Audit Finds $2 Million Deficit at Cheyney University
An annual audit of Pennsylvania’s 14 state-owned universities has found that Cheyney University finished the 2005-2006 fiscal year with a deficit of more than $2 million.
Pennsylvania State System of Higher Education spokesman Kenn Marshall says the system would hire an independent auditing firm to perform a more detailed review of Cheyney’s finances. The review is expected to determine how the school’s spending exceeded its $35 million operating budget.
The system will use the results of that analysis to develop a financial recovery plan for Cheyney, a historically Black university that enrolls nearly 1,600 students in suburban Philadelphia.
“We are determined to identify and correct the problems that caused the deficit so that we can put the university on a sound financial
course for the future,” said Kenneth M. Jarin, chairman of the system’s governing board, in a statement.
he university is operating normally and the system is prepared to borrow money if necessary to help the school meet its expenses, Marshall says.
“We want to assure students that their education will not be disrupted because of this,” he says.
Robert W. Bogle, chairman of Cheyney’s trustees, says the school will work with state system administrators to remedy its financial problems.
— Associated Press
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