U of S Board Announces 2001-02 Operating Budget

Posted May 14, 2001


FOR IMMEDIATE RELEASE ? May 11th, 2001 2001-05-06-OTHER

U of S Board Announces 2001-02 Operating Budget

The University of Saskatchewan?s Board of Governors today approved an
operating budget that will improve undergraduate scholarships and bursaries
by 60%, help in the recruitment of top-quality faculty and enhance the
student experience.

The increase in expenditure will be met by a 3.5%, or $4.7 million, increase
in the University?s operating grant from the provincial government and from
a 15%, or $7.3 million, increase in tuition fees. Around half of the
increase reflects the phase-in of a two-year adjustment to national norm
tuition levels.

In 2002-03, the final year of the national norm phase-in, tuition
adjustments at the University will take into account costs, national norms,
demand, and program offerings. This information will be used to develop
specific program/category tuition level appropriate for the U of S. In some
cases, colleges may establish tuition rates higher than national norm
guidelines.

Currently, the annual cost of tuition varies by program with differentials
assessed at the course level and at the program level for specific colleges
(see backgrounder).

The tuition increase will amount to $486 per year for a student taking all
category 1 courses (most Arts and Science programs). However, the total cost
of a student?s education will be reduced by the change in the Education Tax
Credit which increased this year from $200 to $400 per month. This change
results in a total saving to students of $460 per year.

Board Chair, Frank Quennel, said: "If the University of Saskatchewan is to
compete with other universities in the medical-doctoral category and provide
high-quality programs to future generations of students, there has to be
sufficient resources. Apart from the provincial government operating grant,
tuition is the only way we can find these resources."

University President, Peter MacKinnon, added: "Saskatchewan residents
deserve the same opportunities for a high-quality education as that offered
in other provinces. This is about quality and providing equal opportunity
for people in this province. It provides hope for the future of
post-secondary education in Saskatchewan."

The operating budget focuses on maintaining high-quality programs and an
enhanced learning experience for students, through such measures as:

- a 60% or $0.5 million increase in undergraduate scholarships and bursaries
- $0.5 million increase for student services and programs
- $0.1 million increase to improve Computer Science lab offerings and
student support
- $0.1 million increase to enhance the Pharmacy and Nutrition program.

Although tuition has steadily increased at the U of S over the past few
years, for many programs, it still offers one of the lowest tuition fees in
the medical-doctoral category across the country.

The University's operating budget for 2001-02 will amount to $215.5 million.

Highlights of the 2001-02 Operating Budget and background information are
attached.


For further information, contact:

Frank Quennel, Chair
Board of Governors
(403) 240-5519
(403) 233-7538 (h)

or

Peter MacKinnon, President
University of Saskatchewan
(306) 966-6212


2001-02 Budget Highlights

Tuition
Tuition at the University of Saskatchewan varies by program, with
differentials assessed at the course level and at the program level for
specific colleges (Dentistry, Medicine and Veterinary Medicine). For
2001/02, based on a typical course mix for the program of instruction,
annual tuition for the various programs is:

U of S National Norm
Projected

Agriculture: $3,994 $3,859
Arts: $3,792 $3,869
Science: $3,860 $3,901
Commerce: $3,726 $4,064
Education: $3,860 $3,952
Engineering: $3,960 $4,356
Law: $4,332 $4,807
Medicine: $7,623 $7,592
Nursing: $3,927 $4,011
Kinesiology: $3,960 $3,905
Pharmacy: $5,110 $4,070
Nutrition: $4,710 $4,070
Physical Therapy: $5,309 unavailable
Veterinary Medicine: $6,530 $5,593

Dentistry students will pay $14,000 in tuition, in line with the 1999
funding model for the College of Dentistry. This model provides for $32,000
in tuition for all students, with the potential for U of S bursaries of
$18,000 for 15 qualifying students.

Library acquisitions
To help combat a 9.9% annual inflation rate for library materials, the
budget allows for an increase of 5% for library acquisitions. The U of S has
recognized the importance of the library throughout its years of budget cuts
and has preserved the library?s acquisitions budget.

Salary settlements
The budget projection includes a provision for salary settlement increases
which are in keeping with the provincial pattern.

The University competes for faculty both nationally and internationally and,
to do so effectively, we must maintain competitive salaries.

Utilities
An 18% increase in utilities is projected which allows for both price and
usage increases. The primary factor contributing to this increase is the
rise in natural gas cost which has more than doubled over the last two
years.


2001-02 Capital Budget
The university received $21.4 million from the provincial government for its
2001-02 capital budget. This is slightly less than the 2000-01 capital grant
of $22.2 million which included $0.75 million for nursing. These funds will
be allocated as follows:

- $6.2m to repairs, rehabilitation and adaptation of buildings
- $1.3m to equipment. Allocated based on prioritized submissions from
academic and administrative units.
- $1.4m to computer network and lecture theatres.
- $0.5m to a program to help new faculty establish their research programs.
This continues a program begun in 1999. The allocation of funds for the
purchase of equipment has been cited repeatedly by numerous committees at
the U of S as essential as faculty renewal occurs. This allocation will
allow the U of S to be more competitive in recruiting top-quality faculty.
- $12m for the Thorvaldson and Kinesiology projects. This includes a special
allocation from the Provincial Government of $7 million towards the cost of
these two projects. With the 2001-02 allocation, this will amount to an
additional $35 million provided by the Province for these two projects.

The Canadian context
Tuition, as a proportion of the operating budget, has been increasing
steadily over recent years at the University of Saskatchewan, and at most
other universities across the country, while provincial operating grant has
been decreasing.

During this period, Saskatchewan?s universities have continued to emphasize
access by keeping tuition increases as small as possible. Today, the
University of Saskatchewan?s overall tuition structure is among the lowest
of universities in the medical-doctoral category.

Other costs
With the combined costs of tuition, additional fees, and accommodations, the
University of Saskatchewan ranks 33 out of 43 for all universities and 11th
out of the 15 medical-doctoral schools. (The remaining four are in BC, where
tuition has been frozen for several years, and in Quebec, where tuition is
maintained at very low levels for in-province students).

The impact of tuition on demand
According to data from the Universities of Alberta, Calgary and Manitoba,
the tuition increases they experienced over the last decade have had little
apparent impact on demand. In fact, in many programs, enrolment increased.

However, in Alberta, there was also an increase in demand for university
transfer programs offered at community colleges.

The College of Dentistry recently experienced a significant increase in
student fees, as the College moved towards a cost-recovery model. This
increase has had little effect on demand. For the 2001-02 academic year, the
ratio of applications to available seats for the bursary positions was 3.5:1
for the non-bursary positions it was 10:1.