The University of Minnesota Board of Regents voted unanimously to freeze tuition across its five campuses for the 2020-2021 academic year.
The action was taken during a special meeting Tuesday on how the U plans to respond to the coronavirus pandemic.
The tuition freeze will include exemptions for the medical and dentistry schools and three masters programs in the College of Science and Engineering at the Twin Cities campus.
The freeze comes as the U has seen enrollment forecasts fall by about 500 freshmen for fall semester compared to this time last year.
The board’s approval was seen as an opportunity to give President Joan Gabel and the U’s admissions department a “marketing” opportunity to bring in prospective students.
“We have to be full because if we’re not, we leave a hole for many years to come,” Regent Michael Hsu said, suggesting possible reduced tuition rates and opening enrollment to previously denied applicants.
Some regents seek to continue discussions on the issue during its regular meeting on May 7.
HELP TO MED SCHOOL
The board passed a resolution to allow U of M Physicians to defer payment of up to $5 million to the medical schools “clinical reserves” over the next year.
This is expected to help the U extend the amount of cash on hand as revenue fell after Gov. Tim Walz’s executive order to cancel elective surgeries and procedures amid focus on COVID-19 care. The U said it and its Fairview partner have had a nearly 40 percent decrease in hospital capacity, but some of these services are being restored.
The medical school has seen an approximately 45 percent reduction in revenue over the last month, which results in a $5 million decrease per week. Their projected revenue loss across April is expected to be roughly $20 million.
To make up the shortfall, the medical school has taken action to cut contributions to employee retirement funds and is considering salary reductions of 10 to 25 percent for doctors and staff. If all actions are taken, that would cut costs by $6.2 million every two weeks.
U of M Physicians is projected to receive a little more than $4 million in COVID-19 support from federal and state government programs.
Medical School Dean Jakub Tolar and Athletics Director Mark Coyle are expected to outline revised budgets for varying coronavirus impacts during the board’s regular meeting.
ATHLETICS TO GET SUITE
The board also approved $1.5 million for a 1,400-square-foot space for all Gophers student-athletes to recover from injuries and treat their mental wellness within the Larson Football Performance Center.
Regents gave the project the green light in the wake of growing coronavirus constraints because it’s 100 percent donor funded. The U’s paperwork said the project will use U “debt to bridge donor pledges.”
The project includes a sauna, float tanks, sleeping pod area and “wellness recovery equipment.” It expected to be completed by August.