LITTLE ROCK — Two of Arkansas' public universities raised tuition for in-state students this semester while allowing out-of-state undergraduate students to pay cheaper in-state tuition rates primarily because they live in campus housing.
The University of Central Arkansas and Henderson State University have such tuitionwaiver policies for full-time students, while the state's other public universities vary widely on out-of-state tuition practices, a survey by the Arkansas Democrat-Gazette found. Arkansas' higher-education chief said he believes that waivers based on campus-housing residency are unwise.
"In my opinion, giving outof-state tuition waivers for students who live in the residencehalls is not good policy," said Jim Purcell, director of the Arkansas Department of Higher Education.
Higher Education Department guidelines say only students who are legal residents of Arkansas should be considered in-state residents for tuition purposes.
"Out-of-state tuition is designed to offset the fact that outof-state parents/students do notpay [state] taxes," Purcell said.
"The policy question is whether or not the taxpayers of Arkansas should be compelled to supplement the education of students from other states," Purcell added in an e-mail. "I believe the campuses should emphasize the recruitment and education of Arkansans."
However, Arkansas Annotated Code 6-65-105(a) authorizesuniversities' governing boards to determine their schools' tuition rates, Purcell noted.
"Whether this allows for an institution to give in-state tuition to a student who is an out-of-state resident would be a question for the attorney general or the courts," he said.
Both Henderson and UCA encountered budget problems during the past academic year.
UCA took out a $6 million line of credit and slashed budgets across campus. Henderson instituted a "flexible spending freeze" in March because of a projected $1.3 million budget deficit but subsequently found savings in various areas, including supplies, services and travel.
Henderson's tuition rose by 3.6 percent this semester; UCA's by 2 percent.
Henderson's in-state tuition for a student taking 15 hours is $2,550, while UCA's is $2,602.50.
UCA spokesman Jeff Pitchford said 375 out-of-state UCA students benefited from the universityhousing-based waiver in the fall of 2008, and 359 students did in the spring of 2009.
On the average, he said, those UCA students saved $2,592 in the fall of 2008 and $2,562 in the spring of 2009.
Henderson spokesman Steve Fellers said 372 out-of-state students benefited from the similar waiver at Henderson during the past academic year at an average savings of $2,367 per semester for each student.
Henderson's policy is slightly more restrictive than UCA's. Henderson requires students getting the waiver to pay for at least 10 residence-hall meals a week and "make satisfactory academic progress," Fellers said.
Both schools defended the practice, saying in part that it brings more diversity to their campuses and helps fill residence halls.
Henderson President CharlesWelch said the Arkadelphia-based school adopted the policy in the fall of 2005, before he became president in 2008.
Still, he said, "As a small, regional university that draws most of our students from rural southwest Arkansas, it is important to enroll a diverse student body in order to expose our local students to different cultures and backgrounds.
"A number of these students would not likely enroll at Henderson without the out-of-state tuition waiver." And the school then wouldn't get the out-of-state tuition anyway, he said.
Welch said his administration continues "to discuss whether providing a more diverse student body is worth charging out-of-state students the same as tax-paying, in-state students."
In Conway, Pitchford said UCA's policy would be evaluated this fall "to determine if it is reasonable for all students involved."
Pitchford said UCA created the waiver in the fall of 2007 to ensurethat campus housing was full.
Further, Pitchford said, "Increasing the international student population meant stronger campus diversity and expanded cultural experiences for our students. Also, being located in the central part of the state, there is a challenge to recruit students from out of state, who also would add diversity to the campus."
Allen Meadors became UCA president in July.
Welch said Henderson "had great difficulty" keeping its residence halls full before its policy took effect.
"Since the time of implementation, Henderson has experienced a 53 percent increase in out-of-state students living in a residence hall," Welch added in an e-mail.
"This obviously creates additional revenue for the University. In fact, on move-in day this fall, there were only two vacant residence hall beds available on the entire campus."
Henderson and UCA also offer in-state tuition to students from counties or parishes that border Arkansas.
The Democrat-Gazette survey found that Arkansas' eight other public four-year universities vary on when they waive out-of-state tuition for non-Arkansas residents.
The University of Arkansas at Fayetteville, for instance, allows in-state tuition for students from Arkansas' border states and Kansas.
Southern Arkansas University in Magnolia allows in-state tuition for students from contiguous states but only if they also live in residence halls.
The University of Arkansas at Little Rock has a more stringent policy, extending its waiver only to residents of Bowie County, Texas. Bowie County borders Arkansas.
A Higher Education Department policy adopted in December 1989 says, in part, that a student should be considered an in-state resident for tuition purposes "only if his or her legal residence is located in Arkansas."
Purcell said the policy provides only "guidance" to college administrators.
Those guidelines also say, "Legal residence in Arkansas is required for at least six continuous months prior to the classification decision."
Further, "Students who are otherwise not residents of Arkansas may not establish legal residencein Arkansas by the mere fact of receiving mail at an Arkansas address or postal box," the policy says.
The policy makes an exception for armed-forces members stationed in Arkansas and their dependents.
On Friday, Education Committee member state Sen. Shane Broadway, D-Bryant, said, "Constitutionally, each board of trustees can make their own decision about how they regard in-state and outof-state tuition."
Broadway's reference was to Amendment 33 to the Arkansas Constitution. That provision, which took effect in 1943, applies to various agencies including institutions of higher education and says the boards' powers shall not be transferred.
Broadway also said he is "fine" with the out-of-state tuition breaks as long as they do not result in an Arkansas student being turned away from school because of something such as an enrollment cap.
"As long as Arkansas students are served first, ... I think anyone we can attract from another state - and hopefully keep them here - can have a lot of benefit," Broadway said. "It's kind of like an economic-development incentive."
Arkansas universities are, after all, "competing against other states for students," Broadway said.
Arkansas' public universities have different policies on which out-of-state undergraduate students are allowed to pay in-state tuition. Here is a summary of each school's policy:Arkansas State University Allows in-state tuition for residents of counties contiguous to Arkansas.
Arkansas Tech University Allows in-state tuition for students from border states of Texas, Oklahoma, Missouri, Louisiana, Mississippi and Tennessee.
Henderson State University Allows in-state tuition for full-time students living in university-owned housing, except for Whispering Oaks, if the students also participate in at least a 10-meal plan and meet admission standards or have transfer grade-point averages of 2.0 or higher. Waiver starts with the first semester. Also offers in-state tuition for students from these border counties or parishes: Bowie, Cass and Marion in Texas; Bossier, Caddo, Claiborne, East Carroll, Morehouse Union, Union Webster and West Carroll in Louisiana;
Coahoma, Desoto and Tunica in Mississippi; Barry, Dunklin, McDonald, Oregon, Ozark, Pemiscot, Ripley and Taney in Missouri; Adair, Delaware, LeFlore, McCurtain and Sequoyah in Oklahoma; and Dyer, Lauderdale, Shelby and Tipton in Tennessee.
Southern Arkansas University Allows in-state tuition for students from contiguous states but only if they live in residence halls.
University of Arkansas
at Fayetteville
Allows in-state tuition for students
from Arkansas' border states and
Kansas.
at Fort Smith
Allows in-state tuition for students if
they have lived in Arkansas,
Oklahoma, Missouri, Tennessee,
Mississippi, Louisiana or Texas for
at least six consecutive months
before the start of the term for
reasons other than attendance at UA
at Fort Smith.
at Little Rock
Allows in-state tuition for residents
of state-bordering Bowie County,
Texas.
at Monticello
Allows in-state tuition for students
from the contiguous states of
Mississippi, Louisiana, Texas,
Oklahoma, Missouri and Tennessee.
at Pine Bluff
Allows in-state tuition for residents
of these state border areas: Bowie
County, Texas; and Shelby County,
Tenn.
University of Central Arkansas
Allows in-state tuition for students
who live in university housing,
starting with their first semester.
Also allows in-state tuition for
students living in counties
contiguous to Arkansas.
SOURCE: The universitiesArkansas Democrat-Gazette
Front Section, Pages 1, 9 on 08/29/2009