Cost of dormitory operation and management has increased for the recent years
due to the steep rise in labor, utilities, maintenance and overhead prices. Many
universities which face the budget pressure have adjusted their student housing rates.
However, the rate increments may lead to huge dissatisfaction from dorm residents
because there often is no objective and clear pricing mechanism for adjusting housing
rates. After analyzing the historical data of the student housing units of NCCU and
their corresponding expenditures, we develop a pricing formula by which the cost of
dormitory operation and management can be allocated fairly and transparently to
respective dorm residents. The formula which encompasses the principles of
user-pays, fairness, and cost-effectiveness can help achieve the goal of break-even
which meets the expectations of both NCCU administration and dorm residents. By
comparing the 2010 rates derived from our formula with the actual rates, we find the
actual rates basically acceptable and therefore, it is unnecessary to sharply adjust the
current room charges. Finally, a survey is also conducted to collect the opinion of
dorm residents and other students about dorm management and pricing formula.