Tuition Impact Analysis Report, FY 2009-10
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FY 2009-10 Tuition Impact Analysis Report December 2009 Oklahoma State Regents for Higher Education Oklahoma City, Oklahoma OKLAHOMA STATE REGENTS FOR HIGHER EDUCATION William Stuart Price, Chairman Tulsa Joseph L. Parker, Jr. Bill W. Burgess, Jr. Vice Chairman Lawton Tulsa Julie Carson Ronald H. White Secretary Oklahoma City Claremore Marlin “Ike” Glass, Jr. James D. “Jimmy” Harrel Assistant Secretary Leedey Newkirk John Massey Michael C. Turpen Durant Oklahoma City Glen D. Johnson Chancellor The Oklahoma State Regents for Higher Education in compliance with Titles VI and VII of the Civil Rights Act of 1964, Executive Order 11246 as amended, Title IX of the Education Amendments of 1972, Americans with Disabilities Act of 1990, and other federal laws and regulations, do not discriminate on the basis of race, color, national origin, sex, age, religion, handicap or status as a veteran in any of its policies, practices, or procedures. This includes, but is not limited to, admissions, employment, financial aid, and educational services. This publication, printed by the State Regents’ central services, is issued by the Oklahoma State Regents for Higher Education as authorized by 70 O.S. 2001, Section 3206. Two hundred copies have been printed at a cost of approximately $575. Copies have been deposited with the Publications Clearinghouse of the Oklahoma Department of Libraries. This publication was produced in December 2009. Disclaimer: The information provided in this document is intended to be current at the time of its publication. However, program policies and related state laws are subject to change. Contact the program for the most current information. Table of Contents Page Executive Summary.............................................................................................................1 Process for Approval of FY10 Tuition and Mandatory Fee Requests.................................6 Summary of FY10 Tuition and Mandatory Fee Increases...................................................8 FY10 Guaranteed Tuition Rates ........................................................................................10 What Portion of Costs Do Oklahoma Students Pay?.........................................................10 Process for Approval of Academic Services Fees .............................................................11 Analysis of Changes to Academic Services Fees ..............................................................12 Considerations in Setting Tuition and Fees .......................................................................12 Impact on Students’ Ability to Pay........................................................................13 Impact of Tuition Increases on Enrollment ...........................................................16 Availability of Financial Aid .................................................................................19 Implementation of Cost-Effective Measures .........................................................25 Communication with Students...............................................................................26 Justification for Increases in Excess of Nine Percent ............................................27 State Regents’ Initiatives ...................................................................................................27 The National Perspective ...................................................................................................29 Tuition and Mandatory Fees Nationally ................................................................29 National Availability of Financial Aid ..................................................................32 Grant Aid ...............................................................................................................33 Loans......................................................................................................................35 Other Forms of Student Aid...................................................................................36 FTE Enrollment .....................................................................................................36 Funding Pressures ..................................................................................................37 Consumer Price Index............................................................................................38 Higher Education Price Index................................................................................39 Higher Education Cost Adjustment .......................................................................39 Enrollment Projections...........................................................................................40 Higher Education Reauthorization Act..................................................................40 Commission on the Future of Higher Education ...................................................41 Community College Support .................................................................................42 Miscellaneous ........................................................................................................43 How America Pays for College .............................................................................45 Other Factors..........................................................................................................46 Is a College Education Still Worth the Investment?..........................................................48 Conclusions........................................................................................................................52 Attachments .......................................................................................................................55 1. FY10 Undergraduate Tuition and Fees—Big Twelve Universities.................57 2. Public Hearing Notice......................................................................................59 3. FY10 Legislative Peer Limits for Tuition and Mandatory Fees......................61 4. Tuition and Fee Approval Guidelines..............................................................63 5. Minutes and Transcript of April 29, 2009 Public Hearing ..............................65 6. Undergraduate Tuition and Mandatory Fees for FY10....................................71 7. Graduate Tuition and Mandatory Fees for FY10.............................................77 8. Professional Programs Tuition and Mandatory Fees for FY10 .......................81 9. Summary Listing of FY10 Average Tuition Increases by Tier .......................85 10. Comparison of FY10 Tuition and Mandatory Fees to Legislative Peer Limits ..............................................................................89 11. Guaranteed Tuition and Mandatory Fees for FY10.........................................93 12. Comparison of FY10 Guaranteed Tuition with Legislative Limits.................95 13. FY10 Average Tuition and Mandatory Fees Ranked by State ........................97 Appendix: Constitutional and Statutory Provisions for the Coordination of Higher Education Tuition and Fees ...................................................................................99 Executive Summary All Approved Tuition and Mandatory Fees are Within Legislative Limits. State Regents reviewed institutional tuition and mandatory fee requests for compliance and each institution’s requests were below the posted legislative peer limits for the tier as specified in Oklahoma Statutes (Title 70, O. S. 2004 Supp., Section 3218.8 -- see Attachment 10). Institutions implemented the Tuition Freeze Plan for FY10 and tuition at all institutions will remain at the same levels as in FY09. Mandatory fees at all institutions, with the exception of two community colleges, will also remain the same as in FY09 resulting in an overall average increase of less than one percent for undergraduate resident and nonresident tuition and mandatory fees. The average change in tuition and mandatory fees for FY10 by tier is reflected in the following table. Tier Undergraduate Graduate Resident Nonresident Resident Nonresident Research Universities 0.0% $0.00 0.0% $0.00 0.0% $0.00 0.0% $0.00 Regional Institutions 0.0% $0.0 0.0% $0.0 0.0% $0.0 0.0% $0.0 Community Colleges 0.8% $20.42 0.3% $20.42 n/a n/a n/a n/a Ardmore Higher Education Center 0.0% $0.0 0.0% $0.0 0.0% $0.0 0.0% $0.0 Professional Programs n/a n/a n/a n/a 0.1% $9.38 0.0% $9.38 Considerations in Setting Tuition and Fees. Oklahoma Statutes (Title 70, O. S. 2004 Supp., Section 3218.2) further provides that the impact on the ability of students to meet the costs of attendance, their enrollment patterns, availability of financial aid, the cost- effective measures which institutions implemented, and the communication of tuition and fee requests to students are to be considered when determining increases to tuition and mandatory fees. Institutions reported on each of these categories when submitting their tuition and mandatory fee requests for FY10. The findings from the institutions’ information are summarized below, with further details provided in the full report on the following pages. Impact on Students’ Ability to Pay. For FY10 institutions implemented the Putting Families First: Higher Education’s Tuition Freeze Plan allowing them to hold tuition rates at the same level as in FY09. Mandatory fees at all institutions, with the exception of two community colleges, will also remain the same as in FY09, resulting in an overall average increase of less than