Iowa Western to Offset Tuition Rise with COVID-19 Relief Fund | Education
Students at Iowa Western Community College won’t have to pay a higher tuition rate next year.
The college is using some of its COVID-19 relief money to offset an increase of $ 7 per hour of tuition that would otherwise have been needed to balance the books, according to Eddie Holtz, vice president of finance. The plan was approved by the college board at its Monday meeting.
“We could have used this money elsewhere, but we know the students are struggling,” he said.
The tuition rate is currently set at $ 187 per credit hour.
Iowa Western expects to receive an additional $ 362,132 in state aid for the 2021-2022 academic year, based on the combined $ 6.5 million increase proposed by the Iowa Legislature for aid to state community colleges, and will save $ 325,000 through early retirement. The tuition hike would bring in an additional $ 770,000 but, due to the COVID-19 relief money, the college will “cut” the higher tuition rate to keep it at the current rate.
The college expects to pay an additional $ 679,303 in compensation to staff and an additional $ 837,810 in operating costs, Holtz said. Unlike in recent years, he does not expect a drop in registrations.
“We expect registrations to be stable for this fall,” he said.
Iowa Western is on track to increase its tax from $ 1.29710 to $ 1.45808, or 16 cents for every $ 1,000 of taxable assessment. It will also receive $ 95,171 in additional property tax revenues thanks to the increase in property assessments, which will be partially offset by the elimination of international fees, estimated at $ 40,000.