COLUMBUS -- The Ohio State University continues to offer an exceptional educational experience at a reasonable cost, particularly when compared with top public institutions in other states and other schools in Ohio, Senior Vice President for Business and Finance William J. Shkurti told the university’s Board of Trustees at its March 2 meeting.

Shkurti outlined how the university’s revenues and spending compare with benchmark institutions — nine universities that are highly ranked academically and comparable to Ohio State in mission, size and configuration. They are Pennsylvania State University and the universities of Arizona, Illinois, Michigan, Minnesota, Texas, Washington, Wisconsin and California, Los Angeles.

“When compared to benchmark institutions, Ohio State has about 20 percent less resources per student, yet continues to improve the quality of its academic programs and the quality of the experience of its students,” Shkurti said. “This University continues to be a tremendous value to taxpayers of Ohio.”

Ohio State still trails the benchmark average of revenue per student in all major categories, but has improved significantly in most areas, Shkurti said. At $25,987, Ohio State has 20 percent fewer resources per student than the $32,940 average of its peers. Annual resident undergraduate tuition and fees at Ohio State are 3.8 percent below the average of $4,554 for benchmark institutions, he said, and 5.4 percent below the $4,635 average of other Ohio institutions. UCLA has the highest revenue per student at $43,969, while Penn State has the highest in-state tuition at $7,018.

Compared to benchmark institutions, Shkurti said that Ohio State spends above the average for instruction and public service, but well below the average for most other noninstructional services. The university spent 126 percent of the benchmark average for public service and 106 percent of the average for instruction, but significantly less on support services, such as physical plant and student support services, outside the classroom.

Despite budget challenges, Shkurti said the university continues to improve the quality of its academic programs and the quality of the student experience. Ohio State was ranked 35th in academic reputation by U.S. News and World Report in 1998 (compared to 37th in 1997) and has an annual in-state tuition of $4,383 for the 2000-01 academic year, while Miami University was ranked 68th with tuition of $6,403. Ohio University was ranked 84th and had tuition of $5,085, the University of Cincinnati ranked 134th with tuition of $5,337, and Kent State University was ranked 155th with tuition of $5,286.

ARP/Retirement Update

Recent legislation mandated amendments to the Alternative Retirement Plan, effective April 1. House Bill 535 broadens the definitions of who may participate and lengthens the amount of time for new participants to elect the ARP.

All employees who are eligible to participate in the ARP now have 120 days to elect participation, increased from 90 days. Once elected, contributions to the ARP begin immediately, no longer waiting until the election period has expired. Any amounts which were contributed to the state retirement system on behalf of new employees must be paid to the ARP provider within 30 days of the receipt of the certified election by the state system.

Employees can now receive distribution at the date of termination, rather than waiting a one-year period. An individual who terminates at one public institution of higher education and is hired in an ARP-eligible position at another institution may make another election.

Employees participating in the ARP will remain in the ARP even if they change to a position for which the ARP would not otherwise be available or if they terminate employment but return to the University within one year.

Individuals who do not elect the ARP within the stated time period are never entitled to make an election, unless re-employed after a one-year break in service.

Participants will be permitted to change providers once per year during the first payroll period of any plan year, or when the provider ceases to be a designated provider. When changing providers, the entire balance must be transferred.

Spousal consent will be required prior to distributions to married participants.

Also at Friday’s meeting, University Treasurer James L. Nichols updated trustees on the university’s endowment, which was $1.11 billion as of Feb. 23.

In his quarterly report, Nichols stated that the endowment stood at $1.18 billion as the quarter ended Dec. 31, and the total number of funds was 2,915.

As of Dec. 31, there were 213 deferred gifts totalling $65 million, Nichols said.

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(LO)