Posted on Wednesday, August 09, 2017
In a move that signals that Texas Southern University finances are trending upward, Moody's Investors Service has revised the school’s financial outlook from negative to stable and affirmed the University’s revenue system financing bonds Baa3 rating. The rated Series 2011, 2013 and 2016 bonds outstanding in the combined amount of $120 million were issued through the Texas Public Finance Authority.
The stable outlook acknowledges improved fiscal discipline leading to stronger cash flow margins. The Baa3 rating incorporates TSU’s location in the highly competitive, but vibrant Houston region, favorable progress in strengthening cash flow, stabilizing enrollment, and steps taken by the university to improve its recruitment and retention of students. Other factors for the change in rating include systematic changes in TSU’s financial practices, its revised enrollment management system, and improved community outreach endeavors. TSU’s implementation of recruiting and pathway improvements has demonstrated some success, however, the most significant reason for the school’s improved outlook has been the willingness of dedicated faculty and staff to work tirelessly towards its five top priorities - Student Success and Completion, Academic Program Quality and Research, Culture, Partnerships, and Finances.
Administrators have pledged to continue to work to further improve TSU’s financial positioning.
Category: News Media