North Dakota's public colleges should figure a minimum average employee pay increase of 5 percent next year when setting room and board charges for students, a Board of Higher Education subcommittee believes.

The panel on Monday endorsed a set of guidelines that college administrators will use later in setting campus room and board charges for the 2008-09 school year. The full board will review them later.

The new rates should allow for an average 5 percent pay increase for university workers, the guidelines say. They should reflect competition in local housing markets and increased operating costs for student housing, and include money for needed building repairs and technology improvements, the guidelines say.

"They are very, very similar to what has been approved by the board over the past several years," said Cathy McDonald, the state university system's finance director.

The Board of Higher Education does not set room and board rates, but outlines a framework that college administrators use in making the decisions, McDonald said. The North Dakota university system has 11 public colleges.

Board members John Q. Paulsen, Jon Backes and Richie Smith are members of the Budget, Audit and Finance subcommittee. Paulsen is the board's president. Paulsen and Smith both supported the guidelines during a brief telephone conference call meeting Monday. Backes was absent.

"It seems like the recommendation … is reasonable and should be accepted," Paulsen said.

The Board of Higher Education plans to review proposed tuition rates for the 2008-09 school year in February.