INSTITUTIONAL NEED-BASED AID, PERSISTENCE, AND TARGETING SCARCE

RESOURCES

Marvin Smith, Director of Student Financial ServicesBeth Barnette Knight, Director Office of Student ScholarshipsMichele J. Hansen, Executive Director Office of Student Data,

Analysis, and Evaluation

Enrollment Management Advisory Council (EMAC) February 18, 2015

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Agenda

• Marvin: Framing the continued discussion from December 17, 2014 presentation

• Beth: Historical overview of institutional need based aid programs at IUPUI

• Michele: Data analysis of institutional aid and programming impact on persistence

• All: Continued discussion of our institutional need-based aid goals as related to enrollment management

Questions to Ponder (continued)

How much need-based institutional aid do we need to ________?

How much support programming do we need to help need-based institutional aid recipients persist and what will it cost?

How should we allocate scarce resources?

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Quotable…

“To give away money is an easy matter and in any man's power. But to decide to whom to give it and how large and when, and for what purpose and how, is neither in every man's power nor an easy matter.”

-Aristotle

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Strategic Enrollment Management and Financial Support

“Over the past decade, strategic enrollment management (SEM) has become a major force in the organization and practice of higher education. With limited financial resources for financial aid, institutions must balance the need to attract and admit a freshman class that fits well with the institution and also provide the necessary financial support to allow for diversity in student body. This is not a simple task.”

Strategic Enrollment Management — A Guidebook, Educational Policy Institutehttp://www.educationalpolicy.org/pdf/SEM%20Guide.pdf

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IUPUI Need-Based Aid Strategies“Get the right money to the right students

in the right way at the right time”

• Make IUPUI affordable for low income and low-to- middle income Indiana families

• Link need-based aid programs with academic and social supports needed to promote persistence

• Decrease student debt-load at the time of graduation• Create programs which build on existing Federal or

State financial aid programs• Target ICHE performance funding goals• Target improved rankings• Target improved persistence

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Key ICHE Performance Funding Metrics

• Degree completion– At-risk degree completion (Pell

Eligible)

• High impact degree completion (STEM Fields)

• Persistence• On-time graduation (What is the

change in a school’s two-year and four-year graduation rates for first-time, full-time students?)

http://www.in.gov/che/2772.htm

Institutional Gift Aid of PeersSelected Peer Group US News

RankInstitutional

Gift Aid 12-13Retention

Rate*Grad

Rate**IUPUI 194 $4,819 72% 42%Ball State 174 $5,991 78% 59%University of South Florida 161 $4,328 89% 63%University of Louisville 161 $8,590 78% 53%Virginia Commonwealth University 156 $4,872 87% 57%University of Illinois at Chicago 149 $6,479 80% 57%University of Alabama at Birmingham 149 $6,683 80% 54%

IUPUI Rank lowestSecond lowest lowest lowest

* Retention Rate: Percent of First-Timers Pursuing Bachelor’s Fall 2012 and Returning Fall 2013* *Graduation Rate for those who began Fall 2007 Source: College Navigator data

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NOTE: With about 20,000 IUPUI undergrads receiving financial aid, adding $1,000 of institutional aid to every aid package could cost up to $20,000,000 annually—so a thoughtful, selective process is essential

to control expenditures.

IUPUI Retained vs Not RetainedFall 2013 First-Time, Full-Time Students (Indianapolis Only)

Level of Unmet Need of Retained = $4173.69VS

Level of Unmet Need of NOT Retained = $6688.04A difference of approximately $2500

Having low levels of unmet financial need or having high levels of socioeconomic status (SES) is associated with Academic Achievement and Persistence for First-Year Beginners

Source: Michele Hansen report http://crg.iupui.edu/Portals/133/PropertyAgent/15158/Files/702/Hansen-IUPUI%20Retained%20Students%20Compared%20to%20Not%20Retained%20Students%202013%20Cohort.pdf

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IUPUI Retained vs Not Retained

• If the campus were to decide to create a $2500 grant to similar students to offset that amount of financial need in an attempt to improve retention, then $2.7 million in additional funding for each cohort would be required to raise the Not Retained to the same level as Retained ($2.7M X 4 cohorts = $10,800,000)

• This example was used only to demonstrate how costly it can be to begin to address unmet financial need

• Any future IUPUI need-based grants would have to designed based on affordability, target population, and enrollment goals

Remember the dilemma…

• IUPUI is a “college of choice” for low income students in Indiana by many measures

• Students facing unmet financial need must make difficult choices…– Work more? – Study less?– Borrow more? – Increase credit card debt?– Don’t pay bills? – Don’t enroll? – Drop a class? – Drop out?

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Beth Barnette Knight

Historical overview of institutional need based aid programs at IUPUI

Estimated Undergraduate Institutional Aid for AY2014-15

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4-year Undergraduate Admissions-based Scholarships (R) - $2.7M

4-year Undergraduate Admissions-based Scholarships (NR) - $1.2M

4-Year Undergraduate Grant (IUPUI 21st Century and Pell Pledge Grants) - $3M

1-year Undergraduate Grant - $700K

2-Year Competitive Scholarship (Transfer students) - $300K

4-year Honors (Chancellor -R) $4.5M

4-year Honors (Chancellor- NR) - $900K

4-year Honors (competitive - in-cludes Bepko, Herbert Presidential and Plater Scholarships) - $2.3M

8%

2%4%

29%

6%

15% 17%

19%

23% of Institutional Aid is for Financial Need-based Awards

IUPUI Pell Pledge GrantTo be eligible, the student must:

Be a resident of the state of IndianaHave received the award in a prior aid year or be a first

time college studentApply by submitting the Free Application for Federal

Student Aid (FAFSA) by the priority deadline of March 10 for the appropriate aid year and meet federal student aid programs requirements (e.g. U.S. Citizen or eligible non-citizen)

Have minimum SAT score of 1000 (Math and Critical Reading sections only) or ACT score of 21

Be enrolled full-time (12 semester credit hours or more) at the end of the 100% refund period for the semester it is awarded

Be eligible to receive Federal Pell grant Recipients must maintain a 2.5 cumulative GPA

Award amount ranges from $200 - $1000 based on unmet need. (The average award amount this year was $960)

Currently this population receives no support programming

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Number of Pell Pledge Recipients and Total Amount Awarded by Year

Academic Year Number of Awards Avg. Award Amt. Dollars Spent

2008-09 16 $1,754 $28,065

2009-10 43 $2,358 $101,393

2010-11 66 $1,811 $119,537

2011-12 82 $1,796 $147,285

2012-13 70 $932 $65,244

2013-14 156 $931 $145,175

2014-15 190 $960 $182,311

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IUPUI 21st Century Scholars Grant• Designed to help meet the remaining financial need

for 21st Century Scholars who enroll full time • To be eligible students must be receiving 21st

Century Scholarship funds from the state of Indiana and have a FAFSA on file by the priority deadline of March 10th

• Students who meet eligibility are automatically awarded

• Eligible recipients: Have received the award in a prior aid year or be a

first time college student Must be enrolled in a four-year degree seeking

program of study Must be enrolled full-time (12 semester hours or

more) Must maintain a 2.5 cumulative GPA Must attend the IUPUI Summer Bridge Academy Must meet Satisfactory Academic Progress (SAP)

guidelines

Awards range from $200 to $2,000 depending upon unmet need (The average award amount this year was $1,730)

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Number of 21st Century Scholars Grant Recipients and Total Amount Awarded by Year

 

Academic Year Number of Awards Avg. Award Amt. Dollars Spent

2008-09 163 $3,850 $627,599

2009-10 282 $4,042 $1,139,801

2010-11 380 $2,631 $1,000,150

2011-12 471 $2,720 $1,280,961

2012-13 482 $1,831 $882,367

2013-14 870 $1,829 $1,590,765

2014-15 1,218 $1,730 $2,107,174

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IUPUI and IUB Grant Award Comparison  Basic Award Eligibility Criteria 2008 2009 2010 2011 2012 2013 2014      Maximum Award Amounts by Year

IUPUI

21st Century Grant

Must receive state 21st Century Grant. Be enrolled fulltime, maintain satisfactory academic progress (SAP) and maintain a 2.0 cumulative GPA.

Meet all unmet need up to COA (no cap)

Award capped at

$5000

Award capped at

$3000

Award capped at

$3000

Award capped at

$2000

Award capped at

$2000

Award capped at

$2000

 

Pell Pledge

Must receive Federal Pell Grant. Have a minimum SAT score of 1000 or ACT of 21. Must be enrolled fulltime and maintain a 2.5 Cumulative GPA.

Meet all unmet need up to full tuition and mandatory fees (no cap)

Award capped at

$3000

Award capped at

$2000

Award capped at

$2000

Award capped at

$1000

Award capped at

$1000

Award capped at

$1000

IUB

21st Century Covenant

Must receive state 21st Century Grant. Be enrolled fulltime, maintain satisfactory academic progress (SAP).

Meet all unmet need up to COA (no cap), including books, room, board, transportation and personal up to the amount of financial need (no cap)

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

 

Pell Promise

Must receive Federal Pell Grant. Have a minimum SAT score of 1200 or ACT of 27. Must be enrolled fulltime and maintain a 3.0 Cumulative GPA.

Meet all unmet need up to full tuition and mandatory fees (no cap)

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

No change in award

max.

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Michele Hansen

Data analysis of institutional aid and programming impact on persistence

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First-Time, Full-Time Beginners

2007 2008 2009 2010 2011 2012 2013

67% 69% 69% 68% 69% 68% 67%

16% 18% 18% 18%

0.8

0.25

Retention and Graduation Rate IUPUI IN One-Year Retention

Four-Year Graduation Rate

2020 One-Year Retention Goal

2020 Four Year Graduation Goal

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Annual Unmet Financial Need and One-Year Retention

2011 2012 2013

$4,750 (n=1547)

$5,125(n=1666)

$3,815(n=1948)

$7,623 (n=730)

$7,924(n=818)

$6,760(n=989)

Total Unmet Financial Need Academic Year

Retained IUPUI IN Not Retained IUPUI IN

Analyses include only students who completed FAFSA

Unmet Financial Need Unmet Financial Need Academic Year Fall 2013 Full-Time Beginners FAFSA Completers

N One-Year Retention IUPUI IN

No FAFSA on file 315 73%No Unmet Financial Need (FAFSA on file) 813 78%$1 to $1000 Unmet Need 224 73%>$1000 to $2000 Unmet Need 125 75%>$2000 to $3000 Unmet Need 241 75%>$3000 to $4000 Unmet Need 162 65%>$4000 to $5000 Unmet Need 156 72%>$5000 to $6000 Unmet Need 168 73%>$6000 to $7000 Unmet Need 149 64%>$7000 to $8000 Unmet Need 147 69%>$8000 to $9000 Unmet Need 120 58%>$9000 to $10,000 Unmet Need 137 50%>$10,000 Unmet Need 495 41%Total 3252 67%

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Peer InstitutionsRetention 2012, Four-Year Graduation and Six-Year Graduation 2007First-Time, Full-Time Beginners Bachelor Degree Seeking

Peer Institutions One-Year RetentionFour-Year

GraduationSix-Year

Graduation

University at Buffalo - SUNY 88% 52% 72%Temple University 89% 39% 66%Univ. of South Florida 89% 36% 63%Univ. of Illinois-Chicago 80% 30% 57%Virginia Commonwealth 87% 30% 57%Univ. of Alabama-Birmingham 80% 29% 53%Univ. of Cincinnati 85% 25% 63%Univ. of Louisville 78% 25% 53%Univ. of Utah 88% 24% 60%Univ. of Colorado-Denver 75% 16% 41%Univ. of New Mexico 78% 15% 48%IUPUI 72% 15% 42%Wayne State University 77% 11% 32%

Source: National Center for Education Statistics http://nces.ed.gov/collegenavigator/?q=IUPUI&s=IN&id=151111#retgrad

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Pell Grant Recipients (SES indicator)

Fall 2007

Fall 2008

Fall 2009

Fall 2010

Fall 2011

Fall 2012

Fall 2013

Fall 2014

0%

10%

20%

30%

40%

50%

25%29%

36%41% 43% 41% 42% 42%

0% 1% 1% 2% 2% 2% 4% 4%

% Received Pell Grant First Semester IUPUI IN All Degree Seeking

% Beginners Received Pell Grant % Beginners Pell Pledge

Pell Grant and Pell Pledge Recipients

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Fall 2007

Fall 2008

Fall 2009

Fall 2010

Fall 2011

Fall 2012

Fall 2013

Fall 2014

0200400600800

1000120014001600

664791

9591065

1181 12561468 1506

0 16 40 52 59 55 132 132

Number Received First Semester

# Beginners Received Pell Grant # Beginners Pell Pledge

Pell Grant First-Time, Full-Time Beginners

2007 2008 2009 2010 2011 2012 201355%

60%

65%

70%

75%

80%

60%

68%

65% 65% 65%64%

60%

69% 68%

76%

66%

75%

67%

One-Year Retention Rate IUPUI INPell Grant and Pell Pledge Values Shown

One-Year Retention Overall Beginners No Pell GrantPell Grant Pell Grant Pledge (Institutional Aid)

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First-Time, Full-Time Beginners

2007 2008 2009 20100%

5%

10%

15%

20%

25%

30%

35%

12%

15%13% 13%

31%

15% 16%

Four-Year Graduation Rate IUPUI INPell Grant and Pell Pledge Values Shown

All Full-Time Beginners No Pell GrantPell Grant Pell Grant Pledge (Institutional Aid)

27Note: In 2008 students received a higher award value

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Characteristics of Students Receiving Pell Grant Institutional Aid Compared toStudents Receiving Pell Grant

Pell Institutional Aid Recipients significantly (had significantly):• Higher levels of Unmet Financial Need Annual ($7,072

compared to $6,860) • Higher SAT scores (1096 compared to 967)• Higher HS GPAs (3.47 compared to 3.31)• Less likely to be African American (2% compared to 18%)• Less likely to be Female (55% compared to 65%)• Less likely to be First Generation (38% compared to 53%)• Less likely to be 21st. Century Scholar State Fund Recipient

(6% compared to 35%)• Higher One-Year Cumulative IU GPA (2.78 compared to 2.40)

*Figures based on 2013 cohort; these aspects were consistently different based on analyses conducted for each cohort year.

Pell Pledge Institutional Aid Recipients and Summer Bridge: One-Year Retention Rates

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201350%

55%

60%

65%

70%

75%70%(20)

66%(112)

Summer Bridge Not Summer Bridge

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21st Century Scholars

Fall 2007

Fall 2008

Fall 2009

Fall 2010

Fall 2011

Fall 2012

Fall 2013

Fall 2014

0%

5%

10%

15%

20%

25%

12% 11% 12%14%

16% 17%19%

23%

8% 9% 8%10%

12% 13%15%

18%

0%

6% 7% 8%10%

8%

12%

16%

% of Beginners

% Beginners 21st Century Scholars (Historically Associated)% Beginners 21st Century Scholars (Received State Funds)% Beginners 21st Century Grant (Institutional Aid)

21st Century Scholars

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Fall 2007

Fall 2008

Fall 2009

Fall 2010

Fall 2011

Fall 2012

Fall 2013

Fall 2014

0100200300400500600700800900

306 299 322362

431505

660

829

216 236 229 251322

403

533

635

0

162 181 199285 256

424

573

# of Beginners

# Beginners 21st Century Scholars (Historically Associated)# Beginners 21st Century Scholars (Received State Funds)# Beginners 21st. Century Grant (Institutional Aid)

21st Century Scholars State Grant Recipients and Institutional Grant Recipients: One-Year Retention Rates (IUPUI IN)

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Fall 2007 Fall 2008 Fall 2009 Fall 2010 Fall 2011 Fall 2012 Fall 201350%

55%

60%

65%

70%

75%

80%

62%64%

66% 65% 65%63%

60%

64%

68%

59%

66%63%

60%

% Retained One Year IUPUI IN

Beginners 21st Century Scholars Beginners 21st Century Scholars Grant (Institutional Aid)Overall IUPUI Full-Time Beginners

21st Century Scholars Institutional Grant Recipients and Peer Mentoring: One-Year Retention Rates

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Fall 2008 Fall 2009 Fall 2010 Fall 2011 Fall 2012 Fall 201340%

45%

50%

55%

60%

65%

70%

75%

80%

85%

90%

73% (30)78% (58)

68% (71)

84% (129)

75% (152)

66% (276)

62% (132) 63% (123)

54% (128)

51% (156)46% (104) 47% (148)

% Retained One Year IUPUI IN

Peer Mentoring No Peer MentoringOverall IUPUI Full-Time Beginners

21st. Century Scholars Institutional Grant Recipients and Summer Bridge: One-Year Retention Rates

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Fall 2008 Fall 2009 Fall 2010 Fall 2011 Fall 2012 Fall 201345%

50%

55%

60%

65%

70%

75%

80%

85%

90%

66% (86) 70% (89)67% (84)

69% (135)71% (62)

64% (109)

62% (76)66% (92)

53% (115)

63% (150) 61% (194)58% (315)

% Retained One Year IUPUI IN

Summer BridgeNo Summer BridgeOverall IUPUI Full-Time Beginners

21st Century Scholars Institutional Grant Program Participants: One-Year Retention Rates

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Fall 2008 Fall 2009 Fall 2010 Fall 2011 Fall 2012 Fall 201335%

45%

55%

65%

75%

85%

66% (96) 70% (134)67% (135)

69% (191) 71% (167)64% (305)

62% (66)

66% (47)

53% (64)

63% (94)

61% (89) 58% (117)

% Retained One Year IUPUI IN

Summer Bridge or Peer Mentoring No Program Overall IUPUI Full-Time Beginners

Differences in one-year retention rates significantly different based on logistic regression results. HS GPA, SAT Score, Registration Date and Unmet Financial need entered in first step of model as covariates.

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Logistic Regression: 21st Century Scholar Institutional Grant Academic Support Program Participation and One-Year Retention

  B S.E. Wald Sig. Odds RatioStep 1 HSGPA

.63 .22 8.27 .004 1.87

SAT Score.00 .00 3.04 .081 1.00

Registration Date.01 .00 2.70 .101 1.01

Unmet Financial Need Annual .00 .00 86.44 .000 1.00

Step 2 HSGPA.62 .22 8.01 .005 1.86

SAT Score.00 .00 3.39 .066 1.00

Registration Date.00 .00 1.18 .278 1.00

Unmet Financial Need Annual .00 .00 75.34 .000 1.00

No Summer Bridge or Peer Mentoring

-.48 .16 8.79 .003 .62

Characteristics of Students Receiving 21st Century Scholar Institutional Grant Program Participants Compared to Nonparticipants (No Peer Mentoring or Summer Bridge)

21st Century Scholar Institutional Grant Program Participants (Summer Bridge and/or Peer Mentoring) had significantly:• Lower Levels of Unmet Financial Need Annual ($3,496

compared $5,584) • Higher HS GPAs • Earlier Registration Times • Higher One-Year Cumulative GPAs (2.53 compared to

1.92)

*Figures based on 2013 cohort; these aspects were different based on analyses conducted including students from all cohort years.

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21st Century Scholars NOT Institutional Grant Recipients and Summer Bridge: One-Year Retention Rates

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2012 201356%

58%

60%

62%

64%

66%

68%

70%

64%(39)

68%(19)

63% (132)

61%(132)

Summer Bridge Not Summer Bridge

Characteristics of Students Receiving 21st Century Scholar Institutional Grant Program Participants Compared to 21st Century Scholar State Fund Recipients

21st Century Scholar Institutional Grant Program Participants had significantly:• Higher Levels of Unmet Financial Need Annual ($4,038

compared $2,714) • Earlier Registration Times

No significant differences in gender, ethnicity, academic preparation

*Figures based on 2013 cohort; these aspects were consistently different based on analyses conducted for each cohort year.

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2013 Beginners: 21st Century Scholar State Aid and Federal Pell Grant Recipients N=3490

15%

28%

2%

55%

% Beginners 2013Pell Grant and 21st Century Scholar State Grant

Pell Grant Only

21st Century Scholar State Grant Only

Neither 21st Century Scholar State Grant or Pell Grant

Federal Pell Grant

No Yes Total

21st Century Scholar State Aid

No 1945 971 2916

Yes 61 513 574

Total 2006 1484 3490

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Ideas for Discussion

• With record growth of 21st Century Scholars, should we expand institutional financial support for these students? How will required programming be expanded?

• Should we expand Pell Pledge program? Should we require programming (and the funding for the programing)?

• Should we consider a new “low-to-middle income” aid program for students that can only borrow $5500 to assist with rest of tuition/fees?

How Much Need-Based Institutional Aid does IUPUI Need?

• Current need-based programs (IUPUI Pell Pledge and IUPUI 21st Century Scholars Grant) need to be funded at higher levels to maximize effectiveness and increase participation in support programming

• If IUPUI were to agree that we should offer as much need-based aid as we do in merit-based in-state scholarships (approximately $8M), then we would need to add approximately $5M to our need-based aid budget

• This budget increase would allow us to double our spending for both of our current grant programs while also establishing another grant program to help offset financial need for another target population

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