Riddled with debt, Alderson Broaddus University no longer eligible to award degrees

Aug. 1—FAIRMONT — Alderson Broaddus University can no longer award degrees after Dec. 31, determined by a unanimous vote on Monday from the commission that oversees higher education in West Virginia.

The move was prompted by ongoing financial issues at the University, including a $775,000 utilities debt. Concerns about the University's ability to pay debts have mounted since 2022, but came into the spotlight this summer.

On July 12, the West Virginia Higher Education Policy Commission held a special meeting where it voted to provisionally reauthorize the University through 2024, but added that it might reconsider "if the institution does not meet the State's criteria for financial stability."

At a June 16 special meeting, the Commission noted it would seek "detailed information regarding the University's financial condition," including its financial need, enrollment, and ability to provide student support.

Colleges and universities in West Virginia must be reauthorized by the Commission annually, but the process is different for schools facing financial turmoil.

Those schools with Composite Financial Index scores below 1.0, the bottom quartile of possible scores, are granted reauthorization on a provisional basis, meaning Commission staff must review additional financial information to uphold the decision.

The Index is a metric for institutional financial health based on factors including operating performance and the ability to cover debts. While the University received a standard authorization in 2021, by 2022 its score declined enough that it only received a provisional reauthorization — and one that was revoked less than a year later.

Before that, the Commission had extended the University's reauthorization July 12 in "the interest of student consumer protection."

"We continue to have concerns about the financial viability of this institution," a July 12 Commission press release read. "However, we would like to give the new leadership team time to possibly turn the ship around."

The decision came after then-Chairperson Rebecca A. Hooman resigned from the Alderson Broaddus University Board of Trustees and Governors and was replaced by alum James E. Garvin.

But ultimately during an emergency meeting on July 31, the Commission revoked the authorization, signaling a lack of faith in the University's ability to overcome financial woes and provide a "stable, effective, and safe learning environment."

"While I truly wish there had been a viable path forward for Alderson Broaddus University to continue operating, our foremost priority is to help their students continue their education as seamlessly as possible," said Sarah Armstrong Tucker, state chancellor of higher education, in a July 31 press release.

The University is no longer permitted to enroll new students this fall, and only seniors graduating in the fall term can return to complete their courses of study. The University can appeal the decision within 10 days of its announcement.

Representatives from Alderson Broaddus University declined to comment at this time.

Now, the Commission is looking to help the University's student body take their education to new campuses.

"We have been working with other colleges and universities in the state, and we are grateful to have institutions that are eager to help these students transfer and complete their degrees," Tucker said in the July 31 press release. "The Commission takes its role in authorizing private institutions to operate within West Virginia very seriously. This is a role that the Legislature entrusted us with to safeguard students, and that is exactly what we are doing."

In the press release, the Commission included points of contact for students interested in transferring to West Virginia Wesleyan College and Davis & Elkins College.

While representatives from the colleges declined to comment at this time, both have expressed their commitment to supporting students from Alderson Broaddus University who are interested in transferring to their campuses.

Fairmont State University and Glenville State University released similar press releases expressing their readiness to guide students through the transfer process.

"Fairmont State University is saddened by the news of the revocation of Alderson Broaddus University's authority," read the Fairmont State press release. "As a neighboring university, Alderson Broaddus has always been a good and respected friend of Fairmont State, and our thoughts are with the students and staff, as well as with the community of Philippi as they begin to navigate the effects of this impactful decision."

In the meantime, Fairmont State announced its new Battler Transfer Scholarship, which will provide $2000 to Alderson Broaddus transfer students who reside in campus housing, and $1000 to those who commute to campus.

"Though they may have started as Battlers (and, we hope, will always keep that Battler spirit in their hearts), we want to help Alderson Broaddus transfer students finish their educations and graduate — and soar — as Falcons," the press release added.

Reach Jack Walker by email at jwalker@timeswv.com.