QUINCY — Quincy University is receiving a $24 million loan through a federal program that will allow it to restructure its debt and improve cash flow.
Through the U.S. Department of Agriculture’s Community Facilities Direct Loan and Grant Program, QU’s $24 million loan is secured with an 80% loan guarantee. The loan is targeted for QU to refinance existing debt, allowing for savings that school officials say will be channeled back into programs at the school.
“This was a great opportunity for us to create new resources,” QU President Brian McGee said. “Every dime we can save in debt can go right back in to student welfare spending.”
The loan was announced late last week as part of $60 million in funding announced by U.S. Sens. Dick Durbin, D-Ill., and Tammy Duckworth, D-Ill, for several communities in the state.
“These loans and grants will help rural communities throughout Illinois expand economic opportunities and improve both quality of life and public safety,” said Durbin in a statement.
“Federal investments like these will help rural communities across Illinois improve infrastructure, create economic opportunities and support our state as we build back better post-pandemic,” said Duckworth in a statement.
McGee said the loan for Quincy University and the entire funding package for Illinois shows that government can be a force for good at all levels. He also emphasized that this was a truly bipartisan effort.
“This was worked on by Senators Durbin and Duckworth, as well as Congressman (Darin) LaHood, and former mayor Kyle Moore, they’ve all worked hard on this, pulling together for the community and the college,” he said.
The process has not been quick. McGee said area banks have worked with the legislators and university administrators for over a year to get to this point.
“There’s nothing easy about large and complex loans like these,” he said. “Bank of Springfield was the lead bank, but so many people at so many banks have worked with us, I don’t want to try and name names because I’ll certainly miss someone. But I give full credit to the all of the local banks that worked with us on this.”
According to McGee, the securing of these loans shows the confidence by those who control these purse-strings in the strength of the school.
“This shows the recognition of the importance of QU in the community,” he said, “and it’s a sign of belief by federal regulators in the University.
“Quincy University has been a powerful force for economic vitality. That’s why we qualified for this loan. This is a classic win-win, for the community, for the state, and for Quincy University.”