40
Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana University Thomas Ratliff, Associate Vice President Indiana Wesleyan University Moderator: Mark Franke, Associate Vice Chancellor Indiana University-Purdue University Fort Wayne

Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Embed Size (px)

Citation preview

Page 1: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Presenters:Jo Young Switzer, President Manchester CollegeJohn Beacon, Vice President Indiana State UniversityJim Kennedy, Associate Vice President Indiana UniversityThomas Ratliff, Associate Vice President Indiana Wesleyan University

Moderator:

Mark Franke, Associate Vice Chancellor Indiana University-Purdue University Fort Wayne

Page 2: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Financial Aid

Jo Young Switzer, PresidentManchester College

Page 3: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Indiana Independent Colleges & Universities

n=31Enroll 22 percent of Indiana college studentsReceive no state funds directlyI.C.I. – coordinating organization

Page 4: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 5: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 6: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 7: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 8: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 9: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

What to do?Celebrate student choiceAdvocate for funds for higher edWork together!

Page 10: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 11: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

1636: For the first 226 years of this country’s history, access to college was reserved for the wealthy and privileged1862 Land Grant Movement opened the door for the first time to the average person1952 Serviceman’s Readjustment Act 1958 Eisenhower’s National Defense Student Loan (Perkins)1964 Johnson’s Great Society and Civil Rights Movement (work study and GSL)1972 Pell Grant—the foundation on which other aid is built

Page 12: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 13: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

over the past five years, as the average tuition and fees at public four-year institutions has increased by approximately 24%, the average direct cost of attendance has declined—after considering grant aid.

The total grant aid for a full-time student grew by 22% ($1,100) between 2008-09 and 2009-10, largely because of the increase in Pell Grants and Veterans’ benefits.

Still…In constant 2009 dollars, the average Stafford loan in 1999-00 was $5,670 and in 2009-10 it was $6,550, an annual increase over the past 10 years of $880

The Chronicle of Higher Education and College Board

Page 14: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

SOURCE: The College Board, Trends in Student Aid 2010, Figure 2A.

Page 15: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

SOURCE: The College Board, Trends in Student Aid 2010, Figure 8A.

Page 16: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

SOURCE: The College Board, Trends in Student Aid 2010, Figure 11A.

Page 17: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 18: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Although slow and steady growth is predicted, Indiana’s economy is not expected to recover until at least 2014

Indiana per capita income is $33,725 ($5,413 below national average)

Poverty rate: 13.1% (nearly 1% higher than the national average)

24.7% of population is less than 18 years old; 38.9% is 50 or older

Currently 5.5% are Hispanic (Note: 35% of children under age 5 in the US are Hispanic—fastest growing population and 12 years from our front doors)

By 2025, 70% of the US population will be in nine southern states

Page 19: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Need-based institutional aid is slowly being eroded by merit scholarships (stealing from the poor to give to the rich)

State appropriations have declined by approximately one-third since 1999, and are not likely to rebound soon—pushed more of the cost onto students.

We fill the “unmet need gap” for first-year students with parent and auxiliary loans

Faculty frequently advise students to drop classes with little regard for the impact SAP can have on their persistence.

Millennial students are comfortable taking web courses, which could impact future course delivery , and ultimately reduce the number of colleges and universities serving traditional age students .

We are unprepared to meet the number and the needs of a growing minority population who may be less prepared academically and financially.

The retirement of a more active Baby-boomer generation will provide opportunities and challenges (curricula selection and fixed incomes).

Page 20: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Among the 36 industrial nations in the world, we have slipped from 1st place to 12th place in the number of citizens who have earned bachelors degrees…behind countries like Japan, Russia and Germany

For every 20 children born in the US, 16 graduate from high school, 10 go on to college, and five graduate—that’s 1:4

Our nation’s leadership role end economic security as China becomes a superpower within 10 years, without well educated citizens.

Page 21: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 22: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Technology initiatives important for the recruitment and retention of students

Technology in the financial aid office Net Price Calculator Scholarship automation Early Warning Systems Customer Relationship Management (CRM) Financial Literacy Financial Aid Systems

Page 23: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Net price Award letter standards Prior-Prior Year Institutional aid

Page 24: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Automated scholarship processing Automatic Applications

Campus scholarship resources Estimated scholarship awards

Page 25: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Focus Early warning system for financial aid? How to obtain financial aid data outside

student systems?

Page 26: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Focus How to leverage for financial aid? Improved communications

Page 27: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Financial education for students? Web tools Tracking student debt System notifications

Page 28: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Robust Automation Self-service Compliance

Page 29: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

To Be, or Not To Be:Financial Aid AdministrationThomas M. RatliffAssociate Vice President for Financial AidIndiana Wesleyan University

Page 30: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Changing of the Guard

•Many prominent financial aid professionals are reaching retirement age

• Institutions offering early out options due to budget challenges

• Increased regulatory requirements are giving added incentive to leave the field

•This will cause a substantial loss of experience within the industry

• Institutions may begin to see challenges in hiring well seasoned financial aid leadership

Page 31: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

The Next Generation•Young aid administrators entering the field•Less face-to-face training being offered

nationally•Student populations increasing rapidly, may

cause institutions to lean more towards specialization of duties for staff

•If so, less need may be perceived for fully trained, well-rounded financial aid professionals

•Fewer opportunities for the next generation to become acclimated to the big picture issues

Page 32: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Association Survival Challenges•Each of the regional financial aid

associations is currently facing an identity crisis

•State association memberships in our region have fluctuated in recent years, with a downward trend

•Loss of many associate members and organizations reducing volunteer base to do the work of the associations

Page 33: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Need: Congressional Torchbearers •Recent elections and deaths have brought

changes to the Congressional players list•Key financial aid supporters are missed•Such representatives regularly contributed

to policies that were favorable to our campuses

•Without a strong supportive internal voice, financial aid could quickly become a target for national and state budget cuts to overcome deficits

Page 34: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

The Rise of Non-term Financial Aid•More institutions are realizing that

students of all ages want more control in the delivery of their educational experience

•The growth of online education options stems from this increase in demand

•Generally, financial aid policies are written for term-based institutions

•Non-term financial aid processing is a completely different world

Page 35: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

The Rise of Non-term Financial Aid•Little regulatory guidance, but heavy

scrutiny•Complex academic calendars, often unique

to the individual student•Difficult to program tracking and packaging•Repetition of work is constant•The manual intensity of processing aid for

such students will give reason for an increased skilled labor force

•Yet these factors could be overlooked in the pursuit for higher enrollment numbers

Page 36: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Increased Regulation

•The regulatory burden and restrictions are likely to increase

•This complicates the ability of institutions to use the financial aid programs effectively for students▫See: ACG, SMART, TEACH,

Two-Pells-In-An-Award-Year•An increasing number of institutions may

bolster their endowments and turn away from federal and state funding

Page 37: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Financial Aid Administrators – still?•Will we continue to have a voice on

financial aid policy?

•Will the next generation of leaders gain sufficient experience?

•Will institutions meet the challenge all the complexity aid administration brings?

Page 38: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 39: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana
Page 40: Presenters: Jo Young Switzer, President Manchester College John Beacon, Vice President Indiana State University Jim Kennedy, Associate Vice President Indiana

Discussion