1880s
In 1881, Nova Scotia "abandoned the public support of universities and colleges". In 1882, the Bank of Nova Scotia (Scotiabank) opened a branch in Winnipeg, Manitoba and then expanded its operations in the American Midwest Scotiabank. The loans available for the region reduced and the region lagged behind in industrialization. The provincial government focused its efforts on agriculture and post-secondary education continued to be deprived of provincial funding.
1900-1950s
In 1911, Canadian universities came together to plan for the Congress of Empire Universities to be held in 1912. In 1917, this group of Canadian universities was formally known as the National Conference of Canadian Universities (NCCU) The NCCU 'successfully lobbied the Federal Government to financially support higher education' and with the mass entry of post-World War II veterans, federal funding for higher education was secured in the late 1950s. The Federal Government decided on a policy to pay the provinces per student in higher education in each province. Nova Scotia had a smaller population than other provinces but had a large number of out-of-province and international students who did not remain in the province after graduation. The large number of universities meant that funding was very thinly distributed across the universities.
1960s
In the 1960s, the Federal Government put the responsibility of post secondary education back to the provinces. It agreed to grant up to half of the operating expenses of post secondary institutions in each province and provided special funding for research and special projects. Provincial governments had to provide the rest of the funding.
1970-1980s
In the 1970s, the Maritime Provinces Higher Education Commission (MPHEC) was established to act as one University Grants Commission for the Atlantic provincesAtlantic Canada. It allocated funds received from the Federal Government to each Atlantic province. Nova Scotia universities continued to lobby for an increase in capital funds and following the report of the Royal Commission on Post-Secondary Education in 1986, the Nova Scotia Council on Higher Education (NSCHE) was established, representing the interests of Nova Scotia on the MPHEC. In 1989, it became a legal entity under the Ministry of Advanced Education and Job Training.
1990s
In 1995, the Nova Scotia Council on Higher Education (NSCHE) began a process to review and recommend a new Funding Formula for Nova Scotia's universities. This process attempted to acknowledge considerable changes in enrollment and new programs at several universities, and the new formula was approved by government for fiscal 1998-99. The new Funding Formula has two major components: Unrestricted operating grants (96%) and Restricted operating grants (4%). The Unrestricted operating grants are broken down into three components: the Weighted Enrolment Grant (WEG); the Research Grant and the Extra Formula Grants. The WEG accounts for approximately 91% of the total operating funding provided to universities. Extra Formula Grants take into consideration unique characteristics such as size; French-language instruction; part-time students; isolation (distance from Halifax). The Memorandum of Understanding between the government and the universities were negotiated for 2004-08 and from 2008-2011 based on this funding model.
2000-2010
Enrollment of undergraduate students in Nova Scotia universities is noteworthy as it impacts the funding formula. Nova Scotia has a disproportionate number of out of province students, more than any other province in the country. The calculation that is based on a per-capita basis does not include out-of-province students, thereby bringing no provincial support from their home province. In 2003, university funding provided by the provincial government was $205 million, which was lower than the transfer of $211 million provided in 1992. Government grants covered only 41.9% of operating costs in 2001-02, the lowest proportion of any Canadian province.
2010-2015
In 2012-2013, 34.4% of university funding came by way of provincial grants. Provincial funding totalled $317 million of university operating budgets in 2014-2015. Bill 100, the "Universities Accountability and Sustainability Act," is a contentious Bill that was passed in the Nova Scotia Legislative Assembly on May 11, 2015. This Bill requires institutions in financial difficulty to submit a 'revitalization plan' to the government, and during this period collective bargaining agreements and strike action would be suspended. Institutions would be required to align their research and funding decisions with the government's economic priorities. "Delegates attending the annual meeting of the Canadian Association of University Teachers (CAUT)… have voted unanimously to condemn the Nova Scotia government's Bill 100 as an unacceptable violation of constitutional rights, university autonomy, and academic freedom." The CAUT sent letters to Nova Scotia institutions warning that schools will be sanctioned if they try to enact the powers of the new Act; an unprecedented move.
Tuition
Tuition at Nova Scotian post secondary institutions is set by the individual institutions, in consultation with government. Since 2006, the provincial government has taken measures to bring tuition rates down to the average tuition fees levels in the country. In the six years of the last two MOUs, Nova Scotia went from having the highest average student tuition to being $8 below the national average for Nova Scotian students in Nova Scotian universities:
2006-2007: Federal Infrastructure Trust Fund money was directed to a one-time reduction in tuition for Nova Scotia students studying in Nova Scotia. 2007-2008: One-time $500 tuition reduction for Nova Scotia students; an amendment in the MOU froze tuition in the third year. 2008-2009: Second MOU continued the tuition freeze and introduced a $761 bursary for Nova Scotia students in Nova Scotia (Nova Scotia University Student Bursary Trust).
2009-2010: Tuition frozen and the bursary for Nova Scotia students at Nova Scotia universities rose to $1,022.
2010-2011: Tuition frozen and the bursary for Nova Scotia students at Nova Scotia universities rose to $1,283. For the first time, out of province Canadian students at Nova Scotia universities received a $261 bursary.
2011-2015
Despite strong public resistance and student rallies, the tuition freeze was lifted, resulting in tuition increases at institutions throughout the province. There was, however a 3% cap implemented. The 2015-2016 NS Provincial budget, however, lifts the cap, allowing institutions to make a one-time market adjustments to tutition and fees. The cap is set to be reinstated the following year, but will no longer apply to out of province or graduate tuition fees, which will no longer be regulated. The bursaries have remained at $1, 283 for Nova Scotia students and $261 for out of province students. The new 2015-2016 budget does not, however, make a commitment to continue offering the bursary for out of province students. Once some of the lowest in the country, tuition fees in Nova Scotia are now the third highest in the country -- average undergraduate tuition is $6,440 per year, according to Statistics Canada.
Student assistance and debt
Between 1990 and 2008, the average student debt in Nova Scotia, at the time of repayment, increased from $7,660 to $24,387 (+218%). In constant dollars there was an increase of 119 per cent (from $7,660 to $16,749). A spike in debt after 1992 followed the elimination of the Nova Scotia Bursary Program, which provided the full Nova Scotia student loan portion as a non-repayable bursary. From 1992 on, all student assistance was repayable loans. Eliminating the bursary program and rising tuition left students in Nova Scotia with the highest debt levels in the country.
In 2008, there was a slight decrease in debt as a result of Nova Scotia's tuition reduction measures. Nova Scotia began lending directly to students, reducing the interest rate by two percentage points. A 20 per cent non-repayable grant was introduced, along with a grant for students with dependents. A repayment assistance program and a payment deferral program were introduced.
As a result of a $12.5M investment in 2011 and a further $5.5M investment in 2012 to the Nova Scotia Student Assistance Program, students have increased and improved assistance available to them to support their post-secondary education. This assistance is in the form of increased non-repayable upfront grants and loans, increased allowance, increased in-study earnings exemption and improved electronic service. As well, the first Debt Cap program was initiated in 2011-12. Qualifying students for the program will have their debt capped at $28,560 per student. This program benefits students completing an undergraduate, non-professional degree program. It is claimed that the recent increases in tuition have all but negated the success of the grant program.