NDUS Summary of Tuition Model Implementation Plan MiSU
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1 NDUS Summary f Tuitin Mdel Implementatin Plan MiSU Current Mdel Prpsed Mdel (Effective Fall, 2019) Tuitin Rates Tuitin Rates On Campus (residency blind) On Campus (residency blind) Per credit t 12 credits Per credit t 12 credits Flat rate 12 t 18 credits Flat rate frm credits After 18 credits, per credit After 18 credits, per credit On line (residency blind) On line (residency blind) Per credit Per credit t 12 credits Flat rate frm credits After 18 credits, per credit Distance Educatin Access Fee (per credit) Distance Educatin Access Fee (per credit) On line curses and any alternative delivery classes On line curses and any alternative delivery classes Mandatry Fees Mandatry Fees CND cap at 12 CND cap at 12 NDSA cap at 12 NDSA cap at 12 Technlgy per credit cap at 12 Technlgy per credit cap at 12 Athletics per credit t 12 & ver 18 Athletics per credit t 12 & ver 18 Student Health per credit t 12 & ver 18 Student Health per credit t 12 & ver 18 Placement per credit t 12 & ver 18 Placement per credit t 12 & ver 18 Health & Wellness Center Bnd per credit t Health & Wellness Center Bnd per credit t 12 & ver & ver 18 Health & Wellness Operatins per credit t 12 Health & Wellness Operatins per credit t 12 & ver 18 & ver 18 Activity per credit t 12 & ver 18 Activity per credit t 12 & ver 18 Curse Fees (per curse) Curse Fees (per curse) Fees fr 100 curses ranging frm $5 t $150 All Curse fees eliminated except the fllwing: Nursing, music lessns and pass thrugh fees. Prgram Fees (per semester) Prgram Fees (per semester) Athletic Training Nursing prgrams Nursing prgrams Residency Factrs (n campus) Residency Factrs (n campus) ND Resident & Canadian (1) ND Resident & Canadian (1) MN (1 r as per agreement) MN (1 r as per agreement) Cntiguus (1) Cntiguus (1) MHEC & WUE (1) MHEC & WUE (1) Nn resident (1) Nn resident (1) Internatinal (1) Internatinal (1)
2 Prpsed Tuitin Mdel Mint State University 3/1/2018 Mint State University seeks State Bard f Higher Educatin apprval t implement the fllwing tuitin mdel, effective fall, University persnnel have extensively analyzed this prpsed tuitin mdel fr impact and viability. The SGA unanimusly apprved MSU pursuing this tuitin mdel during its February 5, 2018 meeting. MiSU prpsed Tuitin Mdel - Executive Summary - Tuitin is t be charged n a per credit basis t 12 credits fr all credits f all mdalities. This will require a ne-time increase t remain revenue-neutral. - Overlad charges are t be assessed beynd 18 credits - All Class, Curse and Prgram fees are t be eliminated except fr Nursing fees, Music lessn fees and pass-thrugh fees. - N prgrams will be charged differential tuitin. - MiSU is asking fr an exceptin t differentials in residency tuitin in rder t cntinue its successful current GROW ND mdel (i.e. requesting t maintain ne rate f tuitin, regardless f residency status). Principle 1. Tuitin will be charged per credit hur r a flat rate and will be assessed at either 12 r 13 semester hurs. Mint State University prpses t charge a per credit tuitin rate up t 12 undergraduate hurs fr all curse-wrk. 12 t 18 credit hurs will be assessed at a flat rate with a per credit verlad charge being assessed fr all semester credit hurs taken in excess f 18 credit hurs. Principle 2. T the greatest extent pssible, institutins will blend tgether tuitin and nn-mandatry fees; hwever, campuses may retain a separate distance educatin access fee as deemed necessary. Mint State University prpses t blend all nn-mandatry curse and class fees int tuitin with the exceptins nted. Annual fees that will be rlled-in t tuitin ttaled $75,895 fr the three academic semesters in Fiscal Year 2018 as utlined belw: Art Curse Fees $19,870 Bilgy Curse Fees $17,880 Cmm. Disrders Clinic Fees $ 2,975 Fitness & Wellness Fees $ 295 HPER Taping/Bracing Fees $ 1,170 Physical Ed. Curse Fees $ 835 Science Curse Fees $32,060 Swimming Curse Fees $ 85 Vide/Audi Curse Fees $ 725 Ttal Curse Fees $ 75,895
3 The Specific class and curse fees t be eliminated are utlined in the fllwing table:
4 MiSU anticipates absrbing the expenses funded by these fees int the annual perating budget. MiSU is asking fr exceptins fr the fllwing fees: - Music Lessn Fees. Music Lessns are expensive fr the University t administer. A separate fee must be assessed r majrs as well as nn-majrs will be incentivized t take what wuld essentially be free music lessns. Music lessn fee revenues are expected t ttal apprximately $42,150 annually. - Nursing prgram and curse Fees. Nursing fees generate apprximately $130,000 annually t help supplement nursing prgram peratins and fund nursing equipment purchases such as simulatrs. Because nursing fees generate almst as much revenue as all ther nn-mandatry fees cmbined, it is apprpriate t charge nly nursing students thse fees. Differential tuitin fr the nursing prgram was rejected because it wuld add cmplexity t the tuitin mdel and place the University at a cmpetitive disadvantage in tuitin cmparisns with ther institutins in the Midwest. Additinally, many f the escrwed fees are set aside fr large nursing equipment purchases which wrks t simplify the budgeting prcess. - Student Teaching, Cntinuing Enrllment and Practicum fees. These specialty fees are generally pass-thrugh fees that cmpensate faculty fr specialized duties beynd their required lads. These annual fees ttaled $20,450 fr FY Principle 3. T the greatest extent pssible, n-campus and n-line tuitin rates shuld be the same and cnsistent within residency rate. Mint State University prpses that the cmbinatin f ttal tuitin, mandatry fees and distance charges will be assessed at the same ttal rate fr all Undergraduate r all Graduate classes as well as face-t-face classes regardless f lcatin r mdality. The distributin f tuitin and mandatry fees, including the distance educatin access fee will differ within the ttal but students will experience n difference in their ttal tuitin and fees. A flat rate f tuitin fr nline and distance classes will be banded at 12 t 18 credits as is dne fr face-t-face classes. This prpsed structure differs frm the University s current mdel where nline and distance classes are assessed at a per-credit rate with n cap. This new mdel will result in a reductin f apprximately $800,000 in annual tuitin, mandatry fees and distance charges (at current rates and utlined belw) but will keep MiSU n par with ther institutinal tuitin mdels in the Nrth Dakta University System as well as ther cmpeting institutins in the Midwest.
5 REDUCTION IN REVENUE IF ONLINE & DISTANCE COURSE TUITION HAD BEEN CHARGED ON A BANDED MODEL FOR FY 2018 Summer 2017 Undergraduate Tuitin -$ 2, Fall 2017 Undergraduate Tuitin -$292, Fall 2017 Graduate Tuitin -$ 22, Spring 2018 Undergraduate Tuitin -$325, Spring 2018 Graduate Tuitin -$ 22, Ttal Tuitin Reductin -$659, Ttal MiSU Mandatry Fees Reductin -$141, MiSU is prpsing a ne-time 4.4% increase in tuitin and fees in additin t the regular annual Bard-authrized increases fr FY The ne-time fee will be necessary fr the University t remain revenue-neutral in tuitin and MiSU mandatry fees after this new mdel is implemented. The simplified prjectins are shwn in the fllwing table: Tuitin MiSU Mandatry Fees Prjected Tuitin and Fees FY ,665,110 3,354,417 Prjected Tuitin revenue and Fees - FY 2019 (with state-authrized 4% increase) 16,291,714 3,354,417 Prjected Tuitin revenue and Fees - FY 2020 (with prpsed tuitin mdel) 15,605,844 3,213,198 (withut State-directed tuitin increase) Prjected Tuitin revenue and Fees - FY 2020 (new mdel with ne-time 4.4% increase) 16,292,501 3,354,579 Nte: Calculatins assume flat enrllment Principle 4. The SBHE may cnsider special institutinal/prgram rates based upn unique markets, gegraphic lcatin, enrllment cnsideratins and/r the variable cst f unique academic prgrams. Mint State University prpses keeping institutinal and prgram tuitin rates as simple and cnsistent as practical t achieve transparency and efficient peratins.
6 Principle 5. Assess tuitin based n residency accrding t prescribed rates. Assess tuitin based n residency as fllws: ND residents-1.0 Minnesta residents -per established reciprcity agreement 1.12 Other ut-f-state U.S. residents and the Canadian Prvinces f Manitba and Saskatchewan- n lwer than 1.20 Internatinal students, except Manitba and Saskatchewan n lwer than 1.75 Mint State is asking fr an exceptin t Principle 5 in rder t cntinue its successful Grw ND recruiting prgram. The Grw ND prgram, apprved in 2008, has succeeded in: Increasing diversity n the Mint State campus, benefiting the campus and cmmunity. Increasing the talent pl in Nrth Dakta by recruiting, educating and retaining skilled graduates fr the State f Nrth Dakta. Helping mitigate the recent effects f declining high schl graduating senir demgraphics in western and central Nrth Dakta. Keeping the tuitin structure simple and efficient t administer. The Grw ND prgram charges the same rates fr resident and nn-resident students. Mint State s administratin has extensively analyzed the prpsed SBHE tuitin structure in principle 5. MiSU has n way f determining elasticity f demand based n tuitin price but tuitin was prjected under varius enrllment scenaris. A cnslidated spreadsheet f the resulting revenues fr thse scenaris is shwn n the final page f this dcument. T summarize thse results: if the prpsed tuitin structure had been implemented in the current fiscal year and had n impact n enrllment, the mdel wuld have enhanced MiSU revenues by sme $1.7 millin. But given the 75%, 20% and 12% increases utlined in the SBHE mdel as cmpared t MiSU s current Grw ND mdel, enrllments wuld certainly decrease. As the table shws, even if resident enrllment stayed flat, a 15% decrease in internatinal enrllment cmbined with a 10% decrease in ther nn-resident enrllment wuld result in lwer verall net revenue t MiSU (including apprpriatins thrugh the funding frmula). If the tw grups f nn-residents declined 20% and 15% respectively, the verall revenue lss wuld ttal in excess f $800,000 annually (nt including the unknwn lsses that wuld als be incurred fr rm and bard). Given the large budget frmula reductins MiSU expects t receive next biennium, the significant budget cuts f the last tw years and the lss f revenue frm the change in tuitin structure fr nline classes detailed earlier, MiSU administratin believes that this is nt the time t take a chance with changing the nn-resident tuitin structure.
7 MINOT STATE UNIVERSITY SENSITIVITY ANALYSIS OF SBHE RESIDENCY TUITION MODEL SUMMER 2017 THROUGH SPRING SCENARIO SCENARIO SCENARIO MANDATORY STATE TOTAL ENROLL % TOTAL ENROLL % TOTAL ENROLL % TOTAL STUDENT RESIDENCY CREDITS TUITION FEES FUNDING FUNDING DECREASE FUNDING DECREASE FUNDING DECREASE FUNDING ND Residents 48,371.5 $9,753,127 $1,793,565 $12,123,751 $23,670,443 0% $23,670,443 0% $23,670,443 0% $23,670,443 Internatinal 5,258.0 $1,023,153 $239,697 $1,271,844 $2,534,694 0% $3,302,059 15% $2,806,750 20% $2,641,647 (nt cntiguus prvinces) Other Nn-Residents 23,670.5 $4,917,669 $958,593 $6,112,973 $11,989,235 0% $12,966,936 10% $11,670,242 15% $11,021,896 TOTAL 77,300.0 $15,693,949 $2,991,855 $19,508,568 $38,194,372 $39,939,438 $38,147,436 $37,333,986 IMPACT TO REVENUE $1,745,066 ($46,936) ($860,386) Nte: State Funding decreases due t the resulting decrease in enrllment wuld take place in future years per state funding mdel rules but the impact is shwn in this mdel in the same year as the enrllment decrease fr cmparisn purpses.
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