Summary: University of Dubuque, Iowa; Private Coll/Univ - General Obligation

S&P Global Ratings revised its outlook to stable from negative and affirmed its 'BBB' long-term rating on Iowa Higher Education Loan Authority's series 2011 private college facility revenue refunding bonds, issued on behalf of the University of Dubuque (UD). The revised outlook reflects our opinion of the university's available resource metrics, which continued to improve in fiscal 2020, and provided support to the current rating despite the pandemic, ongoing pressure to undergraduate enrollment, and continued operating deficits on a full-accrual basis. In addition, we believe federal stimulus funding will supplement financial operations over the near term; providing an offset for pandemic related expenses and associated lost revenue. As of fiscal year-end, May 31, 2020, UD had approximately $49.6 million in

...accepted accounting principles (GAAP) basis. The university reopened its campus for in person learning in fall 2020, but also allows students to attend classes remotely through a synchronized learning system. With the opening of its new campus health center in summer 2020, the university is certified to do its own COVID-19 testing, and has protocols in place for testing, tracing, and designated isolation and quarantine space, if needed. Fall 2020 full-time equivalent (FTE) enrollment was down 2.9%, which management believes is primarily due to a lower number of international students due to various issues these students faced obtaining visas and traveling during the pandemic. The university is not highly reliant on international students; as of fall 2020, the university had 95 international students, which comprises less than 5% of total FTE, slightly lower than the year prior. In fiscal 2020, auxiliary revenue comprised approximately 2.1% of adjusted operating revenue, which we believe...

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