The fee right now is a negotiated lump sum to be paid in within a certain amount of time.

For example, University A pays $20 million dollars over fifty years. University B pays 15 million over 20 years. Both could have roughly the same number of students but be paying very different amounts that lack public accountability.

Now you go to University A. The cost of those PILOT fees is factored into your tuition in a way that is not public or easily open to public record. It's not a separate fee from your tuition.

Are they accounting for the school getting bigger? Are you paying more into this fund than a student who goes to your school five years later? Why are the tuition costs going up so quickly?

With a fee charged up-front everything is much clearer and open. IMHO, the more itemized tuition becomes the easier it is to see how your money is being spent. This is a good thing as colleges and Universities become more expensive and more corporate in nature.

The issue becomes how much to charge. That's the big question.