In Massachusetts, the Market for Small, Liberal-Arts Colleges Is in Decline

It’s a tough time for small, private colleges in Massachusetts. In April, Mount Ida College suddenly announced it would shut its doors and sell its campus to the University of Massachusetts at Amherst. In December, Newbury College gave students several months to prepare for closing at the end of the 2018-19 academic year.

On Tuesday, Hampshire College announced it was seeking a partner to help sustain itself financially. That’s not nearly as dire a message as the announcements from Mount Ida and Newbury — college officials stress that Hampshire is not closing — though a letter from the president said the institution may choose not to enroll a freshman class this fall.

But at the very least it’s an acknowledgment that the long-term future of such institutions is uncertain, even in the only state where a majority of students attend private colleges, not public ones. The state’s Board of Education is even considering requiring colleges to pass a financial “stress test,” to try to prevent sudden closures, as happened at Mount Ida.

As complex as most college operations are, the math behind Hampshire’s challenges is pretty simple. The number of students of traditional college age across the country, and particularly in New England, is declining, said Gaye Hill, chair of Hampshire’s Board of Trustees. And the cost of recruiting those students, through financial aid or tuition discounts, is increasing, she added. Still, she said, the end is not in sight, as the college still has a positive operating balance.

But long-term demographic challenges have undermined Hampshire’s financial position even though it is part of a five-college consortium that was designed, in part, to limit its members’ operating costs. The organization, which also includes Amherst College, Mount Holyoke College, Smith College, and the University of Massachusetts Amherst, allows students to take courses on any of the campuses, fosters joint academic programs, and even offers transportation between the campuses.

Hill said the consortium’s main goal was not just to financially benefit the colleges, but to broaden the academic and cultural opportunities for faculty members and students.

Miriam E. Nelson, Hampshire’s president since July, said a partner college would allow the institution to continue to offer its particular model of higher education without sacrificing its quality or significantly downsizing.

Small Colleges Are Withering. Can Niches Save Them?

Leaders hope souped-up advising, international and research programs, and other ambitious offerings will keep them afloat. But can the institutions afford them, and will they work? It’s too soon to tell.

• Can a Signature Program Save Your College?
• 5 Paths for Small Colleges

Hampshire, which enrolled its first class in 1970, is known for a curriculum that allows students to design their own course of study and to demonstrate mastery of learning through independent projects. A partner institution should value that approach, Nelson said in an interview with The Chronicle.

Perhaps most important, Hampshire’s announcement is a rare move toward transparency in an industry where publicly acknowledging challenges is usually avoided strenuously. Admitting to the realities of financial pressures, many have argued, could scare off current and prospective faculty members and students.

But not speaking openly about the need for a new partner could limit the search for the kind of organization that would appreciate the college’s mission and history, Nelson said. And the kind of faculty members and students at the college are there because they want challenges, she said.

“We are different. The people who will appreciate that and not be scared away will pitch in,” she said. “Are we worried about transfers out? Possibly, but we are hoping they will stay and work toward the future.”

Eric Kelderman writes about money and accountability in higher education, including such areas as state policy, accreditation, and legal affairs. You can find him on Twitter @etkeld, or email him at eric.kelderman@chronicle.com.