5-6-14 uw reserves

MADISON, Wis. (AP) — The Legislature's finance committee is set to vote on the University of Wisconsin System's new surplus policy.   System officials have taken criticism over the last year for building massive surpluses while raising tuition year after year. Republican lawmakers froze tuition in response and required the system to craft a policy governing how much cash campuses can have on hand.

The system's plan calls for schools to finish each fiscal year with tuition and student fee surpluses of at least 10 percent of that year's expenditures. Campuses couldn't use the 10 percent benchmark as justification for increasing tuition, however.  Institutions also would have to justify surpluses of more than 15 percent in any program revenue account including tuition and gifts.  The finance committee is scheduled to take up the policy Tuesday.