SEMO FEE PLAN HALTED; INCIDENTAL COSTS NO LONGER TO BE STABLE

The Southeast Missouri State University Board of Regents Thursday discontinued a 1987 fee stabilization plan that permitted students to "lock in" incidental fee charges for eight semesters.

The board action came on the recommendation of the university administration. The regents also approved other fee changes, effective this fall, and a restructuring of the student affairs division.

As part of the restructuring, a permanent vice president of student affairs will be hired.

The stabilization plan required full payment of incidental fees at the beginning of the freshman year and payment of the remaining two years of college at the start of the sophomore year.

Ken Dobbins, vice president for finance and administration, said only one student is currently taking advantage of the payment plan.

Dobbins also voiced concern that allowing students to lock into incidental fee charges for four years would pose a financial problem for the university in times of limited state funding. "I would have a concern about the economic impact on the university," he said.

University officials said a large number of Southeast students must rely on financial aid just to attend school for one year and can't afford to pay for four years of schooling up front.

Regent Mark Pelts of Kennett agreed. But Pelts suggested some system is needed to help hold down the cost of a college education.

Pelts said he has heard from parents who are concerned about the ever-increasing cost of sending their children to Southeast.

He said he would like to see the university adopt some method whereby students can lock into a set cost for four years.

"Is that not a worthy notion to look into?" he asked.

But Regent Don Harrison of Cape Girardeau said he doubted the university could afford such a plan. "Not many places can you get a guaranteed price on anything for four years," he said.

Regent Daniel Williams Jr. of St. Louis questioned if it might not be a benefit financially to the university if enough students were to pay for their schooling in such lump sums as allowed under the old payment plan.

But Dobbins said he doubted the university could obtain an adequate financial return under such a system. "Right now we are very limited by state law in what we can invest in."

University President Kala Stroup said that nationwide most state institutions have abandoned such payment plans.

As to the other fee changes, the board approved a new refund policy and eliminated a fee discount.

Under the new policy, students who withdraw from the university during the first two days of a semester will receive a refund of 100 percent of their incidental and non-resident fees. The percentage drops to 90 percent during the remainder of the first week of classes; to 70 percent the second week; to 60 percent the third week; and to 50 percent the fourth week. No refund will be given if a student withdraws after the fourth week of classes.

The old policy provided a 75 percent refund for any withdrawal prior to the end of the fourth week of classes.

Dobbins said the new policy would encourage students to act sooner in dropping classes, which would allow other students a chance to pick up those classes during the first full week of each semester.

The regents canceled a payment plan in which students received a discount for paying incidental fees and residence hall charges in full prior to the start of a semester.

Dobbins said the move could save the university $35,000, which would make up for the loss of investment income due to the fact that students no longer have to pay 10 percent of their fees before they can pre-register for classes.

In addition to eliminating the 10 percent payment, a new installment plan has been created that will allow students to spread their payments out over a four-month period each semester.

For the 1992 fall semester, all fees and residence hall payments are due Aug. 7. But a student may apply for the installment plan and pay only one-fourth of those charges, plus a small service fee by Aug. 7, with the balance due in equal installments on Sept. 4, Oct. 2 and Nov. 6.

In answer to questions from the regents, Dobbins said the university has improved its collection of student fees. At the start of the spring semester in January 1991, unpaid student fees for that semester stood at $4 million. In January of this year unpaid fees or receivables totaled $2.4 million, he said.

At the end of the 1991 fall semester, unpaid student fees for that semester totaled $49,000 compared to $94,000 at the end of the fall semester in 1990.

As to the restructuring of student services, Caryl Smith, interim vice president of student affairs told the regents that it would result in a greater coordination of services, including recruitment and enrollment of students.

The restructuring, she said, will be done within the framework of the existing budget.

In other business, the regents approved minor changes in the Southeast Missouri University Foundation bylaws.

The regents awarded three construction contracts: $89,380 to Young Sales Corp. of St. Louis for weatherization of Kent Library; $26,685 to Pyramid Roofing of Sikeston for replacement of the Group Housing dining center roof; and $21,413 to BRI Inc. of Chesterfield for repair of a boiler pump in the university's power plant.