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Phoenix fallout? Moody's places University of Idaho's bond rating under review – Idaho Capital Sun

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Phoenix fallout? Moody's places University of Idaho's bond rating under review – Idaho Capital Sun


This story was originally posted on IdahoEdNews.org on Feb. 19, 2024.

The $685 million University of Phoenix purchase could trigger a “multi-notch downgrade” in the University of Idaho’s bond rating, according to a newly issued report.

A downgrade could affect $130 million in existing U of I debt, according to an analysis from Moody’s Investors Service, a firm that issues credit ratings on public entities and private corporations worldwide.

U of I officials have long acknowledged that the Phoenix purchase could cause a downgrade. But they have also downplayed the risk, saying the university would be on the hook for no more than $10 million a year for bond payments. Four Three Education — a U of I-affiliated nonprofit — would finance the purchase, and university officials expect Four Three to comfortably cover bond payments.

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But Moody’s is skeptical.

In its report, issued Wednesday, Moody’s voices uncertainty about Four Three, and says the purchase still represents “a substantial increase of U of I’s total debt and leverage profile.” The report also refers, obliquely, to Phoenix’s “various legal and regulatory liabilities.” Consequently, purchasing the for-profit online university could expose the U of I to “potential future legal action” from the U.S. Department of Education.

The U of I currently has an A1 bond rating — a low risk, according to Moody’s rankings. Moddy’s had considered the U of I’s rating “stable,” before putting the rating under review last week.

And the review puts the U of I in a financial fog.

“We don’t have nearly enough detail to know where this could land,” Emily Raimes, a Moody’s associate managing director, told The Bond Buyer, a publication focused on municipal finance. “We just wanted to signal that (a downgrade) could be more than one notch. We try to be transparent, and if it’s capped at one notch, we would say that.”

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In a statement, the U of I said it would not address the specifics of the report until Moody’s “has a full understanding of this transaction.”

“University of Idaho has been expecting a reevaluation of our rating based (on) our desire to affiliate with University of Phoenix,” the U of I said in its statement. “It is unfortunate that Moody’s news release relies on false assumptions founded in uninformed public statements and incorrect media reports.”

Financing is one of several obstacles facing the U of I and Phoenix, as they hope to close the sale within the next few months.

An Idaho House committee introduced a resolution Thursday urging the State Board of Education to reconsider its support of the Phoenix purchase — threatening a possible lawsuit. And Attorney General Raúl Labrador has threatened to appeal a recent Ada County District Court ruling, which said the State Board’s closed-door discussions of the Phoenix purchase were legal.

More reading: Click here for our in-depth and up-to-the-minute Phoenix coverage.

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Idaho

Idaho Remains Red, White, and Blue for America 250

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Idaho Remains Red, White, and Blue for America 250


Remember that 250 years ago, nobody had ever heard of Idaho, and the name was mostly made up by an entrepreneur who impressed the federal government with an exaggeration about his knowledge of indigenous culture.  But a large number of people who live in the state can trace ancestry to the colonial era, and I believe most Americans still have a love of country, even if some polls give an indication they may not quite know how to express it.

I Was at the Heart of the Bicentennial

Looking back 50 years, I was in Washington, D.C. at the beginning of July.  Washington also didn’t exist in 1776.  My memory is that its reputation as a hot, sticky swamp was well earned.  I traveled there with a history club from school.  On a rattling old yellow bus.  The city was packed, and many of the people on the streets were foreign tourists.  It told me that despite the anti-Americanism common on streets elsewhere around the world, we were still fascinating others.

We’re Still One Nation

1976 was a unifying experience and followed a very turbulent previous 15 years.  Some people fear the 250th jubilee won’t bring us together.  Look, those rent-a-mobs you see on TV and online are actually a small fraction of America.  Picnics in the park don’t make news.  Riots and tear gas get the attention of newsrooms.  There are still far more picnics.

The recent Memorial Day commemorations were reverential.  Independence Day 2026 is going to be a party.  The media focus will be on President Trump and a festival far away.  Meanwhile, across Idaho, grills will be fired up, and we’ll be proud to be Americans.

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Idaho Man Chooses Chaos; Dives Off of Bridge With An Inflatable Unicorn

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Idaho Man Chooses Chaos; Dives Off of Bridge With An Inflatable Unicorn


It’s one of the most legendary sights anywhere in the State of Idaho! The Perrine Bridge, in Twin Falls, Idaho!

If you have ever driven through Twin Falls, odds are that you have crossed it and maybe didn’t know its significance. The bridge is 1,500 feet long and it offers amazing views for drivers and pedestrians alike. That said, you can hike anywhere along the canyon and the bridge itself, from afar, is a sight!

Over the years, it has become a popular destination for base jumping! There’s nothing illegal about it, even Visit Idaho brags about its appeal for the adventure enthusiasts!

One base jumper that has made a real name for himself online for jumping the Perrine Bridge has taken his viral hobby to a new level–this time, but having a ‘colorful creature’ join him!

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Take a look at these amazing shots captured as this Idahoan did the craziest leap imaginable! 

Flying Unicorn? Only in Idaho!

Take a look at the journey this inflatable unicorn and one brave Idahoan took over the weekend

Gallery Credit: Credit: Mateo, 103.5 KISS FM

Do you think you could do something like this? 

One can find dozens and dozens of videos of base jumping from the bridge online but this one might just be the most unique and the most Idaho of them all.

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We suppose if base jumping is such a normal activity for this guy, there are only so many ways to ‘spice it up’. He certainly found one!

You can watch this brave bridge-jumper and his unicorn friend take a leap of faith, below! Video posted by Jonathan Cox and DZONE Skydiving! 

Man Jumping Off Perrine Memorial Bridge

He has done it over 160 times.

Gainer Off The Perrine Bridge

Gallery Credit: Shannon Buccola





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A New Strain of Norovirus Attacks Idaho

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A New Strain of Norovirus Attacks Idaho


I was diagnosed with a norovirus once.  A dozen years ago.  It wasn’t pleasant.  Driving home from work one day, I had to pull over and get out of the car, where I was unwell along the roadside.  Too much information?   Consider it a warning.  I had GI issues for a couple of days, and was advised to avoid other people for a week.  It was a boring stretch and a waste of personal time off.

This is Sweeping the Country

A highly unusual strain of norovirus is afflicting some parts of the country, including California.  Being that we’re at the start of the summer travel season, it’s only a matter of time before it becomes widespread in Idaho.  You’ll know if you have it, and possibly 24 hours after exposure.  My experience was that it came about fast, and it was furious.

Check out this link for more details.   People don’t have much immunity to this particular strain.  The usual advice is to wash your hands frequently.  But we’re not always near a sink, and we share a lot of door handles.  I was at a busy travel plaza a few days ago, and dozens of people were going in and out of the building in the few minutes I was there.

Disease of the Week

I can’t speak for every case, but what I had wasn’t pretty, but the worst was over in a couple of days.  Then I self-quarantined for a few more days.  It should sweep across the state quickly, and then be gone, and offer some immunity for the foreseeable future.

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LIST: Norovirus Symptoms

If you begin to feel any or all of these symptoms, see your doctor to make sure youw on’t spread the bug to others!

Gallery Credit: CANVA





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