Forum on Tuition and Fees FY 2011 and FY 2012

1. Forum on Tuition and FeesFY 2011 and FY 2012 A Discussion Sponsored by the Cost of Education Committee November 2009

2. Agenda • Role of the Cost of Education Committee • Tuition and Fee Rate Setting Process • Trends & Issues in Higher Education Funding • UTPA Funding & Budget Expenses • Fee Recommendations • Designated Tuition Recommendation • Impact on Student Costs • Financial Assistance For Students

3. Cost of Education Committee • Purpose of the committee: To review tuition and fee proposals and make recommendationsto the President. • Composition of the committee: • 9 Students (voting) including SGA president (co-chair) (Includes one student from each of the 6 colleges, plus an international student and a graduate student.) • 2 Faculty and 6 Staff Members (voting) • 1 Parent (voting) • 5 Staff (non-voting)

4. Cost of Education Committee (cont.) • Responsibilities of the committee: • To discuss budget issues related to tuition and fees • To host campus forums on the tuition and fee proposals and the draft recommendations • To engage requestors, students, alumni, parents, and the greater community in a transparent process • To provide a written report on the committee’s recommendations to the president

5. Tuition & Fee Request The Committee is proposing designated tuition and fee rates for FY 2011 & FY 2012. The following items have been reviewed in this major cycle: • Mandatory Fees (charged to all students) • Course and Program Fees • Other Incidental Fees (e.g. parking permits) • Housing and Board Rates • Designated Tuition

6. Tuition and Fee Process

7. Tuition and Fee Process (cont.)

8. Higher Education Funding - Background • State appropriations are not keeping pace with needs. FY 2010 Formula (GR) General Revenue = 16.2% of the UTPA budget. This percentage has steadily declined since FY 2000. Since FY 2001, Formula Funding per FTSE (Full-Time Student Equivalent) has dropped by 19.5% after adjusting for inflation. • Nationwide trend toward viewing higher education as a private good instead of a public good. • Unlike community colleges UTPA does not receive property tax revenues.

9. UTPA Budget vs. • State General Revenue Received for Core Operations (Formula Revenue) NOTE: General revenue shown is appropriations by the state for basic operations. Not included are funds the institution receives, from the state, for special line items, bond payments & other transfers such as Texas Grant.

10. Funding Sources of FY 2010 Operating Budget FY 2010 Operating Budget*: $283,615,685 Tuition & Fees…$92.3M Appropriated General Revenue (GR)…$78.4M HEAF…$13.2M Other E&G (State funds including TEXAS Grants-$19.9M)…$23.4M Other Funds (mostly Auxiliaries and Sponsored Projects including FederalPell Grant-$38.5M)…$76.3M *Before adjustments for tuition discounting, capital outlay, debt principal transfers and depreciation expense.

11. Where Does UTPA Spend Its Operating Funds? *Before adjustments for tuition discounting, capital outlay, debt principal transfers and depreciation expense.

12. Your Feedback is Important! Changes being discussed today are the preliminaryrecommendations of the Committee. The Committee will consider your input when it reconvenes to make final recommendations to the President. The UT System Board of Regents will make the final determination on the proposed changes.

13. Recommendations – Mandatory Fees

14. Recommendations – Course & Program Fees

15. Recommendations – Course & Program Fees

16. Recommendations – Course & Program Fees

17. Recommendations- Child Development Center

18. Recommendations – Parking Permit Rates

19. Recommendations – Housing Rates

20. Recommendations – Housing Rates

21. Why Increase Tuition? • State appropriations are not keeping pace with institutional needs • Recruit and retain high quality faculty • Increasing costs (e.g., salaries, technology, utilities) • Reserves no longer available How Will I Benefit? • Development of research and academic programs • Maintain reasonable class sizes • Classrooms equipped with state of the art technology • Enhance student services

22. Tuition Rates at UTPA per Semester Credit Hour (SCH) * In 2005, designated tuition was deregulated

23. Designated Tuition Proposal UTPA will retain the “14-hour cap”. Students enrolled for 15 or more hours in a semester are charged designated tuition for only 14 hours.

24. Projected Uses of Additional Designated Tuition *An estimated 155 additional faculty members would be required over the next three years to achieve and maintain a 20:1 student to faculty ratio.

25. Total Academic Cost Definition: Total charges required of all students enrolled in a given college, program or course. Comparisons are made at 15 hour loads for resident undergraduate students. Included: • Statutory Tuition • Designated Tuition • Mandatory Fees: Academic Advisement Fee Information Technology Access Fee International Education Fee Library Support Fee Medical Service Fee Registration Fee Utility Fee Recreation Fee Student Service Fee Student Union Fee • Course and Program Fees Not Included: Housing, Meal Plans, Parking Permits, optional fees (e.g., for fines, late registration, etc.)

26. Average Total Academic Cost for Undergraduate Resident Student Enrolled for 15 Hours *Complies with recommendations of HCR 288 (81st Legislature).

27. Average Total Academic Cost for Undergraduate Resident Student Enrolled for 12 Hours

28. Average Total Academic Cost for Graduate Resident Student Enrolled for 9 Hours

29. Total Academic Cost Rankings (15 hours, Fall 2008)Includes Tuition, Mandatory Fees and Average Course and Program Fees Source: Texas Higher Education Coordinating Board: Tuition & Fees Data (THECB) available at www.txhighereddata.org.

30. Forbes’ 2009 List of Top 100 Public College and Universities in the U.S. – Texas Schools • University of Texas, Austin #19 • Texas A&M University, College Station #23 • University of Texas-Pan American #32 • Texas Tech University #55 • University of Texas, El Paso #72 • University of Texas, Arlington #84 Rankings based on affordability, quality of education and post-graduate success.

31. Financial Assistance Set Aside A portion of the designated tuition charges are required to be set aside to provide need-based financial assistance for resident students. Actual (FY 2008 and 2009) and estimated (FY 2010 to FY 2012) set-aside totals are as follows: * One fourth of the undergraduate set aside amount is used for B-On-Time loans.

32. Financial Assistance Initiatives from TuitionSet Asides in FY10 (Need-Based) • UTPAdvantage Program - $605,000 • UTPA Assistance Scholarship - $1,445,000 • Graduate Tuition Assistance Grant (GTAG) - $298,175 • UTPA Summer Assistance Grant - 645,000 • B-on-Time Loan Funds - $982,500 • Texas Public Education Grant (TPEG) - $3,000,000

33. Financial Aid Awards

34. OPEN FORUM Website: www.utpa.edu/coec/ YOUR FEEDBACK IS IMPORTANT!! For a copy of the preliminary recommendation and for a complete listing of all the fee request proposals, please visit the Cost of Education Committee website.