The College of Santa Fe is one step closer to becoming a state institution after it announced Tuesday that it is in negotiations with New Mexico Highlands University to take over the school by fall 2009.

The college announced nearly two weeks ago that partnership talks with a for-profit group had fallen through and that it was asking Gov. Bill Richardson and state education officials to consider moving it under the state's umbrella.

Since then, the college has provided financial information to both Highlands and The University of New Mexico. State officials determined it would likely cost between $6 million and $13 million for the state to run the school, and would mean more than $30 million in debt for whatever institution took it over.

Tuesday's announcement does not rule out talks with UNM, said CSF president Stuart Kirk but is a response to a formal proposal from Highlands.

"Highlands has reached a point where they're prepared to move ahead," Kirk said, "and we're prepared to join them."

"I think this is an opportunity to expand Highlands' educational role in Northern New Mexico and bring programs to people in the Santa Fe area at a more reasonable cost in tuition and fees than the college has been able to offer as a small, private institution," said James Fries, Highlands' president.

Fries said the proposal includes retaining the college's focus on the arts as well as offering Highlands' more traditional programs such as business and social work on the campus.

While Highlands' tuition is about a tenth of CSF's, tuition and fees under the proposal would most likely be higher at the Santa Fe campus because of the expense of offering some of the college's programs and because Highlands would have to pick up the school's debt, Fries said.

Fries said his school made the proposal because "it's important that students and others at the college have a sense of what the future holds" and because it will take time to work through the planning and approval process.

"Really, as we look at this, we're going to have to examine all kinds of issues, and in effect, the College of Santa Fe campus will operate in many ways that will be different from the main campus," Fries said.

He stressed, though, that it will be important to retain the college's identity, even suggesting the school be called the College of Santa Fe-Highlands.

Whatever the name, to become a reality, the deal with have to be approved by the state Higher Learning Commission, which accredits both schools, and by the Legislature, which will have the final say in whether to spend additional funds to run the school.

Ironically, Fries was president of the College of Santa Fe — the first who wasn't a Christian Brother — for 14 years. He said he was "privileged" to spend that time at the school and "would take great satisfaction in assuring that the college continues serving students."

Contact John Sena at 986-3079 or jsena@sfnewmexican.com.