February 25th, 2015
Standard & Poor's Rating Services recently issued a negative outlook for nonprofit higher education for
2015. "Upping the Ante: Costs of Luring Top Students Keeps the Outlook
Negative on U.S. Not-for-Profit Higher Education Sector" cites that
colleges and universities will continue to struggle to balance their
rising costs with student affordability. In addition, increased
competition within the industry will require even stronger in-house
Education funding is taking a hit nationwide as more and more states are instituting cuts. Arizona Gov. Doug Ducey's proposed budget
calls for $75 million in cuts to the state's public universities.
Already heavily dependent on tuition dollars for the majority of their
operating budget, educational leaders there worry how these potential
cuts will further affect their bottom line - in particular at Arizona
State University where officials previously announced no tuition
increases for existing in-state ASU students.