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Promoting Quality Higher Education– An Investment in Oregon’s Future

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Oregon universities considering tuition increases; UO eyes highest bump

February 19, 2016 / PSU-AAUP

The Oregonian
February 19, 2016
By Andrew Theen

Raising tuition every year has become a higher-education rite of passage, almost as predictable as graduation ceremonies.

But when Oregon lawmakers approved $665 million in general support for the state's seven public universities last summer, it was hailed one of the largest reinvestments in public education in decades. Maybe that would move the needle, and limit tuition hikes?

No such luck. University of Oregon has proposed an increase of nearly 4.8 percent for in-state undergraduate students starting next fall, and the state's other publics are lining up for their own hikes.

That's because state support for public universities is far outpaced these days by contributions from student tuition. When schools, then, need more money to pay for staff, services, scholarships or other needs, they turn to students rather than the government.

"We're the lesser payer than student-tuition dollars," Ben Cannon, executive director of the state's Higher Education Coordinating Commission, said of state funding. "That's the ratio that's really problematic when you're trying to figure out, 'Gosh, why a 4 or 5 percent tuition increase?'"

Cannon's agency is alerted if a university wants to raise tuition by more than 3 percent, and the state's higher education commission must approve tuition requests of 5 percent or more.

But independent boards of trustees at each university are responsible for approving tuition plans.

The Oregon Student Association, the statewide nonpartisan nonprofit, asked the universities last year not to raise tuition by more than 3 percent for the 2016-17 school year. Daniel McCall, OSA's spokesman, said some students are frustrated that many universities appear to be forging ahead with higher rates, anyway.

"It can be especially hard on first-generation students and low-income students," he said of tuition increases. Those students may be less inclined to enroll in courses when the costs go up, he said, especially if they're working multiple jobs.

Cannon said "sizeable tuition increases," like those being considered at some schools, are a concern but that they don't capture the whole story. Affordability is best achieved by minimizing tuition increases, ramping up financial aid and investing in student successes through on campus services and programs.

"We've got a lot of students who are starting college, taking on some debt and not completing," Cannon said. "And frankly, even if their tuition was lowered, if they're not getting the support they need to graduate, it's unaffordable."

University of Oregon President Michael H. Schill said in a letter to students, staff and faculty Feb. 9 that the recommendation to raise tuition was not made rashly, but is necessary to help UO achieve its mission.

"To achieve excellence, we must invest in faculty hiring, research infrastructure, and student access," he wrote.

The proposed increases vary by school, and some proposals are still in flux.

Here's what we know as of n ow about plans at the state universities (estimated annual tuition is based on a 15 credit per term class load for three terms. Costs don't include annual student fees, room and board or other costs):

UO:
What: Proposed 4.8 percent tuition bump for in-state undergrads, a $405 annual increase. Out of state undergraduates will see a 4.5 percent increase, more than $1,350 annually.
When: The UO Board of Trustees will discuss the proposal March 3.
What money does: According to a press release, more than half of the estimated $16.9 million in additional tuition dollars will pay for staff and faculty pay increases required through labor agreements and increased medical costs. Another $2.75 million is earmarked for information technology improvements on campus, with $2.5 million more reserved for faculty hiring. UO will also dedicate $1.4 million to financial aid programs.

OSU:
What: OSU is considering a 2.2 percent tuition increase for in-state undergraduate students, roughly $180 annually. OSU is not proposing an increase for out of state students partly "to encourage growth" in enrollment. (Out-of-state students already pay far higher rates than in-state ones.)
When: Board of Trustees will debate proposal March 31.
What money does: OSU's proposal will cover faculty salary increases, energy costs and health insurance, according to documents. Despite the increase, "OSU will not recover all of its costs of operation."

PSU:
What: PSU is proposing a 3.7 percent tuition and fee increase for in-state undergraduates, and a 3.5 percent increase for non-Oregonians.           
When: PSU's board will discuss the plan March 31.
What money does: According to PSU, without increasing student fees and tuition, the school would face a $6 million shortfall. With the proposed increase, PSU will hire faculty, advisers and staff as well as cover personnel costs.

Southern Oregon University:
What: SOU is still developing a proposed tuition rate, but is considering a 2.7 percent increase for in-state undergraduate students. School leaders will adopt a formal recommendation in March.

Eastern Oregon University:
What: EOU is also still developing a tuition plan, but proposals could vary from 2 to 4 percent increases. A final plan will be discussed and approved in March.

Western Oregon University:
What: WOU is considering a 2 to 4 percent tuition increase. In a letter to school administrators this month, student leaders said increases of 4 to 5 percent "would be manageable" for students.

Oregon Institute of Technology: The Klamath Falls-based school will recommend a 3 percent tuition increase for in-state undergraduates.

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