Financial Struggles Lead to Closure of University of Providence by 2027
In a significant development for higher education in Montana, the University of Providence, a private Catholic liberal arts institution in Great Falls, has announced its closure scheduled for August 20, 2027. The decision stems from enduring financial difficulties, as revealed by the university on Tuesday.
University President Caroline Goulet attributed the closure to declining enrollment and financial challenges in a video message on the university’s website. “Despite those efforts, we could not find a financially sustainable way forward,” Goulet stated.
The board of trustees unanimously voted to shut down the university, which resides on a sprawling 44-acre campus near Benefis Hospital. Board Chairperson Terry Cosgrove emphasized the lasting impact of the university, saying in a press release, “While this chapter of the university’s history is ending, its mission and impact will endure through the generations of graduates, faculty, staff, Sisters and partners who have carried the spirit of Providence into their communities.”
The board opted for a planned closure to mitigate potential disruptions. Information on this decision is available on various webpages created by the university, which highlight the broader pressures facing small private colleges nationwide, especially those in rural settings.
In 2025, the university reported $28.6 million in revenue against $35.6 million in expenses, with assets totaling $48.6 million, as noted by ProPublica.
‘Questions about what comes next’
Separate student and faculty webpages provide further details about the transition, including guidance on transfers, credit recognition, and degree status. The Montana University System has committed to assisting students in finding new educational opportunities. Commissioner of Higher Education Clayton Christian reassured students, stating, “You do not have to navigate this transition alone. The Montana University System is here to help you find a path forward that builds on your progress and supports your goal of earning a degree.”
Discussions about the university’s $20 million endowment are ongoing, with plans to use funds to support scholarships and reduce tuition for current students. Legal counsel is involved to ensure that endowment use aligns with donor intentions and applicable laws.
‘Times change’
Founded in 1932, the University of Providence has a rich history, originally established by the Sisters of Providence. Over the years, the university has undergone several name changes, reflecting its evolving mission and partnerships.
Financial backing from Providence Health & Services, a major healthcare provider with roots in the Sisters of Providence’s mission, has been instrumental in keeping the university afloat. However, financial exigency was declared in December 2025 as the university sought sustainable solutions.
‘Cannot be measured in dollars alone’
The University of Providence has been a cornerstone of education in Great Falls, offering popular programs in nursing, criminal justice, and psychology. Mayor Cory Reeves expressed his dismay at the closure, noting the university’s profound impact on the community. “Its impact on Great Falls and Montana cannot be measured in dollars alone,” Reeves stated, reflecting on his personal connection to the institution.
The university also boasts a strong athletic presence, particularly in volleyball and women’s basketball. However, the future of its sports programs remains uncertain as the closure date approaches.
