COLMUMN: Regents not just picking pockets with tuition hikes
May 1, 2003
This year, it was an 18.5 percent increase. Next year, the enlargement is undeterminable, but will most likely happen. Of course, I am talking about tuition increases, a rather sore subject for most students, and rightfully so, because it hits us where it hurts the most: our wallets.
Most students, myself included, are quick to point a finger at the Board of Regents, a committee developed for the purpose of allocating state education funds. In conjunction with President Geoffroy’s Task Force on Strategic Effectiveness and Budget Priorities, these organizations are responsible for setting our tuition, fees, etc. So when things go awry, blame gets applied and we students start pulling out the “they’re trying to screw us out of our money” card.
There may be some truth to that, but I would like to think there must be another reason or reasons why my fellow Iowans and I are paying an extra $576 per year, and non-Iowans are paying an extra $1,934.
According to an article in the Wall Street Journal, “Schools Trim State Ties,” we are not alone. In fact, many other state universities are experiencing the same or worse increases. Currently, Iowa State has revenue of $841.7 million, 28.5 percent of which is funded by state aid. While this does not seem like a very big percentage, just be glad you don’t go to the University of Virginia, who sees similar revenues, but the state funding only contributes 13 percent to it.
So where has the state funding gone to in “state” universities?
Maybe the most prolific explanation is the simple fact that our state does not have as much money as it used to, and is, in fact, in deficit. Ever since the Clinton administration concluded, the economy has slowed. According to a survey by Stateline.org, 40 states, including Iowa, reported fiscal problems in 2001, ranging from moderate to severe. The remaining 10 states with positive financial outlooks had a common denominator of oil, gas and mineral industries — industries that traditionally fare well no matter what.
The tragedy of Sept. 11 does not help, either. Since September 2001, at least 15 states, again including Iowa, have made budget cuts, frozen spending or plan to do one of the aforementioned in the near future. Less money for the state means less money for its state universities.
As if the budget cuts and lagging economy were not enough, most states have ballooning Medicare and elementary and secondary school expenses. Baby boomers are getting old and are requiring more Medicare, which people automatically qualify for at age 65. States have begun shifting their priority to the young and the old, primarily because they feel students should pay more for the education because it will significantly increase their earning power.
How, exactly, is yet to be explained.
Public universities also report that they need to increase tuition to compete with private universities, who pay their professors an average of $22,000 more per year. Good faculty in turn attracts good students, but also attracts research grants, which help finance labs, buildings, etc. The reason you see so many buildings going up around here is that they are funded by private donators, not state allowances.
In the ever-changing world of college tuition, low price is often equated with low quality and vice versa. Why is it that although community colleges are the best bargain (students at North Iowa Area Community College pay approximately $2,500 per year), students still opt for state universities and private colleges? And why do people really go to Ivy League schools? One word: prestige.
Miami of Ohio is reporting that its number of applicants is up 27 percent this year (despite tuition increases), with more than a quarter of those applicants coming from out-of-state, where tuition is not that much less than that of esteemed private institutions such as Rice and Stetson. They expect that boosting tuition will actually attract more Ohio students.
So what is being done about this dilemma? Can state universities really be “privatized?” Miami of Ohio thinks so. They will begin charging all students, in and out-of-state, $16,300 a year for tuition, but giving Ohio residents a $5,000 residency scholarship. The remaining $3,700 increase will be used to recruit good students, professors and keeping class sizes small. This resembles a private university to me.
One more realistic alternative, being lobbied by the University of Texas, is letting the university set its own tuition, but charging more for highly sought after degrees such as engineering and MBA’s and charging less for lower-paying majors such as social work. This may even include discounts for late afternoon and evening classes.
This seems a more logical action to me. Stop trying to compete with private school counterparts and concentrate on improving student satisfaction. It worked for Texas, as their tuition capped off at $4,000, although only 22 percent was funded by their state government.
Before you start dubbing Regents greedy and tuition increases unfounded, don’t forget to see the whole picture. Tuition increases suck, but we should focus on the solutions instead of the problem.