Oregon State University will offer more financial aid to students after approving a tuition increase for the 2022-23 academic year.
At an April 8 board meeting, the board approved a tuition increase of 3.5% for Oregon resident and out-of-state students and 4.5% for new Oregon resident and out-of-state students.
Continuing students will see this change in summer 2022 or fall 2022 if they are not enrolled for the summer term, said Steve Clark, vice president of academic relations and marketing.
According to Sherman Bloomer, associate vice president of budget and resource planning, the financial aid strategy adds an additional $11 million in institutional financial aid for a total of about $84 million, more than double what it was in the years before COVID-19. pandemic.
About half of that financial aid, Bloomer said, is to support the Western Undergraduate Exchange strategy, which will attract more nonresident students. The other half will be used to trace Oregon resident students with high needs.
The net costs that students will pay out of pocket depend greatly on where students and their families are on the need curve.
Jax Richards, OSU board member and undergraduate student, asked a clarifying question about whether financial aid is merit-based or financial need-based.
Bloomer clarified that financial aid is a mix of merit-based and need-based aid, and part of the new revised strategy is to intentionally redirect more aid to need-based aid.
“When scholarships factor in merit aid, it raises new issues of fairness,” Richards said. “Students who are generally more Meritus often come from a more privileged background; I say this as a student counselor.
Building fees are also increased for the first time in twenty years by $2. According to Bloomer, the building fee helps student services with a number of upcoming building renovation projects.
According to Bloomer, in early fall, the budget committee began making its enrollment, revenue, expense and driver projections for next year.
While Bloomer said there has been a steady increase in e-campus enrollment over the past 10 years, international enrollment has declined since 2017, along with the resident undergraduate population. During the pandemic, these trends have continued.
Bloomer said OSU’s enrollment and revenue are growing, but net tuition per student is falling.
For annual budget planning, Bloomer said, that means OSU’s projected revenue growth will be enough to cover the cost of inflation, which is between $20 million and $28 million a year for OSU at Corvallis.
According to Michael Green, Board Administrator, the budget priorities for next year are to continue to invest in enrollment management, student success processes and systems.
The second element, Green said, is to modernize academic and research spaces at Oregon State University.
Green said the third element is investing to modernize OSU’s business processes and related administrative systems to improve and streamline the experience for students, faculty and staff. Another objective is to reduce the cost of administrative services in the process.
The budget committee’s recommendation was to continue to use cohort pricing, which means that for continuing education students, the rate of increase is the same as the local inflation rate depending on where the students are located at. Corvallis, OSU-Cascades or Ecampus.
For new students, the increase is higher because they will attend OSU longer than continuing students.
Clark said that twenty years ago, one-third of tuition for public universities was paid by the state and two-thirds was paid by students. Today, Clark said, that has reversed and is contributing to rising tuition.
According to Bloomer, OSU is working on a tuition calculator for incoming and continuing students that will be ready in about a month.
“Today’s tuition decision takes into account the needs of students, the needs of our faculty and staff,” Clark said. “The initiative to advance student success.