Regents Approve Second-Tier Tuition Increases

Utah's mounting tuition costs continued their upward spiral last week as the State Board of Regents voted to approve second-tier tuition increases.

The move will require Utah State University students to dig a little deeper into their pockets this fall.

Last year, the board adopted a first-tier tuition increase of 4.5 percent for institutions, with 0.5 percent of the amount earmarked for financial aid. The second-tier increases will nudge undergraduate tuition at USU upward by an additional 5 percent, or $221, and graduate tuition by 2.5 percent, or $160.

The measure is expected to raise a little more than $2 million for the university, said David Buhler, the regents' spokesman.

Nearly half that money will be used to purchase a new student information system, according to a university proposal. The funds will also be used to add library enhancements and to increase the number of sections offered for bottleneck courses.

Next year, as part of an ongoing allocation, the added revenue will be put to use in the hiring of 25 new faculty and six full-time student advisers.

Extra tuition isn't all the bonus cash the university will receive this year. USU will collect about $731,000 in one-time funds made available by the board -- its share of the $4 million initially cut by the Legislature and then restored for use at the regents' discretion, Buhler said.

In December, lawmakers cut $12 million from higher education, while provisionally restoring $9 million in one-time money as they labored to prevent yet another shortfall in tax revenues.

Legislators spread about $5 million of that allocation across the 10-campus system proportionately but gave $4 million to regents to distribute as they saw fit.

"The Executive Committee and the Council of Presidents used the current funding formula and tried to be as fair as possible," said Regent Sara Sinclair of Logan. "There was a lot of anxiety over how the money could be distributed, as the regents have never done this before. The Legislature has been looking at the idea of giving the regents a block grant, but it's too bad the environment is as it is."

"The higher-education budget will start off $12 million less," Sinclair said.

A critical problem facing the board is a blemish in its current funding formula.

"It covers new growth but does not recognize new student enrollment," Sinclair said. "The formula actually cuts dollars per student we have. Over the last few years, we have lost about $788 per student."

The flaw is forcing some institutions to think in terms of limiting enrollment.

"[University of Utah President] Bernie Machen is having to consider capping enrollment. I know [USU President Kermit L.] Hall has thought about it," Sinclair said.

The regents plan to give the funding formula serious thought, she added.

Meanwhile, students can expect more tuition anxiety as the state grapples with fumbling finances.

"If the state's funding were not to increase but not to go down either, tuition will increase by 15.5 percent annually," Buhler said. "If the funding were to go down by 1 percent per year for five years, you're looking at a 17 percent annual increase in tuition."

Education needs an increase in funding from the state, or tuition is likely to be lastingly northward ho.

For now, however, students are being encouraged to remain calm, as nothing -- not even second-tier tuition -- is set in stone.

"I think it is important for students to remember that these percentages are not final until the state Legislature is done with their session and have voted on all the recommendations from the regents," said Associated Students of USU President Celestial Bybee.

That may come as a relief to students in other parts of the state, especially those at Southern Utah University who saw their tuition jump by a staggering 23.5 percent.

The Utah Student Association did not endorse the move, Bybee said.

"Their student body president and executive council supported it, so they must see a better reason to agree to this than we do," she said. "But we would like to keep first- and second-tier tuition at the lowest level possible."

By Leon D’Souza; leon@cc.usu.edu