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Last Friday University of North Carolina system President Erskine Bowles announced his support for raising tuition for out-of-state students. Tuition would go up by about $1,126.68, about 5.2 percent, to generate about $4.1 million in revenue.

“I’m a low tuition person,” said Bowles, “[but] I don’t have the same feeling for out-of-state students…We have an obligation to the taxpayers of North Carolina. For out-of-state students, we ought to be much more market-driven.”

Bowles’ officials said the move is crucial to faculty salaries and financial aid.

Bowles also argued that the increase was fair, given the fact that other top tier state universities charged much more from out-of-state students. He cited the University of Michigan and University of Virginia, where tuition fees for out-of-state students are $35,126 and $31,230 respectively. UNC tuition for 2009-10 was only $23,513.

In-state tuition will increase by about $200.  The state legislature mandated that in-state tuition increase by exactly $200 with the revenue going back to the state treasury (instead of directly to the school).  Revenue from out of state tuition increases would go to UNC. 

In addition to voicing support for this measure, Bowles also announced his intention to press the North Carolina General Assembly to give the UNC system the revenue from the $200 increase for in-state students. Bowles would like half to go to need based financial aid for the UNC system and the other to measures that would improve graduation and retention rate.

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