Annual Update 2015 Committee on Scholarships, Awards and Student Aid Donald T. Hornstein, Chair Aubrey L. Brooks Professor of Law April 2015

Scholarships, Awards, and Student Aid Committee Charge and Composition: The committee is appointed by the Chancellor. It establishes policy for scholarship and student aid funds, monitors the operations of the Office of Scholarships and Student Aid, and advises the Chancellor on matters regarding scholarships and other forms of student aid.

Committee Membership, Name and DepartmentTerm(s) Faculty/Staff/Students Donald Hornstein (Law), Chair — 17 Jan Yopp (Journalism)2014 — 17 Tara Moon (Medicine)2013 — 16 George Lensing (English)2013 — 16 Brian Hogan (Chemistry)2013 — 16 Mehmet Kesimer (Pathology)2013 — 16 Joy Renner (Allied Health) 2013 — 16 Sherry Salyer (Exercise Science)2013 — 16 Geetha Vaidyanathan (Economics)2013 — 16 Winston Crisp (Student Affairs)Ex officio Steve Farmer (Admissions)Ex officio Shirley Ort (Student Aid)Ex officio Justin Johnson (Graduate Student)2014 — 15 William Bennett (Undergraduate)2012 — 15

The Office of Scholarships and Student Aid (OSSA) supports the instructional mission of the University by...  Removing financial barriers for students  Recognizing and rewarding academic talent, thereby  Furthering mutual goals of “equity” and “excellence”

In , the University provided assistance to 20,783 undergraduate, graduate and professional students…

... and disbursed $427 million in aid from all sources (federal, state, institutional and private)

Focusing on undergraduates — 43 percent received need-based aid in , a stable percentage from the prior year

The proportion of undergraduate students demonstrating need has increased and held steady since the Great Recession... Year Need-based aid recipients n% of undergrads ,62937% ,90043% ,71942% ,96143% ,93243%

The average amount of financial aid disbursed to an undergraduate receiving need-based aid in was quite generous...

The share of a student’s need which was met with grants and scholarships (including external scholarships) has increased since despite rising college costs... Year Grants & Scholarships LoansWork-Study %27%3% %24%2% %24%2% %24%2% %27%2%

As a result, student borrowing remains modest, though more students have found it necessary to borrow... Cumulative Federal Loan Debt Upon Graduation Among Seniors Who Borrowed Academic Year% Who Borrowed Federal Debt at Graduation %$14, %$15, %$15, %$16, %$17,113 *Note: Debt includes only loans based on need, rather than discretionary borrowing.

Academic Year % Who Borrowed Current Dollar Amount Borrowed Constant Dollar Amount* %$13,291$17, %$13,579$17, %$13,801$16, %$14,487$17, %$14,912$17, %$14,936$16, %$14,262$15, %$14,303$15, %$15,472$16, %$15,734$16, %$16,150$16, %$17,113 Average cumulative loan burden for graduating seniors * Adjusted to 2015 dollars, using BLS data

Adjusted for inflation, the cumulative debt burden among borrowers is $13 more than it was eleven years ago.

Median Parental Income of Dependent Aided Undergraduates, Enrolled undergraduates receiving any aid: 65% Median parental income (all aided dependent students)$75,306 For aided resident students$72,304 For aided non-residents$90,150 Enrolled undergraduates receiving need-based aid:43% Median parental income (recipients with need)$60,641 For aided resident students$58,122 For aided non-residents$78,369 For Carolina Covenant Scholars$25,622 (Average family size was 4 throughout; median for N. C. resident is $66,985)

Ranked 3rd in the nation in the New York Times survey of economic diversity #1 on Kiplinger’s Personal Finance list for 14th straight year. #1 in Princeton Review’s Best Value Public Colleges Listed in US News & World Report “Great Schools, Great Prices” index UNC remains widely recognized for affordability and access

Stagnant earnings for low-/middle-income families A permanently higher percentage of students with need (from 37% to 43%) Rising health insurance costs for needy students New UNC-system restrictions on the use of tuition revenue for student aid Anticipated declines in state and federal funding Carolina must work hard to maintain favorable financial aid patterns... and increase private support, given the challenges we face:

Federal shift toward a “one-grant, one-loan” proposal that would consolidate grant and borrowing options The political viability of the out-of-state scholarship provision, which allows nonresident students on full scholarships to benefit from in-state tuition rates Continuing discussion about federal accountability for affordable access (federal rankings system, tying funding to net price, etc.) State & federal policy concerns may also impact our aid programs in the coming years

Ten Year Comparison of Scholarship and Financial Aid (Need and Non-Need-Based) Awards: All Students (Undergraduate, Graduate/Professional) Total Aid Awarded$160.1M$400.3M$427.2M Number of Students13,07120,70920,783 Average Award$12,245$19,329$20,553 FUNDS BY SOURCE Federal56%48%47% State10%5% Institutional/Private34%47%48% FUNDS BY TYPE Scholarships/Grants44%53% Work-Study1% Loans 55%46% Source: Office of Scholarships and Student Aid/Office of Institutional Research (January 2015)

Questions and Discussion