Attempting to preempt potential funding cuts, student leaders and University officials agreed Friday on a plan that would balance the school’s budget woes by temporarily increasing tuition by more than 10 percent each term.
As a worst case scenario, students and administrators agreed in principle to a plan that would, if needed, increase tuition fees for all undergraduate students by about $10 per credit hour for winter and spring terms.
University officials estimate that average students, taking 13.5 credits per term, could see an increase of at least $135 for both the winter and spring terms.
The fees will only be implemented, however, if Oregon voters do not support a $312 million income tax package in January that would prevent the state from making cuts across the board.
If the package is not passed, the University anticipates a need to cut $6.5 million from its budget. But with the $4 million “tuition surcharge” plan now in place to help circumvent more than 60 percent of those cuts, students and administrators vow academic programs would survive the slashes untouched.
“It’s a little bit schizophrenic in a sense, because we’ve got to talk about something as though it were real and recognize that it could happen,” Senior Vice President and Provost John Moseley said. “But to some extent, our purpose for doing it and talking about it is to try and make sure it doesn’t happen.”
Moseley and Associate Vice President for Student Affairs Anne Leavitt met with about 30 student leaders for more than an hour Friday in Johnson Hall, providing them with an initial reduction plan that detailed where projected cuts would take place.
It quickly became apparent that $6.5 million in reductions would severely cripple the University’s ability to attract students and would adversely affect current students’ rates of graduation.
In an effort to keep tuition as low as possible while realistically evaluating potential cuts, students and administrators agreed that $4 million in tuition revenues should be raised, all of which would be used to cover $3.6 million in possible instructional losses. The remaining $400,000 would then be used to help lessen the cuts academic support and library services may incur.
Before meeting with administrators, student leaders gathered to discuss what proposals they would support, knowing that Friday’s meeting would be their only chance to voice concern.
To avoid potential problems with a refund system, the group initially believed students’ interest would be best served — and protected if Oregon voters do approve the $312 million income tax plan — if students waited to pay a lump sum of about $300 during spring term.
Moseley quickly ruled out that suggestion, however, saying many students would choose not to enroll for spring classes.
“It would basically devastate spring term,” he said.
In the accepted plan, students would receive their January bills with a notice stating an additional surcharge could be added. That addition would not be requested until March. Then, in April, students would again be billed for the spring surcharge, which would not be due until May.
“The option that they gave for delaying the payment in both of the terms was great,” ASUO President Rachel Pilliod said. “That was a really big concession for the University to make and I think that students can only appreciate that opportunity.”
Leavitt urged students to use their voting numbers to ensure that the $312 million tax package is approved.
“For all of you, you will have paid a lot of money by the end of winter term,’” Leavitt said. “And then, to have what you came here for go backwards because the taxpayers forgot to fund it — I mean, you don’t want that to happen. And I think we can be very united out there.”
Moseley will submit his findings today and the presidents of each of the seven Oregon University System institutions will convene Wednesday to agree on a final plan to endorse. The state’s higher education board will vote on that plan Oct. 18, meaning that pending the outcome of the January vote, students will have months to financially plan ahead.
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