OAKLAND CITY — Oakland City University (OCU) officials announced that a new partnership agreement has been reached that should allow the private, faith-based institution to stay open and maintain normal operations.
The announcement brings a sense of cautious relief to the Gibson County campus, which has been grappling with severe financial instability and the threat of mass layoffs.
While school leaders confirmed that classes, athletic programs, and daily operations will continue without interruption, they have not yet disclosed the specific details or the identity of the partner involved in the agreement.
According to Todd Mosby, the Associate Vice President for Development, Marketing, and Communications, the university is actively implementing strategies to strengthen financial stability and position the university for long-term sustainability. The university previously hinted it was working with an investor group on the potential sale of a carbon-capture patent to ease its fiscal pressures.
The news of the partnership comes at a critical time for university staff. Some employees report they still have not been paid, a situation the university has attributed to “banking issues”.
In a recent address, school officials acknowledged the “scary and unnerving” nature of the missed paychecks but urged the community to lean on their faith. “God has to put us all through these trials so that we can all look to him for the relief,” one official noted, assuring workers that they will eventually be paid.
The university remains under a “mass layoff” warning. In April, OCU filed a Worker Adjustment and Retraining Notification (WARN) with the state, indicating that nearly 170 employees—including 110 full-time staff—could be let go by June 1, 2026.
While those notices remain active, school leaders now say they do not expect to move forward with the layoffs if the new partnership proceeds as planned.
Founded in 1885 and affiliated with the General Baptist Church, Oakland City University is one of the largest employers in Gibson County. The school serves roughly 500 undergraduate students and is known for its programs in business, criminal justice, and education. Financial filings from the previous year showed the school faced a $4 million shortfall, reporting $23 million in revenue against $27 million in expenses.
Despite the current “needed hardships,” university officials say they are already preparing for the 2026-2027 school year, with incoming freshmen currently selecting their housing.
