Keystone College completes merger with Washington, D.C., nonprofit

Yahoo

3 days ago

Keystone College officially merged with a nonprofit aimed at boosting higher education, a move officials at the financially struggling institution touted as a positive development.
College officials announced Monday the merger transaction with the Washington Institute for Education and Research, a Washington, D.C.-based nonprofit formed to further and support higher education.
The merger was completed Friday afternoon, officials said in a news release issued Monday. Under it, Keystone continues operations under its current name and educational mission.
Keystone College, in Factoryville, will host the Think Spring gardening seminar on April 26.
'I am pleased to report that the merger transaction between Keystone and WIER was concluded on Friday, May 30, finally joining the College with its strategic partner after nearly a three-year journey that at times threatened the future of the College,' college President John Pullo said in a message to the college's trustees and campus community. 'The fact that we can make this announcement today is a testament to the remarkable commitment and trust that WIER, especially Dr. Ahmed Alwani, placed in Keystone and to the perseverance, courage, and resilience of the extraordinary group of individuals on the Keystone team who fought through the adversity and took respite in the positive developments as things began to turn our way.'
The Middle States Commission on Higher Education reviewed and approved Keystone's complex substantive change request Thursday. It included the merger, as well as a change in its legal status, form of control and ownership within the college's scope of accreditation, all of which took effect Friday.
Prior to the announcement from Middle States, Keystone secured approvals from its regulatory agencies, including the state Department of Education, the state attorney general's office and the United States Department of Education. Among the final pieces of the transaction was the merger of Keystone College Inc. into Keystone College LLC, with WIER as the sole member, according to officials.
The college in La Plume Twp. in Lackawanna County and Factoryville in Wyoming County had said it would continue to be accredited once the merger was finalized. Keystone is required to work closely with Middle States on several milestones and reviews as part of its continued accreditation, officials said in Monday's news release.
Keystone representatives worked for more than a year on an agreement with WIER, founded in 2023 by Alwani for the purpose of funding, promoting and supporting postsecondary education. In March 2024, Keystone and WIER mutually agreed to discontinue previous arrangements for a potential alliance, but in August, WIER inked a deal to merge with Keystone.
Alwani expressed his elation about the merger in the news release.
'I am delighted and grateful to the entire Keystone team that we have finally reached this point,' he said. 'When I was first introduced to Keystone, I realized that it was a special place with a rich history in serving students for whom a college education changes their entire family's trajectory. While we are dedicated to enhancing that mission, we are equally driven to being innovative with respect to the educational opportunities needed for today's students in all areas, including online, international, and certifications.'
The announcement is the latest positive development for Keystone. In late February, commission officials said they received financial information they had been looking for, including a letter from the U.S. Department of Agriculture and the college's new ownership structure request, none of which was available when the commission notified the college in November that its accreditation was being withdrawn. The commission formally accepted Keystone's appeal in December, and the college won't appeal the commission's action.
As a result, the commission changed the college's status from 'accreditation withdrawn under appeal' to 'non-compliance show cause.' The college is required to demonstrate by Sept. 2 why its accreditation should not be withdrawn.
In addition, the commission stated the college isn't required to implement a teach-out plan, and the U.S. Department of Education removed the college from 'heightened cash monitoring' status.
The positive news came after a difficult time for the college last year.
In April 2024, the commission ordered the college to prepare a teach-out plan that would allow students to complete their education elsewhere in the event of a closure. College officials also cut positions and placed an administrator on leave.
College officials praised the merger in Monday's news release while acknowledging the work ahead.
'As we have stated many times throughout this process, the commitment to saving and rebuilding a college is exhaustive and must be done deliberately,' Tim Pryle, the college's vice president of enrollment, institutional advancement and marketing, said in the release. 'This is a milestone moment worthy of celebration. However, we are all well aware of the task at hand. And that task includes reestablishing confidence in Keystone College and in sharing with prospective students and their families the unique value proposition that Keystone offers for a quality, private, liberal arts-based education at an affordable investment within today's ultra competitive higher education market.'
Pullo said in the release that in addition to Alwani and WIER, he is 'sincerely grateful for the community's continued support for Keystone.'
'We still have much to do, but for today, we can all celebrate that the College will continue not only serving its vital educational mission, but also preserve its profound cultural and economic impact in the community and the region as we build upon our 157-year legacy,' he said.