UW could lose credit rating in debt crisis

If the U.S. can’t solve the current deficit crisis, the University of Washington could lose its AAA credit rating.

“The University of Washington has a very large share of revenues that are derived from federal research grants and Medicare and Medicaid reimbursements,” said David Jacobson with Moody’s Investors Services.

He said the lower the rating, the higher the credit risk is, which means higher borrowing costs for the school.

The city of Seattle, Bellevue, and King County are also under review for possible downgrades.