1. A Framework to Understand College Access and Affordability at the National, State and Institutional Levels TAIR Conference 2008, Galveston Trish Norman, University of Texas System Roy Mathew, University of Texas at El Paso

2. Overview College Access Enrollment State Appropriations Tuition and Fees Financial Aid and Net Price Institutional Initiatives

3. College Access Most agree broad access to higher education is a worthy goal. to remain globally competitive, more Americans must be educated Lifelong learning is becoming an integral part of higher education Source: Thinking Outside the Box

4. College Access - Beginnings Higher Education Act of 1965 – Access to Higher Education became a primary theme of federal policy Focus to serve all students Federal BEOG Grants – primary tool for providing access to low income students Source: Thinking Outside the Box

5. College Access – Today Shared Responsibility Nationally  Federal (Pell) Grants  Subsidized Loans State Grants  Need vs. Merit based Institutional Initiatives  Tuition Guarantees and Set Asides  Flat Rate Tuition

6. Enrollment Growth Source: Digest of Higher Education Statistics, NCES

7. State Appropriations In the past, some “states used low tuition as a primary tool for assuring access” However, with more students attending college, “Higher Education has became more costly as share of the available public resources.” Source: Thinking Outside the Box

8. State Appropriations Sources: Grapevine (Illinois State University); The College Board (Trends in College Pricing)

9. State Appropriations State Appropriations have not kept up with enrollment growth and hit a 25-year low of $5,825 per FTE student in FY05. Source: Tuition at Public Colleges and Universities: Policy Trends and Projections

10. Tuition & Fees, Nationally Average T&F in Constant (2006) Dollars Change Institution Type1996-972006-07AmountPercent Two-Year Public$ 1,899$ 2,272$ 37320% Four-Year Public$ 3,856$ 5,836$ 1,98051% Four-Year Private$ 16,843$ 22,218$ 5,37532% Source: Trends in College Pricing 2006

11. Tuition & Fees by Region 4-year Public Universities Average T&F in Constant (2006) Dollars Change Region1996-972006-07AmountPercent New England$ 5,593$ 7,658$ 2,06537% Midwest$ 4,230$ 7,075$ 2,84567% Middle States$ 5,067$ 6,860$ 1,79335% National$ 3,856$ 5,836$ 1,98051% Southwest$ 2,800$ 5,462$ 2,66295% South$ 3,143$ 4,739$ 1,59651% West$ 3,355$ 4,646$ 1,29138% Source: Trends in College Pricing 2006

12. Revenues per FTE Student Source: State Higher Education Executive Officers (SHEEO)

13. UT System – Revenue Trends Source: UT System

14. Tuition and Fees, 10 Most Populous States

15. Total Price of Attendance 10 Most Populous States

16. Financial Aid (Federal) Reauthorization of the Higher Education Act (1992) Expanded eligibility for financial aid Raised loan limits Introduced  Unsubsidized Loans  Tax Credits

17. Financial Aid (Federal) Undergraduate Student Awards1995-962005-06 Grants48%42% Loans51%52% Work Study2%1% Ed. Tax Benefitsn/a5% Source: Trends in College Pricing 2006

18. Financial Aid (Federal) Average Aid per Recipient in Constant (2005) Dollars 1995-962005-06% Change Pell Grants$ 1,946$ 2,35421% Loans (undergraduates only) Stafford Subsidized$ 3,761$ 3,074- 18% Stafford Unsubsidized$ 3,574$ 3,398- 5% PLUS$ 7,411$ 9,98435% Federal Education Tax Benefits$ 885 (98-99)$ 668-25% Source: Trends in College Pricing 2006

19. Financial Aid (Texas) Source: IPEDS

20. Financial Aid (UT System) Source: UT System Institutions

21. Net Price An estimate of how much students and their families actually pay for college: Net Price = published price minus average financial aid and tax benefits

22. Understanding Net Price Net Price (of Tuition & Fees) (example of an individual student paying the average T&F, receiving the average Pell Grant and subsidized loan) Tuition & Fees$ 5,836 Pell Grants- 2,354 Subsidized Loan- 3,074 ----------- Net Price $ 408 % Discount 93%

23. Understanding Net Price Net Price (of Total Price of Attendance) (example of an individual student paying the average Total Price of Attendance and receiving the average Pell Grant and subsidized loan) Tuition & Fees$15,937 Pell Grants- 2,354 Subsidized Loan- 3,074 ----------- Net Price $10,509 % Discount 34%

24. Net Price The Condition of Education, 2007

25. Net Price by Income The Condition of Education, 2007

26. UT System Initiatives Tuition Set Asides Flat Rate Tuition Tuition Rebates Discounted Tuition for off-peak hours Guaranteed Tuition Rates

27. UT System – Need-Based Grant Aid Source: U.T. System Institutions Full-time Undergraduate Students with Need-Based Grant Aid AY 2006-07 % ReceivingAverage GrantAvg % Discount Arlington39.0%$6,16094.8% Austin46.76,30078.5 Brownsville69.72,58162.3 Dallas33.64,39857.2 El Paso46.75,361100.0 Pan American71.64,264100.0 Permian Basin46.93,70079.4 San Antonio43.74,22862.8 Tyler42.64,56588.0 System Average47.8%$5,12077.9%

28. UT System – Net Price Average Net Academic Cost and Percent Discount based on All Full-time Undergraduate Students, AY 2006-07 Average Net Academic Cost Average Percent Discount Arlington$4,09637.0% Austin5,08436.6 Brownsville2,34043.5 Dallas6,21419.2 El Paso2,86046.7 Pan American1,21171.6 Permian Basin2,92237.3 San Antonio4,88627.4 Tyler3,24537.5 System Average$4,12737.2% Source: U.T. System Institutions

29. Summary College enrollment increasing State appropriations not keeping up Increase in Tuition & Fees to offset funding Financial Aid supplementing cost at varying levels of need UT System efforts to ensure Access and Affordability

30. Sources Blanco, C., Jones, D, Longanecker, D. and Michelau, D. Thinking Outside the Box: Policy Strategies for Readiness, Access and Success. Western Interstate Commission for Higher Education, March 2007. Digest of Higher Education Statistics: 2006. NCES, U.S. Department of Education. The Condition of Education 2007. Total and Net Access Price of Attending a Postsecondary Institution. NCES, U.S. Department of Education, 2007. Tuition at Public Colleges and Universities: Policy Trends and Projections. American Association of State Colleges and Universities, June 2006. Trends in College Pricing 2006 and Trends in Student Aid 2006. CollegeBoard, 2006. State Higher Education Executive Officers (SHEEO). State Higher Education Finance Data & Figures (SHEF) FY 2006. Integrated Postsecondary Education System (IPEDS). NCES, U.S. Department of Education.