Private East Texas college furloughs workforce

Friday, May 25, 2012

Ongoing financial woes, including three missed payrolls, prompted a small private East Texas junior college to furlough its workforce Wednesday while officials try to reorganize and save the 158-year-old school.

The furloughs were the decision of consultants in charge of restructuring the college and not the board of trustees, Jack Nelson, vice president of the Lon Morris College board of trustees, told the Jacksonville Daily Progress.

Miles McCall also tendered his resignation as college president after he was told negotiating with creditors would be easier if he stepped down, trustee Tim McRae said.

Dawn Ragan of Austin-based Bridgepoint Consulting, the college's chief restructuring officer, didn't return an email seeking comment.

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