Colleges and universities in the Minnesota State system now project a 6.2 percent plunge in enrollment this school year, largely because of the coronavirus pandemic.
That’s somewhat better than the system’s earlier projection of a 7.7 percent decline.
“At a system level, things are pretty stable in comparison to what colleges and universities were projecting for June,” Chief Financial Officer Bill Maki told the Board of Trustees on Wednesday.
Maki said there’s lots of variability across the 30 colleges and seven universities, with some enrolling more students than last year and others down more than 10 percent.
Updated budgets show Metropolitan State and Minnesota State University, Mankato should rake in considerably more tuition dollars than previously expected, while the state universities in St. Cloud, Winona and Moorhead have lowered their revenue targets.
Across the system, the schools now expect to spend a combined $51 million of their reserves to cover shortfalls, down from $58 million in the June projection.
Minnesota State froze tuition at last year’s levels for the fall semester as just 31 percent of courses were being delivered in-person.
Tuition is going up 3 percent for the spring semester, but course delivery should look much the same with coronavirus cases in the state continuing to climb.
HOUSING REVENUE FALLS
Although enrollment so far is higher than expected, the picture is bleak for self-funded services like student housing, dining and parking.
“It was a little bit more difficult to predict” how much of that revenue-generating activity would take place, said Steve Ernest, system director for financial planning and analysis.
Revenue projections for those enterprise programs have been adjusted down to $95 million from $108 million in June, and the projected use of rainy-day funds is up to $12.9 million from $8 million.
Ernest said some schools may have to move money from their general fund reserves to help cover costs for those services, which typically pay for themselves.
Nationwide, undergraduate enrollment this fall is 4 percent lower than last year but graduate enrollment is up 2.7 percent, according to the National Student Clearinghouse.
Before the pandemic, Minnesota State had been projecting a 2.5 percent enrollment drop this school year. System enrollment has been falling steadily since 2011. Campuses expect slight gains each of the next two academic years.