UMich upfront abt using OOS tuition to help instate

Parents Forum
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<p>I don’t know what figures you’re looking at, dadx, but I believe that $300 million figure is either out of date, or it represents the combined funding for the Ann Arbor, Dearborn, and Flint campuses. For FY '14, the University of Michigan-Ann Arbor is slated to receive $279.1 million from the state, a 1.8% increase from the FY '13 figure. UM-Dearborn will get $22.5 million, and UM-Flint will get $19.9 million. These modest increases do not come close to making up for the 15% cuts in state appropriations the state’s public universities absorbed in FY '12.</p>

<p>[Legislature</a> approves higher-education budget](<a href=“http://www.ur.umich.edu/update/archives/130530/budget]Legislature”>http://www.ur.umich.edu/update/archives/130530/budget)</p>

<p>[Michigan</a> universities see shrinking state appropriations](<a href=“http://www.annarbor.com/business-review/state-universities-rely-more-on-tuition-dollars-than-ever-before/]Michigan”>Michigan universities see shrinking state appropriations)</p>

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<p>In 2012-2013, the University of Michigan spent $88.1 million in institutional need-based aid, and another $46.7 million in institutional non-need-based (merit) aid, for a total of $134.8 million.</p>

<p>That same year, Michigan State spent $63.5 million in institutional need-based aid, and another $20.8 million in non-need-based (merit) aid, for a total of $84.3 million. Compounding the disparity, MSU’s FA funds were doled out to a full-time undergrad student body of 34,002, of whom 17,044 were determined to have financial need. Michigan had fewer undergrads (27,226) and fewer with financial need (10,922).</p>

<p>Why the disparity? Well, despite its larger size, Michigan State actually gets a slightly smaller legislative appropriation than Michigan. More importantly, Michigan has a much larger endowment ($7.7 billion in FY 2012, 7th-largest among U.S. colleges and universities, compared to $1.4 billion at Michigan State, good for #51 among U.S. colleges and universities). Michigan also has an annual research budget of over $1 billion, most of it generated from external sources, ranking it #2 in overall research spending among U.S. colleges and universities (after Johns Hopkins); Michigan State also trails in that category with total research spending of a little under $400 million/year, good for 47th place. (Obviously, most of the research spending goes into actual research, but a portion also covers general administrative overhead, faculty salaries, graduate and undergrad research assistants, etc.) And finally, roughly 36% of Michigan’s undergrads are OOS, many of them full-pay (Michigan does not meet full need for OOS students, so many OOS admits with need elect not to attend). Roughly 10% of Michigan State’s undergrads are OOS—second-lowest OOS percentage among Big Ten schools, after Illinois. And MSU’s OOS tuition is $8K to $11K less annually than Michigan’s, depending on class standing (juniors and seniors pay more at Michigan).</p>

<p>Add it all up and it’s easy to see why Michigan can afford to meet full need for its in-state undergrads, while MSU can’t. Momofthreeboys would kick the legs out from one of the sources of Michigan’s financial strength, OOS tuition, by curtailing the number of OOS admits in favor of more in-state admits. Two predictable results would follow: Michigan’s admissions standards would decline, and very likely Michigan would no longer be able to meet full need for in-state students. In other words, you’d end up with two Michigan States instead of one.</p>

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<p>I would rather see a future percentage of Michigan’s state dollars go toward MSU in proportion to increases in OSS students at UofM. Raise to OSS percentage x%, loose x%. I wouldn’t call that “kicking the legs” out of UofM but I would say it’s would be a fairer distribution of Michigan’s small dollars to send more to MSU who is educating a larger chunk of Michigan’s undergrads as UofM increases out of state population.</p>

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<p>Just do not apply there if OOS. Everybody has this right, correct? Who cares, they can increase as mush as their heart desires…and all of us could ignore it and do not apply…</p>

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<p>^^It makes no sense to do that if the absolute number of IS students stays the same. UM increasing its OOS population while keeping IS numbers the same is only positive for IS students, both prospective and current. It brings more money into the university that they can use to meet IS need, builds its reputation nationwide, and brings in some of the most talented students in the country, all without taking seats away from the actually declining number of Michigan high school graduates. The percentage basically means nothing as a stand-alone statistic.</p>

<p>And edit: MiamiDAP- …huh?</p>

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<p>MiamiDAP,
The university of Michigan’s OOS applications are soaring. Of its 47,000+ undergrad applications this year, at least 35,000 came from OOS applicants. Michigan’s popularity and perceived desirability among OOS applicants have never been higher. Of course “everybody has the right” not to apply, but clearly many, many OOS students do apply, and no one’s forcing them to do that, either.</p>

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<p>The governor of the state of Michigan isn’t helping the situation either. He is dangling carrots in front of the state universities, offering them a certain amount of money if they don’t raise in state tuition by more than 3.75%. Their hands are tied with that. Except for Wayne State, who announced an 8.9% increase this year saying they’ll easily make up the difference in what they lose from the state by increasing it by that much.</p>

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<p>Which plays right into the hand of UofM who will simply keep increasing the out of state students and tamps down in IS tuition and locks MSU into bigger tuition increases or to also go after more out of state students. I wonder if UofM even has more room for undergraduates, especially freshman. They really aren’t adding much housing for them and every year something is off line. Kind of hard to increase out of state students, maintain student population goals for admitted freshman AND keep the instate numbers in lock-step. </p>

<p>To meet what Maizeandblue says the freshman class HAS to be bigger this year, if they kept the instate freshman numbers equal to last year…we will see in October when they release the numbers. We usually send about 10-20 to UofM as a top 10 in-state public high school which is about 10% of the senior class depending on the year. 6 are going this year to UofM and 9 to MSU and the rest are scattered around, and it was an interesting year to hear where the kids had applied at the senior honors convo and then to see where they are going which was published in the commencement program. More of the top 10% stayed in state than previous years but the UofM/MSU split was greater if I recall from my previous two years of graduating seniors in 2007 and 2011. </p>

<p>My older 2 turned their noses up at campuses with greater than 2500 students and remember I’m third gen UofM so I bleed blue even though I also said no thanks to UofM for my undergrad. I just don’t like what’s happening to our kids and their parents’ wallets. A bunch of us just helped a friend of my son get in at the 99th hour to an LAC in-state with good aid where we had connections because his parents simply could not afford MSU where he was accepted and wanted to go… with 2 in college they got zero help from MSU other than federal direct loans and they are very much the “real” middle class not the inflated we make over $100,000 middle class. </p>

<p>We can talk about what a “great institution” UofM is, but it is tough out there and there is no Blue and Gold or ANY state air for in-state students in Michigan outside of the “meets need” at UofM. For some stupid reason I figured MSU would meet need for in-state students. I’m just sorry I didn’t pay more attention years back when I had the ear of a regent friend. I was probably just too busy tailgating at the big house with friends.</p>

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<p><a href=“http://www.finance.umich.edu/reports/2012/pdf/UM_Financial_Report_2012-lowres.pdf[/url]”>http://www.finance.umich.edu/reports/2012/pdf/UM_Financial_Report_2012-lowres.pdf&lt;/a&gt;&lt;/p&gt;

<p>Page 58 </p>

<p>Non operating expenses/revenues</p>

<p>State operating appropriations $307,582 (in thousands)</p>

<p>I’ll admit I haven’t read the reports or notes. Probably is consolidated from all campuses. </p>

<p><a href=“http://www.ctlr.msu.edu/download/fa/financialstatements/FinRpt20112012.pdf[/url]”>MSU Controller's Office Fatal Error;

<p>Comparable number for MSU from page 16 is $241 million.</p>

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<p>xcept for Wayne State, who announced an 8.9% increase this year saying they’ll easily make up the difference in what they lose from the state by increasing it by that much</p>

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<p>Which is just a dandy solution for a school that has the highest percentage of Pell eligible students in the state. I know for a fact that the student population at WSU is not in any position to absorb that large an increase.</p>

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<p>There were 6 or 7 in my daughter’s class who went to Michigan- around 3%- and we aren’t a top 10 school at all. Not even close. Not that many went to State.</p>

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<p>My kids’ schools sent LOTS of kids to UM … I kid you not, D was probably the only one in her classes that didn’t apply … I would guess more than 10% for sure. A good number went to State as well, including really good students who got merit & research positions.</p>

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<p>My kids’ school sends over 100 students a year to UofM. About 20% of the class. An equal number to MSU. </p>

<p>I most definitely do not want UofM to reduce the number of OOS students and have to increase cost for the ISS. I also don’t want it to reduce the quality of the students. It’s the biggest bargain going for those qualified students. I know many who got into the Ivy League but chose UofM instead because of the cost.</p>

<p>I also know some who got into UofM but chose MSU because of the merit money offered. However, I know students offered merit at MSU, including a free ride, who still went to UofM. </p>

<p>Michigan does not need another MSU which is what would happen if fewer OOS students are accepted.</p>