Erskine Bowles, president of the UNC system, has recommended to the system’s Board of Governors that proposed tuition and fee increases for the upcoming 2009-10 school year be reduced.
If the BOG accepts the recommendation, North Carolina public universities would be forced to cut tuition and fee increases proposed in October by 33 percent, reducing the average increase across the state to 2.8 percent.
Bowles said he hopes to cap future tuition increases at 4.5 percent – two percent lower than the current maximum.
Bowles cites the recent economic downfall as the reasoning for his decision.
“I was fully prepared to wholeheartedly endorse the chancellors’ tuition proposals for 2009-10,” Bowles said in his memo to BOG members. “But these are no ordinary times, and our campus plans were developed before the true depth of this economic recession became apparent.”
Bowles also said he hopes by reducing tuition and fee increases, students and their families will be less burdened by the cost of education.
Jay Dawkins, student body president, said he agrees with Bowles.
“I think it’s a practical step,” Dawkins, a junior in civil engineering, said. “He has to be realistic about what’s happened between when the campuses proposed the tuition increases and now.”
For in-state resident undergraduates, Bowles’ recommendation would slash the tuition increase from 3.6 percent to 2.4 percent.
This would result in a savings of $47. Fees, meanwhile, would still increase by $72.
Overall, this would issue a 3.3 percent increase in tuition and fees, – 22 percent lower than what was proposed in October. If accepted, students should expect to pay $5,159 in tuition and fees for the 2009-10 school year.
The decision to reduce tuition and fee increases was a tough one, Bowles said in his memo. The UNC system has been ordered by Gov. Bev Perdue to cut this year’s budget by 6 percent, and the revenue generated by tuition and fees are becoming increasingly important.
“Cuts of this magnitude cannot continue permanently if we are to preserve the quality of education our students need and deserve,” Bowles said.
Provost Larry Nielsen said he agreed with Bowles’ assessment.
“N.C. State historically has been an institution where students get a great education at an affordable cost,” Nielsen said. “We will continue to make plans and decisions that remain true to both of those qualities.”
However, students have felt the impact of the budget cuts. Class sizes have gone up and the number of available sections has decreased since fall semester.
According to Bowles, it is the personal budget cuts taken by students that are the rationale behind his recent recommendations.
The financial aid office has also noticed first-hand how the economy has taken its toll on students.
Julie Rice Mallette, associate director of the Office of Scholarships and Financial Aid, said as of the 2001-02 school year, the number of undergraduates who demonstrate financial need has increased by 30 percent.
This academic year alone has already seen a 6.6 percent increase in applicants when compared to the 2007-08 school year, Mallette said.
“We expect that with economic conditions worsening, the number of aid applicants and number with demonstrated financial need will continue to grow for 08-09,” she said. “And the numbers for 09-10 will be higher than the final numbers for 08-09.”
In addition to reducing tuition and fee increases, Bowles requested that the BOG chancellors have more flexibility in fund allocation. Bowles said this will reduce the impact of the budget cuts.
To the chancellors, Bowles suggested 40 percent of the funds go to need-based financial aid. The remaining 60 percent should be used as each university sees fit in order to maintain the quality of education.
Nielsen said this suggestion does not impact students in Raleigh.
“We have always committed more than 50 percent to financial aid,” he said.
The Board of Governors will meet Feb. 13 to make a final decision on tuition increases for 2009-10.
