Education

Saint Augustine's University faces financial crisis: $7.9M tax lien, unpaid debts and accreditation at risk

WRAL Investigates went through public records to try to find a pattern of money problems at Saint Augustine's University.
Posted 2024-02-16T00:52:23+00:00 - Updated 2024-02-19T21:35:48+00:00
Documents show financial trouble for St. Augustine's University

Saint Augustine's University is facing several financial problems, documents obtained by WRAL Investigates show.

WRAL Investigates went through public records to try to find a pattern of money problems at the university.

On Tuesday, the IRS filed a $7.9 million lien against Saint Augustine's University for unpaid taxes dating back to the end of 2020.

In December 2023, FieldTurf USA filed a $598,000 lien against the school for failing to pay for a new artificial turf field.

A contractor also filed a civil complaint for $8,000 for consulting services.

In October 2023, Wellfleet Insurance said the university owed almost $430,000 for deductibles on student health insurance plans.

Also in October 2023, the North Carolina Division of Employment Security issued a notice of delinquency for not paying unemployment taxes in the amount of nearly $27, 000.

In July 2023, a contractor filed a $15,000 lien for unpaid work on the school’s chapel.

According to the register of deeds, Saint Augustine's University took out a $7 million line of credit loan in October 2023. It’s not clear what the school is using that money for.

Financial responsibility is just one of the reasons the school could lose its accreditation. Saint Augustine’s University was put on probation in December 2023. The school is appealing. That hearing could come as early as next week.

The money troubles are just one facet of the issues plaguing the 157-year-old HBCU.

The university has also been criticized by ousted former leaders over the last few months.

Fired head football coach Howard Feggins is suing Saint Augustine's University, alleging he was intimidated into silence when bringing up concerns with how the football program was run.

In December 2023, ousted president Christine McPhail filed a discrimination complaint alleging the university's board created a hostile workplace. She was fired in November 2023.

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