Outbreak strains US colleges' finances

American universities are losing millions of dollars after having to reduce the number of students on campus due to the COVID-19 pandemic, which is leading many of them to refuse refunds for tuition fees or dormitories.

In mid-March, colleges throughout the country closed dorms and dining halls and moved classes online to halt the spread of the novel coronavirus. Some schools issued refunds for housing costs; others did not.

This week, Harvard University announced that it will limit the number of students on campus to 40 percent of capacity when its term begins Sept 2.

All 1,650 first-year students can live on its campus in Cambridge, Massachusetts, but they are being encouraged to study remotely. Annual tuition fees for Harvard are $49,653. Room and board cost $17,682 in 2019.

A spokesman for Harvard said in a statement: "We're not advocating that students come to campus."

Princeton, Stanford, Johns Hopkins and other top universities also announced reopening plans this week. Most will hold classes online.

Princeton is inviting students back to campus in stages. It is also offering a 10 percent discount on full-year undergraduate tuition.

The federal CARES Act provided $14 billion to colleges to help them offset housing and dining refunds, but the loss and uncertainty over revenue generated by housing and tuition fees have caused major disruptions to the $700 billion-a-year higher education industry.

In Louisiana, colleges and universities will refund $24 million to students whose courses were interrupted by the pandemic. Louisiana State University will issue $4.4 million; the University of Louisiana at Lafayette will give back $3.8 million; and Southern University in Baton Rouge will issue $3.5 million in refunds.

Jim Henderson, president of the system that oversees the University of New Orleans and other schools, told local newspaper The Advocate: "It was more of a collective decision for us. We all agreed we needed to do something."

In California, Cal State Northridge and Cal State Los Angeles will offer refunds to students for housing up to the start of the fall semester.

UCLA's deadline for refunds is when the dorms' contract term begins. And students at the University of Southern California had until Wednesday this week to cancel housing.

The University of California, Irvine, will allow students to cancel before Sept 1 to get a refund. Cal State Long Beach will charge a fee on any canceled housing that starts in 30 days or less.

University of California President Janet Napolitano wrote in a statement: "UC has already lost hundreds of millions in housing and dining revenue."

Meanwhile, the University of Maryland (UMD) said it also plans to significantly cut down on the number of students on campus. Out of its 30,762 undergraduates, about 12,600 will stay on campus.

Wallace D. Loh, UMD's outgoing president, wrote in a statement: "There are 8,900 bed spaces in University residence halls. To de-densify, triples and quad units are converted to doubles, and floor lounges are made into single or double rooms to minimize the opportunities for larger gatherings."

Ryan Baker, professor of education at the University of Pennsylvania, said the pandemic has transformed university study for both students and teachers.

Baker told China Daily: "A lot of instructors in higher education are very attached to a traditional model of lectures and tests or lecture environments that they can't replicate in an online setting because it's just really hard to have a discussion with over 15 people on Zoom compared to in a classroom."

Elsewhere, several universities have hastily rewritten housing policies to ensure that they are not liable for refunds if students cannot use dorms.

The University of South Florida (USF) now requires students to sign a yearlong housing contract that absolves the school of liability.

"It's a very challenging situation for all of us: for our students and their parents, and the university as well," Steve Currall, USF president, told the Tampa Bay Times.

Sandy Ahmadi, whose son will enroll as a freshman at USF this year, understands that the school cannot take on the financial burden of refunds but said parents shouldn't have to pay for something their children might not use.

Florida saw a surge in coronavirus cases recently. On July 12, the state had more than 15,000 new infections in one day, shattering other states' records.

Dr William Schaffner, professor of preventive medicine and infectious diseases at Vanderbilt University Medical Center, told China Daily: "Social distancing, the 6-foot rule, will continue to be important."

Meanwhile, UMD, the University of North Carolina (UNC) and Washington State University (WSU) also updated their student housing contracts to reduce liability.

UMD's new housing contract states: "The University may adjust the housing services schedule contained herein, temporarily close, and/or place restrictions on use of housing facilities as necessary in the University's sole discretion."

UNC's 16 college campuses plan to reimburse students for food and housing, according to interim President Bill Roper.

But last month, North Carolina Governor Roy Cooper signed a bill to protect any college that does not refund students' housing costs and dining fees.

UNC updated its housing policy June 22. WSU emailed students with its revised housing policy July 1.