Statement on Keystone College Closure

The Middle States Commission on Higher Education (MSCHE) is aware of institutional and media reports regarding Keystone College. In light of such reports, it has become necessary for the Commission to correct misleading information in accordance with the Commission’s Communication in the Accreditation Process Policy and Procedures, Procedures Section VII. H.

It has been reported that the institution’s substantive change request for institutional closure is “a procedural step” that enables institutions to implement a teach-out plan. However, the institution has reported potential imminent closure to the Commission, and for that reason, the institution has been asked to submit the substantive change for institutional closure. On April 25, 2024, the Commission acted to acknowledge receipt of Keystone College’s submission of a substantive change request for institutional closure and to note that the institution is in danger of imminent closure. Keystone College is obligated to plan for orderly closure. If the institution does not close, it may withdraw the substantive change for institutional closure.

The Commission also took action on April 25, 2024, to require the institution to show cause by August 1, 2024. The non-compliance status of show cause requires a teach-out plan with teach-out agreements along with important disclosures to the college community (Accreditation Actions Policy and Procedures).

The Commission had previously acted on April 4, 2024, to require that the institution complete and submit for approval a comprehensive, implementable teach-out plan and agreements in accordance with the Commission’s in accordance with the Commission’s Teach-Out Plans and Agreements Policy and Procedures. This is the direct result of material Keystone College submitted to the Commission about the institution’s withdrawal of the complex substantive change request for a change in legal status, form of control, or ownership and about the status of the institution.

The Commission’s Teach-Out Plans and Agreements Policy and Procedures requires institutions to notify the Commission as soon as they are aware of a potential circumstance requiring a teach-out plan, in addition to notifying the appropriate state higher education entities, the United States Department of Education (USDE), and all relevant stakeholders (currently enrolled and prospective students, faculty and staff, other stakeholders, and the public) as soon as possible. While the Commission is aware of continued negotiations by Keystone College with a potential partner, the imminent closure remains a concern as any transactions under the Commission’s complex substantive change policy, procedures, and guidelines can take up to a year to review. In addition, institutions in non-compliance status require an additional procedural step in that they must obtain permission from the Commission to submit a complex substantive change request in accordance with the Commission’s Substantive Change Policy, Procedures, and Guidelines, Complex Substantive Change Procedures Section III. D. As of publication date, Keystone College has not obtained permission to submit a complex substantive change request.

The Commission is not currently reviewing any agreements with potential investment partners, does not currently have under review a request for permission to submit a complex substantive change, and has not approved any agreements with investors or partners.

The Commission centers students in its work and is committed to fulfilling its responsibilities within the regulatory triad and ensuring the highest quality of service to students, institutions, and the public. The Commission expects its member institutions to honor standards for accreditation, requirements of affiliation, policies and procedures, and federal regulations in planning appropriately for changes affecting students, institutional mission, goals, programs, operations, and sites. The Commission continues to work directly with Keystone College, USDE, and the Pennsylvania Department of Education (PDE).

The Commission will continue to post any updates at msche.org.