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See the Moody’s website for information on this rather surprising development. An excerpt:

*The system’s expansion plans, including additional capacity for 1,300 students across two new locations, may pressure further operations as actual enrollment continues to fall short of management’s projections.

 *The pending shift to a purely performance based funding model in FY 2016 creates uncertainty about the stability and level of state funding, which currently represents half of operating revenue, as appropriations will be tied to the economic earnings differential for graduates.

The curious can read posts on this blog discussing falling enrollment for Waco and West Texas.

A discussion of the new funding model may be seen at this link.

It looks like the regents, the chancellor, the presidents, and a few CFOs have some work to do.

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