Santa Monica College Lands on Accreditor's Financial Watch List

The college has overspent for three straight years, though its accreditation isn't at risk.

By Holly Bieler · September 7, 2026 · Santa Monica

Santa Monica College has been placed under "enhanced fiscal monitoring" by its accrediting agency, after three straight years of spending more than it takes in, [LAist is reporting](https://laist.com/news/education/santa-monica-college-accreditation-financial-struggles).

The Accrediting Commission for Community and Junior Colleges, which evaluates community colleges across California, flagged SMC as "at risk" following its annual review of the school's finances. In a letter to the college, ACCJC Vice President Melynie Schiel cited a three-year decline in SMC's ending cash balance and multiple open labor agreements. The college also doesn't have enough on hand to cover its retirement benefits, according to the commission.

Accreditation is what allows SMC to receive federal funding and distribute financial aid to students. But ACCJC President Mac Powell told LAist the monitoring is not a sanction, and that the college is not in danger of losing its accreditation.

"The purpose of enhanced monitoring is precisely to identify concerns early and provide appropriate oversight while institutions work to address them," Powell said.

Under the designation, ACCJC staff will meet with college representatives and track the school's progress over time.

SMC declined an interview with LAist. In a memo to employees posted on the college's website, President Kathryn Jeffery called the at-risk rating largely "backward-looking," saying it doesn't account for steps the college has taken since, including layoffs, contract non-renewals, furloughs, salary freezes and the elimination of vacant positions.

The commission doesn't typically disclose which colleges are under increased monitoring. SMC chose to make its status public on its own, Powell said.

More than 25,000 students attend SMC, over half of them first-generation college students. The school bills itself as the top transfer college to the University of California system, USC and Loyola Marymount University.