Iowa universities propose 3.5% tuition hike next year

In-state undergraduate students across Iowa’s three public universities could face a 3.5 percent tuition increase in the next academic year under a proposal the Board of Regents will consider later this week.

Given the campuses have different base rates, that percentage increase amounts to:

Tuition hikes for undergraduates from outside Iowa differ by campus, with ISU proposing the biggest increase of 4 percent — or $1,006 more, totaling $26,168 a year.

UNI wants to charge undergraduate out-of-state students 3.5 percent more next year, adding on $675 for a total annual cost of $19,940. And UI out-of-state undergrads under the proposal will pay 1 percent more — adding $305 for a total annual cost of $30,979.

The suggested increases, if approved, are below last year’s across-the-system increases of 4.25 percent — which came on the heels of a pandemic-plagued academic year and a $7 million state funding reduction in the 2021 budget year.

Heading into the legislative session that just concluded, regents in September asked the state for a $32 million increase in general education appropriations, citing a market "heavily influenced by inflation, competition for quality talent, and labor shortages.“

Instead, Iowa lawmakers offered no “general university” appropriations bump for the 2024 budget year — keeping state funding for the universities’ “general” higher-ed spending flat at $491.5 million total across the three campuses. Lawmakers in their education appropriations bill — awaiting the governor’s signature — did give the regents $7.1 million more for education-related special purposes:

“While considering the state support, operating costs that may be absorbed through efficiencies and reallocations, and the expected inflationary impact to higher education budgets, the proposed tuition rates in this memorandum for the 2023-24 academic year includes base undergraduate resident increases of 3.5 percent at each university,” according to the proposal regents will consider at 3:30 p.m. Thursday.

The $29 million in extra revenue the board expects to generate from tuition increases “will help address growing financial challenges including inflationary cost increases, recruiting and retaining faculty and staff in national markets, meeting collective bargaining terms … deferred maintenance needs in academic facilities, and student financial aid,” according to the proposal.

Along with proposed increases in mandatory fees on all three campuses for the next academic year — including a 19 percent spike in the UI fees — the estimated cost for a resident undergraduate to attend Iowa’s public universities will increase an average of $838.67 under the proposal to $24,887 a year.

Grad student hikes

At the graduate level, all three of Iowa’s public universities are eyeing increases:

In addition to the general rate hikes, the UI and ISU are proposing some “differential tuition rates” for specific higher-cost or more competitive programs — like UI’s College of Nursing, which is proposing no increase.

“To remain competitive, the College of Nursing proposes no increase in the tuition rates for resident and for non-resident graduate students,” the proposal says.

The UI wants to keep rate increases to a modest $138 for its College of Pharmacy’s Pharm.D. program to both offset additional costs and “stem the loss of quality students resulting in smaller class sizes by keeping tuition rates competitive.”

The UI is proposing no increases for its graduate medical students, and a 3.5 percent increase for College of Law students.

ISU wants a higher 5 percent increase for veterinary medicine resident students and 3.8 percent hike for non-resident students in that “highly-ranked program.”

Among other things, according to the tuition proposal, “The additional revenue will enable ISU to deliver state-of-the art learning experiences for veterinary students, and a positive working environment for faculty and staff.”

Fee increases

The UI is planning the biggest increase in mandatory student fees at 19 percent — or $306 more for a total of $1,948. ISU wants to increase fees by 4 percent, $60, and UNI is proposing a 2.5 percent increase of $32.

Driving the UI fee hike is a new $240 charge for all undergraduates and $200 charge to all graduates in support of a planned “major renovation” of the Iowa Memorial Union.

The UI also is upping its technology, activities, health, mental health and recreation fees — the last needed to offset rising programming costs and dropping non-student memberships. A $5 “student services” fee increase is needed to “address a critical student staffing shortfall and the dramatic increase in fuel costs.”

ISU’s biggest fee increase proposal is for its student health services, which continues to soar despite enrollment losses. Over the last six years, ISU officials report, use of its student health center has surged 24 percent, including complex and severe student needs. The student health center on campus “has seen an increase of 240 percent in complex/chronic diagnoses such as depression, anxiety, and diabetes.”

New peers

Historically, in-state undergraduate tuition and fee rates across Iowa’s public universities have been the lowest or nearly the lowest among their respective 10 peer institutions, which regents recently updated to “more closely align” with their campuses.

That change in peers puts ISU and UNI closer to the middle of their respective packs — when comparing current resident undergraduate tuition and fee rates.

The UI remains third from the lowest in resident undergrad costs among its 10 peers — including seven Big Ten Conference schools — and lowest of the 10 when comparing non-resident undergrad rates.

Vanessa Miller covers higher education for The Gazette.

Comments: (319) 339-3158; vanessa.miller@thegazette.com