In an 11-3 vote the Pennsylvania State System of Higher Education (PASSHE) Board of Governors approved Shippensburg University’s per credit tuition model on Oct. 8, the morning after SU students protested the action.
SU initially tried to have the new tuition model, also known as the Pricing Flexibility Pilot Program, ready for the current academic year, but Pennsylvania Gov. Tom Wolf asked PASSHE to hold off on a vote last spring. PASSHE media relations manager Kenn Marshall said Wolf wanted the state system to refrain from passing any new tuition models until the commonwealth could agree on a budget.
Wolf hoped he could get legislators to increase funding for PASSHE by about $45 million, but with the state operating without a budget for more than 100 days, PASSHE decided it was time to move forward, according to Marshall. Without a statewide budget, PASSHE cannot give the 14 state system universities their normal annual funding, while schools like SU have been relying on tuition payments, fees and their reserve funds to keep the lights on.
“It has been our students who have suffered the most,” said Kenneth Mash, the president of the Association of Pennsylvania State College and University Faculties. “Doesn’t this board have an obligation to our students to continue to do everything possible to make a case to the governor and the General Assembly that we need more by way of allocations?”
While students have not yet received their state grants and loans, legislators in Harrisburg, Pennsylvania, continue to debate tax hikes proposed by Wolf. One of the disagreements between Republicans and Democrats is Wolf’s suggested increase of the personal income tax. Last Wednesday, lawmakers voted 127-73 against Wolf’s tax plans.
As disagreements continue, it is not clear when the state government is expected to agree on a budget.
“After yesterday it’s hard to say,” Marshall said, referring to when PASSHE anticipates the General Assembly to come to a consensus.
Pricing Flexibility Program
Four state system universities had their new tuition models approved on Oct. 8, including California, Edinboro, Mansfield and Shippensburg universities.
SU’s per-credit tuition based program is designed to charge all in-state undergraduate students based on the number of credits they take. A student taking 12 credits per semester will pay differently than one taking 18.
The current model is a hybrid program that charges a flat rate for all students taking 12 to 18 credits, and part-time students are charged per-credit.
The new model aims to create a more transparent billing structure and to generate additional revenue, according to the SU proposal to the Board of Governors. It will be incorporated into the university over a four-year time period so that in the first year affected students will only pay 93 percent of PASSHE’s 2016-2017 per-credit tuition rate. By the fourth year, it will charge students the full rate.
“If this doesn’t work we can end it after one year,” said SU President George “Jody” Harpster. He emphasized that if the model proves not to be beneficial for the university, it can be terminated.
Harpster said the model is fairer than the current system because students currently taking 12 credits are supplementing the tuition costs of students taking 15 or 18 credits.
SU has recognized that some students may need additional financial assistance to compensate for overall increased tuition charges. It plans to set aside no more than $1.5 million to help qualifying students. That money will come from the net tuition revenue generated from the new program.
“If enrollment remains stable, it is anticipated that the pilot will generate $4 million in gross tuition revenue, of which $1.5 million will be set aside for need-based financial aid,” the proposal states.
“Although some students might enroll in fewer courses as a result of this plan, it is anticipated that increased course completion and student retention will offset any reduction in credits attempted.”
The $2.5 million left will be used to cover expected increased costs to the university for the 2016-2017 year, according to Harpster.
SU Student Senate response
SU’s Student Senate rallied students on the eve of the Board of Governors’ vote to protest the new model, because it believes the tuition increase is not in the best interest of students.
Student Senate President Dominic Giovanniello led the open forum and told students there is an alternative to SU’s model. He said the Student Senate would prefer there to be a 10 percent flat rate increase on all students’ tuition, regardless if they are Pennsylvania residents or from out-of-state. Because his plan would affect more students than the university’s, the tuition increase would be lower for in-state undergraduate students, but would be more for non-Pennsylvania residents.
Giovanniello said the Student Senate was not aware of the planned Board of Governors vote until Oct. 1, giving the student leaders little time to react.
“It kind of sprung up on us,” he said, noting he does not think they were purposefully kept in the dark, but that the students’ voices were not properly heard. “There was not a ton of student input in the process.”
Giovanniello said he felt “incredibly frustrated” about the university’s actions, and that the Student Senate plans to host more events in the coming weeks and months to inform students on what is happening to their tuition.
Students have a greater voice with the administration than with the state, which is what prompted Student Senate to take action on a university level, according to Giovanniello.
“We can influence the university more than the state,” he said.” Politicians are going to be politicians.”
Giovanniello told students that taking a bus trip to Harrisburg to protest the legislators’ actions is a distinct possibility the Student Senate is considering. He said it will depend on what happens in the coming months before a decision is made.
Harpster said he is not opposed to the Student Senate’s tuition plan, but the senators would have to get it approved by the Board of Governors before it can be implemented at the university level.
“This institution, for years, has always stepped up and met the challenge,” Harpster said, adding that SU has and will find the mechanisms necessary to move forward.
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