UNO to rejoin LSU system after 14 years in a major Louisiana higher ed shift

In a significant restructuring of the Louisiana higher education landscape, legislators have approved the transfer of the University of New Orleans (UNO) from the University of Louisiana (UL) System back to the Louisiana State University (LSU) System.

This decision marks a major development in US public higher education, with implications for governance, funding, and institutional identity.The move, approved by both the Louisiana House and Senate, is part of a broader effort to address UNO’s worsening financial crisis. Senate Bill 202, sponsored by Sen. Jimmy Harris of New Orleans, now awaits the signature of Louisiana Governor Jeff Landry to take effect, as reported by the LA Illuminator.A return to LSU roots amid financial strainUNO was originally part of the LSU System from its founding in 1958 until 2011, when it was transferred to the UL System. At the time, the move was welcomed by alumni and boosters who felt the university had been overshadowed by LSU. However, a prolonged budget crisis has since placed UNO in a precarious financial position, prompting this reversal.The university currently faces a $30 million shortfall and has already implemented a spending freeze, layoffs, and furloughs.

According to the LA Illuminator, the proposed state budget includes $20 million to settle UNO’s outstanding debts and an additional $450,000 for a comprehensive academic and financial audit to inform the transition.Enrollment decline and shifting system dynamicsUNO’s fiscal challenges are closely tied to a significant decline in student enrollment. Prior to Hurricane Katrina in 2005, the university enrolled approximately 17,000 students.

That number plummeted to around 6,000 post-storm and has remained stagnant. As of the Fall 2024 semester, enrollment stood at just 6,488 students.In contrast, all institutions within the LSU System have reported enrollment growth in recent years, defying national trends of declining college attendance. This contrast reinforces the state’s hope that aligning UNO with the LSU System could revitalize its appeal and performance.Oversight and transition steps outlinedAs detailed by the LA Illuminator, the legislation mandates a step-by-step transition. By August 1, UNO President Kathy Johnson must notify the Southern Association for Colleges and Schools Commission on Colleges (SACSCOC), the accrediting body, of the planned governance change.The LSU System Board of Supervisors is required to form a transition committee composed of legislators and stakeholders from the greater New Orleans area.

This committee must operate under the state’s open meetings law and submit its findings to the state Board of Regents and legislative education committees no later than April 1.Academic standing and athletic alignmentThe move will also shift the academic and athletic positioning of UNO. Within the LSU System, UNO would be the only undergraduate R2 research institution—classified as having high research activity—second only to LSU’s flagship R1 campus.

It would also be the only other LSU System school with an NCAA Division I athletics program.The legislation instructs both the UL and LSU boards to work cooperatively during the transition. Even before SACSCOC gives final approval, administrative and supervisory responsibilities are to be gradually transferred, ensuring UNO’s budget is balanced in collaboration with the LSU board.

As quoted by the LA Illuminator, Sen. Harris emphasized that “this is about saving an institution that means a great deal to New Orleans” and steering it toward a sustainable and competitive future.