ENMU regents look at increasing rates

Eastern New Mexico University regents on Friday looked into the possibility of increasing tuition, room and board rates by 2025 fiscal year.

ENMU Vice President of Business Affairs and System Chief Financial Officer Tony Major presented the discussion. He prefaced at the beginning of the meeting that it was only to provide information. Regents took no action.

Major said Sodexo, ENMU’s food service provider, will provide an estimate of prices based on the food price index every year. The regents were requested to consider increasing 6% in food service plans for students to compensate for the inflation rate.

“Depending on the (food) plan that the student picks, it could range anywhere from zero to $105, is what that increase would be,” Major said.

Major said the university has been known to gradually increase room rates to build a bit of a reserve for repair and maintenance to the buildings. He said for this year they are looking to increase room rates by 2%, which is anywhere between $40 to $68 per student.

In addition, he predicted the university will need another $1 million in additional revenue “just to keep our operation at the same level.”

The university would need the state government’s support to make up this difference, Major said. However, if the university is unable to get funding from the state, then it will have to raise tuition and fees and cut expenses.

Major said ENMU will need at least a 2.5% revenue increase from the state to cover the $1 million gap. He told the regents he doubts the Legislature will give the Higher Education Department more than 1% until a study on all the higher institutions within the state have been conducted.

Despite New Mexico having one of the top states in supporting higher education, Major said the support from the state government is dropping every year.

ENMU Chancellor James Johnston reminded the regents that they are just analyzing the situation and have no intent in increasing tuition rates at this time.

Johnston said they want to come up with a good revision by the fiscal year 2025, however he said in the long run “never increasing tuition and fees is not sustainable.”

“We want to make sure that we present it as a very objective look at this as where this could head and longer term. It’s just not sustainable without a significant adjustment in how we are reviewed and funded,” Johnston said.

Regent Lance Pyle suggested for there to be a five-year forecast that will detail how state funds will be reduced and how the university will make up the difference.