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/ April 6, 2011
NYU Announces Largest Cost Increase Since 2008, Much Smaller Financial Aid Boost

In a university-wide email sent earlier today, NYU President John Sexton announced the proposed budgetary changes for the 2011-2012 school year, which are set to be approved by the Board of Trustees.

Sexton stressed the “significant challenges” facing the university, but noted that the re-engineering efforts over the past two years “have placed NYU in a better position to confront these circumstances than many universities and colleges.”

That won’t stop tuition from going up. Here are the proposed changes:

» Undergraduate tuition, fees, and room and board — For the 2011-12 year, we have budgeted an increase of 3.8% in tuition and mandatory fees, and 3.1% in room and board; the aggregate increase in the cost of attendance will be 3.6%.

» Financial Aid — Having a low per student endowment manifests itself more clearly in the financial aid we can offer than in any other area (though we spend over $180 million annually in institutional grant aid); for that reason, financial aid is our foremost fundraising priority. For 2011-12, undergraduate financial aid will increase by 3.8% to match the increase in tuition and fees. In addition, fully-funded graduate students will continue to receive full tuition remission; have premiums for their graduate health care plan paid by the University; and their minimum stipend will be increased by 2.5%.

The aggregate increase in cost of attendance is the highest since 2008. Last year, the jump was 3.1%; in 2009, it was 3.4%. It’s important to note, however, that those increases were the smallest of the past twenty years.

Additionally, the percentage increase in undergraduate financial aid is down sharply from 5.8% last year and 7.8% in 2009.

Photo via AMagill‘s Flickr (CC).