Pilot plan to set universities' tuition range

ARIZONA DAILY STAR

By Aron Mackey
FLAGSTAFF — The Arizona Board of Regents will set a price range in which the state's three universities can set tuition this fall under a pilot program that represents a shift in how the schools determine what they charge students.
The new tuition-setting pro-cess approved Friday means regents will provide three price points for the universities, setting the upper limit of what campuses can charge on a long-held standard of keeping tuition in the bottom third of what peer institutions charge.
In the past, regents would provide input on tuition setting, with universities and other interested groups, often students, bringing proposals forward that would then be reviewed for a final vote.
The new proposal allows regents to take a more proactive role in setting tuition, rather than simply reacting to recommendations made by officials from the University of Arizona, Arizona State University and Northern Arizona University, said Sandra Woodley, the regents' chief financial officer.
It'll also allow more time for students, parents and interested groups to provide input on the final price, with regents establishing the ranges in September and setting tuition in December.
The upper tier would be established by comparing tuition prices with peer institutions that wouldn't exceed the top of the bottom third of what those other schools charge. The bottom limit would mirror cost-of-living increases. This year's undergraduate tuition at the UA, including fees, is $5,542.
Though supportive of the change, ASU President Michael Crow said a decrease in tuition would actually hurt low-income students' ability to attend the state's public universities.
Because a portion of tuition increases are set aside to help pay for students who couldn't afford the increasing cost of attending college, raising tuition actually increases access for students who need it, Crow said.
And if regents and other interested parties continue to view tuition as a barrier to education, rather than an opportunity to give the universities the resources they need to fund financial aid, increase access and grow, tuition setting will continue to be a contentious process, said Fred Boice, the board's president.
"As long as this board continues to view tuition as cost, we're just milling around and not getting anywhere," he said.
With declining state funding for the universities, tuition is the primary source for ASU to pay for growth at the state's largest university, Crow said.
"We are going to take on 4,700 more students than we had last year, and there's no state support for any of them," he said. "The only revenue we have for them is tuition."
UA student regent David Martinez, who passed an amendment to cap the upper limit at the bottom-third standard used previously, said he was excited the board was taking the time to delve into the process of setting tuition.
"I think this year's approach will yield great results," he said. "This allows the regents to be ahead of the curve."
Though happy about the progress made on tuition setting, Tommy Bruce, UA student body president, said the proposal is a double-edged sword.
Providing stricter parameters for future increases is a good step, though the new proposal still leaves room for arbitrary increases, he said.
What's needed is for the UA to adopt a model that guarantees students a maximum level of increase over the four years they're on campus, so that families can make plans, he said.
Another outcome of the proposal is that the regents will further scrutinize the peer institutions to which they compare themselves when setting tuition.
The schools include institutions from a 50-state survey, which Martinez said doesn't allow the three universities to compare themselves to schools with similar missions.
UA President Robert Shelton said he agrees that the definition of what constitutes a peer institution needs to be refined so that regents can make a realistic appraisal of how the state universities stack up.
● Contact reporter Aaron Mackey at 807-8012 or at amackey@azstarnet.com