4 to 5 percent tuition hike depends on state funding
By Kayla Habermehl (Last updated: 04/27/09 10:30pm)The MSU Board of Trustees is considering a 4 to 5 percent increase in tuition for the 2009-10 year, citing uncertainty surrounding federal economic stimulus money and less than anticipated state funding.
The stimulus at one point could have provided MSU with about $80 million dollars over a three-year period, MSU President Lou Anna K. Simon said last Friday during MSU’s board meeting.
Simon said she met with House Speaker Nancy Pelosi earlier last week. Pelosi said stimulus money was supposed to be used for higher education, but since Michigan has not yet balanced its budget it may use stimulus money to fill in the gaps, Simon said.
Simon said she doesn’t know how much money, if any, MSU will receive.
“That would put us at a competitive disadvantage than some of our peers where other states are in a more stable financial situation and they are using stimulus money to aggressively grow programs they see necessary for the state’s future,” Simon said.
The state’s budget must be finalized by Oct. 1, while the university’s budget must be finalized by June 30.
Provost Kim Wilcox said planning the university’s budget — which includes tuition changes — entails a certain amount of guesswork in regard to how much money MSU will receive from the state.
“It is the case every year; we kind of take the leap of faith with the state,” Wilcox said. “We make our best guess of what we think the state support is going to be and we build the budget around that. The president has committed to adjusting the best we can to keep us whole.”
MSU Board of Trustees member Dianne Byrum said the university was hoping to minimize the tuition increase with stimulus money, and tuition rates were directly tied to state support.
But tuition isn’t the only avenue the university is considering to maintain its quality, Byrum said.
“We’re not just looking at tuition increases as means to balance the budget — all things are in consideration and all things are on the table,” she said. “We want to make sure that we keep the high value of an MSU degree intact — that quality is very important, but it still needs to be affordable.”
Trustee Donald Nugent said the board hopes to keep the tuition increase down to 4 or 5 percent.
“No question, the state is very short on funds and appropriations will be less than what we hope for,” Nugent said. “The board and management (are) doing everything we can possibly to keep tuition down.”
Education senior Alicia Daniels said she has come to expect the increases.
“I feel like any response (to a tuition increase) would be negative,” Daniels said. “I feel like it does always happen.”
At the board meeting, Simon said MSU is looking at raising financial aid by about 15 percent to help students. MSU gave almost $470 million in financial aid during the 2007-08 year.
Originally Published: 04/27/09 10:30pm
tgl
04/28/09 7:41amHey middle class,
Good luck with that college education for your kids. The wealthy will get it because they can afford it and the poor will get it because, through your taxes, the’ll get it for free.
wow
04/28/09 8:54amtgl
I couldnt have said it better myself.
I look at the tution bill and laugh at all the supposed financial aid and say to myself…i should quit working so my kid can get his education for free.That is what michigan and several other states still havent figured out. Socialism doesnt work. sooner or later the weight of the social programs destroys the whole community at large.
I would think if big government and numerous social programs were successful then why is NY and California in so much financial trouble. They should be the model for the tax and spend liberals.
04/28/09 10:30amI believe it’s foolish to not believe things can work. Go to the Scandinavian section of Europe and talk to them. They seem to understand that taxation is not so much a burden, as it is a duty.
I do think that the American’s who dodge taxes are criminals of a high degree. I also love that people who consider themselves Patriots that supported George W and all his stuff, now turn their backs on those that face the problems and try to conjure up a solution.
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wow
04/28/09 10:48amI do think that the Americanâs who dodge taxes are criminals of a high degree
With that being said…half of this presidents picks should be in jail…but thats OK because Chairman MaObama can do no wrong…Bet you are the type that wants other people to work hard so you can reap the profits huh?
...Its patriotic to give your money to people who have done absolutley nothing other than to exist?…I taught my kids to work hard in this country and benefit from that hard work.
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America
04/28/09 11:18amUh, if all students stopped getting financial aid, those who depend on it couldn’t finance their education. Since that’s a considerable majority, everyone except the affluent wouldn’t be able to go to college. We’ve already done that. It was called the period before the GI Bill.
And no one gets a free ride. The students who have full scholarships are the cream of the crop. Everyone else’s education is either financed through their family or government/private lenders. All of those loans have to be paid back, most with interest.
wow
04/28/09 11:25amamerica
You cant be that nieve.
Ever hear of GRANTS?
I’ll match what i have to pay out of my pocket against everyone else at MSU.I guarentee its a whole lot more than 95 percent of the people that go there.i got zip, zero, nada, in financial aid.They were fast to give me a loan…with interest of course.Thats what they called financial aid haha.Its not just MSU either so i dont want to sound like its just them.So every time tution goes up i work even harder for my bills to get paid.
America
04/28/09 12:18pmAnd grants, like scholarships and fellowships, are limited and very competitive, thus the need for loans.
I completed six years of undergraduate and graduate education at UM and MSU — something that, even with the help of working full-time in summer and almost full-time during the school year and scholarships and grants, I wouldn’t have even been close to being able to actualize without loans.
And it’s “naïve.”
wow
04/28/09 12:43pmAmerica..feel better you corrected my spelling mistake?
Make you feel smarter than me?I hope thats not what you learned in school.Not to debate but to belittle?
Still dosent change the fact that millions of dollars are GIVEN away to students at MSU.Take that same amount of money to reduce the cost to everyone equally and i bet its safe to say tuition would be cheaper.Maybe you wouldn’t have had to work that extra job to pay your tuition.
In fact you and Joshua can take some of that money you make and give it to the university to help more students afford the tuition.Its patriotic to give me your hard earned money…right?
tgl
04/28/09 1:36pmNo one suggested we don’t pay taxes but we pay taxes for things like road repairs, police & fire services and basic education. If you haven’t noticed all of these programs are suffering. Womb to tomb welfare for those unwilling to help themselves will break the back of the middleclass. Am I willing to help others, yes, but only if they are willing to help themselves. At what point do I put the best intrest of MY child on hold so I can support the people that have no self-motivation.
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KC
04/28/09 6:29pm“Pelosi said stimulus money was supposed to be used for higher education, but since Michigan has not yet balanced its budget it may use stimulus money to fill in the gaps, Simon said” – am I the only person that sees a problem with this statement?
Michigan continues to amaze me…… they waste more money on stupid bullshit and then take the money that was allocated for higher education and spend it on more bullshit…..hmmmm….