The province is set to announce a 10 per cent cut in university and college tuition fees, according to government documents obtained by the Star.

The proposed changes to the Tuition Fee Framework would remain in effect for the next two academic years. In the 2019-20 school year, tuition would drop by 10 per cent from current levels, and would remain frozen for the 2020-21 year.

The changes will “protect students and provide a financially predictable environment” and “keep more money in the pockets of Ontario’s students,” according to documents from the Ministry of Training, Colleges and Universities.

A ministry spokesperson would not comment when reached by the Star on Tuesday, but a public announcement is expected this week.

The Progressive Conservative government says the move will save college students about $340 a year, and university undergraduate students, in arts and science, about $660. Current average tuition for an undergraduate program is $8,838 and $10,028 for a graduate program. The change means fees will drop to $7,962 and $9,034, respectively.

It is unclear if the government will make up the loss of tuition revenue to colleges and universities, which they rely heavily on for operating funds. Very few institutions have budget surpluses to absorb such a financial hit. Sources have told the Star the tuition cut will amount to a $250 million loss to colleges and universities.

The proposed tuition changes do not apply to international students and will not impact students in full-cost recovery programs, such as pricey executive MBAs.

Government sources say that in the coming weeks the province will also make changes to the OSAP student financial aid system, which includes the free tuition program brought in under the previous Liberal government.

Last December, the auditor general warned the free tuition plan would soon cost $2 billion annually, which is 50 per cent higher than estimated, and $650 million more annually than the previous grant-and-loan system. The cost of it was supposed to be fully covered by the end of post-secondary tax credits.

The auditor also said there was no evidence that the program — it provides grants to qualifying students equal to or greater than tuition fees — was leading to the goal of more low-income students attending post-secondary.

The free tuition plan was also cited for allowing one-third of mature students to qualify for grants, without any proof they need financial support, including those who live at home with parents earning more than $200,000 a year. Mature students are those who have been out of high school for four years or more, and unlike students who go to university straight after graduation, their parents’ income is not taken into account when OSAP grants are calculated.

However, sources in the post-secondary sector noted that free tuition helped 230,000 students, and they are now worried it will be axed altogether and replaced with a loans system.

When it comes to tuition changes, Nour Alideeb, chairperson for the Canadian Federation of Students in Ontario, is urging caution.

“There’s always a catch, so let’s wait and see the fine print,” she said on Twitter. “Don’t get too excited about this 10 per cent reduction in tuition fees. Wait and see if OSAP will be maintained/increased, if institutions will get more funding instead of increasing tuition for international students/students in professional programs, how the funding formula will look.”

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Changing the tuition framework is the second significant move that Doug Ford’s government has made in the post-secondary file. As of Jan. 1, all colleges and universities were forced to implement free-speech policies on campuses.

The issue, which has divided students in Ontario and across the country, means schools will ensure they are open to “free inquiry” but that students will not be shielded from speakers they disagree with, or even find offensive, and limiting protests in such cases. Hate speech would remain banned.

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