Facing state-wide higher education funding cuts, Ball State University outlined its new financial strategy during the June 13 Board of Trustees meeting, focusing on how it will adjust to reduced support from Indiana's newly approved state budget.
According to Indiana Capital Chronicle (ICC), the state is withholding funding from multiple universities, including Ball State, Indiana University, Purdue University and more.
The budget concerns stem from earlier state revenue forecasts predicting a $2 billion shortfall in the state’s upcoming two-year budget, which led lawmakers to implement 5 percent funding cuts for most state agencies.
Ball State’s initial five percent cut essentially doubled after the state asked them to withhold an additional five percent. The amounts withheld are unlikely to be released, according to ICC. For Ball State, this individually means a cut of $14 million a year.
“We began doing budget planning in the fall in anticipation of this day, and the change between what we were predicting on April 15 to what we found out by May 15 was a $20 million swing to the neck,” Ball State University President Geoffrey Mearns said during the trustee meeting on June 13.
Tuition and fees remain flat
The Board of Trustees voted unanimously to hold tuition and mandatory fees flat for the next two years. Ball State remains in the middle for in-state tuition and fees compared to other Indiana Universities.
Data from the Integrated Postsecondary Education Data System given during the meeting showed the breakdown of other universities across Indiana: Notre Dame, $65,025; DePauw University, $59,070, Butler, $47,560; Indiana University, $12,144; Ball State University, $11,082; Indiana State University, $10,258; and Purdue University, $9,992.
In early May, the Indiana Commission for Higher Education convened to review tuition and fee proposals, along with providing a financial update for the state. During the meeting, it was noted that Governor Mike Braun had urged the commission, and Indiana’s public colleges and universities, to freeze tuition and mandatory fees for the 2025–2026 and 2026–2027 academic years, according to a press release.
Other student cost changes
Ball State will, however, increase costs for students, with room and board rates moving upward by two percent. Ball State’s Associate Vice President and Chief Budget Officer, Scott Stachler, noted that in the last decade, increases have been 3 percent or less.
Increases to room and board fees are not part of the solution to the budget cuts, as housing and dining are an auxiliary unit, operating under their own budget.
Stachler said this would garner a maximum increase in housing and dining by $318 a year, taking into account the most expensive options available for students.
At this time, there will be no increase in parking fees for students and employees. Additionally, part of the student services fee will be reallocated to support “general fund operating.” Mandatory fees will remain flat through the 2026-2027 school year.
Stachler said the large incoming freshman class is anticipated to help offset state support and flat tuition increases, admitting that, as state allotments have dwindled, they’ve become more dependent on tuition.
This all comes as an attempt to compensate for the approximately $14 million loss in funding across the next two years. While Ball State was able to quickly address some cuts, the university's budget still needs to address an $8 million shortfall.
When asked about what areas are planning to be cut, the university said they “are focusing on finding efficiencies.”
Employee pay
University salaries and wages will not be increasing at this time, but a supplemental pay increase was approved for those eligible, including part-time employees. $1,500 for full-time faculty and $750 for part-time.
The supplemental pay provided by the board is meant to address employee concerns over pay.
On June 11, the Ball State Daily News received a report from Ball State University’s chapter of the American Association of University Professors (BSUAAUP). The survey reported that, “there is a significant relationship between feelings of being undercompensated and distrust of executive leadership, with many comments in particular expressing low morale and lack of support in the face of Indiana State legislation affecting academic freedom.”
An email from BSUAAUP provided to the Daily News stated that the report had also been sent to the Board of Trustees, along with the university president and provost for consideration at the trustees' meeting.
BSUAAUP said, “There is a lot of rumor that faculty will not receive raises this year due to the recently passed Indiana budget. We believe that this will have a dismal effect on BSU faculty and consequently the overall student experience.”
The Ball State Daily News has reached out for updated comments in regard to the passing of supplemental pay.
Voting on the approved changes to tuition, fees, room and board, salary and wage plan, and the general fund budget plan was all approved unanimously.
Contact Trinity Rea via email at editor@bsudailynews.com.
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