Annual Update 2015Committee on Scholarships, Awards and Student Aid

Donald T. Hornstein, ChairAubrey 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, 2013-14

Name and Department Term(s)

Faculty/Staff/StudentsDonald Hornstein (Law), Chair 2013-14 2008 — 17Jan Yopp (Journalism) 2014 — 17Tara Moon (Medicine) 2013 — 16George Lensing (English) 2013 — 16Brian Hogan (Chemistry) 2013 — 16Mehmet Kesimer (Pathology) 2013 — 16Joy Renner (Allied Health) 2013 — 16Sherry Salyer (Exercise Science) 2013 — 16Geetha Vaidyanathan (Economics) 2013 — 16Winston Crisp (Student Affairs) Ex officioSteve Farmer (Admissions) Ex officioShirley Ort (Student Aid) Ex officioJustin Johnson (Graduate Student) 2014 — 15William 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 2013-14, 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 2013-2014, a stable percentage from the prior year

The proportion of undergraduate students demonstrating need has increased and held steady since the Great Recession . . .

YearNeed-based aid recipients

n % of undergrads

2009-2010 6,629 37%

2010-2011 7,900 43%

2011-2012 7,719 42%

2012-2013 7,961 43%

2013-2014 7,932 43%

The average amount of financial aid disbursed to an undergraduate receiving need-based aid in 2013-14 was quite generous . . .

The share of a student’s need which was met with grants and scholarships (including external scholarships) has increased since 2009-10 despite rising college costs . . . Year

Grants & Scholarshi

psLoans Work-

Study

2009-2010 70% 27% 3%

2010-2011 74% 24% 2%

2011-2012 74% 24% 2%

2012-2013 74% 24% 2%

2013-2014 71% 27% 2%

As a result, student borrowing remains modest, though more students have found it necessary to borrow . . .

Cumulative Federal Loan Debt Upon GraduationAmong Seniors Who BorrowedAcademic Year % Who Borrowed

Federal Debt at Graduation

2009-2010 33% $14,235

2010-2011 34% $15,196

2011-2012 35% $15,734

2012-2013 38% $16,150

2013-2014 38% $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*

2002-2003 31% $13,291 $17,100

2003-2004 34% $13,579 $17,018

2004-2005 34% $13,801 $16,729

2005-2006 32% $14,487 $17,012

2006-2007 34% $14,912 $17,026

2007-2008 32% $14,936 $16,423

2008-2009 29% $14,262 $15,738

2009-2010 33% $14,303 $15,528

2010-2011 34% $15,472 $16,283

2011-2012 35% $15,734 $16,223

2012-2013 38% $16,150 $16,412

2013-2014 38% $17,113 $17,113

Average cumulative loan burden for graduating seniors

*Adjusted to 2015 dollars, using BLS data

Series1$0

$5,000

$10,000

$15,000

$20,000

$17,100 $17,113

Average Student Debt at Graduation (2015 Dollars)

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, 2013-14

Enrolled undergraduates receiving any aid: 65%Median parental income (all aided dependent students)$75,306

For aided resident students$72,304For 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) 2002-2003 2012-2013 2013-2014

Total Aid Awarded $160.1M $400.3M $427.2M

Number of Students 13,071 20,709 20,783

Average Award $12,245 $19,329 $20,553

FUNDS BY SOURCE

Federal 56% 48% 47%

State 10% 5% 5%

Institutional/Private 34% 47% 48%

FUNDS BY TYPE

Scholarships/Grants 44% 53% 53%

Work-Study 1% 1% 1%

Loans 55% 46% 46%

Source: Office of Scholarships and Student Aid/Office of Institutional Research (January 2015)

Questions and Discussion