Students living on campus will have to pay an extra $300 next year for room and board after the Penn State Board of Trustees voted to approve a 4.82-percent raise in rates on Friday.
The increase will bring the average annual room and board cost for the 2005-06 school year to $6,530, which is based on a standard double room and a Level 3 meal plan.
The cost per semester for a standard double room will increase from $1,625 to $1,715, and the Level 3 meal plan will increase from $1,490 to $1,550.
For the 2004-05 academic year, room and board rates increased by 4.88 percent, or $280, and rates increased by 6.79 percent, or $360, for the 2003-04 academic year.
Thomas Gibson, associate vice president for auxiliary and business services, said costs are low because 18,000 students live on campus, allowing the university to "spread fixed costs over a large number" of students.
"Penn State lets us run [Housing and Food Services (HFS)] like it's a private business," Gibson said.
He added that Penn State's room and board rates remain competitive among comparable schools, such as Ohio State University.
"We are in the bottom third in [HFS] expense in the Big Ten," he said.
Penn State spokesman Steve MacCarthy said though low costs are desirable, there will be an inevitable increase. "We feel like we run our residence halls in an efficient manner," MacCarthy said. "But costs do go up; as costs go up, it does necessitate an increase in fees charged to students."
Gibson said housing and food services are part of Penn State but are not subsidized by tuition or by state funds like other Big Ten schools.
The Committee on Finance and Physical Plant also presented information regarding campus construction projects to the Board of Trustees.
The Board of Trustees approved the final plan for renovating Rec Hall.
The final plan, drawn up by the architects L. Robert Kimball and Associates of State College, will include a new fitness center similar to the White Building, an upgraded varsity athletic training area and an enhanced wrestling practice area.
"We would like to think, as campus continues to grow and the university expands, the facilities would keep pace with other improvements we make," Trustee Emeritus Barry Robinson said.
The new fitness center will be an addition to Rec Hall. The total budget for the construction project is $13.3 million.
Trustee Ed Hintz said the expansion of work-out facilities was a topic of discussion for quite some time.
"We've been way behind other schools that we benchmark against," he said.
The board also voted to appoint architects to design plans for improving the Penn State varsity baseball, softball and soccer facilities.
The Kimball firm and DLR Group of Philadelphia will address the upgrading of existing facilities, including Beaver Field, where the baseball team plays its home games, or the construction of new facilities.
Owners of the Altoona Curve, a minor-league affiliate of the Pittsburgh Pirates, have floated the idea of placing a low-level minor-league team at University Park and helping to fund a new baseball stadium on the site of Beaver Field.
University athletic officials announced last month, as part of its $100 million fund-raising drive, that it would commit $5 million to either the new stadium project or renovations to Beaver Field.
Issues concerning the ability of Commonwealth Campuses to attract students were also discussed.
"We will never at Penn State [University Park] in the near future wonder if we could fill all the spots," Penn State President Graham Spanier said. "We can't say that for all campuses. Markets are shrinking and competition increasing."
Spanier said in an e-mail message that it is important to evaluate the educational programs offered at Commonwealth Campuses.
"We may wish to make some adjustments over the years, depending on educational needs, market forces and student preferences," he said.
