Campus Officials Say Action Will Hurt UNC

Chancellor James Moeser silently watched as the UNC-system Board of Governors approved a $486 tuition increase for UNC-Chapel Hill's in-state students Wednesday.

But he and other University officials are now vocally critical of how the decision could affect UNC-CH during one of the state's worst fiscal crises ever.

The BOG passed a systemwide tuition increase Wednesday -- 8 percent for in-state students and 12 percent for out-of-state students -- for the UNC system. If the N.C. General Assembly approves the board's decisions after it reconvenes in May, UNC-CH's tuition would increase $186 for in-state students and $1,478 for out-of-state students.

Board members also approved a $300 campus-initiated increase for all University students after voting down a substitute motion that would have granted UNC-CH the $400 hike it initially requested.

BOG members passed the systemwide increase to generate half of the funds needed for enrollment growth in all system schools -- funds that usually would be allocated by the state were it not for dismal budget projections. Through this formula, UNC-CH stands to lose its own tuition dollars.

The BOG members acted on the assumption that the legislature will provide more than half of the needed enrollment funds this summer. If that happens, the systemwide hike will be decreased proportionately.

After the vote, Moeser said UNC-CH students will bear the brunt of the systemwide "transfer tax" if the legislature approves the BOG's request. "I think students are going to be shocked that a large increase ... is not going to affect their education in Chapel Hill."

Moeser also said the campus-initiated $300 hike will not stabilize on-campus issues like faculty salaries and graduate student stipends.

Moeser said BOG members used misguided logic in assuming that the state will fully fund system enrollment growth. "These increases are likely going to be swallowed up by budget cuts by the state."

Moeser said he is not sure what strategy UNC-CH should take before the legislature acts in May.

Other officials said they are concerned about the precedent the BOG's actions might set. Provost Robert Shelton said he thinks BOG members have good intentions in trying to find funding solutions but that he questions the principles behind the systemwide increase. "They are assuming the authority to tax students on one campus and transfer those funds to another campus," he said.

Faculty Council Chairwoman Sue Estroff also said she also is concerned by the ideology behind the BOG's decision.

Estroff said that when tuition, private donations and money other than state appropriations begin funding enrollment growth, it poses the question of whether UNC-CH is truly a public institution. "This is more parasitic than symbiotic ... I think the next five years will prove whether the (UNC) system is viable."

In the meantime, student leaders already are mobilizing opposition efforts. Student Body President-elect Jen Daum said she is organizing sessions that will teach students how to lobby legislators before the May vote.

Although the board approved a lessened version of UNC-CH's proposed campus-initiated increase, Daum was hesitant to call the move a partial victory. "I'm extremely disappointed by the board's decision to essentially enact a transfer tax on our students."

The University Editor can be reached at udesk@unc.edu.