TRAVERSE CITY -- It will cost more to attend Northwestern Michigan College in Traverse City.
Northwestern Michigan College Trustees on Monday night approved the college's 2010-11 budget, along with tuition and fees.
Tuition for students from Grand Traverse County will go up 3 percent this fall - the first increase in two years. Students from outside of Grand Traverse County, which supports NMC through property taxes, will see an increase of 4 percent per contact hour.
There were no increases in student fees.
The tuition increase is in part due to an expected 3.1 percent decrease in state funding this year, as well as a slight decrease in local property tax collections.
"NMC has saved taxpayers hundreds of thousands of dollars in recent years by reducing expenses and becoming more efficient on everything from energy to healthcare," said NMC President Timothy J. Nelson. "We cannot continue to offer the quality education for which we are known without passing along a modest tuition increase."
General tuition rates (per contact hour) for the 2010-11 year will be:
- In-district (Grand Traverse County): $79.70
- In-state, out-of-district: $151.80
- Out of state: $194.50
Financial aid is available to help students manage college costs. Thanks to the generosity of local donors, the NMC Foundation awards more scholarships to more students than any other community college in Michigan. For the current school year, more than $900,000 was awarded to students through the NMC Foundation.
The Trustees also approved a $41 million general fund budget Monday night. The budget assumes that state and local tax revenues will decrease. It also plans for decreases in employee benefits and institutional expenses.
The college, which has experienced two consecutive semesters of record enrollment, projects another record semester this fall, with as much as a 10 percent increase in students.
"Tuition paid by NMC students covers roughly half of the cost of their education," Nelson noted. The higher enrollments put more pressure on an already-tight budget, since state aid is not based on a per-pupil formula like K-12 schools.
The budget includes a 2.1 percent increase to salaries and wages. Most NMC employees will likely see a net decrease in their earnings, due to a mandatory 3 percent fee the state imposed for those in the state retirement system, effective July 1.
The approved budget also calls for additional expenses to deal with what is an anticipated record enrollment for fall, allocating funds for more personnel, parking and other initiatives including the college's strategic agenda.
"Despite the cuts in state funding, NMC employees have done an excellent job managing expenses," Nelson said. "While other organizations face drastic cuts, we will continue to invest in people and programs that contribute to the economic vitality of our region."
