Southwestern Baptist Theological Seminary’s accreditation has been restored, ending three years of being under a warning status with its regional academic accreditor, school officials announced Thursday.

President David S. Dockery stated that the seminary “is now in full compliance with all accreditation expectations” of the Southern Association of Colleges and Schools Commission on Colleges following action by the accreditation board on June 11.

Background

Warnings were placed on the seminary in June 2023 following a report revealing the institution had accumulated a $140 million shortfall between 2002 and 2022. School leaders have been working to get the sanctions removed and improve the institution’s finances through property sales and increasing net assets.

Dockery expressed gratitude to God and the seminary community for the institution’s improvements, stating the school “must and will continue to be thoroughly committed to faithful institutional stewardship and a renewed sense of overall institutional responsibility in the days ahead.”

The removal of sanctions came after accreditors signaled that might happen following an April visit to the school. The seminary made efforts to follow guidance from regional accreditors, including increasing net tuition, auxiliary revenue, and overall operating revenue, and decreasing personnel expenses and overall operating expenses.

Financial Improvements

In August 2023, Fort Worth City Council approved an $11 million purchase of 15 acres of the Carroll Park Apartments, previously used for seminary student housing. The property sale allowed the school to pay off $6.1 million in short-term debt, with $3.4 million set aside in a “quasi-endowment account” and $3 million in reserves.

Unrestricted net assets have increased more than $40 million since the end of the 2022 fiscal year. Cash reserves and cash equivalents now total about 50% of the annual budget, according to Dockery.

Original reporting: Fort Worth Report — read the source article.