Tuition fees on the Rochester campus would rise to $ 12,376 – up to $ 157 – next school year for resident and non-resident students. This compares to increasing the Twin Cities campus to $ 13,532 – up from $ 202 – next school year; and $ 32,096 – up from $ 480 – for non-residents.
A 1.5% salary increase for all university employees is pending collective bargaining and employee performance reviews, said university budget director Julie Tonneson.
The Rochester campus will also receive $ 350,000 in one-time money for anticipated student growth as part of its Bluff Top plan. The UMR increased enrollment by 11.5% last year during the pandemic, and the extra dollars will be used to hire more professors and for scholarships, said Molly Olson, director of the communication and marketing of the UMR.
Rochester is one of two entities in the University of Minnesota system – the other is the Carlson School of Management – which projects increased revenue due to increased enrollment.
The university will receive approximately $ 19 million in state funding for 2022, of which $ 3.5 million will be held for 2023 and $ 19 million for 2023, for a total of $ 38 million. That’s about 82% of what the university asked for.
At Tuesday’s meeting, the board voted unanimously to approve a resolution for the issuance of debt for operating purposes. The university plans to take out a $ 35 million to $ 40 million loan for athletics, and officials expect the sports department to generate income to repay the loan over several years, said Myron Frans, senior vice president of athletics. finance and operations.
The loan will be capped at $ 50 million, and any future requests above the limit will be submitted to the board of directors for approval, Frans said.
In 2022, the university plans to contribute $ 13.6 million in tuition fees, $ 15.5 million in public funds, $ 49.6 million in internal reallocation and $ 9.8 million in other resources. , for a total of $ 88.5 million.
The university plans to spend $ 87.7 million – in addition to its regular spending – in 2022, which includes the MPact 2025 strategic planning, impacts on tuition fees from 2021, an increase in employee salaries and costs of facilities / technologies.
“I look at this budget, you know, given all the consequences and everything that has happened over the last year and a half, I consider the budget to be very reasonable and very responsible,” said Regent Steve. Sviggum. “We would all like to have lower tuition fees in a world that was not real.”
An increase in state and federal grants should cover the increase in tuition fees for low-income students, he said.
While Regent Mike Kenyanya has said he doesn’t like the idea of â€‹â€‹increasing tuition fees, he said the conversation about tuition fees in terms of competitors and reciprocating students goes beyond the framework of the budget meeting. Kenyanya endorsed the 1.5% employee pay hike, saying it could potentially help retain employees and save money on recruiting.
During the meeting, Regent Darrin Rosha proposed an amendment, suggesting that instead of increasing tuition fees, the university could use the funds allocated to strategic initiatives.
â€œThe cost of attendance is a real issue for a lot, a lot of people,â€ he said. â€œIt has a real impact on real people, and I think we’re not aligned. “
The amendment failed, and Rosha was the only vote against the budget.
Regent James Farnsworth said the board should be committed to “centering the values â€‹â€‹of opportunity, access and affordability”, particularly as a pandemic emerges. He also said the $ 36.1 million investment in MPact 2025 is critical for the university.
Regent Mary Davenport echoed Farnsworth’s sentiment on strategic planning, saying that strategic planning “is necessary to move our university forward.”
Regent Douglas Huebsch supported the budget proposal and said he did not want to cut the money from the strategic initiative because “that is what will take us into the future”.
â€œI wish the tuition increase was a little lower, and frankly, I wish the pay increase was a little higher. But given where we are at, I think it’s a balancing act, and I think it threads the needle, â€said Regent Ken Powell.
Regent Janie Mayeron said she supports the budget proposal and believes the decision to increase tuition fees as part of the budget took into account the pandemic, competing institutions and university spending.
“I think President Gabel and her team have demonstrated and picked up where President (Eric) Kaler left off and taken several steps further, this holistic and systemic dialogue on tuition fees and enrollment strategy. more broadly, â€said Regent David McMillan. “I can support the one and a half percent, but I’m not doing it in a vacuum.”
Post Bulletin reporter Matthew Stolle contributed to this report.