Contingent on the state's 3 percent restoration of a 5 percent cut for fiscal year 2003-2004, the Wayne State University Board of Governors approved its 2005 General Fund Budget at its regular meeting July 21. The budget includes state appropriations of $212.7 million and a 2.4 percent increase in undergraduate tuition.The tuition increase is in response to the university's tuition pledge with the State of Michigan to keep those increases at or below the rate of inflation, a pledge that applies only to resident undergraduate students.

For Fiscal Year 2005, Wayne State is facing an anticipated $4.3 million cut in its state appropriation after the 3 percent restoration. With a reduction of this size, the university's total appropriation from Lansing will fall to approximately the same level as that received in fiscal year 1998.

Wayne State's total expenditures for 2005 will increase $23.4 million, or 5.6 percent over the current year. A significant portion of the projected increases represents compensation increases, fringe benefits, utilities and building operations costs, research support and academic program funding.

According to Wayne State University Provost and Senior Vice President Nancy Barrett, the university has maintained its long-term commitment to tuition restraint while continuing to build strong academic programs and research efforts. "The funding challenges we have faced during the last few years have been immense when you consider the decreasing state appropriations and the rising costs necessary to maintain and enhance academic and research programs at the university level," Barrett said.

"For example, in 1998 state appropriations to Wayne State accounted for almost two-thirds of the total general fund revenue; now in 2005, state appropriations represent less than half of our projected general fund revenue. Yet, we have continued a plan of tuition restraint over the years including our pledge to honor the state's current tuition restraint plan," Barrett added.

"Despite budget reductions since 1998 totaling over $30 million, the administration remains focused on our core strategic plan which includes; academic excellence, research pre-eminence, educational opportunity, quality of campus life and community engagement," Barrett said.

For the academic year, 2004-2005, the new tuition rates amount to an increase in the per credit hour rate for Michigan resident freshmen and sophomores from $155.40 to 159.10. For juniors, seniors and post-bachelor's, tuition will increase from $183.30 to $187.70 and graduate students from $262.60 to $284.90.

Wayne State University is a premier institution of higher education offering more than 350 academic programs through 13 schools and colleges to more than 33,000 students in metropolitan Detroit.