Lawmakers agree to send up to $29 million to financially struggling public university with a stipulation

The state House passed a $3.7 billion capital budget for state and community projects throughout Ohio this week, including more than $29 million for renovations at Central State University.

However, state Sen. Jerry Cirino, R-Kirtland, sponsor of Senate Bill 450, said funding for Central State would occur only if university officials first grant the Ohio Department of Administrative Services, or another government organization, oversight of its facilities.

“It has been an honor to contribute to the Capital Budget process that advances investments that will benefit my community, county, and all Ohioans throughout the state,” state Rep. Mike Odioso, R-Green Twp., said in a release.

The university’s board of trustees must grant the government access to the information before the state provides most of the funding to CSU, according to Signal Ohio.

The news source added that CSU was allegedly the only public institution of higher learning to be offered an opportunity to recover financially, even though the state of Ohio previously allocated $3.7 billion for campus construction projects. Many other Ohio colleges and universities, including Kent State University, are struggling financially.

According to the news source, CSU has been struggling financially for many years, which eventually led government officials from the Ohio Department of Education to place the university under “fiscal watch” in 2024, marking the third time the university had been placed on that list in the last 20 years.

“We value the support we’re receiving from Governor DeWine, [Ohio Department of Higher Education] Chancellor [Mike] Duffey, and the Department of Higher Education,” Central State President Morakinyo A.O. Kuti said in a release at the time. “We are continuing to take action to ensure we manage our way through this fiscal watch period and address what’s necessary to ensure a bright future for our students, faculty, and staff.”

Duffey also said in the 2024 press release that Ohio’s auditor’s office would help the university officials with CSU’s budgeting and reporting procedures, adding that CSU must file quarterly progress reports with the ODHE.

“The department looks forward to working with Central State and the Auditor of State in navigating this challenge and restoring Central State University to a solid financial position,” he said. “It is our hope that this work will position the university for a strong and successful future.”

The capital budget passed the state Senate last week and could be signed by Republican Gov. Mike DeWine next week, according to Signal Ohio.

“Any time we’re appropriating money to Central State, there’s been a question of whether they got things right and are they moving forward,” state Sen. Kyle Koehler, R-Springfield, said, according to the news source.

In addition to the ODHE, CSU also has allegedly been working with the Ohio Department of Administrative Services for the past six months, Ohio’s higher education officials told Signal Ohio. The ODAS is the government entity that would take over management of CSU’s facilities if the university officials agree to accept government funding.

Signal Ohio also reported that, according to Koehler, this collaboration between the university and government officials could help CSU officials to “make hard decisions.”

Koehler said he thinks the university is slowly recovering, adding that he started thinking this after meeting Kuti, who’s been the university’s president for almost two years now.

“Central State is trying very hard to make the right decisions to keep Ohio’s only public historically Black college open and operating,” Koehler said.