Weekly Market Update

HOUSE RELEASES DETAILS ON NEW HIGHER EDUCATION ACT

Thursday, November 30, 2017

Details of House Republicans' proposed revisions to the Higher Education Act have emerged. The law supervises federal financial aid programs and was most recently reauthorized in 2008. The Education Committee's plan is focused on simplifying student aid packages while imposing borrowing limits for parents and graduate students. Additionally, the new plan would remove loan forgiveness programs for public service employees and reduce income-based repayment plans. The proposed changes would deregulate for-profit colleges, in keeping with the current administration's desire to bolster for-profit education options. A controversial component of the plan links government funding to graduation rates for colleges with high minority enrollment, requiring them to graduate or transfer at least 25% of their students to remain eligible for federal funds. The plan to reauthorize the bill is expected to gain momentum in the coming months.

In Other News

Rating Agency Update

  • Moody's assigned A3 to Wheaton College's Series 2017H Revenue Bonds. The outlook is stable.
  • Moody's assigned A3 to Fairfield University's Series 2017R Revenue Bonds. The outlook is stable.
  • Moody's assigned A1 to Rhodes College's Series 2017 Revenue Refunding Bonds. The outlook is stable.
  • S&P assigned A+ to Rhodes College's Series 2017 Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned A2 to Emporia State University's Series 2017D Revenue Bonds. The outlook is stable.
  • Moody's assigned Aa3 to University of Rochester's Series 2017C & 2017D Revenue Bonds. The outlook is stable.
  • S&P assigned AA- to University of Rochester's Series 2017C & 2017D Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aaa to Texas A&M University's Series 2017D & 2017E Revenue Bonds. The outlook is stable.
  • S&P assigned AAA to Texas A&M University's Series 2017D & 2017E Revenue Bonds. The outlook is stable.
  • Moody's assigned Aa3 to University of North Carolina at Charlotte's Series 2017A & 2017B Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aa1 to University of Colorado's Series 2017A-2 Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aa1 to University of Nebraska's Series 2017 Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aa2 to Iowa State University's Series 2017A Academic Building Revenue Refunding Bonds and Recreational System Facilities Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aa2 to the State University System of Florida's Series 2017B Revenue Refunding Bonds. The outlook is stable.
  • S&P assigned AA to Iowa State University's Series 2017A Revenue Refunding Bonds. The outlook is stable.
  • S&P assigned AA to Florida State University System's Series 2017B Revenue Refunding Bonds. The outlook is stable.
  • Moody's assigned Aaa to University of Texas System's Series 2017C Revenue Refunding Bonds. The outlook is stable.
  • S&P assigned AAA to University of Texas System's Series 2017C Revenue Bonds. The outlook is stable.
  • S&P affirmed its AA rating on Liberty University. The outlook is stable.
  • S&P assigned AA to University of California Board of Regents' Series 2017AY & Series 2017AZ Revenue Bonds. The outlook is stable.
  • S&P affirmed its BBB rating on Suffolk University. The outlook is negative.
  • S&P affirmed its AA- rating on California Institute of Technology. The outlook is stable
  • S&P affirmed its AA+ rating on Duke University. The outlook is stable.
  • S&P affirmed its A rating on Seattle University. The outlook is stable.
  • S&P affirmed its AA- rating on the State University of New York. The outlook is stable.
  • S&P affirmed its A rating on University of Southern Indiana. The outlook is stable.
  • S&P affirmed its BBB rating on Howard University. The outlook is negative.
  • S&P affirmed its A+ rating on University of Denver. The outlook is stable.
  • S&P affirmed its AAA rating on Harvard University. The outlook is stable.
  • S&P assigned BB+ to Mount Saint Mary University's Series 2017A & 2017B Revenue Bonds. The outlook is stable.
  • S&P affirmed its AA+ rating on Smith College. The outlook is stable.
  • S&P affirmed its AA- rating on Case Western Reserve University. The outlook is stable.
  • S&P affirmed its AA rating on Emory University. The outlook is stable.
  • S&P assigned AA to Arizona State University's Series 2017B & 2017C Revenue Bonds. The outlook is stable.