Laurentian University has filed for court protection under the Companies' Creditors Arrangement Act (CCAA) to address the significant financial challenges they indicate they are facing, according to the province.
This information was made public Monday in a statement from Ross Romano, Minister of Colleges and Universities.
In response, the government has appointed Dr. Alan Harrison as a special advisor to advise Romano on options to support Laurentian's path to return to financial sustainability, and ultimately drive Laurentian's long-term competitiveness and success.
"It is deeply concerning that Laurentian University has found itself in a situation where such drastic and immediate action is needed to ensure its long-term sustainability,” Romano said in the statement.
Romano’s statement goes on to read that Laurentian University students remain the government's priority, and it is focused on ensuring they can continue their studies without interruption.
“As a Minister from Northern Ontario, I will continue to be a fierce advocate for Northern communities to ensure that we have access to high-quality and sustainable postsecondary education in the North,” said Romano, who represents the riding of Sault Ste. Marie.
“There is no doubt that this situation is unprecedented. The government will be exploring its options, which could include introducing legislation to ensure the province has greater oversight of university finances and to better protect the interest of students and Ontario taxpayers.
“The government wants to ensure this issue does not repeat itself in other institutions in the post-secondary educational sector."
Harrison is the former provost and vice-principal (academic) at Queen’s University and is now a consultant in the post-secondary sector.
In December, Laurentian University said it was predicting an overall $10.6-million deficit for 2020-21. The university’s president, Robert Haché, stressed it was time to take a hard look at what the institution offers and why.
