The Ohio University Board of Trustees approved the 2024-25 budget with increases to student fees and tuition and new fiscal priorities. The changes are the board’s most recent move to fund the Capital Improvement Plan, or CIP, with a higher cost of attendance.
According to its general data report, OU has seen a steady increase in tuition, fees and room and board costs over its 220-year history. In the past 10 years, OU undergraduate students have experienced a $5,700 increase in their direct college costs, a growth of more than 21%.
Direct costs are only one part of the university’s total cost of attendance. According to OU’s Student Financial Aid & Scholarships website, the cost of attendance is a comprehensive budget including both direct and indirect college costs.
Direct costs include tuition, standard fees, housing and meal plans, while indirect costs include estimates for books, course materials, supplies, transportation around campus, trips home and personal expenses.
The board’s approval of the 2024-25 budget includes a 3% increase to undergraduate tuition and non-resident fees, as well as a 4.6% increase to room and board plans.
OU’s average estimated cost of attendance was $31,096 in the 2023-24 academic year, according to the university’s financial aid website, and is calculated based on a student's residency and OHIO Guarantee+ plan.
With the budget increases, students entering the Guarantee+ plan for the 2024-25 year will have an estimated cost of attendance of $38,173.86 for non-residents and a cost of $27,494.82 for residents.
The budget also includes a 3% increase to the Heritage College of Medicine’s instructional fee and a 10% increase to its non-resident fee.
Interim Vice President of Finance and Administration John Day shared a presentation at the board’s last meeting regarding variances in costs. The department is projecting a $1.8 million unfavorable variance in maintenance revenue this year due to the increased cost of supplies for projects in the CIP. Day did not respond for comment.
OU’s financial office allotted $436.7 million toward the CIP for the 2024-25 fiscal year and is expected to maintain a net positive of $2.5 million. Despite efforts from his office, Day’s presentation also showed a near $11.5 million net negative for the following fiscal year due to the CIP projects.
According to OU’s Budget Planning and Analysis website, the annual budget process begins in September with the release of updated models, guidance and tools for planning units to utilize in the development of their annual budget. The planning units ’ budgets are then compiled by the Office of Budget Planning and Analysis, or BPA, for review by staff and university leadership in October.
The budget is then revised and finalized between April and May and is sent to the Board of Trustees for approval in June.
With the board’s approval of the budget in June, CIP projects such as Bentley Hall and Bentley Annex’s heating, ventilation and air conditioning repairs and the campus-wide ADA Transition Plan will be underway in 2024.
Other notable CIP projects such as the Radio Television Building’s roof replacement and Pickerington Hall’s renovations have been reallocated to next year’s budget priorities.
