1. State Funded Financial Aid April 14, 2010 1

2. State Funded Financial Aid State Funded Financial aid is appropriated in the Long Bill by the General Assembly. The Commission sets policy to determine student/institutional eligibility State funded financial aid is roughly $100 million annually. 2

3. Colorado Financial Aid Resources Need-Based Aid – Assistance for students that would otherwise not be able to afford to attend Merit-Based Scholarships – Assistance based only on student performance (unfunded in FY2010) Work-Based Aid – Students earn these funds through working, no less than 70% of the funds are allocated based on need State-Funded Categorical Programs – Includes aid for military and law enforcement dependents, Federal LEAP, the Native American Student Assistance Program, Nursing loan forgiveness, & National Guard Scholarships. 3

4. 10 Year History- Colorado State Funded Student Assistance Programs Fiscal Year Need-Based Grants Merit-Based Grants Work-Based Aid Categorical ProgramsTotal State Aid 1999-2000$38,423,152$13,826,078$14,248,944$6,513,899$73,012,073 2000-2001$42,199,077$14,371,810$14,811,367$7,177,010$78,559,264 2001-2002$47,598,002$14,874,498$15,359,754$7,554,066$85,386,320 2002-2003$51,550,101$14,874,498$16,612,357$8,049,044$91,086,000 2003-2004$46,002,682$6,877,309$15,030,062$8,296,701$76,206,754 2004-2005$45,935,202$6,434,287$15,003,374$8,790,113$76,162,976 2005-2006$52,285,488$1,500,000$15,003,374$10,005,122$78,793,984 2006-2007$60,096,963$1,500,000$14,884,300$11,281,496$87,762,759 2007-2008$67,023,546$1,500,000$14,884,300$11,766,432$95,174,278 2008-2009$74,294,146$1,500,000$16,612,357$12,862,293$105,268,796 2009-2010$74,294,146$0$16,612,357$13,025,841$103,932,344 5 year change62%-100%11%48%36% 10 year change93%-100%17%100%42% 4

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7. Need Based Program Undergraduate Students In 2007 the Commission approved a new need based financial aid model known as Colorado’s College Responsibility Program (CCRP). Under the CCRP awards a minimum grant to Level 1 students. The program was designed to ensure that high need students would have access to financial aid regardless of when they applied. Graduate Students Level 1 students enrolled in SMART fields and medical fields are eligible-no set minimum. 7

8. CCRP Model A Level 1 student is defined as 150% of the Maximum Pell EFC. In the current year, the maximum EFC for Pell eligibility is $4,617, so a Level 1 student is any student with an EFC less than or equal to $6,926. Currently, Level 1 students receive a minimum of $850/year if enrolled full-time. Institutions have the flexibility to offer pro-rated awards for part-time students. Next year, the maximum EFC for Pell Eligibility will be $5,273, opening Level 1 to students with an EFC up to $7,910. 8

9. Number of Students Receiving Colorado State Student Aid from SURDS Fiscal YearState Need-Based 200426,811 200525,508 200628,832 200732,504 2008 47,985 2009 51,768 Change 04-09 93.08% Since the introduction of the CCRP program, the number of students served has increased each year. 9

10. Average Need-Based Award Fiscal Year State Need- Based 20041,491 20051,476 20061,536 20071,605 20081,393 20091,354 Change 04-09-9.20% Although the number of students who receive state funded need based grants have increased, the average award has decreased. 10

11. Allocations to Institutions Undergraduate Need Based Aid: – Allocations are made based upon an index using the average Cost of Attendance by Tier. There are three tiers of institutions in the formula; Tier 1 is Research, Tier 2 is State Colleges and Tier 3 is Community Colleges. – The allocation is then driven by the number of eligible Level 1 FTE projected to enroll based upon the prior three years. 11

12. Flexibility Built into Formula Amount per student Tier 3 $ 967 Tier 2 $1,179 Tier 1 $1,312 Institutions with more part-time enrollment have added flexibility 12

13. Allocations of Other State Aid Graduate Need Based Aid: Allocated based on the number of eligible FTE enrolled in SMART programs. Work Study: Allocations are distributed based upon a base year and have been increased/decreased proportionally as the appropriation has changed. Leveraging Education Assistance Programs (LEAP)- Federal grants matched by state aid to high need students. Merit Aid was zeroed out for the FY2010 budget as was the pre-collegiate scholarship. 13

14. How Do Students Access State Aid? Students must be Colorado residents to receive state funded aid. Once a student completes a Free Application for Federal Student Aid (FAFSA), the institution has the information needed to award the student. Eligible students will receive any state financial aid as part of their award package from institutions. 14

15. Beyond State Aid Federal Aid (Pell Grants, Federal Work Study, and federal categorical grants), institutional aid, private scholarships, and loans are also available. The financial aid office will package grant aid first, then work-study, then loans. If a student receives a scholarship after the FA office has packaged the aid, the FA office will back out the least desirable aid first (higher interest or unsubsidized loans). 15

16. Sources of Financial Aid Fiscal Year 2009 16

17. Pell Grant Changes Higher Education Opportunity Act (2008) increased Pell eligibility and grant amounts. Max Pell Grant Since 2008  2007-2008$4,310 (average Pell $2,528)  2008-2009 $4,731(average Pell $2,803)  2009-2010 $5,350  2010-2011 $5,550 Beginning July 1, 2009 Year Round Pell grants are available. 17

18. Pell FTE as a Percentage of Res UG FTE 2009 FY2008-09 Pell Recipient FTE 08-09 Undergrad Res FTE 08-09 Percentage Pell FTE Adams State College1,099 1,383 79.49% Pueblo Community College2,515 3,761 66.87% Otero Junior College651 1,123 57.99% Trinidad State Junior College683 1,283 53.22% Colorado State University - Pueblo1,602 3,300 48.55% Lamar Community College290 674 43.03% Community College of Denver2,027 4,933 41.08% Morgan Community College389 999 38.98% Aims Community College1,167 3,031 38.50% Community College of Aurora1,273 3,338 38.12% Pikes Peak Community College2,821 7,624 37.00% Mesa State College1,578 4,484 35.19% Metropolitan State College of Denver5,416 15,621 34.67% 18

19. Pell FTE as a Percentage of Res UG FTE 2009 FY2008-09 Pell Recipient FTE 08-09 Undergrad Res FTE 08-09 Percentage Pell FTE Northeastern Junior College427 1,343 31.80% University of Colorado Denver2,131 7,12429.92% Front Range Community College2,784 9,945 28.00% University of Colorado at Colorado Springs1,491 5,423 27.50% Arapahoe Community College1,112 4,370 25.45% Western State College363 1,453 24.98% Red Rocks Community College1,199 4,841 24.77% Fort Lewis College539 2,426 22.23% University of Northern Colorado1,672 7,937 21.07% Colorado Northwestern Community College139 686 20.21% Colorado State University3,179 16,120 19.72% University of Colorado at Boulder2,850 15,917 17.90% Colorado School of Mines401 2,744 14.61% Colorado Mountain College291 2,143 13.56% 19

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