty course loads, decreasing the number of cross-listed and co-taught courses, and lowering or freezing the employer 403(b) contribution benefit,” the answer reads.

The university is still trying to protect students from the impact of any cuts. “Please know that any budget-saving measures enacted will not impact the student experience,” university officials say.

However, some students may have questions about the future of their area of study.

“Should you be in an academic program that the university chooses not to support in the future, a teach-out provision will be provided to ensure you graduate with your degree,” university officials say.

A teach-out is an arrangement in which a university provides its current students with the opportunity to complete their course of study when the institution closes that program down. Typically, a program stops accepting new entrants, but continues teaching existing students until they have completed their course of study.

In their email, the interim co-presidents say now is the time to come together.

“For the university to reimagine itself, we need each of you, including our faculty, at the table as we move forward,” they write.