Northern Kentucky University’s budget for the 2024-25 fiscal year was approved at the Board of Regents meeting on Wednesday.

The budget is “structurally balanced,” according to a press release following the board meeting.

Tuition will increase two percent for the upcoming school year as part of the new budget. Housing and dining costs will both increase nearly six percent, “to address inflation,” the press release said.

This comes one year after the board approved a three-percent tuition increase in June 2023.

“We are committed to providing our students with an exceptional education while also providing the highest return on their investment,” shares NKU President Dr. Cady Short-Thompson. “We know that raising tuition and other expenses is difficult and we don’t take these changes lightly.”

The board also approved the use of $4.8 million in reserve funds, which will be used to cover the deficit caused by an increase in student scholarships amid the COVID-19 pandemic. The reserve usage of these funds will be eliminated in two years, the press release said.

This will be the first balanced operating budget passed since the discovery of an $18.7 million deficit in October 2022. The deficit was updated to $23.7 million in November 2022.

“To find ourselves back in a financially stable position only two years after facing substantial post-Covid deficits is significant,” said board chair Rich Boehne.