In Kentucky, here's how much your tuition could go up next year

Kentucky's public universities will be limited to a 6 percent tuition increase over the next two years, the state's higher education governing board ruled Friday.

The Council on Postsecondary Education also said that 4 percent is the most a school could hike tuition and fees in any one year. For the Kentucky Community and Technical College System, increases will be held to $12 per credit hour over two years, with an $8 per credit hour maximum allowed in any one year.

The decision will allow schools to set their yearly budgets, which must be in place by June 30. Morehead State University and Eastern Kentucky University had already decided to freeze tuition for next fall.

“Our goal is to maintain access and affordability for students and their families while providing flexibility to campus leaders to respond to budgetary challenges. We believe these tuition ceilings strike the right balance,” said Council President Bob King.

State universities have been cut about $220 million in state funding since 2008, and tuition has become a much more critical piece of university funding. But after some schools implemented double-digit hikes earlier this decade, the council stepped in to set caps on yearly increases.

This year, the legislative budget cut 6.25 percent in state funding, about $54 million, but added back about $31 million through the performance funding formula, which awards money for improved performance metrics like graduation rates.

More serious for the regional universities and KCTCS is an anticipated increase in employer pension contributions to Kentucky's ailing state pension system in 2019. The contributions expected to exceed $40 million. The University of Kentucky and the University of Louisville have self-funded pension systems.

The regional universities have already started showing the strain of a decade in state budget cuts. EKU recently announced an end to numerous programs, 150 job eliminations and the closure of its regional Danville campus.

Earlier this year, Morehead cut $1 million in top administrative posts and announced a voluntary buyout and work reduction program for employees. Western Kentucky University has seen similar hardship with 140 cut positions and a closed academic college.

The council did say that campuses could request an exemption from the caps in 2019-2020 "if there are changes in financial circumstances that significantly impact campus budgets."

Universities can charge market rates for graduate and online courses. They will submit their proposals for council review at its June 22 meeting.

This story was originally published April 29, 2018 at 11:57 AM with the headline "In Kentucky, here's how much your tuition could go up next year."