Out-of-state students pay more than the cost of attending the University, and the difference might make up for reduced state funds, experts say.
The estimated cost of education at a U.S. public institution is $15,626 each year, according to the National Association of College and University Business Officers. Nonresident students at UNC pay $16,303 in tuition, and there is a proposal on the table to raise that amount by $950. Resident students, in comparison, pay $3,205, with the state legislature picking up the rest of their tab.
But a tight state budget has led to cuts in funding during recent years, and universities might be using out-of-state tuition to supplement that loss, said Jon Young, Fayetteville State University’s associate vice chancellor for enrollment management.
“Out-of-state students are bearing a bigger burden of the cost than in-state students and the state combined,” Young said.
The state’s commitment to providing an education for its residents produces a concern for keeping resident, but not nonresident, tuition low, he said.
The elevated tuition is not a subsidy in the sense that individual out-of-state payments are transferred to in-state student accounts, but extra money from nonresidents does alleviate overall costs when state subsidies aren’t enough, Young said.
UNC-CH is in a special position to demand increased funds from out-of-state students, Young said.
“How much does it cost to build an automobile, and how does that compare to the sticker price?” he said. “Let’s face it, part of what you’re paying for is that prestigious institution.”
Many out-of-staters find UNC-CH more affordable than the universities in their home states, especially those hit earlier by budget woes, said Thomas Conway Jr., N.C. State University’s vice provost for enrollment management and services.
