04
June
1998
|
18:00 PM
America/New_York

Trustees: Tuition Increase, Parking Plan


TRUSTEES APPROVE TUITION AND PARKING PLANS

COLUMBUS -- The Ohio State University Board of Trustees on 
Friday (6/5) took another step toward improving the university's 
academic standing by approving a $73-per-quarter increase in resident 
undergraduate tuition.  Trustees approved a master plan to improve 
parking on the Columbus campus and authorized the university to move 
forward on two construction projects.

Trustees set 1998-99 tuition levels

Trustees accepted a plan to increase general and instructional 
fees for in-state undergraduate students by $73 a quarter or $219 a 
year, or 6 percent.  An undergraduate student from Ohio will pay 
$3,879 annually in tuition next year.

The overall cost for resident undergraduates to attend school 
full-time and live in university housing will increase $401, to 
$10,329 a year, an increase of just 4 percent or less than $2 a day, 
said William J. Shkurti, vice president for finance.  This includes a 
2.8 percent increase for room and board ($132) and a 5 percent 
increase for textbooks and supplies ($33) (See table below).

At this meeting, trustees approved the first 4 percent of the 
tuition increase.  State law requires a second vote for increases 
greater than 4 percent, so the board will vote on the additional 2 
percent in July to achieve the full 6 percent.  This is the first 
time in three years that the university has increased fees for 
resident undergraduates up to the maximum allowed by state law.

Ohio State has as a goal to improve its academic ranking, but 
the university has significantly less financial resources per student 
to work with than its comparable institutions, Shkurti told trustees.  
Ohio State's tuition and fees are significantly below the averages of 
comparable institutions and the other public universities in Ohio, 
Shkurti said.

Benchmark institutions are the nine campuses against which the 
university measures itself.  The campuses are highly ranked 
academically and comparable to Ohio State in mission, size and 
configuration.  They are Pennsylvania State University and the 
universities of Minnesota, Washington, Texas, Michigan, Illinois, 
Arizona, Wisconsin and California, Los Angeles.

In revenue per full-time equivalent student -- which adjusts for 
part-time and full-time students -- Ohio State ranks 23 percent, or 
$6,400, below the average of the nine institutions, with revenue of 
$21,953.  The University of Michigan has the highest revenue, at 
$37,118, and the average is $28,349.

"Much of the reason the university trails the average," Shkurti 
said, "is that it trails the others in state appropriations," where 
the $7,375 per student is 15.1 percent, or $1,111, below the 
benchmark mean.  Compounding the problem is that the university has 
to absorb a $1.5 million loss in state funding for next year, and 
with an Ohio court ruling on primary and secondary school funding 
still to come, state appropriations for the future are uncertain, 
Shkurti said.

Annual resident undergraduate tuition and fees at Ohio State are 
$364 per student, or 9.1 percent, below the average of the benchmark 
institutions, Shkurti said.  Resident undergraduates at Ohio State 
pay $3,687.  The average tuition is $4,051 and the high is $6,253 at 
the University of Michigan.  While resident undergraduate tuition is 
relatively low, Shkurti said, it is relatively high for nonresident 
graduate and professional students, ranking third highest among the 
benchmark institutions.

In addition, Ohio State's annual resident undergraduate tuition 
is eighth among the 13 public universities in Ohio -- $283 or 7.2 
percent below the state average of $3,943, Shkurti said.  Miami, Kent 
State, Bowling Green, Cincinnati, Ohio University, Toledo and Wright 
State all have higher tuition than Ohio State.  And Ohio State's 
academic reputation, based on the U.S. News and World Report of 
America's best colleges, is the highest of the state's public 
universities, ranking well above Miami, Ohio University, Cincinnati 
and Kent State.

"Ohio State is an excellent value for Ohio taxpayers, but is not 
as well funded as its competitors, lacking the resources to fully 
match or beat our competition in critical areas such as services to 
our students," Shkurti said.  "Our students expect and deserve the 
same or better level of service as students elsewhere.  This 
combination of increased student fees and state support will allow 
the university to make significant improvements in the quality of 
services to students during the next academic year."

Additional funding will be used to improve the student 
experience in several priority areas: technology, disability 
services, student information system, retention, student leadership, 
academic advising and credit transfers.  Other recommended 
improvements will increase scholarships and financial aid, reduce the 
student-faculty ratio, enhance library acquisitions, reduce the 
number of closed courses and increase wages for student workers.

Nonresident undergraduate fees will increase $561 per year, to 
$11,088.  Resident graduate student fees will increase $86 per 
quarter, or $258 per year, to $5,445.  Nonresident graduate fees will 
increase $654 per year to $13,731.  Other graduate and professional 
fees and the out-of-state surcharge will increase by 5 percent, 
except in the colleges of Business and Law (9.5 percent), Dentistry, 
Pharmacy and Veterinary Medicine (7 percent) and Medicine (6 
percent).

At the regional campuses, funding of the access challenge in the 
state budget allowed tuition increases to be held to just 3 percent 
next year, Shkurti said.  Full-time undergraduate students at Ohio 
State's Lima, Mansfield, Marion and Newark campuses will pay $1,176 
per quarter or $3,528 per year for tuition and fees.

Trustees approve plan for parking with rate increases

Trustees gave their approval to a consulting firm's master plan 
for traffic and parking, along with its recommendations for parking 
fee increases (See tables below).  The fee increases would be used 
to fund additional campus bus service, improve maintenance of buses 
and garages, make safety improvements and develop plans for a parking 
garage in the northern section of the academic core area.  
Ultimately, the plan recommends two new garages, with a total 3,000 
additional spaces.

In the academic core area, students would benefit from the 
additional allocation of 1,000 spaces, and visitors would benefit 
from 950 designated spaces.  There would be 550 new A permit spaces 
and 650 new B permit spaces, but those users also would benefit from 
the reduced visitor demand.

Expanded bus service will facilitate movement on campus, with a 
circulator route in the core academic area for students and to make 
work-related intracampus travel easier for faculty and staff.  The 
core circulator route also will have the added benefit of reducing 
vehicular movement between north and south campus.  Other transit 
improvements would provide more direct bus service from west campus 
to south campus, and from the Jerome Schottenstein Center to the 
academic core.

The plan calls for increases of $4.75 per month to $24 for an A 
permit, $3.17 per month for a B permit and $1.33 per month for a C 
student permit.  There would be a decrease in the short-term hourly 
rate for visitors to the campus, but a slight increase in long-term 
hourly parking fees to increase turnover of parking spaces.  Rates 
for patients in the medical center area will be looked at separately.  
Students would pay $99 a year to park in the central campus area, but 
only $24 a year to park in the remote lots on west campus and take a 
bus to the central campus.  Rates for the west campus lots for 
students, faculty and staff will be fixed at 25 percent of the rate 
for central campus, which represents decreases of about a third for 
students and more than 50 percent for faculty and staff.

The plan recommends that fees for faculty, staff and students 
continue to increase for the duration of the five-year plan, but 
trustees would have to approve each hike after reviewing proposals 
for the use of the revenue.  At its height after five years, the most 
a permit-holder would pay is $1.80 a day, or $39 a month.

The consultants, Sasaki Associates Inc. of Boston, conducted 
numerous public forums earlier this year, and sought the input of 
faculty, staff and students.  Preliminary recommendations had called 
for fee increases to be phased in over a three-year period, but the 
university decided to propose a five-year implementation to 
ameliorate the impact on users.

Trustees hire designers, seek construction bids

Trustees authorized the university to hire architects and 
engineers and seek construction bids for projects at Rhodes and 
Blankenship halls.

University Hospitals will pay the $1.2 million cost to renovate 
space on the third floor of Rhodes Hall to house the laboratory 
robotics system.  Renovations at Blankenship Hall will create space 
for the university offices of finance, controller, accounting, 
accounts payable, financial systems, financial training, equipment 
inventory, indirect costs, internal audit, commencement and official 
events, and Wexner Security. The $5 million cost will come from 
central university funds.

Miscellaneous business

In other business, trustees:

-- Heard a budget report from William J. Shkurti, vice president 
for finance, about the status of the university's operating budget 
for the third quarter.  Quarterly budget reports are required by 
board policy.  Shkurti told trustees that spring quarter enrollment 
was up 10 students from original projections, or within 0.02 percent; 
and the Asian financial crisis has meant a loss of 50 students, 
compared with a projected loss of 230.  Shkurti also said that the 
Columbus campus has received its first money for meeting new 
statewide performance standards, $336,000 that recognizes efforts to 
graduate at-risk students.

-- Passed a resolution that allows the university to continue 
making expenditures, including payroll, at previous levels from the 
June 30 end of this fiscal year until the adoption of the operating 
budget for Fiscal Year 1998-99, expected at the July 10 board 
meeting.

-- Authorized the expenditure of $1.1 million for the 
university's continued participation in the OhioHealth Alliance, a 
Medicare managed care program.

-- Renewed easements for utilities at Don Scott Field, Molly 
Caren Agricultural Center and the Marion campus.

-- Approved 215 contracts totaling $13.3 million for research 
projects funded in April.

                             #

Contact:William J. Shkurti, vice president for finance,
614-292-9232
Sarah Blouch, director of transportation and parking,
614-292-9800

Written by Dave Bhaerman, University Communications, 614-292-8422.

TABLES

Summary of Typical Undergraduate Student Fees
Columbus campus

                   1997-98    1998-99   Dollar    Percent
                                        Change    Change

RESIDENT FEES
Tuition             $3,660    $3,879    $219      6.0%
Room & board         4,797     4,929     132      2.8%
Textbooks/supplies     662       695      33      5.0%
Health Insurance       573       561     (12)    -2.1%
Parking & Bus Pass      83        99      16    19.3%
COTA Pass               27        27       0      0.0%
Football tickets        70        75       5      7.1%
Basketball tickets      56        64       8     14.3%
TOTAL               $9,928   $10,329    $401      4.0%

Comparison to Ohio Benchmarks

Academic 
reputation*         University          Annual tuition**

37                  Ohio State          $3,660
65                  Miami               $5,512
84                  Ohio University     $4,275
116                 Cincinnati          $4,359
148                 Kent State          $4,460

* Academic reputation ranking is based on U.S. News and World Report, America's Best Colleges Exclusive Ranking, 1997
** Annual tuition is based on Fall 1997 tuition and fees for resident undergraduate students.  Source: Ohio Board of Regents, "Fall Survey of Student Charges," 1997.

PARKING -- Proposed Annual Ohio State Fee Increases

Permit    Current   FY98-99   99-00    00-01    01-02    02-03

A Central $231      $288      $345     $396     $432     $474
A West    $156      $72        $87      $99     $108     $120

B Central $122      $150      $180     $207     $225     $249
B Garage  $217      $267      $321     $366     $402     $438
B West    $84       $39       $45      $51      $57      $62

C Central $83       $99       $120     $138     $150     $165
C Garage  $217      $267      $321     $366     $402     $438
C West    $37       $24       $30      $33      $39      $42


Comparisons with Downtown garages
Location and Monthly Rate

Statehouse, Broad & High: $145
City Center, Town & Third: $82.50
Allright, 55 E. Long: $90
Capital Plaza, 50 E. Young: $80
Republic Parking, 100 N. Front: $115
Tower Parking, 170 Marconi: $110
LeVeque, 40 N. Front: $125
Huntington Center, 37 W. Broad: $130
OHIO STATE UNIVERSITY: $24