USMH is also exercising its Termination for Convenience clause in its licensing agreement with Leiters’ Fine Catering. USMH values its relationship with Leiters’ and appreciates the opportunity to have partnered; however, continuing the agreement was no longer viable based on the termination of the overarching lease. These decisions represent a strategic realignment of resources to strengthen support for students and the community, optimize the use of institutional resources, and ensure long-term sustainability while remaining responsive to evolving educational and workforce demands.

The lease and associated costs for the space represented around 20% of USMH’s annual operating budget. Since 2024, the space has seen limited use, with no enrollment in the Hospitality program and only occasional use for USMH activities. After careful evaluation, USMH leadership determined that maintaining the space is no longer fiscally responsible.

“This decision was not made lightly,” said Dr. Jacob Ashby, Executive Director of USMH. “USMH remains deeply committed to Downtown Hagerstown and to being a strong community partner. As a public higher education center, we have a responsibility to steward state tax dollars responsibly so we can continue to serve students effectively and respond to evolving needs.”

By consolidating operations into existing, well-utilized facilities, USMH will gain greater financial flexibility to address rising operational costs, invest in unfunded needs, and explore new academic and workforce-focused programming that can be delivered within current spaces.This approach allows USMH to remain agile while continuing its mission of expanding access to affordable, top-tier higher educational opportunities in the region.

Dr. Ashby said, “Our commitment to downtown Hagerstown and the broader region is as strong as ever and I know the financial flexibility gained by this path forward will allow us to expand the impact USMH has on our students and the community.” USMH values the partnerships it has built within the community and appreciates the role that local organizations and businesses play in strengthening Downtown Hagerstown. The institution looks forward to continuing those relationships and collaborating on future opportunities that align with shared goals.

For more information about USMH programs and initiatives, visit hagerstown.usmd.edu.

About USMH: The University of Maryland Hagerstown (USMH) is committed to serving the educational and workforce needs of Western Maryland. As a regional higher education center, USMH connects students with affordable, high-quality degree programs, fostering economic and community development in the region. For more information, visit hagerstown.usmd.edu or contact Michelle Walls, mwalls@hagerstown.usmd.edu.