Regents consider linking tuition to cost of majors
August 22, 2004
Some students may be digging deeper into their pockets than their peers next year if the Board of Regents adopts a new policy authorizing differential tuition rates among the three state universities.
A policy proposed at the regents’ August meeting would allow university presidents to request individual supplemental tuition increases to help cover costs for programs, majors and colleges with large expenses. If the policy is approved, students in some majors could have to pay more than other students.
The board is drafting policies that it could take formal action on at its Sept. 14 and 15 meeting in Iowa City.
Because the fiscal environment and market conditions change — sometimes without warning — each institution would be given the opportunity to make a case for a tuition supplement to be added to the core tuition rate that will remain the same for all three universities, according to board documents.
Board policy says undergraduate tuition must be identical at all regent universities.
“It allows each of the institutions to define more specifically their unique needs and desires,” said Gregory Nichols, executive director for the Board of Regents. “It allows Iowa State administrators and students to have a more specific discussion with the Board on specific needs at Iowa State.”
Justification for a supplement will be university-specific and could include, but is not limited to: considerations of current levels of state support, cost of delivery of university programs and the faculty and staff salary market for a specific university.
“People have to understand that different programs cost more than others,” said Mark Chidister, assistant to the ISU president for budget planning and analysis.
If the board authorizes supplemental tuition requests, universities must submit their requests for the 2005-06 academic year at least eight weeks before the board’s December meeting, according to a memo submitted at the Aug. 3 and 4 meeting.
If the policies are approved next month, they wouldn’t take effect until the beginning of the 2005-06 academic year.
“It’s a policy decision for future years. They’re not setting [tuition] rates,” Nichols said.
Financial aid would be adjusted to show that some programs cost more than others, Chidister said. He said Iowa State would maintain its commitment to set aside 20 percent of tuition dollars toward financial aid for the 2004-05 academic year, higher than the required 15 percent.
Even though students would have financial aid, the possibility for higher costs of programs may still discourage students from enrolling, said Regent Jenny Rokes, a University of Northern Iowa student.
However, Will Rock, Government of the Student Body vice president, de-emphasized the plan’s effect on ISU enrollment.
“I don’t think it will have that big of an affect on students coming to Iowa State because they’ll already know they’re coming into, say, engineering and can plan for an increase in tuition,” Rock said. “I think it will have a bigger effect on students trying to change their major. No matter what we do, it won’t be perfect. We’ll have to see how it will affect the way students choose majors.”
Rock said he supports the policy because it would keep everyone from paying the higher of rates of inflation of a few programs.
“It would make it so nobody is worse off, and only a few are better off,” he said.
But the issue is still in discussion stages.
“We looked at whether the rules and restrictions of the past make sense and whether they need to be change with today’s changing circumstances,” Nichols said. “The consensus is yes, there needs to be some changes.”
He said he expects that the regents will approve the policy.
The last time the board formally reviewed its tuition policies was in 1997.
“The world is a different place from 1997,” said Barbara Boose, communications specialist for the Board of Regents. “Most notable is the decline in state funding for higher education in the state of Iowa. Students and families are bearing a greater burden for the cost of education than they have been in the past 20 years.”
According to regents records, in the 1981 fiscal year, state appropriations accounted for 77.4 percent of regent university budgets, with 20.8 percent comprising tuition coverage.
This fiscal year, state appropriations account for 48.9 percent of university budgets, with 41.7 comprising tuition coverage.
The average tuition increase for regents universities students will remain 8.3 percent for the 2004-05 academic year, bringing the total income from tuition and fees to $162 million. Tuition will be $4,702 for in-state undergraduates and $14,404 for out-of-state undergraduates.
ISU tuition has increased 61.8 percent since the 2000-2001 school year.
— Daily staff reports contributed to this article.