Tuition and Mandatory Fee Recommendation University of Kentucky

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1 Council on Postsecondary Education June 21, Tuition and Mandatory Fee Recommendation On May 22, 2012, the submitted its tuition and mandatory fee proposal and tuition revenue estimates to the Council. The Council staff has reviewed the proposed rates and determined that they comply with the resident, undergraduate rate ceiling for a research university approved by the Council at its April 20 meeting. Upon approval by the Council, the recommended rates will establish maximum tuition and mandatory fee charges that may be assessed to students enrolling at UK during fall semester 2012, spring semester 2013, and summer term ACTION: The staff recommends that the Council approve the following tuition and mandatory fee rates for the. Tuition and Mandatory Fees On April 20, the Council approved a resident, undergraduate tuition and mandatory fee ceiling of 6 percent for the research universities and voted to allow the institutions to submit for Council approval market competitive rates for graduate, first-professional, and online courses. As can be seen in the table below, the proposal that the submitted to the Council on May 22 is in compliance with the 6 percent ceiling. Current Proposed Dollar Percent Rate Category Tuition & Fees Tuition & Fees Change Change Undergraduate 1 $9,260 $9,816 $ % $18,865 $19,997 $1, % Multiple Graduate $9,866 $10,458 $ % $20,326 $21,546 $1, % 1 Average of upper- and lower-division rates.

2 Attachment A contains additional categories and rates for undergraduate, resident and nonresident part-time students (per credit hour charge); for graduate, resident and nonresident part-time students (per credit hour charge); for master s degree programs in business administration, diplomacy and international commerce, physician assistant studies, radiological medical physics, and health physics; and for graduate programs in law, medicine, dentistry, pharmacy, professional doctoral, MBA, and doctorate of physical therapy. The Council staff recommends approval of rates in these additional categories as proposed by the university. Estimated Tuition Revenue UK officials estimate that their proposed tuition and mandatory fee charges for all categories of students (i.e., every academic level, residency, and full-time or part-time status) will generate about $315.9 million in gross tuition and fee revenue, an increase of about $23.2 million or 7.9 percent over the previous year (see Attachment B). Campus officials also estimate that education and general (E&G) fixed costs will grow by about $17.3 million in This cost increase does not include an anticipated $19.4 million reduction in the university s net General Fund appropriation, as called for in the enacted 2012 Budget of the Commonwealth (HB 265), nor does it include unfunded increases in M&O costs for E&G facilities coming online in Rate Exceptions At its April 20 meeting, the Council voted to maintain the existing floor for nonresident, undergraduate tuition and mandatory fees of at least two times the resident, undergraduate rate. The Council also reinforced its practice of allowing institutions to request exceptions to this policy when they submit their tuition and fee rates for final Council action. On April 24, 2012, Council staff provided Kentucky s public postsecondary institutions with templates for submitting their respective tuition and mandatory fee proposals and tuition and fee revenue estimates to the Council. As part of that correspondence, institutions were asked to identify categories of nonresident students that they desire to charge less than two times the resident rate and provide a brief explanation for the reduced charge. The is not requesting any exceptions to the nonresident, undergraduate rate floor established by the Council. The university s proposed full-time, nonresident rate for undergraduate students is $19,997 (an average of upper- and lowerdivision nonresident rates), which is 2.0 times the in-state rate and exceeds the established floor. Staff preparation by John Hayek and Bill Payne

3 ATTACHMENT A Proposed Tuition and Mandatory Fee Charges Fall Spring Annual Summer Category Undergraduate (Lower Division) Full-time (12 credit hours and above) 1 $ 4,838 $ 4,838 $ 9,676 Per Credit Hour $ 389 Full-time (12 credit hours and above) 1 9,932 9,932 19,864 Per Credit Hour Undergraduate (Upper Division) Full-time (12 credit hours and above) 1 4,978 4,978 9,956 Per Credit Hour Full-time (12 credit hours and above) 1 10,065 10,065 20,130 Per Credit Hour Graduate Full-time 5,229 5,229 10,458 Per Credit Hour Full-time 10,773 10,773 21,546 Per Credit Hour 1,168 1,168 1,168 Master of Business Administration (MBA) Evening and part-time students Full-time 6,044 6,044 12,088 Per Credit Hour Full-time 12,857 12,857 25,714 Per Credit Hour 1,399 1,399 1,399 Master of Arts in Diplomacy and International Commerce Full-time 5,482 5,482 10,964 Per Credit Hour Full-time 11,022 11,022 22,044 Per Credit Hour 1,195 1,195 1,195 1 Credit hours over 19 by permission only.

4 ATTACHMENT A Proposed Tuition and Mandatory Fee Charges Fall Spring Annual Summer Category Master of Science in Physician Assistant Studies Full-time 5,633 5,633 11,266 Per Credit Hour Full-time 11,172 11,172 22,344 Per Credit Hour 1,212 1,212 1,212 Master of Science in Radiological Medical Physics and Master of Science in Health Physics (College of Health Sciences, Division of Radiation Sciences) Full-time 6,086 6,086 12,172 Per Credit Hour Full-time 11,593 11,593 23,186 Per Credit Hour 1,259 1,259 1,259 Law Full-time 9,702 9,702 19,404 Per Credit Hour Full-time 16,809 16,809 33,618 Per Credit Hour 1,658 1,658 1,658 Medicine Students - entering classes of fall ,457 44,660 Students - entering classes of fall ,604 44,907 Students - entering classes of fall ,752 45,155 Students - entering classes of fall ,344 49,219

5 ATTACHMENT A Proposed Tuition and Mandatory Fee Charges Fall Spring Annual Summer Category Students - entering classes of fall ,233 53,639 Students - entering classes of fall ,110 55,248 Students - entering classes of fall ,907 58,553 Students - entering classes of fall ,889 60,334 Dentistry 28,458 58,085 Pharmacy Full-time 11,466 11,466 22,932 Per Credit Hour Full-time 20,850 20,850 41,700 Per Credit Hour 1,723 1,723 1,723 Professional Doctoral Full-time 6,817 6,817 13,634 Per Credit Hour Full-time 14,878 14,878 29,756 Per Credit Hour 1,624 1,624 1,624 Master of Business Administration (MBA) Full-time students in the "Day" Program 11,165 22,237 Doctorate of Physical Therapy 16,966 37,112

6 Estimated Gross Tuition and Mandatory Fee Revenue ATTACHMENT B Estimated Estimated Category Undergraduate $ 121,431,000 $ 131,129,400 65,539,900 71,108,000 Online Graduate 22,988,800 26,066,000 28,500,400 32,692,100 Online First-Professional 30,577,500 24,064,200 15,518,300 22,225,900 Mandatory Fees 8,102,300 8,588,438 Total $ 292,658,200 $ 315,874,038

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