Student Loan Blog : public colleges

Ohio Schools Prep for No-Cost College Education Program for Vets

Student Loan Girl — Tue, 19 May 2009 22:53:00 GMT

Last summer Ohio Gov. Ted Strickland offered American military veterans worldwide a no-cost education at any of Ohio’s public colleges. The state has just now finished tallying its number of veteran students in preparation for the program’s Aug. 1, 2009 start date, the same day the new GI Bill goes into effect, reports The Columbus Dispatch (“Colleges Put Out Welcome Mat for Vets,” May 13, 2009).

Currently about 10,600 veterans and their family members take classes at Ohio institutions, including about 850 veterans at Ohio State University.

But about 57,000 veterans residing in Ohio who have served in the ongoing Gulf wars will be able to receive benefits under the expanded GI Bill, which covers the cost of in-state tuition at the most expensive public college, a small housing stipend, and $1,000 annually for books.

Veterans may also take advantage of the Ohio GI Promise initiated by Gov. Strickland, which extends in-state benefits, including tuition costs, to out-of-state veterans and their families as part of the state’s effort to eliminate brain drain.

Creators of the Ohio GI Promise program are hoping that the combination of their program with the new GI Bill benefits will attract 230,000 students to the state by 2017.

Programs Expand to Accommodate Anticipated Veteran Enrollment

When the new GI Bill goes into effect this August, Ohio State alone estimates an additional 300 to 400 students will enroll. To accommodate the projected hike in veteran enrollments under the new GI Bill, the school is analyzing what services it currently offers and how its programs can be expanded to meet the needs of these students.

Veterans will be able to participate in counseling, healthcare, and mentoring opportunities as well as attend monthly meetings with other veterans for encouragement and support through Ohio State. The school will offer veterans-only general education classes that facilitate the return of former military members back to civilian life.

Columbus State Community College has also instated a service that puts veterans in touch with counseling, housing, and financial services.

If a large number of veterans choose to remain in Ohio following graduation, Ohio leaders believe that a higher number of skilled workers will repopulate sections of the state that have been depopulated because of military campaigns in the Gulf.

“We see it as a magnet,” said Ohio Board of Regents Chancellor Eric Fingerhut, “to lure veterans to come and build a life in Ohio.”

Share this post: email this | del.icio.us | reddit

State Colleges Cut Staff, Programs as Budgets Slashed

Student Loan Girl — Fri, 20 Mar 2009 18:32:00 GMT

Michael Crow, the president of Arizona State University who seven years ago promised to make ASU “The New American University” and to grow the school’s enrollment to 100,000 students by 2020, could see his plans go unfulfilled because of state budget cuts, reports The New York Times (“State Colleges Also Face Cuts in Ambitions,” March 17, 2009).

Since last June, ASU has lost $88 million in state funding, which amounts to 18 percent of the university’s base budget.

“The New American University has died; welcome to the Neutered American University,” the Arizona school’s student newspaper editorialized last month after ASU announced it would be eliminating more than 500 jobs, closing 48 programs and requiring remaining employees to take 10 to 15 days of unpaid leave this spring.

While ASU students said they believe school president Michael Crow is doing his best to protect them from further funding cuts, they also said the state’s budget cuts will negatively affect the quality of their education.

ASU Not Alone, Colleges Struggling Nationwide

Public colleges across the country are experiencing layoffs, salary freezes, and even enrollment reductions as they grapple with shrinking state funding in the current recession.

The University of Florida recently eliminated 430 faculty and staff positions, the University of Nevada, Las Vegas, recently laid off around 100 employees, and the University of Vermont has eliminated 16 positions, left 22 faculty positions vacant, and frozen the salaries of certain staff, The New York Times reports.

And California’s higher education system, which serves 3.3 million students — nearly 20 percent of college student nationwide — is among the nation’s college systems hardest hit by this recession. Both the University of California system and the California State University system have lost hundreds of millions of dollars in state funding and have been forced to shrink their enrollment numbers.

“What’s happening, everywhere, is what’s happening to Michael Crow,” said Jane Wellman, executive director of the Delta Project on Postsecondary Costs, Productivity and Accountability, an organization that studies college spending. “The trend line is states disinvesting in higher education.”

Share this post: email this | del.icio.us | reddit

Citing the Economy, Students Transfer from Private to Public Schools

Student Loan Girl — Mon, 09 Mar 2009 22:29:00 GMT

Public colleges and universities are experiencing a greater influx of transfer applications from private school students as the flagging economy heightens students’ concerns about their ability to pay for college, Bloomberg reports (“Rutgers Sees 50% Jump in Transfers as Economy Sours,” March 5, 2009).

“Students seem to be price shopping,” said Barmak Nassirian, associate executive director of the American Association of Collegiate Registrars and Admissions Officers. “People are hedging their bets financially. There is a real economic motivation.”

According to the College Board, students at four-year private colleges pay, on average, $34,130 for tuition, room, and board, while students attending a four-year public school generally pay only $14,340 — a price discrepancy prompting more students to switch schools as the recession lingers.

Schools See Sizable Jumps in Transfer Applications

Rutgers University is just one of a growing number of public schools, including state universities in Texas, Indiana, and Florida, that is seeing more transfer requests coming from students attending private institutions; this year it has received 632 transfer student applications, which is a 52-percent increase from the 416 applications it received last year.

At Florida Atlantic University, a public school where state residents pay just $3,662 in tuition for a 30 credit-hour semester and are eligible for state scholarships that cover 75 percent of their college costs as long as they maintain a B average, transfer applications have increased 37 percent for the summer term and 22 percent for the fall semester. For its summer session starting in June, the school has already received 265 transfer applications from students at private colleges, a figure that will easily surpass last year’s total of 277.

“I’d love to take credit for it all, but I know the economy has to have some part,” said Barbara Pletcher, Florida Atlantic’s director of admissions.

While admissions officers have noticed that transfer applications have increased more than in past years and that a greater number of them have come from students at private colleges, they are quick to point out that applications don’t always translate into enrollments. Students often don’t realize they can’t afford to pay for school until they receive their tuition bills, by which time it’s too late to transfer and too late to take out additional student loans to cover the expenses they didn’t account for.

“After they get their tuition bill, you’re going to see a group scrambling and we will be full,” said Jason Langdon, director of admissions at Montclair State University in New Jersey, which has received 22 percent more transfer applications this year. “The earlier in the process they can get everything lined up, the better off they’ll be.”

Share this post: email this | del.icio.us | reddit

VA Keeps Processing of New GI Bill Education Benefits In-House

Student Loan Girl — Mon, 10 Nov 2008 20:10:00 GMT

The education benefits of the new GI Bill — which will provide eligible veterans of the wars in Afghanistan and Iraq with four years of college funding — will be processed in-house by the Department of Veterans Affairs and not outsourced to a private contractor as originally planned, reports The Chronicle of Higher Education (“Veterans Affairs Department Cancels Plan to Outsource New Education Benefit,” Nov. 6, 2008).

The VA said it abandoned its controversial plan to put a private contractor in charge of processing the benefits — a proposal opposed by some veterans groups and members of Congress — after the department didn’t receive enough bids.

Out of 10 submissions, five were selected for review, but the proposals failed to prove that the vendors “could deliver in the very short time frame that we have to stand this up,” said Keith Wilson, director of the VA’s education service.

The American Legion lauded the department’s decision, saying that a contractor can’t offer veterans the same level of service that VA employees can provide.

“The VA employs IT personnel with intimate knowledge of how to best serve the veterans’ community,” said David Rehbein, national commander for the Legion.

Administering the new GI Bill benefits will be unusually complex, says Patrick Dunne, the VA’s undersecretary for benefits, since payment amounts are based on both in-state tuition and living costs, meaning benefits would vary by state and by region.

The new GI Bill, which Congress passed in June, will give veterans enough financial aid to cover up to the cost of in-state tuition at the most expensive public college in their state, along with a stipend for housing and books.

Share this post: email this | del.icio.us | reddit

College Tuition, Student Borrowing On the Rise In Down Economy

Student Loan Girl — Mon, 03 Nov 2008 08:50:00 GMT

A new report has found that last year’s increases in college tuition were more on pace with rises in the Consumer Price Index — the measure of the average price of consumer goods and services. But despite the relative steadiness of college affordability, students still received record amounts of financial aid and borrowed more in student loans, according to findings of the College Board’s 2008 Trends in Higher Education Series.

The 2008 Trends in College Pricing report, which covers this academic year’s college costs, found that while the CPI rose nearly 5.6 percent this year, the average in-state tuition and fees at public four-year institutions increased by 6.4 percent to $6,585. Average tuition and fees at two-year public colleges jumped 4.7 percent to $2,402, and increased 5.9 percent at private four-year colleges and universities to $25,143.

“College prices are doing what other prices are doing. They’re not going up more rapidly; they’re just keeping pace,” said Sandy Baum, a senior policy analyst for the College Board and a Skidmore College economics professor (“Downturn Expected to Drive Tuition Up,” The New York Times, Oct. 30, 2008).

Lagging Economy Could Spark Increased Demand for Financial Aid

The concern among education experts is that while tuition increases were milder and closer inline with the CPI this year, these numbers may already be out of date. Since the data was gathered before the economy began its downward spiral, students at both public and private institutions may be in for even larger tuition hikes and even more borrowing next year.

The current economic crunch has led many states to slash their higher education budgets. In order to compensate for the loss of state funds, public colleges and universities in more than 12 states have been forced to raise their tuition costs.

But the flagging economy hasn’t just affected state schools; private colleges and universities have had difficulties raising funds from private donors — their largest source of financing — and have had to push any increased costs onto students.

“Private colleges face a real quandary,” Baum said. “Everybody’s going to have more people applying for financial aid, and it could really be that they’re going to lose enrollment if they can’t meet the need.”

According to the 2008 Trends in Student Aid report, part of the College Board’s Trends in Higher Education Series, graduate and undergraduate students received more than $143 billion in federal financial aid last year, and borrowed $19 billion from state and private lending sources — figures that are expected to rise as the cost of college increases.

Share this post: email this | del.icio.us | reddit

$50 Million Given to California Community Colleges to Aid Needy Students

Student Loan Girl — Tue, 13 May 2008 00:30:00 GMT

In what may be the largest gift ever donated to the nation’s community colleges, the San Francisco–based Bernard Osher Foundation recently announced that it has pledged up to $50 million to help needy students attending California’s two-year institutions, writes Matt Krupnick of The Mercury News (“Endowment to Aid Needy Students,” May 5, 2008).

The gift funds will be placed in an endowment that will be managed by the Foundation for California Community Colleges, with $25 million to be paid immediately and the remainder to be paid over the course of the next three years. In order to receive the second $25 million, the FCCC must raise $50 million on its own during that three-year time period.

California’s community colleges serve nearly 25 percent of the nation’s community college students, with 2.6 million students enrolled each year, and comprise the world’s largest public college system.

To Bernard Osher Foundation President, Mary Bitterman, it had become clear that the state’s community colleges needed more financial assistance than the four-year universities to which the Foundation has already given millions.

“The more we have focused on the needs of California, we have really begun to look at the critical role community colleges play,” Bitterman said. “Our trustees decided that we would really like to help community college students.”

The Bernard Osher Foundation followed its initial donation with the announcement of an additional pledge of $20 million to multiple campuses within the University of California and California State University systems, to establish endowed scholarships for students transferring from California community colleges.

Share this post: email this | del.icio.us | reddit