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News Release T: 605.773.3455 |
For Immediate Release 28 March 2002 Board of Regents
sets Tuition and Fees for 2002-03
MADISON—The
Board of Regents, today during its regular business meeting at Dakota State University,
set tuition and fee rates for the university system for the next academic year. The Regents' objectives in setting the tuition
and fees were: to meet the costs of the state salary policy for employees not paid by
state general fund resources; to meet the costs of an additional one percent salary
increase to achieve a salary pool of 4% in order to retain South Dakota's average salary
position relative to surrounding states; to complete the process of standardization of the
University Support fee in order to provide the same resources for academic support for
students at each of the state universities; to cover the salary costs of employees paid
from fee revenues; and to provide technology funding to implement the Regents' technology
plan. "The
Regents were able to minimize tuition and fee increases at South Dakota universities. Our
neighboring states, Iowa and Minnesota are expected to increase tuition and fees by 18.5%
and 13.6% respectively," said Regents President Harvey C. Jewett, Aberdeen. For
the 2002-03 academic year tuition rates at all universities for resident undergraduates
will be $65.00 per credit hour. Based on 32
credit hours, the average estimated system costs for tuition, required fees, room and
board is $7,432.29, an increase of $406.53 over the cost of the same items in the current
academic year. That is a weighted system
average increase of 5.8 percent. The Board
approved exceptions above the 3.4% inflation guideline for three campuses to adjust the
percentage increase for required fees. Students
at Northern State University and South Dakota School of Mines and Technology requested an
increase in General Activity Fees. The
additional funds at Northern will be used to pay increased costs for health services and
maintain services to students. At School of
Mines the additional funds will be used to remodel the student center and remodel the
wellness center. An exception was also granted to Northern and the University of South
Dakota for an increase for Board Fees to meet contractual agreements with their food
service provider. “When
setting tuition and fees the Regents' bottom line is to maintain an affordable quality
education option for students while meeting the financial needs of the universities. There are several factors that are measured to
arrive at a set number,” said Jewett. "Some
of the factors that influence tuition and fee amounts are inflation, salary policy and
benefits, and instructional costs." "A
change has been made in the way that the Regents figure the inflationary adjustment in
tuition and fees. The Regents formerly used
the Higher Education Price Index (HEPI) to calculate for inflation, but with its future
availability unkown the Board made the decision to use the Consumer Price Index (CPI). It
is the same approach used by the Bureau of Finance and Management (BFM) which is the
average change in the four quarters from FY2000 to FY2001," said Regents Executive
Director Robert T. Tad Perry. "After
inflation the next factor the Regents consider in setting tuition and fees is salary and
benefits. The Regents have to adjust for the annual salary policy for state employees that
is proposed by the Governor and passed by the Legislature.
About 45 percent of all Regents’ employees are supported by funds that
are not appropriated from general funds of state government. Every time the state gives employees a raise or an
increase in health insurance, we have to raise tuition and fees to cover the salaries and
benefits for our employees who are not paid by state funds,” said Perry. The
Regents also made adjustments to the universities' fees.
The University Support Fee (USF) supports instructional and administrative
services. In prior years this fee varied at
each university. The fee is now standardized
for all of the universities due to a decision by the Regents to a standardization plan. The standardization is the reason why increases at
some institutions are greater than at others as the universities close the gap and achieve
the same rate. Unlike the USF, the General
Activity Fee, which supports student union buildings and student organizations, reflects
campus support for their different functions. Even though the students and institutional
presidents recommend an increase, it cannot be charged until they have justified the
increase to the satisfaction of the Regents. Other
fees set by the Regents include residence hall room rent, meal plans, special fees related
to specific majors, and system fees for such things as applications and transcripts. Fee
increases for FY03 include money to continue the plan to raise salaries for faculty and
non-faculty exempt employees. “The
Regents decided to continue the salary competitiveness fee.
It was originally adopted by the Regents four years ago as a three-year
plan,” said Jewett. “The plan had
a real impact on the universities. The
University Presidents communicated with the Regents that the salary competitiveness fee
allowed them to recruit new faculty and to reward those on campus who contribute the most
to the education of their students. The
Regents extended the fee for those reasons in fiscal year 2002 and did so in fiscal year
2003 for the same reasons.” For
more information, contact Dr. Robert T. Tad Perry, Executive Director, or Monte Kramer,
Director Finance and Administration, (605) 773-3455. |
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