Earlier this month (Feb. 7), the board of trustees for Providence Christian College (PCC) in Pasadena, California, voted to close the Reformed liberal arts school at the end of the 2025–2026 school year. The president’s announcement cites declining enrollments, rising operational costs, heightened accreditation expectations, and the loss of federal funding.
“Being mindful of stewarding God’s resources well,” said Dr. Steven B. Kortenhoeven in his announcement, “and after exhausting a number of different options to decrease operational expenses, recruit additional students, and even change the campus location, the board felt that this was the only option remaining.”
In 2023, PCC received a $3 million grant from the Department of Education (ED) for being a Hispanic-Serving Institution (HSI). In the years prior, the PCC received the grant’s $600,000 disbursement on Oct. 1 and was supposed to be disbursed over the course of five years. In 2025, the U.S. Solicitor General determined that Minority Serving Institution grant programs were unconstitutional, and they were cut. Kortenhoeven confirmed to MinistryWatch that PCC learned in September that its HSI grant would end effective immediately, leaving it just a few weeks to adjust to the loss.
“For a small college (with a small budget), the $600,000 that we received annually from this grant was significant,” Kortenhoeven told MinistryWatch.
…PCC also faced pressure from its accreditor. The WASC Senior College and University Commission placed the school on probation in February 2025 asserting that PCC was out of compliance with accreditation standards because it lacked a multi-year financial plan and a strategic enrollment plan, which “threatened ongoing fiscal sustainability.” According to financial records, PCC operated at a $941,558 deficit in fiscal year 2024. Read more»
Isaac Wood | “Providence Christian College to Close After 2025-2026 School Year” | February 18, 2026
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Why did the college lose federal funding? I looked around but could not find reliable information. Thanks.
Wait, never mind. I see now.
Excerpt from article:
PCC was designated as an HSI because over 25% of its undergraduate population was from Hispanic descent. The school used the funding to renovate spaces, provide academic support, develop a post-graduate student success office, and administer its new student orientation program, among other services for all students.
“I do not have the political/legal expertise or knowledge of how other institutions used these funds to comment on the Solicitor General’s ruling,” said Kortenhoeven, “but I know that these funds were closely regulated to align with our approved grant proposal. We were eligible for these funds because more than 25% of our students are Hispanic. However, these funds were used to improve the educational experience for all of our students.”
Ultimately why is PCC closing?
I don’t know any more than is reported in the news story. That’s most complete account I’ve seen. The the loss of federal funds seems to have been a major factor.