UA News

UA President Robert N. Shelton proposed a lower tuition surcharge for Arizona residents and out-of-state students on Thursday. The regents approved both.

The Arizona Board of Regents on Thursday approved University of Arizona President Robert N. Shelton's revised request for an economic recovery tuition surcharge for the 2009-10 academic year.

Regents approved Shelton's recommendation of a $766 surcharge for Arizona residents students and $966 for non-resident students at the UA.

Shelton lowered his recommendation from $1,100 based on new information from the Governor's Office that indicates the UA may be in line to receive more federal economic stimulus money than originally anticipated.

Northern Arizona University President John Haeger and Arizona State University President Michael Crow also lowered their recommendations, which Regents approved.

Given the economic situation, the three university presidents offered recommendations for the surcharges in early April. The surcharge is an additional cost to tuition and fees that university students must pay during the 2009-2010 academic year.

All surcharges are set to expire June 30, 2010, and will be prorated for students taking seven or fewer units.

Regents also approved a one-year exception to board policies requiring that base tuition and mandatory fees for Arizona undergraduates and College of Medicine students be at a level not exceeding "the current limit of the top of the lower one-third" of costs set by the nation's 50 senior public institutions.

The board also approved mandatory program fees and adjustments for differential tuition at the three state universities during the 2009-2010 academic year.

Regents met at the UA's Student Union Memorial Center, during which they received a visit by Arizona Governor Jan Brewer – her first time attending a Regents meeting since taking that office – whose office has been active in working with the universities to maximize the amount of federal stimulus money that they may receive.

Brewer used her time at the table to reiterate that she intends to pursue federal stimulus funding for the state's three public universities. Brewer said Arizona is expecting slightly more than $1 billion and a percentage of those funds would go to the K-12 and higher education systems.

Also, Brewer said the board has her "personal commitment as governor" to support the state institutions with stimulus funding the state anticipates it will receive.

Because of the anticipated federal funds, Shelton opted to reduce the previously announced $1,100 tuition surcharge to $766 annual for Arizona residents and $966 annually for non-residents, which the regents approved. The UA will set aside 20 percent of the surcharge for financial aid.

The surcharge approved by the Board of Regents, combined with an estimated $44 million in anticipated federal stimulus funding for the 2009-10 fiscal year, is expected to offset the $77 million in cuts the UA has sustained over the course of this year. An unprecedented 20 percent of the surcharge will be set aside for need-based financial aid.

"The key variable in this calculation is the level of federal stimulus funding that we are anticipating," Shelton said, noting that he is "grateful" for Brewer's support of the higher education system.

"I stress the importance of the stimulus funds in both scenarios," Shelton said. "Without these funds, we would be below our minimal target. But based on a new set of calculations and assumptions, we have lowered our tuition surcharge request."

Also, Regents approved the UA's requests for differential tuition and program fees in the College of Nursing and also a an adjustment to the College of Medicine's tuition, all for the 2009-2010 year.

The approvals are:

• A fixed cost of $28,000 in tuition and fees for the 14-month accelerated Bachelor of Science program for undergraduates in the College of Nursing.
• A differential tuition fee of $1,000 per semester for undergraduates in the College of Nursing, including those enrolled in the traditional four-semester Bachelor of Science program.
• A $2,6000 per-semester special program fee – up from $2,000 – for students in the doctor of nursing practice and doctorate programs.
• College of Medicine tuition will be set at $21,618 for the 2009-2010 academic year. This is lower than the median boundary for first-year resident tuition and fees at the nation's public schools. The projected median boundary for 2009-2010 is $24,321.

• At ASU, a $510 surcharge for Arizona residents and $710 for non-residents was approved. Arizona residents at NAU will pay a $350 surcharge and non-residents will pay an extra $450, but students already enrolled in the guaranteed tuition plan will not have to pay the surcharge.

Regents also approved an annual $80 health and wellness fee for ASU and a $72 information technology fee for students at NAU.

Surcharges at each of the institutions will be prorated for students taking seven units and fewer, and they will expire June 30, 2010. ASU will set aside 22 percent of the stimulus money and NAU would set aside 20 percent of the surcharges.

Earlier in the meeting, Brewer emphasized her confidence that the state would receive the stimulus funding requested. Yet she also asked university officials and Regents to spend the duration of the year developing a long term business model that is "accountable, predictable and affordable."

And she emphasized that those funds "won't solve our state or budget problem but they will help."

Brewer also noted that she does "appreciate" the work of the institutions during "the worst budget shortfall our state has seen."

Last year, the UA launched its Transformation Plan, which has resulted in conservative budgeting and the restructuring of several colleges, schools and departments.

Brewer also said more must be done to ensure that once federal stimulus funding has been depleted, the university system will be in a better position than it is today.

"We cannot crush or defeat the aspirations of our students in Arizona and I firmly believe our economic future is incumbent upon your success," she said, noting that the universities must also work to improve retention and graduation numbers.

"Together we will plan and work hard and provide those seeds for our future," Brewer said, adding that this will be important not only for regents, but also for community members, business and "certainly for the parents who are footing the bill."

Toward the back of the room, students and others held up signs with messages that encouraged an increased investment in the state's higher education system. The signs read: "Nearly Free as Possible," "Higher Education is the Future for Arizona," and "Do you value my future?"

While several regents said they were pleased with Brewer's decision to pursue the stimulus money, several expressed frustration with the state Legislature.

"It's the legislation that is causing this, that refuses to support higher education at a rate that is reasonable and as free as possible," said Regent Dennis DeConcini.

The Arizona Board of Regents meeting will continue on Friday at 9:30 a.m. in the North Ballroom of the Student Union, 1303 E. University Blvd.