Sponsored by George Fox University
Home The Latest California’s brain drain is Oregon’s gain

California’s brain drain is Oregon’s gain

| Print |  Email
The Latest
Wednesday, October 06, 2010

By Jacq Lacy

Out-of-state tuition dollars are saving the Oregon University System from financial strains and keeping tuition hikes lower here than in neighboring states. Since 2006, the non-Oregon student population has grown by 49% and Californian attendance has increased by 76%. This influx has become a vital subsidy for public universities, replacing vanishing Oregon general fund dollars.

Source: Oregon University System

“With Californians, the budget increases because they pay three times more. For every out-of-state student we are able to pay for two more Oregon students to come to school,” Diane Saunders, OUS director of communications, said. “Campuses don’t have to raise tuition to the same level” to offset general fund higher education budget cuts.

Last month, the Oregon Legislature cut the general fund dollars for the OUS budget for the second time this year. Legislative cuts have risen to $53 million this year, challenging universities’ efforts to keep education accessible to low and middle-income families.

Large enrollment numbers have filled the gaps, with particularly high growth in out-of-state students, said Jay Kenton, OUS vice chancellor for finance and administration.

Washington
and California are experiencing a student exodus due to 14% tuition increases.  California has also capped enrollment to save operating costs, cutting an average of 2,000-3,000 students per campus.

By comparison, Oregon students will experience a 6.2% tuition increase, leaving the cost of the average Oregon university less than public schools to the north and south. Even with out-of-state tuition costs, federal student aid dollars balance the price to be only about $1,000-$2,000 more than in-state tuition.

Oregon university administrators stated that the rapidly increasing out-of-state student population will not replace spots normally allotted for residents because fewer in-state students are applying. That's because the dropout rate has increased so much in Oregon that the high school graduation rate is down. The state’s graduation rate fell from 76% in 2007-2008 to 66% in 2008-2009.

“We haven’t denied anyone from in-state, just because we wanted more out-of-state,” Kate Peterson, Oregon State University assistant provost for enrollment management, said. “The real opportunity for growth is transfer students within state and students from out-of-state. Growth of in-state (students) will be much slower than outside because we have a finite number of Oregon applicants.”

Roger Thompson, University of Oregon vice provost for enrollment management, says the influx of non-Oregon students is a good thing.

“Discourse gets better in our classrooms, in our residence halls,” Thompson said. “One of the real benefits is that [out-of-state] tuition dollars do help to cover some of the costs, not just theirs but every student’s tuition dollars, when the state is providing an ever shrinking portion of our budget.”

The diversity enhances financial stability and achieves a better resident-to-non-resident balance, Agnes Hoffman, Portland State University associate vice provost for enrollment management said.

OUS board members will meet Friday at PSU to agree upon the 13% cut to be distributed evenly across university campuses. Currently, caps for non-resident students are unnecessary to protect education accessibility to Oregon residents, officials said. Caps could be implemented if Oregon students lose access to state schools.

But university officials say they will always consider Oregon residents their first priority. 

“We remain the University of Oregon. We have a strong desire to educate the future work force of Oregon,” Thompson said.

Jacq Lacy is an associate writer for Oregon Business.

 

More Articles

Oversight? Or gaming the system?

News
Monday, July 14, 2014
AmazonBY VIVIAN MCINERNY | OB BLOGGER

Some people think Amazon’s winking eye logo is starting to look like a hoodwink.


Read more...

100 Best Green Companies Keynote Speech

News
Friday, May 30, 2014

green2014-069Watch the 2014 100 Best Green Companies keynote speech by Eric Friedenwald-Fishman.


Read more...

OB Video: Oregon MESA

News
Thursday, June 26, 2014

ThumbOregon Business hosts an informal roundtable discussion about the Oregon MESA (Mathematics, Engineering, Science Achievement) program.


Read more...

Blips and trends in the housing market

News
Thursday, June 26, 2014
062614 thumb realestateBY ERIC FRUTS | OB BLOGGER

Last year, the housing market in Oregon—and the U.S. as a whole—was blasting off. The Case-Shiller index of home prices ended the year 13% higher than at the beginning of the year. But, was last year a blip, or a trend?


Read more...

Portland: Where young people go to work?

News
Friday, June 06, 2014
UntitledBY KATIE AUSBURGER | OB GUEST CONTRIBUTOR

How to build a hipster-friendly work environment.


Read more...

Who said we should sell in May?

Contributed Blogs
Friday, July 18, 2014
BullMarketBY JASON NORRIS | OB GUEST CONTRIBUTOR

Back in May, we shared a common Wall Street quote about investing, “Sell in May and go away.” Fast forward to July and the most common question we have been getting from clients is, “When is the market pullback going to occur?”


Read more...

Interview: Dr. Mark Goulston

Contributed Blogs
Thursday, July 10, 2014
JustListenBY TOM COX | OB BLOGGER

Tom Cox interviews Dr. Mark Goulston, author of Just Listen, Discover the Secret to Getting Through to Absolutely Anyone.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS