Ontario post-secondary schools are still trying to establish how they are going to make up for the future money loss, following an announcement from the provincial government of a 10 per cent tuition decrease across the board.
This change was part of several changes to the Ontario Student Assistance Program (OSAP) to address a deficit in the provincial budget and a report from the Auditor General that showed concerns over how the program was administered.
The move will cut tuition costs for the average university student by $660 in tuition and $340 for college students. For universities and colleges, they are expected to see a $450-million loss in revenue.
Daniel Lang, a professor at the University of Toronto, said answers to how the university will take cost-saving decisions will be available once universities set their budgets for the 2019-20 school year.
“If the loss of income is as predicted, my best guess is across-the-board reductions, expansion of programs that generate more revenue than they cost, and contraction of those that operate at a nominal loss,” he said.
Steven Reid, media relations officer at Carleton University, said when it comes to the economic sacrifices that will need to be made at Carleton, the school will “remain committed to operate as cost-effectively as possible.”
He said Carleton plans on adjusting its budget to minimize the economic impacts on academics and services.
Reid added that the university will prioritize students by working towards increasing access to post-secondary education and providing services that “enrich the experience for all students and supports their success.”
Algonquin College predicts the tuition decrease across the board will result in a $9-million shortfall for the 2019-2020 budget according to Chris Lackner, a communications officer at the school.
“The Algonquin College Leadership Team is still assessing the situation,” he said in an email. “No decisions have been made. As we get more details and direction from the government, all colleges will have to evaluate the impact on their budgets to see where they can find savings.”
While universities are uncertain about the impact of tuition cuts on their budgets, they will have a specific guideline on how to assess what are deemed “non-essential,” according to The Varsity, the University of Toronto’s student paper.
Part of the Ontario government’s announcement included the Student Choice Initiative which allows students to opt-out of fees that are not considered essential to the university’s operations.
A PowerPoint presentation dated Feb. 4—obtained by The Varsity—is potentially a presentation done by the Ministry of Universities, Colleges and Training outlining what would be deemed an essential fee under the new initiative.
Services considered essential are: athletics and recreation, health and counselling, career services academic support, transcripts and convocation processes, financial aid offices, walksafe programs, student ID cards and student buildings, including student centres, according to the PowerPoint.
Health and dental plans can be changed on a mandatory basis but must allow students to opt-out if they provide proof of pre-existing coverage. Transit fees will continue to be mandatory.
The ministry is expected to share these guidelines “in the near future,” according to the PowerPoint.
Photo by Lauren Hicks