Kentucky State University Management Improvement Plan: Final Report from the Council on Postsecondary Education

Kentucky Council on Postsecondary Education. 1024 Capital Center Drive Suite 320, Frankfort, KY 40601. Tel: 502-573-1555; Fax: 502-573-1535; Web site: http://www.cpe.ky.gov/

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206

State Universities; Educational Finance; Educational Legislation; State Legislation; College Administration; Financial Problems; Accountability; Budgets; Improvement Programs; Compliance (Legal); Educational Policy; Governance; Sustainability; Strategic Planning

The Kentucky Council on Postsecondary Education (CPE or the Council) has an extensive set of statutory responsibilities relating to the coordination of higher education in Kentucky. Consistent with these responsibilities, on July 20, 2021, following reports of financial instability at Kentucky State University (KSU) and the abrupt resignation of its president, Governor Andy Beshear issued an Executive Order directing CPE to, among other activities, provide a report assessing the current financial status of KSU prior to making any recommendations for biennial appropriations. CPE's comprehensive review of KSU's fiscal status concluded that KSU's cash shortfall for FY 2021-22 totaled $23 million, including amounts owed to the Commonwealth's Finance and Administration Cabinet for capital construction projects, unpaid invoices, repayment of the prior year's revenue anticipation note and a structural imbalance of the university's budget. This review offered several additional recommendations to increase KSU's fiscal responsibility and accountability.

ERIC

2026

ED679832