Annual Update: Spring 2010 Committee on Scholarships, Awards and Student Aid Professor Charles E. Daye, Chair February 26, 2010

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 Charles Daye, Chair (Law) Todd Austell (Chemistry) Jean DeSaix (Biology) Donald Hornstein (Law) Jane Danielewicz (English) Melissa Exum (Student Affairs)Ex officio Steve Farmer (Admissions)Ex officio Shirley Ort (Student Aid)Ex officio Kathy Moore (Nursing) Dennis Williams (Pharmacy) George Lensing (English) Fred Clark (Romance Languages) Joy Cranshaw (Graduate Student) Chris Scanzoni (Undergraduate) Charles Sellew (Undergraduate) Kira Lumsden (Undergraduate)

The role of the Office of Scholarships and Student Aid (OSSA) is to support 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”

During the OSSA provided assistance to 15,781 students... Total: 15,871 Students Receiving Aid

... And disbursed over $233 million in aid, with the largest share provided by the Federal government... Total: $233.3 (In Millions) State: $26.1 (11%) Federal: $121.1 (52%) Institutional & Private: $86.1 (37%)

Focusing now on undergraduate students, nearly a third received need-based aid in Total: 17,895 Undergraduate Students Aided Needy Students 5,817 (32%) Non-Aided Students 7,259 (41%) Aided Non-Needy Students 4,819 (27%)

... The proportion of undergraduate students demonstrating need has been fairly constant over time (but will have increased in ) when final data are available)... Year Need Based Aid Recipients n% ,15527% ,56334% ,81732%

The typical financial aid package for an undergraduate student receiving need-based aid in is by all standards quite generous... Loans (27%) Work-Study (3%) Grants & Scholarships (70%)

... The share of a student’s need being met through grants and scholarships increased significantly over the last decade... Trends in Type of Aid Distributed to Undergraduate Students With Need Year Grants & Scholarships LoansWork-Study %45%1% %35%2% %27%3%

As a result, fewer students needed to borrow, and have borrowed less, even with increases in tuition and other college costs... Average Cumulative Loan Indebtedness For Graduating Seniors Who Borrowed Academic Year % Who Borrowed Current Dollar Amount Borrowed %$13, %$13, %$14,262 *Note: Debt includes only loans from Federal Title IV loan programs.

 A weakening economy  Rising unemployment  Changing demographics (including more students who exhibit need) It will be increasingly difficult for the University to maintain these favorable aid patterns into the academic year given...

The number of students who qualified for need- based aid this year ( ) rose dramatically over last year ( )...  23% increase in students with need  26% increase in freshmen with need  28% increase in Carolina Covenant Scholars  34% increase in Federal Pell Grant recipients  More students than ever applied on time

We expect students and families to exhibit even greater need next year ( )...  Costs are going up (e.g., tuition and health insurance)  More families were unemployed in 2009 than in 2008  The economy is not recovering as quickly as we had hoped  As a result more students are expected to qualify for need-based aid

Going forward, the University still expects to meet the full need of undergraduates who apply on time (March 1), but aid patterns will likely change...  The Legislature has already cut student grants and may keep campus-based tuition receipts (50% of which would be used for grants otherwise)  The percentage of need met with grants and scholarships will drop from today’s 70% to an anticipated 65%  More students will likely borrow and will borrow more than in prior years

Maintaining Carolina’s favorable need-based aid patterns of the past, within this period of economic downturn, will remain a considerable challenge. Conclusion and Discussion:

Ten Year Comparison of Scholarship and Financial Aid (Need and Non-Need-Based) Awards All Students (Undergraduate, Graduate/Professional) Total Aid Awarded (in millions)$119.7 $233.2 Number of Students10,599 15,871 Average Award$11,289 $14,695 Funds by Source Federal57%52% State1011 Institutional/Private3337 Funds by Type Scholarships/Grants45%47% Work-Study11 Loans5452 Source: Office of Scholarships and Student Aid/Office of Institutional Research (February 2010)

UNC STANDARD STUDENT BUDGETS (03/17/09) UNDERGRADUATE STUDENTS IN-STATE On/Off CampusLiving with Parents Tuition/Fees$5,626($3,865/$1,761)$5,626($3,865/$1,761) Room/Board (inc. phone)$8,670($5,250/$3,420)$2,290($0/$2,290) Books/Supplies$1,000 Travel$878 Misc 1 (Ins./Personal)$1,250 Total$17,424$11,044 Messages(001)(007)(015)(005)(028) OUT-OF-STATE Tuition/Fees$23,514($21,753/$1,761)$23,514($21,753/$1,761) Travel (Home)$1,306 Total$35,740$29,360 Messages(002)(008)(016)(006)(029)

UNC STANDARD STUDENT BUDGETS (03/17/09) GRADUATE STUDENTS IN-STATE On/Off CampusLiving with Parents Tuition/Fees$7,162 ($5,413/$1,749) $7,162 ($5,413/$1,749) Room/Board (inc. phone)$13,920 ($10,500/$3,420) $2,290 ($0/$2,290) Books/Supplies$1,000 Travel$1,306 Misc 1 (Personal)$2,706 Total$26,094$14,464 Messages(007)(015)(005)(028) OUT-OF-STATE Tuition/Fees$21,560 ($19,811/$1,749) $21,560 ($19,811/$1,749) Other Costs$18,932$7,302 Total$40,492$28,862 Messages(008)(016)(006)(029)

Aided Undergraduate Students, Enrolled undergraduates receiving any aid: 59% Median parental income (all aided dependent students) $73,003  Median for aided resident students $70,129  Median for aided non-residents $88,866 Enrolled undergraduates receiving need-based aid: 32% Median parental income, recipients with need $53,199 Median parental income, Covenant Scholars $24,000 (Average family size was 4 throughout)