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Pennsylvania schools spared tuition hike

Source: The Patriot-News | November 5, 2009

Jan Murphy

The recently enacted state budget included enough money for the system -- when federal stimulus aid was added -- to avoid the need for any adjustment in spring semester rates, said John Cavanaugh, the chancellor of the State System of Higher Education.

But looking ahead to next year, the system's governing board on Tuesday approved a funding plan that seeks $462.2 million from the state to support the State System's nearly $1.5 billion operating budget.

It also is asking for nearly $21 million for other initiatives.

The $222 tuition boost would help fill the rest of the $63 million gap between anticipated expenses and existing revenues, said Lois Johnson, associate vice chancellor for administration and finance.

Driving up costs are increased salaries, expected higher health care costs, a sharp increase in pension contributions and the anticipated increase in utility bills as a result of electric de-regulation.

The board will not set tuition rates until next summer.

But if tuition would rise by the proposed amount, which reflects a 4 percent increase, it would raise the yearly rate to $5,776 for in-state undergraduate students.

This year's rate is $5,554.

But State System board Chairman Ken Jarin said, "I am certainly not prepared to say we should raise tuition by 4 percent. I don't think we have any way of knowing what will happen at this point."

Some cost increases might not be as much as expected, enrollment could rise and budgets could be cut to shave down the size of the needed tuition increase, Johnson said.

Jarin called the requested 4 percent increase in state support reasonable given the state's economic climate. He also described it as logical in that it seeks to ramp up state funding for the system over the next two years to replace the federal stimulus aid that will disappear at that point, restoring its state aid to $498 million, the amount it was approved to receive last year.

Newstex ID: KRTB-0082-39459587

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