Tuition and Student Fee Discussion for 2015-17

1. Tuition and Student FeeDiscussion for 2015-17 November 3, 2014

2. Agenda • Overview of Tuition and Fee Policy • Comparisons • Tuition Committee • Fee Committee • Discussion

3. The University of North Carolina Establishing Tuition and Fees • The constitutional provisions for setting tuition are codified in General Statute 116-11(7), which states, in part, "The Board (of Governors) shall set tuition and required fees at the institutions, not inconsistent with actions of the General Assembly.” • The UNC Policy Manual Chapter 100.1.1 https://www.northcarolina.edu/apps/policy/index.php?pg=vs&id=s474

4. Establishing Tuition “Tuition is charged to partially defray the costs of general academic and administrative operations of campuses, including academic programs and faculty and administrative salaries and benefits.”

5. Establishing Fees “Fees will be charged only for limited, dedicated purposes and shall not be used to defray the costs of general academic and administrative operations of campuses, including academic programs and faculty and administrative salaries and benefits.”

6. Campus-initiated Tuition • “Campuses may request increases in tuition to provide revenue for specific purposes and programs.” • Revenues will be used to cover general operating inflationary increases and significant changes in fixed personnel costs, strategic investments that improve student outcomes, and faculty and staff compensation.

7. Tuition and Fees Four-Year Plan 2015-16 through 2018-19 • Maximum tuition rate of increase for resident undergraduate students shall be 5% per year. • Allowable increases in student fees required for all students, other than debt service fees, are also capped at 5% annually.

8. Tuition and Fees Four-Year Plan • 15% cap on total tuition dollars for need-based financial aid. • Combined tuition and fee rates for undergraduate residents shall remain in the bottom quartile of public peers. • Combined rates for nonresident undergraduate students should be market driven and reflect the full cost of providing a quality education.

9. Tuition and Fees Four-Year Plan Tuition and fee rates will be set on a biennial basis. • 2015-16 and 2016-17 rates set in the winter of 2015 • 2017-18 and 2018-19 rates set in the winter of 2017

10. How do UNCG’s tuition and fee rates compare nationally? Most recent national report from College Board: “Average in-state published tuition and fees at public four-year institutions increased from $8,646 in 2012-13 t0 $8,893 in 2013-14.” UNCG’s in-state undergraduate rates: $ 6,086 2012-13 $ 6,323 2013-14 $ 6,386 2014-15

11. How does UNCG compare with national peers?2013-2014 Annual Rates

12. How does UNCG compare within our system?2014-2015 Annual Rates

13. UNCG’s Budgeted Recurring State Appropriation per Budgeted In-State Full Time Equivalent Students

14. How does UNCG compare with national peers?2013-2014 Tuition and Fees

15. How does UNCG compare with national peers?2013-2014 Tuition and Fees

16. How does UNCG compare with national peers?2013-2014 Tuition and Fees

17. How does UNCG compare on fees?2014-2015

18. UNCG Tuition and Fee Process • For the past two months, two committees have reviewed proposals for campus-initiated tuition increases and student fee increases. • Today’s forums provide opportunities for the campus community to provide input before the committees make recommendations to the Chancellor. • Continued opportunities to provide input and feedback will be available through November 11, 2014 using the following email addresses: tuition@uncg.edu student.fees@uncg.edu

19. Campus Initiated Tuition Committee Committee Chair: Simone Stephens, SGA President Alan Boyette, Vice Provost Student Leaders: Melissa Elmes, Graduate Student Dylan Frick, Undergraduate Student Zachary Vestal, Undergraduate Student Elizabeth Warren, Graduate Student Faculty Representatives: Gregory Grieve, Religious Studies SpomaJovanovic, Communication Studies Eileen Kohlenberg, Nursing Professional Staff: Cherry Callahan, Vice Chancellor for Student Affairs Steve Honeycutt, Director of Financial Planning and Budgets Deborah Tollefson, Director of Financial Aid

20. What are the Guiding Principles* of the UNCG Tuition Committee? • UNCG must remain affordable for its neediest students. • UNCG must not significantly increase its rank among the constituent UNC institutions in terms of cost. • Recommended actions are believed to provide positive contribution toward the quality of the students’ educational/learning experience. *These principles were established by UNCG’s first CITI Committee in Fall 2000 and observed by each subsequent committee.

21. What would be the effect of a 1%-5% tuition increase?

22. What would be the total tuition if a 1%-5% tuition increase was approved?

23. How much revenue could be generated by a Campus-Initiated Tuition Increase? • 2015-16 Range • $0 (assumes no CITI) to $4.1 million (assumes 5%) • 2016-17 Range • $0 (assumes no CITI in 2015-16 or 2016-17) to $4.4 million (assumes 5% in 2015-16 and 2016-17) For 2015-16, each 1% CITI increase generates $820,000 in revenue. For 2016-17, revenue generated is dependent upon actual increase approved for 2015-16.

24. What are the revenue needs that have been suggested to the Tuition Committee? • Strengthening student financial support • Need-based financial aid • Graduate assistantships 2. Retention of EPA faculty and professional staff 3. Improvement of student academic advising 4. Preserving quality across the University by off- setting years of budget reductions in func- tional areas impacting students and faculty

25. Suggestion #1 Strengthening Student Financial Aid - Need based financial aid

26. What is the average debt of graduates? Not reporting: ECSU, NCCU, UNCC, UNCSA, and WSSU Source: http://projectonstudentdebt.org/state_by_state-data.php

27. What is the three year student loan default rate?

28. What is the current financial aid situation at UNCG? • UNCG currently allocates 13.9% of tuition toward need-based financial aid • Board of Governors has set a maximum cap of 15% of tuition that can be used for need-based financial aid • UNCG could increase financial aid by $865,000 and 15% of any tuition increase to remain within the maximum allowed

29. Suggestion #1 - Graduate assistantships

30. Graduate Assistantship Stipend Levels at UNCG compared to National Averages, 2013-14* *Data represent average stipend levels across all disciplines and academic programs, and across all degree levels (e.g. MA, MS, MFA, PhD). Source: National Graduate Stipend Study, Oklahoma State University and UNCG Graduate School

31. Suggestion #2 Retention of EPA Faculty and Professional Staff

32. The General Assembly provided $5 million for all EPA salary increases system-wide. UNCG’s portion of the $5 million was $276,000 for salary increases or approximately .25%. What is the salary increase history? * The General Assembly provided $5 million for all EPA salary increases system-wide. UNCG’s portion of the $5 million was $276,634 for salary increases.

33. 2014-15 Faculty Salary Increase* (Allocation of $276,634 in salary increase funds) Number of UNCG faculty receiving increase: 182 of 842 Percent of UNCG faculty receiving increase: 21.6% Among those awarded salary increase: Average dollar amount of increase = $1,699 Average salary increase percentage = 1.98% *No salary increase provided to EPA professional staff (non-faculty)

34. How does UNCG compare with national peers?2013-2014 Average Faculty Salaries, in thousands

35. Suggestion #3 Improvement of student academic advising

36. Support for academic advising improvement has been cited as a priority by the Student Government Association leadership for at least five consecutive years.

37. Suggestion #4 Preserving quality across the University by off-setting years of budget reductions

38. What is the history of budget reductions at UNCG? (In millions)

39. Student Fee Committee Committee Chair: Joseph Graham, SGA Vice President Cherry Callahan, Vice Chancellor for Student Affairs Students: Brenna Barnett (U) Derek Strong (G) Kayla Hansen (U) Courtney Laganke (G) Tom Gill(U) Elizabeth Warren (G) Erika Sisk (U) Cameron Davis (U) Faculty Members: Alice Hill, Languages, Literatures, and Cultures Chris Rhea, Kinesiology Patti Sink, Music Professional Staff: Steve Honeycutt, Director of Financial Planning & Budgets Charles Maimone, Vice Chancellor for Business Affairs Deborah Tollefson, Director of Financial Aid

40. What are Fees? • “General fees” are • Activities • Athletics • Educational & Technology • Health • “ASG fee” • “Fees related to the Retirement of Debt” • Facilities Fee • Other Fees • Transportation • Registration

41. What Does It Provide?Student Activities Fee2014-15

42. What does it provide?Athletics Fee • Fee supports most costs of UNCG’s Division I intercollegiate athletics program. • Some costs are also met by ticket revenue and endowment income.

43. What does it provide?Education and Technology Fee Education = academic course materials & supplies (such as lab equipment) Technology = partial support of IT for student use; classroom technology, and ongoing refresh projects including band-width expansion

44. What does it provide?Health Fee • Medical services • Pharmacy • Immunizations • Lab/X-ray • Psychiatry • Counseling • Wellness programs (nutrition, eating disorders, smoking cessation, etc.) • Alcohol and drug programs

45. Proposed Sustainability Fee (UNCG Green Fund) The Green Fund will support sustainability efforts on campus and governed by students with assistance from faculty and staff. The fund will invest in campus infrastructure to help meet the goals of the UNCG Climate Action Plan.

46. What does it provide?Facilities Fee • Pays off the debt incurred on “capital projects” when student facilities are built or renovated—for example: • Soccer stadium • Student Recreation Center • Baseball stadium • EUC renovation • Student Health Center expansion/renovation (**Facilities fee does not include residence halls, dining or parking facilities; these are paid for by users.)

47. Who Pays General Fees? • Students pay fees along with their tuition each semester. • Exceptions: • Distance learners who take no courses on campus pay only the Educational & Technology Fee. • Graduate students enrolled in fewer than 6 credit hours and undergraduates enrolled in fewer than 9 credit hours have the option of paying the health fee or they could pay for services at the “market rate” of the Greensboro community.

48. Fee Increases currently under Consideration2015-16

49. How could the 2015-16 increases be used? Activity Fee:Inflationary cost of Spartan Card software, green fee, increased programming funds for CAB, OMA, and OLSL, additional Graduate Student Association support Athletics: Added health insurance costs for coaches in compliance with ACA; increase in travel costs; maintain program as close as possible to status quo Education: Inflationary increases for educational materials Technology: Classroom Technology and refresh (upgrades) to the wireless system Health Fee:Equipment replacement and incremental increases in supplies and services costs

50. Fee Increases currently under Consideration2016-17