Page Ten
T"HE MtCHEGAN DAILY
I hursdoy, May 22, 1975
'U' may lose millions in extra tuition refunds
(Continued from Page 1)
1973. In May, Circuit Court
Judge William Ager ruled un-
constitutional a requirement
that students seeking residency
status live six months in Michi-
gan - a period during' which
they could take no more than
three credit hours per term.
Ager also ruled that students
who paid nonresident tuition af-
ter May, 1972, could apply for
a hearing at the University and
demand a partial refund for
the difference between the out-
of-state tuition fee and the low-
er tuition for residents.
THE UNIVERSITY appealed,
the retroactive aspect of Ager's
judgment. The Michigan Court
of Appeals riled in favor of the
University, hit Carpenter took
the case to the Michigan Su-
preme Court. Last November,
the high court reversed the ap-
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peals court decision, remanding
the litigation to the trial court.
For students, the tuition re-
fund process begins next month.
Carpenter says he will mail no-
tices on June 1 to more than
9,000 persons eligible to apply.
for a hearing. The students must
reply to the county clert by re-
turn mail within 90 days in in-
dicate their interest in obtain-
ing a residency status review.
"If they don't respond by Sep-
tember First,"says Carpenter,
"they're dead.".
Then, based on facts the stu-
dent presents at individual
hearings, he or she could re-
ceive a tuition refund of possi-
bly more than $1,000.
BUT DAANE and Carpenter
have not agreed on the proce-
dure to follow after the hearing
applications are received.
"We have been able to re-
solve (some) problems by mu-
tual agreement," says Daane.
"We have not yet resolved all
of them. I don't know if we will
or not."
Generally, Daane wants to ap-
ply the residency standards
currently used to determine
eligibility for a tuition refund.
Adopted in 1973, the rules re-
quire at least one year s resi-
dence in the state and demon-
stration of an intent to live in
Michigan after graduation.
DAANE also proposes the
current method for seeking in-
state status be carried over into
the refund process: written ap-
plications with an option of in-
person appeals if the request is
denied. Similarly, Carpenter
feels the use of a preliminary
questionnaire would minimize
the students' inconvenience.
But Carpenter says he would
prefer standards "generally
following those of voting" ap-
plied to the tuition refunds. The
attorney says these rules fol-
low from.a Supreme Court case,
Vlandis versus Kline, which.
forced the University to adopt
its current residency policies.
Daane contends his proposals
also come from the Vlandis
case, and suggests he. and Car-
penter simply interpret its rul-
ings differently.
ANOTHER POINT of differ-
ence between the two lawyers
involves the people to decide
who gets the refunds. Carpen-
ter objects to Daane's proposal
that the persons who currently
handle residency applications
also examine the refund hearing
requests.
If Daane's plan is followed,
the hearing applications will be
reviewed by Larry Katz, assist-
ant University registrar, and
his administrative assistant,
Mary Ann Wellman.
"These people are familiar
with the process and are all
geared up to do it," says Daane.
C A R P E N T E R says if
Daane's proposal is used, a
lawyer should be included in the
review sessions to represent the
students' interests. "I insist on
having an attorney present," he
says. "We want to examine ev-
ery file."
Both Katz and Daane feel
Carpenter's demand is unnec-
essary. Daane says the prac-
tice of due process- "does not
require presence by counsel" at
such sessions, and Katz re-
marks his job of reviewing resi-
dency applications does not in-
volve any lawyers.
The volume of refund re-
quests may overwhelm the Uni-
versity. "It will be a lot of
work," says Katz. "It will be
a monumental task."
V I R T U A L L Y every-
one involved in the tuition re-
fund matter agrees the actual
applications for hearings will
probably be lower than the
9000 who will receive notices
of their potential eligibility. The
9000 includes many persons who
never applied for resident sta-
tus originally.
Just as important, the num-
ber of persons eligible for re-
funds will probably be far less
than those who apply for a
hearing. One University official
closely involved with the issue
_says many students - even
those with no chance of approv-
al - will seek a refund hearing
because "they have nothing to
lose."
"It's like taking a chance on
the lottery," the official says.
DAANE DECLINES to esti-
mate how many of the appli-
cants will eventually be award-
ed refunds, but says "the bene-
fit of hindsight" -will help to
eliminate some of them.
For example, someone who
has already left Michigan, says
Daane, "has very little going
for him."
Carpenter, however, says he
has "a personal feeling" the
refund recipients will number
500 to 1000. "It's certainly not
going to be any lower than 500,"
he says.
THE UNIVERSITY has al-
ready set aside $1.4 million for
the tuition refunds - which may
not cover the amount necessary
for all the overpayments. In the
extremely unlikely case that all
9000 were granted refunds, ac-
cording to Daane, the Univer-
sity would need $11-12 million.
"Until you know how many
are going to apply you can't get
the feeling for it,"says Daane.
As the disagreements drag on
into the summer, Ager will
probably settle several issues-
but neither Daane nor Carpen-
ter will rule out the possibility
that they will appeal one or
more of his decisions.
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