“Recruiting, educating, challenging and graduating outstanding students who have an impact on our economy and quality of life are central goals of the University of Minnesota,� said Bruininks. “We need to move away from the ‘one-size-fits-all’ approach to tuition to ensure more affordable access and graduate diverse students into the workforce. The level of legislative support, combined with expanded financial assistance and our planned tuition reforms will mean most Minnesota undergraduates will see a tuition increase of less than 2 percent next year.�

Specifically, the reforms will enable students to significantly reduce their total cost of education by making all credits over 13 per semester free of charge. This “13-credit tuition band� has helped improve graduation rates on the Twin Cities campus and the reform plan will make it available at the Duluth, Morris and Crookston campuses as well. Students who graduate in four years could save as much as $20,000.

“Enabling and encouraging students to graduate in a more timely manner saves money for them and for taxpayers,� said Bruininks. “By providing free tuition on all credits over 13 per semester, students have the option for significant savings.�

Also, the Founders Free Tuition Program, which provides free tuition for all low-income Minnesota resident undergraduate students eligible for the federal Pell grant, will continue to provide an unprecedented level of financial support for students. In addition, under provisions of the 2008-2009 appropriations bill, Minnesota resident students from families with an income of $150,000 or less will receive scholarships in both FY 2008 and FY 2009 so that will make their effective tuition increase about 2 percent in FY 2008.

Bruininks' tuition reform proposal also includes resetting the tuition rates at the Duluth and Morris campuses, which tend to be higher than comparable regional institutions, to be less than the Twin Cities campus. Additionally, to address the challenges created by the decline in the number of high school graduates in Minnesota and neighboring states, the nonresident undergraduate tuition will be lowered to $2,000 more per semester than resident tuition on the Twin Cities campus and $1,000 more on the Duluth campus. The changes in non-resident tuition rates would be effective the fall semester of 2008.

“Historically, 10 percent of Minnesota’s high school graduates have come to the U and we are committed to maintaining that level of resident enrollment,� said Bruininks. “But with demographic changes and the number of high school graduates dropping, we need to protect our place as a magnet to bring the best and brightest talent to Minnesota.�

At its meeting this week, the Board of Regents will review the proposed reforms as part of its consideration of Bruininks’ proposed operating budget for 2007-08 and a preliminary financial plan for 2008-09 that takes into account the recent legislative appropriation that will provide the university with a budget increase of $151 million over the next two years. The board will take final action on the budget and financial plan at a special meeting to be held on June 27.