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SOU expects enrollment to offset funding Increase in students exceeded plan, could allow additional spending By AMBER FOSSEN Ashland Daily Tidings Southern Oregon University officials don't anticipate budget cuts, partly due to projected enrollment increases. University officials said they projected a .5 to 1 percent enrollment increase from the previous fall. However, SOU may see 2 to 3 percent increase, bringing an estimated $160,000 per percentage point increase each year or an additional $320,000 per percentage point for the 2003-05 biennium. Official enrollment figures will not be available until the fourth week of school. SOU President Elisabeth Zinser said the institution has to appeal to the Oregon University System's Emergency Board for use of additional funds. "It would be for the authority to use funding we're generating ourselves," Zin-ser said. SOU Provost Dr. Earl Potter said institutions walk a tight rope with enrollment projections. If an institution fails to meet projected enrollment targets, funding can be reduced. However, if enrollment is more than expected, institutions don't receive the extra funding student tuition and fees generate. "There's punishment for being optimistic and not getting there," Potter said. "The system forces us to be conservative because we suffer if we get it wrong." University officials' preliminary state appropriations hover at just more than $28.9 million - about $1.5 million shorter than expected. Student tuition and fees make up an additional $45.5 million. That amount will be padded pending approval for use of additional student-generated revenues. Throughout the OUS, tuition is becoming a major source of funding. In the 1999-01 budget biennium, OUS received 51 percent of its general fund budget from the state. Student tuition and fees made up another 49 percent. In the 2001-03 biennium, those figures shifted with the state contributing 46 percent and students - for the first time - paying more at 54 percent. Figures for the 2003-05 OUS budget indicate students will continue to raise the bulk of general funds, contributing 64 percent to the state's 36 percent. While higher education tuition throughout the state is rising - SOU students face a 16 percent increase from fall 2002 to fall 2003 including surcharges - university officials suspect high enrollment is an indication of public interest and support. "Enrollment trends are in recognition of the fact that public education is still of high value," Potter said. At this point, the university will not have to scale back operations unlike the 2001-03 budget biennium which saw $4.4 million in reductions administered by freezing vacant positions, reducing faculty, reducing course offerings and limiting other expenditures. "We're not gearing up any processes for cuts," Zinser said. "We're optimistic we'll not be in that position." If efforts to repeal an $800 million tax increase approved during the 2003 Legislative session are successful, SOU stands to lose $450,000. If the $1.1 billion HB2152 fails as a whole, SOU will face $654,000 in losses. Ron Bolstad, SOU vice president of administration and finance, said the main priority is students. Any possible future reductions would be to services, not classes. LINKS: DAILY TIDINGS: Main | News | Sports | Obituaries | Opinion | Columnists | AP News | Subscribe | Archives | Weather | Classifieds | Contact Us | Privacy REVELS: Main | Calendar | Dining | Movies | T.V. OTHER: Road Cams Copyright 2003 Ashland Daily Tidings 541.482.3456. 1661 Siskiyou Blvd., Ashland, OR 97520. Ottaway Newspapers, Inc. - Advertisers -