SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 11
Affordability Strategies in the StatesAffordability Strategies in the States
Moderator: Laura King (Minnesota)Moderator: Laura King (Minnesota)
Presenter: Deborah Greene (Texas)Presenter: Deborah Greene (Texas)
Presenter: Sandra Woodley (Kentucky)Presenter: Sandra Woodley (Kentucky)
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 22
BackgroundBackground
April 2004 SurveyApril 2004 Survey
9 responses (18% response rate)9 responses (18% response rate)– 8 have affordability policies8 have affordability policies– Delaware has no statewide policy for setting Delaware has no statewide policy for setting
tuition at its collegestuition at its colleges
(Plus Kentucky and Minnesota) (22% (Plus Kentucky and Minnesota) (22% response rate)response rate)
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 33
FloridaFlorida
Financial aid fee for community colleges, Financial aid fee for community colleges, technical centers, and universities since technical centers, and universities since early 1980s that is indexed to tuitionearly 1980s that is indexed to tuition– Up to 5% for colleges and universitiesUp to 5% for colleges and universities– Up to 10% for the technical centersUp to 10% for the technical centers– Majority of the aid provided is need basedMajority of the aid provided is need based
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 44
Florida - continuedFlorida - continued
Prior to 1984, universities charged two Prior to 1984, universities charged two financial aid feesfinancial aid fees– For distribution to own university studentsFor distribution to own university students– For need-based distribution statewideFor need-based distribution statewide
Late 1980s through early 1990sLate 1980s through early 1990s
Early 1990sEarly 1990s– State policy targets charges to in-state State policy targets charges to in-state
undergraduates at 25% of cost of HE undergraduates at 25% of cost of HE
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 55
Florida -continuedFlorida -continued
Florida Council of 100 recommendationsFlorida Council of 100 recommendations– Indexing need-based aid to 19% of tuition Indexing need-based aid to 19% of tuition
revenues (January 2004)revenues (January 2004)– Tying authority to increase tuition to Tying authority to increase tuition to
performance on accountability measures performance on accountability measures related to maintaining accessrelated to maintaining access
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 66
IllinoisIllinois
IBHE Committee to Study Affordability IBHE Committee to Study Affordability (1994)(1994)– High priority of making college affordableHigh priority of making college affordable– Affordability includes institutional ability to Affordability includes institutional ability to
control costs as well as student & family ability control costs as well as student & family ability to payto pay
– Affordability is inextricably linked to academic Affordability is inextricably linked to academic preparation and college academic progresspreparation and college academic progress
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 77
Illinois - continuedIllinois - continued
1994 study – continued1994 study – continued– Lack of financial resources should not be a Lack of financial resources should not be a
barrier to higher education; aid should be barrier to higher education; aid should be need based and student focused need based and student focused
– College education should be affordable & College education should be affordable & accessible to all students; students & their accessible to all students; students & their families should not be asked to assume a families should not be asked to assume a greater share of education costs than they are greater share of education costs than they are currently payingcurrently paying
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 88
Illinois - continuedIllinois - continued
““Final Report & Recommendations of the Final Report & Recommendations of the Committee on Affordability” (August 2003)Committee on Affordability” (August 2003)– 20 recommendations20 recommendations
Enhancing academic preparation and progressEnhancing academic preparation and progress
Assisting needy studentsAssisting needy students
Keeping core costs affordable Keeping core costs affordable
– Builds on the 1994 studyBuilds on the 1994 study
The Illinois Commitment – Goal 3The Illinois Commitment – Goal 3– No Illinois citizen will be denied an opportunity for a No Illinois citizen will be denied an opportunity for a
college education because of financial need.college education because of financial need.
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 99
IowaIowa
Intense tuition and financial aid study Intense tuition and financial aid study completed in mid-May (11 categories of completed in mid-May (11 categories of tuition-related policies covered)tuition-related policies covered)
Tuition set-asides: 15% of gross tuition Tuition set-asides: 15% of gross tuition revenues continuedrevenues continued– No less than half to undergraduates, of which No less than half to undergraduates, of which
no less than half is need basedno less than half is need based– Authority to use up to additional 10% for Authority to use up to additional 10% for
strategic enrollment goals, without restrictionstrategic enrollment goals, without restriction
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1010
MissouriMissouri
Bills introduced but not passed by the Bills introduced but not passed by the Missouri General Assembly in their recent Missouri General Assembly in their recent session, which ended in May 2004session, which ended in May 2004– HB 1674 (Smith)/SB 780 (Caskey) – would HB 1674 (Smith)/SB 780 (Caskey) – would
have frozen tuition rates from the time have frozen tuition rates from the time Missouri undergraduates enter college until Missouri undergraduates enter college until they graduate they graduate
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1111
OhioOhio
6% cap on in-state undergraduate instructional 6% cap on in-state undergraduate instructional and general fees (FY 2004 and FY 2005)and general fees (FY 2004 and FY 2005)– Additional 3.9% per year permitted if revenues are Additional 3.9% per year permitted if revenues are
used to fund scholarships for low-income students or used to fund scholarships for low-income students or to provide additional or improved technology services to provide additional or improved technology services to studentsto students
OSU permitted 9% cap plus 3.9% add onOSU permitted 9% cap plus 3.9% add on
Miami University was permitted a pilot fee Miami University was permitted a pilot fee schedule similar to an independent universityschedule similar to an independent university
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1212
TexasTexas
Affordability Strategy in Affordability Strategy in Closing the Gaps by Closing the Gaps by 20152015 (October 2000) (October 2000)– Providing grants & scholarships to cover tuition, fees, Providing grants & scholarships to cover tuition, fees,
& books for every student with financial need& books for every student with financial need– Setting tuition & fees in a manner that closes gaps in Setting tuition & fees in a manner that closes gaps in
participation & successparticipation & success– Establishing incentives that increase affordability Establishing incentives that increase affordability
through academic & administrative efficiencies in the through academic & administrative efficiencies in the higher education systemhigher education system
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1313
Texas - continuedTexas - continued
The amount of grants and scholarships The amount of grants and scholarships must be increased.must be increased.Economically disadvantaged students Economically disadvantaged students should be considered a high priority for gift should be considered a high priority for gift aid.aid.Colleges and universities should also Colleges and universities should also monitor the cost of higher education as monitor the cost of higher education as compared to what a family can pay based compared to what a family can pay based upon its effective family contribution.upon its effective family contribution.
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1414
Texas - continuedTexas - continued
Tuition Deregulation (Fall 2003)Tuition Deregulation (Fall 2003)– Boards of Regents given the authority to set Boards of Regents given the authority to set
“designated tuition” at any level to allow “designated tuition” at any level to allow institutions of higher education to operate institutions of higher education to operate efficientlyefficiently
– 20% of amount above the then current cap of 20% of amount above the then current cap of $46/SCH required to be set aside for financial $46/SCH required to be set aside for financial aidaid
– This is above the 15% required for “statutory This is above the 15% required for “statutory tuition” tuition”
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1515
UtahUtah
Regents’ policy on tuition and feesRegents’ policy on tuition and fees– Addresses marginal percentage increases Addresses marginal percentage increases
rather than affordabilityrather than affordability““First tier” rate increases – uniform for all First tier” rate increases – uniform for all institutionsinstitutions
““Second tier” rate increases – optional, to meet Second tier” rate increases – optional, to meet institutional needs, may be program specificinstitutional needs, may be program specific
– Identified factors that should be reviewed Identified factors that should be reviewed annually for “fairness and price annually for “fairness and price competitiveness” competitiveness”
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1616
Utah - continuedUtah - continued
– Explicitly states the Board should consider Explicitly states the Board should consider requesting state appropriation increases for requesting state appropriation increases for Utah Centennial Opportunity Program for Utah Centennial Opportunity Program for Education when tuition is increasedEducation when tuition is increased
Board usually requested an increase but the Board usually requested an increase but the Legislature has not regularly appropriated Legislature has not regularly appropriated increasesincreases
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1717
VirginiaVirginia
Limited tuition increases through 3% cap Limited tuition increases through 3% cap for in-state students (1994)for in-state students (1994)
Tuition freeze (1996)Tuition freeze (1996)
20% reduction in tuition (2000-2002)20% reduction in tuition (2000-2002)
Tuition increases (avg. 15% per year) to Tuition increases (avg. 15% per year) to offset state budget cuts (2003-2004)offset state budget cuts (2003-2004)
Tuition set-asides for financial aid (2002-Tuition set-asides for financial aid (2002-2004 Biennium)2004 Biennium)
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1818
Virginia - continuedVirginia - continued
Joint Legislative Subcommittee on Higher Joint Legislative Subcommittee on Higher Education Funding Guidelines approved Education Funding Guidelines approved cost-sharing policy for all in-state students cost-sharing policy for all in-state students (2004-2006 Biennium)(2004-2006 Biennium)– 67% general fund support67% general fund support– 33% tuition revenue33% tuition revenue
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 1919
More IdeasMore Ideas
Tuition as a portion of median family or Tuition as a portion of median family or household incomehousehold income– E.G., VA: total charges to students (tuition, E.G., VA: total charges to students (tuition,
fees, room & board) = 36.6% of per capita fees, room & board) = 36.6% of per capita disposable income disposable income
Inverse relationship between state Inverse relationship between state appropriations for higher education and appropriations for higher education and tuition rates (national Center for Public tuition rates (national Center for Public Policy and Higher Education, February Policy and Higher Education, February 2002)2002)
SHEEO Prof. Dev. ConfereSHEEO Prof. Dev. Conference nce
THECB August 13, 2004 PhiladelphiaTHECB August 13, 2004 Philadelphia 2020
More Ideas - continuedMore Ideas - continued
Prepaid College Tuition ProgramsPrepaid College Tuition Programs
College Savings Programs College Savings Programs
Need-Based versus Merit-Based State AidNeed-Based versus Merit-Based State Aid
Others?Others?
Top Related