BGSU sets 2004-05 budget, keeps tuition increase below state maximum

Bowling Green trustees on Friday (May 7) approved a 9 percent tuition increase for students on the main campus for academic year 2004-05, below the state cap of 9.9 percent. Three percent of the 9 percent increase for all main-campus groups is targeted to support need-based financial aid and improved technology services for students.

The overall fiscal year 2004-05 budget of $327.7 million approved by the trustees comprises a $231.1 million educational budget and a $96.6 million auxiliary and general fee budget.

Revenue in the educational budget increases 4.4 percent, largely from student fee income, offsetting the 3.5 percent drop in state funding from last year. Expense increases include the costs of improving technology services to students, higher utility expenses, and rising health care costs, according to Dr. Christopher Dalton, senior vice president for finance and administration.

In its ongoing commitment to making a college education attainable to all qualified students, the University will again expand the higher levels of financial aid it implemented last year. This year's budget includes another $5.5 million for financial aid-a 15 percent increase-with $1.8 million targeted to need-based aid for low-income graduate students.

Under BGSU's two-tier fee structure, continuing students who enrolled before the summer of 2002 and those who enrolled that summer or later pay different instructional rates.

Effective fall semester 2004, main campus students who entered before summer 2002 will pay an additional $320 in tuition per semester, while those who entered in summer 2002 or later will pay an additional $332 per semester.

General fees will go up by $25 per semester, a 4.8 percent increase.

Graduate students will also see a 9 percent increase in their tuition, or $427 more per semester.

Firelands students will pay $85 more per semester, a 4.5 percent increase.

Firelands has been able to contain costs due to a number of factors, according to Dean James Smith. Enrollment at the Huron campus has grown from about 1,500 in 2001 to 1,900 this year, resulting in increased revenue from student fees and state support. Firelands recently added five new majors and last fall opened its state-of-the-art Cedar Point Center, which expands learning resources for Firelands students and creates additional opportunities for interaction with the community.

No longer strictly a two-year college, Firelands is a "microcosm of the University," said Smith. "We are BGSU for residents and students in our service area. We offer a wide variety of associate, bachelor's and master's degrees and a rich array of theatre, art, music, clubs, events and special activities as well as tutoring, advising, financial aid, registration and student services."

In other action, the board approved 3 percent raises for all University employees, with additional smaller pools of merit increases for eligible faculty and staff. An additional $260,000 was set aside for promotions, market adjustments and job reclassifications.

Regarding compensation, "the budget committee's and my highest priority continues to be enhancing the competitiveness of BGSU faculty and staff compensation," said President Sidney Ribeau. He added he is pleased to be able to offer higher raises than last year's modest 2 percent, which was well below the state average, he said.

The advances do not come without sacrifice, however. "There is very real pain in this budget to make it balance," said Dalton. The University will be making $4 million in permanent reductions from personnel budgets.

Permanently eliminating vacant funded positions that have been on hold since the University's hiring freeze has been in effect will accomplish the bulk of reductions in many areas, Dalton said.

The money coming from the state for each pupil (or state share of instruction) has continued to decline in recent years, by well over $1,000 per student since 2000. The 2004-05 budget projects an additional $2.63 million (3.45 percent) reduction from the 2003-04 state share of instruction.

(Posted May 07, 2004 )