Culver-Stockton College (C-SC) has had an annual improvement with the financial responsibility score over the last three years. In the fiscal year ending on June 30, 2022, it was a 2.200, on June 30, 2023, it was a 2.500 and for June 30, 2024, it was a 3.000. “I am very pleased to state Culver-Stockton College’s financial responsibility score has increased year over year for the last three years”, stated Julie Straus, Chief Financial Officer and Vice President of Finance.
Universities must demonstrate to the U.S. Department of Education that they are financially responsible to qualify for any Title IV federal programs. The financial responsibility score is calculated by the Reserve Ratio, the Equity Ratio, and the Net Income Ratio. They are computed with an assigned strength factor and weighted to calculate the composite score. “The financial responsibility regulations prescribe a ratio methodology which combines elements from the audited financial statements into a single blended composite score to determine financial responsibility”, says Straus.
In the Heart of America Conference, two schools, Benedictine and Central Methodist University, scored a 3.000 at the fiscal year end of June 30, 2023, Missouri Baptist University falling closely behind with a 2.600 and C-SC at a 2.500 with these schools in numerical order from fifth to twelfth: Park University, Grand View University, Missouri Valley College, Clarke University, Graceland University, William Penn University, Mount Mercy University and Baker University. As of late, the responsibility scores of 2024 for schools other than C-SC have not been made public.
Financial Responsibility Scores are ranked in three tiers. Tier one scores 1.500 to 3.000 with 3.000 being the best. This tier means that organizations are good enough to be considered responsible without being monitored. Tier two scores 1.000 to 1.400 which is being considered responsible but need to be monitored. Lastly, tier three scores -1.000 to 0.900 which means they are not responsible financially.
To find more information on Financial Responsibility Scores, use this link to direct to the Department of Education regulations, Department of Education – Financial Responsibility Score.
