The state’s budget problems aren’t just compromising the operations of the state universities; they are harming the universities’ credit outlook. Wichita State University, Kansas State University and Pittsburg State University had their credit outlooks lowered to “negative” Tuesday. Moody’s Investors Service noted that the universities received a 3 percent state funding cut this fiscal year and are slated to receive another cut next fiscal year. “The negative outlook does not change the universities’ rating but does connote downward pressure and the possibility of a downgrade in the next 12-24 months,” Moody’s spokesman David Jacobson said. The University of Kansas had already received a negative outlook. Nice work, Gov. Sam Brownback and the Legislature. – Phillip Brownlee
Premium content for only $0.99
For the most comprehensive local coverage, subscribe today.