Universities assess tuition

Universities across the country are searching in places besides state legislatures for dollars to run their schools, and many don’t want the state or an overarching board to have a say in it.

A provision in the N.C. Senate budget would allow both UNC-Chapel Hill and N.C. State University to follow the emerging trend of schools setting their own tuition rates.

As the two largest schools in the UNC system, discussion about how to properly fund the state’s research universities led to talks about tuition autonomy.

But other systems also have implemented tuition autonomy policies to better meet individual university needs, and officials warn that the move doesn’t solve all tuition problems.

The University of Virginia has utilized a tuition-autonomous approach.

But the Virginia legislature still places freezes and caps that make planning long-term tuition rates difficult, said Melody Bianchetto, director of the budget for UVa.

“It’s very unpredictable when it’s not consistently applied,” she said. “By knowing that the state won’t come in and change us every year it makes us able to plan.”

Recent legislation could allow even greater and more concrete tuition autonomy for its universities.

The Virginia General Assembly passed amendments to the Higher Education Restructuring Bill in April that allow three different levels of autonomy based on the institutions’ financial capabilities.

The schools also could outline six-year plans for tuition and fee ideas.

“We’re hoping with autonomy (tuition) can become more consistent and predictable,” Bianchetto said.

The University of Texas system implemented a tuition autonomy policy in 2003.

Don Davis, associate director of the office of student financial services at the University of Texas at Austin, said tuition rates are approved by each university’s Board of Regents, the school’s governing board.

“It allowed us to do what we needed to do to sustain ourselves,” he said.

But the policy has allowed tuition increases the past two years. An average 5 percent increase awaits students in Texas state schools next year, and Davis said the legislature might try to curb the increases.

“We’re state institutions here, and most other institutions aren’t receiving the share of funding from the state that’s needed,” he said.

“If the state won’t provide you the money, then you’ll have to get the money from somewhere else.”

But U.T. tuition increases could diminish on their own because of an improving economy.

“This next fall I don’t think the increases will be as substantial,” said Deborah Greene, acting assistant commissioner for planning and accountability with the Texas Higher Education Coordinating Board.

But UNC-CH Provost Robert Shelton said tuition increases won’t subside on their own at the University.

“I don’t see that happening unless they try to generate more revenue,” he said. “Right now nobody wants to tax people. Education is a common good, and right now nobody wants to pay for the common good.”

Experts say universities all have obvious differing needs based on their size and programs.

“Different campuses need different funding levels in order to do their job,” said Travis Reindl, director of state policy analysis with the American Association of State Colleges and Universities.

But some worry that singling out two universities like UNC-CH and NCSU could weaken or create tension within the system.

“I think when you just start setting policy that affects only a set number of campuses, then you have more campuses coming in wanting their own tuition policies,” Reindl said.

But if the provision is passed, Shelton said collaboration and civil discourse can keep the system strong.

“I think in the end we all have to work together, and I think we will,” he said. “Color me optimistic.”

 

Contact the State & National Editor at stntdesk@unc.edu.