With a Jan. 15th deadline for admission applications, the University’s potential freshmen for Fall 2005 are sending in their paperwork, but those applying face higher tuitions and lower assistance by the state, a growing trend in the past few years.
“This is the lowest state funding has been,” said J.P. Monroe, Institutional Research Analyst for the University Resource Management department. “It’s unprecedented.”
Monroe said students are spending more and more on tuition, while the University received only about $59.7 million in state appropriations for the 2003-2004 schoolyear — a meager 13.8 percent of the University’s total revenue. In fact, the percentage of revenue secured from gifts and grants was slightly more than double the state funding at almost $105 million. Even “auxiliary” revenue — at about 24 percent or more than $430 million — is more than state funding.
Student tuition made up slightly more than one-third of University revenue at about $142.7 million.
The 1992-1993 schoolyear was the last time state funding provided more revenue than student tuition. That year, tuition made up about 27 percent of the University’s revenue while the state provided for about 28 percent.
But in the next year, students’ tuition made up 32.5 percent and state funding dropped to 21 percent. The gap widened in the next two years. In 1996-1997, tuition revenue accounted for about 37 percent of the total revenue, or $106.5 million, while state funding was at its second-lowest point in University history, only accommodating for 15 percent, or about $43.9 million.
Last year marked the lowest point of state support with tuition at its highest. Resident undergraduates paid $5,121 and non-residents paid $16,065 for the schoolyear. And the trend continues — residents this year will pay $5,568 and non-residents $17,424.
Monroe said the University would like to have state funding back in the 30 percent range but the situation is not going to improve much in the short term. A rise to 30 percent would mean more than doubling state funding in its current state.
“Every year the University raises tuition, it does so reluctantly,” Monroe said.
Martha Pitts, the director of admissions at the University, said the rise in tuition may discourage students from submitting an application. However, Pitts said the University is still able to offer financial aid and points to an increase in Pell Grants as a method for students to afford a University education.
“I think the University has made some educational decisions that shows students that this is a good decision, including students’ ability to lower tuition by taking evening classes, a lower teacher-to-student ratio and strong research programs,” Pitts said.
Although the University is beginning to place caps on how many students it can accept, Pitts said even in the University’s most selective year, there is still an 85 percent rate of enrollment at the University to those who apply.
“We worry that students see the higher requirements and count themselves out,” Pitts said. She
advised prospective students to submit a second essay explaining any extenuating circumstances that may have affected high school grades.
As for the University and its enrollment in future years, Pitts said caps will be kept for the next few years, provided the state budget remains the same.
For the state’s biggest schools — the University, Portland State University and Oregon State University — the decrease in state support and increase in tuition has not deterred students, and the applicant pool continues to grow. Yet for smaller Universities like Southern Oregon University, Eastern Oregon University and Western Oregon University, the pressure is on for them to keep pace with the larger schools. However, they have more difficulty convincing students to enroll and pay the higher tuition costs, said Bob Kieran, the Director of Institutional Research at the Oregon University System.
“Enrollment has gone up and state funding has gone down,” Kieran said. “Universities have to act like businesses. They can’t take unfettered growth while there’s less money.”
Kieran said the rising tuition combined with lower state spending on education has created a catch-22. The amount given to the state university system is calculated on a projected enrollment basis. But with the state spending budget for the university system going down, there’s less of that central money to split up among the universities which invariably leaves students to foot more of the bill than in previous years. This in turn may deter students from pursuing a college education.
Kieran said state spending is income tax based. While most states have “greater flexibility” due to sales tax, Oregon does not have additional tax revenue to add into state programs.
“It’s less stable if it’s income tax based,” Kieran said. “Unemployed people don’t pay taxes and this is a time when we need (that money) most. That’s at a state level so it affects everything.”
Kieran said each university is facing different issues, but smaller Universities also have an uphill battle in other aspects.
“I’d say (smaller universities) have a smaller margin from which they can draw resources,” Kieran said. “The bigger universities have more flexibility with larger foundations. When they get tight, they have an alumni they can tap.”
Research analyst Monroe said it’s important for the state to display its commitment to education.
“The reduction in state support is disturbing and so far we’ve been able to hold our own,” Monroe said.

[email protected]