Johnson C. Smith University (JCSU), an HBCU with deep roots in North Carolina, is embarking on a university-wide mobilization to address financial concerns raised by its accrediting body. The school announced an “all-hands-on-deck” strategy following the Southern Association of Colleges and Schools Commission on Colleges (SACSCOC) decision to place the institution on probation for good cause. A sanction that falls just short of loss of accreditation.
The June 12 decision comes after two years of monitoring by SACSCOC, which cited JCSU’s failure to demonstrate full compliance with standards of fiscal responsibility, financial controls, and oversight of externally sponsored research and funding. Though JCSU remains accredited, the agency’s warning signals the seriousness of the institution’s financial management challenges.
“We take seriously the decision by SACSCOC to place the university on probation for good cause,” the university said in a July 8 statement. “The designation reflects areas where we must strengthen financial compliance and controls. However, the ‘good cause’ designation also indicates the university has displayed evidence of improvements.”
Founded in 1867, Johnson C. Smith University is one of North Carolina’s oldest HBCUs, enrolling approximately 1,300 students during the 2024–25 academic year. It plays a vital role in Charlotte’s educational and economic fabric. Offering undergraduate and graduate programs that cater to a historically underserved student population.
An Opportunity Framed as Growth
President Valerie Kinloch, who has led the private North Carolina university through much of the current accreditation review process, acknowledged the probation but framed it as an opportunity for transformation.
“Over the last year and a half, we have worked hard to improve our overall operations,” Kinloch said. “In the weeks and months ahead, additional improvements will be made as we prepare for an on-campus SACSCOC Special Committee visit in 2026. Being placed on good cause provides us with an important opportunity to ensure continuous internal controls.”
University officials stressed that the accreditation probation stems not from academic deficiencies but financial management issues. These include compliance lapses in handling federal and state funds and oversight of sponsored research. SACSCOC has requested a third monitoring report, and a committee visit to the JCSU campus was conducted as part of the review process.
A Critical Window for Reform
Under SACSCOC policy, institutions under probation are given up to two years to demonstrate full compliance. However, the “good cause” designation allows for an extension. Provided the institution shows recent accomplishments, credible plans for addressing deficiencies within a year, and no indication of deeper structural issues.
“Currently, we have an all-hands-on-deck approach at the university,” JCSU said. “This allows us to not only identify the concerns in the SACSCOC communication but also to make significant strides internally and externally. We view this as an opportunity to further enhance our academic programs and administrative practices.”
The university emphasized that its academic offerings remain strong and will continue to provide accredited degrees throughout the probationary period. “Our academic programs are strong and thriving,” the university’s statement read. “Our students, faculty, staff, and alumni can expect an exciting year ahead as we make progress on this journey together.”
Broader HBCU Context
Johnson C. Smith’s probation highlights a broader challenge for HBCU institutions across the country. Many of these institutions operate with limited endowments and heavy reliance on federal aid. Fiscal pressures, rising operational costs, and regulatory scrutiny place increasing demands on HBCU institutions to modernize administrative and financial systems without sacrificing their core missions.
Still, leaders like Kinloch remain optimistic. “Our university will always act with integrity, responsibility, and trust,” she said. “We are an economic engine in the city of Charlotte, across the nation, and around the world.”
JCSU’s next formal accreditation review is scheduled for June 2026. Until then, the university is tasked with demonstrating measurable progress—fiscally and institutionally—toward compliance, all while upholding the legacy of one of the region’s most historic HBCUs.