Beginning today, the University of California at Los Angeles’s Anderson School of Management will give up state funding and instead become self-supporting, the school announced.
Anderson’s dean last week signed a three-year deal with the university provost through which the school’s full-time MBA program will turn down state subsidies in exchange for greater control over faculty recruitment and salary levels and the ability to determine its own tuition, among other things.
Anderson hopes to make up for the loss in state funding through donations and likely higher tuitions, reports Inside Higher Ed. In recent years, only about 18 percent of the business school’s funding came from the state. As part of the deal, the Anderson School must pay UCLA on a prorated basis for overhead, including maintenance, according to Inside Higher Ed.
Anderson will continue to receive 4 percent of its total funding from the state – though none of it for the MBA program, the university reports. Two of the school’s degree programs will still be state-subsidized: a PhD program and an undergraduate minor in accounting. The rest of its graduate programs, including the part-time MBA programs, were already self-supporting, Inside Higher Ed reports.
Then-UC system president Mark Yudof approved the shift from state- to self-supporting last summer, but final agreement wasn’t reached until last week. Anderson Dean Judy Olian signed the three-year contract on June 25th, which included a provision ensuring that financial aid would not be impacted by the change.
“The full-time MBA program will continue to ensure that financial aid is offered at levels at least commensurate with current levels, and with levels at other UC fulltime State-supported MBA programs,” Olian told Inside Higher Ed.
No official word was provided from the business school on whether tuition will increase. The current charges are $48,723 for residents and $55,010 for non-residents.
Learn more about UCLA’s Anderson School of Management becoming self-supporting.
