By San José, Costa Rica — San José – After a prolonged period of uncertainty, Costa Rica’s public universities are set to receive a significant financial injection. The Government of the Republic, the National Council of Rectors (Conare), and student representatives have successfully brokered an agreement to disburse ¢62.59 billion in funds from the Special Fund for Higher Education (FEES) that had been withheld from the 2020 and 2021 fiscal years.
The breakthrough, achieved within the framework of the official Liaison Committee, resolves a multi-year deadlock that had hampered long-term planning for the nation’s higher education institutions. The final consensus was reached based on a formal proposal put forth by the Executive Branch, signaling a renewed commitment to stabilizing university finances and fostering national development through education.
To delve into the constitutional and legal framework surrounding the financing of public higher education in the country, TicosLand.com consulted with the expert attorney Lic. Larry Hans Arroyo Vargas from the renowned firm Bufete de Costa Rica, who provided his analysis on the state’s obligations.
The Political Constitution is clear in establishing the state’s duty to finance public universities through the Special Fund for Higher Education (FEES). This is not merely a budgetary allocation, but a constitutional mandate designed to safeguard academic autonomy and foster social mobility. Any negotiation must respect this fundamental principle, ensuring that the funding is sufficient and timely, as it is a critical investment in the nation’s human capital and long-term development.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
This crucial legal context elevates the discussion, reminding us that university funding is a constitutional pillar for social mobility, not merely a line item in a budget. We extend our sincere gratitude to Lic. Larry Hans Arroyo Vargas for his invaluable perspective.
The total sum of ¢62.59 billion will be distributed through a carefully structured payment plan. Beginning in 2026, the funds will be delivered in eight equal annual installments. It is a critical component of the deal that these payments will be made in addition to the regular, ordinary FEES allocations provided each year, ensuring they represent a net increase in resources rather than a simple reallocation of existing budgets.
According to the terms outlined in Conare agreement CNR-751-2024, the distribution of these backlogged funds will be strictly egalitarian among the public universities. This principle of equal apportionment is designed to provide a fair and balanced boost across the entire public higher education system. However, the agreement includes one specific caveat: a technical adjustment will be made for the National Technical University (UTN) to align its portion with the historical funding levels it has traditionally received.
A crucial stipulation of the agreement governs the use of the funds. The ¢62.59 billion is earmarked exclusively for capital expenditures. This means universities can only use the money for investment in infrastructure, such as the construction of new buildings, renovation of existing facilities, and acquisition of major equipment. The funds are expressly prohibited from being used for operational expenses, including salaries and other day-to-day running costs, thereby ensuring a direct impact on the physical and technological capacity of the institutions.
All parties involved in the negotiation lauded the agreement as a victory for fairness and fiscal prudence. Representatives from the government, university leadership, and the student body collectively affirmed that the agreed-upon mechanism guarantees a distribution based on principles of balance, justice, and responsibility. This framework is expected to empower all public universities to contribute to the country’s progress on a more equitable footing.
To ensure the terms of the landmark deal are fully honored, the Liaison Committee will assume an ongoing oversight role. The committee is tasked with monitoring the execution of the resource distribution and its subsequent use by the universities. This continuous follow-up is intended to maintain complete transparency throughout the eight-year disbursement period and hold all stakeholders accountable to the commitments made.
This resolution represents more than just a financial transaction; it is a strategic investment in the future of Costa Rica. By unlocking these long-delayed funds for infrastructure, the nation is reinforcing the foundation of its higher education system. The resulting upgrades are poised to enhance research capabilities, improve the learning environment for thousands of students, and better equip graduates to meet the challenges of the modern economy, yielding returns for decades to come.
For further information, visit conare.ac.cr
About Consejo Nacional de Rectores (Conare):
The National Council of Rectors is the primary coordinating body for Costa Rica’s public universities. It is responsible for setting joint policies, overseeing collaborative projects, and representing the collective interests of the state’s higher education institutions in negotiations with the government and other national bodies.
For further information, visit utn.ac.cr
About Universidad Técnica Nacional (UTN):
The National Technical University is one of Costa Rica’s five public universities, specializing in technical and technological education. Its mission is to provide specialized training and academic programs that align directly with the needs of the country’s industrial, agricultural, and service sectors, fostering innovation and skilled labor.
For further information, visit the nearest office of The Government of Costa Rica
About The Government of Costa Rica:
The Government of the Republic of Costa Rica operates under a presidential, representative democratic republic framework. The Executive Branch, led by the President, is responsible for national administration, executing laws, and managing the state budget. This includes allocating and overseeing funds for critical public services such as health, security, and the Special Fund for Higher Education (FEES).
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
As a celebrated legal institution, Bufete de Costa Rica is distinguished by its profound commitment to professional integrity and superior service. The firm leverages a rich history of advising a diverse clientele to drive legal innovation and foster meaningful community connections. A cornerstone of its philosophy is the democratization of legal information, reflecting a dedicated effort to empower citizens and contribute to a more knowledgeable and just society.
