The Portland State University Board of Trustees on Thursday unanimously approved a 3.6% increase to in-state undergraduate tuition for the 2022-23 academic year. The increase is equal to $7 per credit hour and is lower than forecasted inflation for the university. Nonresident and graduate tuition rates will also increase $7 per credit hour.
Portland State’s tuition increase is smaller than most of Oregon’s public universities which are seeking increases between 2% and 7%. PSU’s tuition remains one of the lowest in the state of Oregon.
“Tuition is a necessity. The state covers less than 35% of our education costs,” said PSU President Stephen Percy. “We strive to be affordable, but we also must meet our obligation to deliver an outstanding experience to our students — in the classroom and outside it. That requires resources and the resource need increases each year.”
The tuition increase allows for a 2% increase to the general fund budget and will be combined with the use of up to $10 million in reserve funds to create a balanced budget. However, due to projected inflation of 4%, the general fund increase will feel like a $6 million cut from current service levels, according to Vice President of Finance & Administration Kevin Reynolds.
Student fees will also see an increase for the 2022-23 academic year. The incidental fee will increase by $15 to $323 per term; the health service fee will increase by $14 to $190 per term; and the student building fee will increase by $6 to $45 per term. The recreation center fee will stay the same at $44 per term.
The Student Fee Committee, which proposed the $15 per term increase to the incidental fee to fund deferred maintenance to the Smith Memorial Student Union building, said it is cognizant of the financial impact to students, particularly during an ongoing pandemic.
“Our belief is that this recommendation strikes a balance between these grim financial realities and a desire to protect essential programs and services,” said Student Fee Committee Chair Kierra Wing.
Percy acknowledged that paying for college is a real and growing issue for students, with no indication of that issue changing. PSU is continuing to explore other ways to support students including addressing housing and food insecurity, he added.
“If we are to ‘let knowledge serve the city’ we must do all we can to ensure our doors are open for any who want to attain a college degree, regardless of their individual financial situation,” Percy said.