SOONER or later the Commonwealth was going to hit rock bottom and hit it hard. Little to anyone's shock, it came sooner. Like the rain gauges, state coffers have been hit by the most severe of droughts, and Virginia currently toils under one of the worst budget crises in recent history. Unfortunately for students, extra dough to alleviate the crisis will come from their own pockets. The state budget passed nearly two weeks ago calling for tuition hikes for both in-state and out-of-state students. While it's clear that tuition must be increased across the board for all students, after taking into consideration the University's status as a state school and Virginia's budget predicament, the rate increase for out-of-staters still should remain higher than that for in-state students.
Along with numerous other state agencies and institutions, the University has fallen prey to steep cuts mandated by the General Assembly. Aside from reductions in state funding, the school also must deal with the state's search for additional appropriations. In the budget approved March 9, the General Assembly assumed a 5 percent tuition hike for Virginia residents. On the other hand, out-of-state students under the new plan will have an extra 8 percent tacked on to their bills. The Board of Visitors' Finance Committee, however, ultimately determines what to charge students each year. In turn, its plan is subject to approval by Gov. Mark R. Warner. The Finance Committee will meet April 5 to make its final decision on increasing tuition.
The University first and foremost is a state university. In terms of money, this means that the state government is a principal source of funding. In other words, every single citizen in Virginia, through the state income tax, contributes substantially to the state budget and its appropriations, including the state's institutions of higher learning. During their stay at the University then, in addition to full tuition, students and their parents still pour thousands of dollars into education. So it comes as no surprise that tuition for Virginia residents registers lower than that for their out-of-state counterparts, and the same principle applies to the tuition hike.
Sheer logistics also explains why the increased rate for out-of-state tuition must be higher. Roughly two-thirds of University students are from Virginia, and the number of out-of-state students obviously is much smaller. More revenue can be collected from the much larger in-state population even at a smaller rate. To compensate for the enrollment discrepancy, the fewer out-of-state students must be charged more.
While the percentage of in-state and out-of-state students receiving aid is about equal, the average aid package for non-Virginia residents is approximately double that of Virginia residents. Even though it can be argued that their tuition is respectively higher too, out-of-state students shouldn't complain since they probably will see a rise in their aid correlating with the tuition hike anyway.
In addition, out-of-state students aren't getting that bad of a deal in the long run. According to U.S. News & World Report, U.Va.'s out-of-state tuition was only a little over $1,000 more than the average for the magazine's top 25 public schools for 2000-2001. Also considering the fact that the University is in some circles dubbed the Ivy League school of the South, out-of-state students get a better bargain than going to private universities - Ivy Leagues included.
Most important is the factor of the dire straits the Virginia economy already is in. Virginia is a lot worse off than many other states in America. Should in-state tuition be jacked up too much, it would be akin to beating the proverbial dead horse. Anyone vaguely familiar with supply and demand economics will attest to this: If Virginia residents who already are suffering through salary cuts, job losses and a waning economic boom are forced to pay drastically higher fees, the state economy will suffer additional damage as increased money is taken out of circulation when people cut their personal spending. While some may find the "spread the wealth" mentality a bit hard to buy, the plain fact is that Virginia's hurting, and for the time being, out-of-state students are going to have to help out more than usual.
No one - especially students - enjoys a tuition hike. Certainly, the General Assembly has no hidden motive to solicit exorbitant funds from out-of-state students to fix its own problems. It's a bitter pill to swallow, but for at least the duration of Virginia's economic crisis, University students who hail from other states will have to put more money into their education. But it'll pay off in the end - for everyone.
(Becky Krystal is a Cavalier Daily associate editor. She can be reached at bkrystal@cavalierdaily.com.)
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