Moody’s has revised the College of DuPage bond rating from “Aa1” to “Aaa,” the highest possible rating, and affirmed its rating outlook of “stable” on the College’s outstanding general obligation bonds.
In rendering the decision, Moody’s cited a number of factors, including:
- Very strong financial operation resulting in ample reserve levels
- Improved management
- Low debt burden
“We are gratified that Moody’s recognizes our strong financial condition and the professionalism of the College’s financial administration,” said College of DuPage President Dr. Brian Caputo. “We take our fiscal responsibility to our constituents very seriously and see this upgrade as affirmation of our efforts.”
The upgrade comes four years after the College’s rating was downgraded amid administrative struggles. The rating agency wrote in its March 13 rationale, “The upgrade to Aaa reflects ongoing governance improvements that have resulted in the College's accreditation being removed from probation by the Higher Learning Commission coupled with an exceptionally healthy financial position."
Additionally, incorporated in the rating is the College's substantial and diversified tax base that benefits from an affluent demographic profile and modest debt burden.
College of DuPage Board Chairman Frank Napolitano said he is pleased with the positive direction the College has taken to strengthen financial safeguards and implement best practices procedurally throughout the institution over the last several years.
“On behalf of the Board of Trustees, I thank Dr. Caputo, Interim Chief Financial Officer Scott Brady and his staff for all their efforts,” he said. “Regaining this Aaa rating is a testament to the College’s fortitude and a clear sign that the College has moved beyond the struggles of the past. We should all be proud of the strides we have made, which have further solidified the College’s strong financial position.”