The COVID-19 pandemic has hit America’s colleges and universities like a category 5 hurricane. After a very tough spring and summer, campuses are doing their best to open.
Those that cannot have gone virtual, which has generated demands for refunds of housing, meal plan fees, tuition and other fees. These refunds in combination with COVID-19 related compliance and safety-related expenses and major investments in technology and training to go virtual have just added to the pain. The losses that schools incurred from the spring shutdowns were only partially offset from the federal Coronavirus Aid, Relief and Economic Security (CARES) Act and additional funding from the federal government is questionable.
The refunds and additional expenses are being compounded with the loss of revenue from international students and students taking a gap year. Future revenue is likely to be impacted due to projected demographics showing domestic college-bound students down or flat