Return to Table of ContentsAt their meeting May 9, the Trustees of Indiana University approved a maximum 4 percent tuition increase for resident undergraduates that will be the lowest increase in 21 years.
In what IU President Myles Brand called an "unprecedented" move, IU trustees adopted tuition rates for the 1997-98 academic year before learning of final passage of a state budget. Six days later, after legislators reconvened, both houses approved a two-year, $17 billion state budget.
The university felt it was necessary to move forward so IU students and their families could be provided with as much information as possible about instructional fees. Normally, IU waits to set its tuition fees after state lawmakers adopt a biennial budget that includes funding for higher education.
"In the last days of the scheduled legislative session, there were rampant rumors about the levels of tuition increases," Brand said. "I heard speculation that our tuition might increase 5 percent or more. The trustees, upon my recommendation, are holding the tuition increase to the lowest in 21 years. We are committed to providing the highest quality education at an affordable price."
He added later at a media briefing, "We want to make a statement to the legislature that we are going to be responsible, come what may."
IU's tuition increase is based upon the House/Senate Conference Committee recommendations for higher education, which were identical to those in the state budget bill legislators passed. The university received a 3.6 percent operating increase for 1997-98. In addition, the budget included an appropriation to the State Budget Agency for quality improvement for distribution to public higher education institutions. The Indiana Commission for Higher Education is expected to make recommendations for distributions of these funds. All of IU's capital projects were appropriately funded.
IU Trustees President John Walda said trustee action was necessary in order to help IU students and their parents plan financially for the coming academic year. "It was important that we hold the line for families in Indiana," he said, adding that the trustees' action on tuition "leaves little room for creating quality improvement" at IU.
Brand added that IU needed to demonstrate to parents and the public that national concerns about the rising costs of public higher education, recently discussed in the national media, do not apply here. He said the university will face some sacrifices.
"This is a difficult budget for us," he said. "It will require significant internal reallocation." He was not specific about what further steps IU will take internally, but said they will not come at the expense of the university's quality.
IU is required to operate with a balanced budget. Along with tuition rates, trustees also adopted policies concerning upcoming salary increases and a policy that asks each campus to restrict its reliance on general fund balances for operating expenses.
Trustees also set undergraduate tuition rates for out-of-state students, which also were increased by 4 percent, as well as tuition for those enrolled in IU's professional programs.
At their next meeting June 13 in Bloomington, IU trustees are expected to adopt a final university budget that is based on the guidelines approved May 9.