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Welcome to the podcast. We call it TWICV. It is our effort to provide a fast-paced, entertaining, and alternative voice to the propaganda and hype flowing out of colleges in America today.
This week in College Viability is a proud affilate of The EdUP Experience podcast network.
Gary D Stocker (00:00.084)
It is this week in college viability news and commentary for June 1st. Yes, it's the first day of June 2026. Hi everybody, Gary Stalker sitting in front of the Blue Yeti microphone and the always running Riverside.fm podcast software. Let's lead off today's show with recognition. Recognition for college viability and for me. In late May, I received word from FeedSpot.
That this week in College Viability was a top five, get that right, a top five podcast for parents of college students. Of course, one of the biggest target markets we have here at College Viability. And that's good for many reasons, for obvious reasons. But really, as I narrow my focus a little bit more on providing timely and relevant content for students and families, this recognition from FeedSpot will really help. And I'm grateful for the good folks at FeedSpot.
For sharing that recognition with me. This week we have more layoffs and cutbacks. Simpson College in Iowa. Some students lose some sports teams. We'll talk about how that was handled. And I want to talk about Matt Hendricks and Forbes. The reasons that private data entrepreneurs like Matt Hendricks and me are changing the way higher education is viewed. There's kind of a two ways to look at this: those that do big picture on the industry, and those that look at specific details.
From the data colleges themselves submit on specific colleges. And you know we're talking about we're talking about college viability with that. With that comment and hey, Loyola University of Maryland eliminates 66 jobs amid a 200, excuse me, amid a 20, amid a $20 million deficit. Ellie Wolf had that story for the Baltimore banner on May 28th. The state's Loyola University of Maryland, the state's second largest private university.
Eliminated 66 jobs this month as a result works to resolve that 20 million deficit. 29 employees were laid off, and 37 vacant positions were not filled. Loyola is the latest Maryland college to announce job cuts following the University of Maryland at College Park and Bowie State University. This, of course, comes as declines take place almost everywhere across the country. Interestingly, in this one, even though
Gary D Stocker (02:22.84)
Loyola University of Maryland is in fine financial shape. I noticed their college president said, we're well positioned for the future. All right, you're certainly entitled. But how does he know that? What makes him say that? And what concerns does he have? Now, again, I I looked at the data for Loyola, Maryland, it's pretty strong. Their enrollment is down a little bit, but their graduation rates are outstanding. I have a little concern about their balance sheet, but only it only falls
In the category of something to watch. But this, even though it's positive and obvious here at Maryland, Loyola, Maryland, this is the kind of unsubstantiated spin that you want me here to talk about. This unsubstantiated spin that students and families need to watch out for. And of course, that's what we do here at college viability. Santa Monica College, their college board erupts, this is internally, erupts over layoffs.
As their financial crisis deepens, Matt Hall had the story in the Santa Monica Daily Press on May 27th. Let me read from Matt's story. Accusations. it's good to start off with that. Accusations of anti-labor bias, a decade of poor financial stewardship, and a leadership vacuum collided at St. Monica's College Board of Trustees May meeting as members traded sharp criticisms over mass layoffs.
While the institution's financial reserves continued a four-year slide toward insolvency, the board voted to terminate 45 classified employees, custodians, administrative assistants, parking enforcement officers, tutors, and other sports support staff, as a graduate as it as it deals with the 47, excuse me, with the 14.7 million deficit. And I read in the story that there's even with all these cuts, there's still something like six to seven million short.
On expenses needed to be cut. I'll look at their data, 2017 to 2024. Full-time enrollment down 3,000 students plus. Part-time enrollment caught my attention, down 4,600 students plus. What do you think is next on my list? Yeah, the four-year graduation rate. You can tell by my tone of voice, it's not gonna be good. How about averaging somewhere around 30% for every one of those, for every 100 of those students who started.
Gary D Stocker (04:46.144)
At Santa Monica College, 30, give or take, graduate in four years. 70 do not. There are 20,000 plus students there, do the math. 20,000 times seven is 14,000-ish of those students do not graduate in four years, 7,000-ish do. And they're not even reporting retention or admission geo. That always concerns me when the data isn't even forthcoming.
And and I I I look at their majors completed. They only listed four, totaling less than 500 completions. For 27,000 students, you would expect there to be a few thousand completions. So I again that concerns me. When any college, public or private, can't even get the data out the door for you and I to look at. And again, no matter what your role is in higher education, no matter what your role, the need for independent data sources like
Me, like college viability, are an absolute must in this day and age. Our college viability inspection report currently for private colleges makes it easy. We show green for good and red for not so good. It's available at mycollege viability.com page two. I think I've talked about this kind of story before. And it's it's a narrative that's in the mainstream higher education press. And I'll read from the Forbes story.
A common narrative in the mainstream press is that skepticism about higher education is on the rise, and that an increasing number of Americans doubt that going to college is worth it. All right? The job market is tight, AI is threatening to disrupt the labor market, and student debt is a personal dilemma and a drain on the economy. Those concerns, here's the qualification, those concerns might all be correct, but here's what else is true. Now listen closely to this.
Listen critically to this. Here's what else is true. While the outcomes vary by major and institution, going to college, going to college on average yields a significant earnings premium, particularly for those students who complete a four-year degree.
Gary D Stocker (07:03.224)
I'm not sure that's particularly good writing because they're covering both bases. Going to college doesn't get it done. Graduating helps, for sure. For those who graduate, there's great value. I've talked about that many times. Millions of our students go to college and have a fabulous experience, get that degree, and move on to prosperous careers. Going to college, as I have shared so many times, does not generally get you that same return on investment. Graduating does yet.
Only forty three percent you've heard me with that number before, only forty three percent of public and private colleges graduate students in four years.
Going to college without graduating mostly, mostly gets you debt, and mostly gets you an inability to earn enough to repay that debt. Graduating from college is where the win is going to college. I gotta think they didn't really want to write it that way. Going to college is not what gets it done. Page three, Simpson College. We had Simpson College on the College Financial Health Show with Matt Hendricks and Gary Stalker two or three weeks ago. And
They have their financial situation, is is not strong. It's weak. So I guess I shouldn't be surprised that when they had to do some cutbacks on some sports teams, they mishandled the elimination of swimming and shooting sports. An email, yes, an email. An email was sent to students, to the affected students for those swimming and shooting teams. Tristan Blair, who is the captain of the Simpson swim team,
Was also surprised and disappointed. I think that's the part, the email. I think that's the part that really didn't sit well with me, explained Blair, is that it was told by email. That's the part I don't really like. We could have had a meeting where we talked about it, asked questions, figured it out, really found out what was going on. So Tristan Blair was not really happy with that. Now, all right, it's a busy time at the Simpson Colleges of the World.
Gary D Stocker (09:14.156)
At this particular college in Iowa. Serious financial issues, cutbacks are needed, and and and much more. If a doctor were diagnosing this college, poor communication, as was evidenced here with a swim team and shooting team notification, would be yet another symptom of this distress. A Simpson in this story, but at many other colleges across the country. How about a baby story? 18 years ago. This is from the Denver Post on May 31st.
18 years ago, Coloradans started having fewer babies. Now it's a higher education problem. Now I've had this kind of story before. I don't do it that often because it's so it's everywhere else. Colorado is expected to see a twelve percent decline in high school graduates between twenty twenty three and twenty twenty four and twenty forty one. Now, Colorado, as you all know, is now my home. We moved to Colorado Springs from St. Louis about a month or so ago. And and I bring this up.
Simply as a reminder.
I'm gonna tease a little bit. Try as we might. We we didn't, you and I didn't make enough babies early in the 21st century. Those demographic and numeric numbers have have caught up with an industry that needs babies. It needs babies plus 18 years. And it was an industry already in decline. Now, does the demographic cliff, the demographic slope, some are calling it, have an impact? Yeah, it probably speeds things up.
But this was an industry. Higher education was an industry in decline, even before you and I decided not to make more babies. So make it's more important now. Make your college choices even more carefully. Check the financial health. Listen to the college financial health show with Matt and myself. At least get some ideas. You can use his College Financial Compass and our college viability inspection report to get data that at least helps you.
Gary D Stocker (11:16.674)
Make a more informed decision. The college viability inspection report can even give you questions, contextually sensitive questions to ask colleges you're considering. And back to Matt for to Mac to back to Matt Hendricks.
As I mentioned, he's my partner on the College Financial Health Show. And when the 2026 Forbes, Forbes private college financial grades, came out, week ago this past Friday, it was announced that Matt's work was something called the UNAP, unrestricted assets minus some expenses. That's good enough for now. It's a measure of col of a college's financial value, was included in the Forbes calculations of college grades.
Now, the Forbes store reported something like 27% of all of the 900 plus colleges they looked at had a D. D is in not so good. D is in dog. D is in financial distress. So do 27% of 900, if it's easier, do 30%, round it up, of 900. That's 300-ish colleges. Got a D. And part of that calculation was the actual value of the college.
And in many cases, I don't remember the number off the top, it was a negative number, a negative value. You want to be concerned about looking at or choosing colleges like that. And it's been almost two years since Matt and I have been hosting the live weekly college financial health show. And we've we reviewed the pri the financial health and even the viability of not quite 200 private colleges. The Forbes grades reflected what we have seen.
During the show, too many colleges, mostly private, some public, are in dire financial straits with little reasonable way to either survive or thrive in a declining higher education market. And many of these colleges, in the face of dire finances, are trying to put a happy face on their financial plight. You and I would too, probably. That's why I'm here to say, hey.
Gary D Stocker (13:28.952)
Here are the good ones, here are the ones to be concerned about. Accept the happy face if you want. Accept that happy face. But the the higher education world is moving toward independent, private analysis. Analysis and even reporting, just reporting, on the financial health and even outcomes, graduation rates of colleges. And it's it's clear to me, and I've said this so many times.
That the accreditation organ organizations responsible, currently responsible, for reporting on financial and academic results, are woefully unable to do so, woefully unable to do so in a timely manner. Math's PDS College Financial Compass and Strategic Compasses are financial tools mostly for higher ed leaders, trustees, bondholders, banks. And the tools we create at college viability, the inspection report.
Compllege majors completion app are really for consumers and higher and other higher education stakeholders. And they they all provide a true, unbiased, nobody pays us to do this, you pay us if you buy our apps, unbiased picture of a college's ability to survive and maybe even down the road thrive. And I know I I'm I'm pleased to have spent the last seven years developing the products and perspective to help.
Students and families and other stakeholders more easily evaluate colleges. Many, many news stories say go to look at iPads, go look at financial statements, go look at IRS 990s. Well, they're all out there. It's all legitimate guidance, but it's you gotta have experience, you gotta have time to look at these things. We take that data and from audited financial statements, and we make it easy to read, easy to understand, easy to compare, easy to look at trends.
And of course, I will leave links to all of our products in the podcast show notes. Page four: new financial grades raise concerns. This again goes back to the Forbes report. New financial grades raise concerns about colleges' long-term stability. John Dowding had this story on 11 ABC on May 31st, out of Raleigh, North Carolina. And here's what Mr. Dowding wrote. Families are navigating the already
Gary D Stocker (15:54.358)
Stressful college planning process and a new set of financial grades, well not new, but our annual set of financial grades is prompting many to look more closely at the stability and they mean financial stability of the schools, the colleges they are considering. Forbes' annual report is putting a spotlight on how well colleges can manage their finances, have managed their finances. The rankings at Forbes, the grades, A, B, C D, they don't do Fs.
The rankings are based on each institution's ability to cover immediate expenses with cash on hand, a measure that's resonating with parents. Well, there's more factors than that, but that's the essence. And in the triangle, the Raleigh Triangle, he talks about colleges and their grades, Duke had an A plus, Meredith College earned a B minus, Shaw University was a C minus, and St. Augustine was one of those twenty seven percent that received a D. St. Augustine has then officially closed, but they have, I believe, filed for bankruptcy.
For families, these these grades at Forbes are a good indicator.
No, there's a paywall there, so you can't get them without access to the Forbes content. I'll be writing and posting some of that kind of stuff because I do have access. I do pay for the Forbes subscription. These are an important part of the of the decision-making process. I would even argue not the decision-making process, but offer d developing that initial college list. If your college has a D on the Forbes list, be really careful.
Go deeper. Ask ask Matt and I to review the college on our on our show. Take a look at the college viability inspection report. If you want, look at their look at your own on their on their financial statements, on tax documents, but we do that for you.
Gary D Stocker (17:40.524)
So there's a woman mentioned, Miranda Van Ningen, who is a Wake Forest parent in North Carolina, and she said this college experience is much more than books and the tuition. That's Wake Forest parent, Miranda Van Ningen. Van Ningen said a school's financial condition is now a key factor as she and many other parents evaluate long term value and security.
We had to really lean in and ask the questions, make sure that we were getting the answers we appreciated, she said. They want us, talking about colleges, they want our money to come in and to pay for the next year, next four years probably. She said the financial grades offer insight, and I was added comparisons into how well schools can navigate.
Navigate the economic challenges. And and to Miss Van Ninjan, I say, Amen. Amen. The question for colleges, and this is what I've been working on for seven years now, the question for colleges across the country is to ask this what happens? What happens if more students and families check on your financial health and outcome and outcomes like Miranda Van Ningen did?
What are they gonna see? What actions are they gonna take when they look at what's effectively the Kelly Blue Book for higher education? Kelly, of course, kicks the tires on cars, or we kick the finances and outcomes on colleges. Hey, let's do a wrap. It is summertime, not officially, it is summertime in higher education. Colleges are counting enrollment, crossing the fingers, and planning for the fall. Some of those colleges will be counting their last dollars.
and deciding whether they can stay in business. If warning signs, warning information, warning news,
Gary D Stocker (19:40.91)
Become public for any of these colleges, expect almost all of them, if not all of them, to deny any intention of closing until they do. And of course, as I've said before, the challenge for college leaders is if any bad news comes out, it becomes a self-fulfilling prophecy. But where is that obligation for these colleges, to their students and faculty and staff and communities? If it's not going to happen in June, it
It's not gonna happen in August or September. Do the right thing. Make the announcement. Let everybody associated with your organization move on. Use the data and perspectives from private, independent sources like college viability to help assess the likelihood of closures. Make your own decisions. You don't need press releases. Make your own decisions just like you do for everything else you buy. Clothes and cars and bed spreads and furniture and computers and all that stuff.
And as I've said before, ask us to do your college on a show. Now we're about two months out. So if you're questing today, it's gonna be end of July, early August before we get to colleges. And that's with any new requests, without any new requests. And then that that by itself should tell you what the demand is for for independent analysis, for independent analysis of college financial health. Now we're s we're backed up quite a bit. We're probably not gonna add any more shows to our weekly show list.
So, usually what I do is a quick assessment. You request a college, and I know we can't get to it for a couple months. I'll do a quick assessment. Quick highlights, two, three, four bullet points, and send that to you. If you want to make sure I do one because I anticipate the volume will increase, make sure to ask. I may not get it done that day, but I will get it done. So hey, that's a wrap. I'm coming back next Monday. We're always going to talk about colleges and financial health and perspective and spin. Thanks. Thanks for watching in sufficient numbers.
To get this week in college viability in the top five in our feed spot category. Can't tell you how grateful and appreciative I am. I'm Gary Stalker at college viability. We'll talk next Monday.