4 universities in state log increases in cost gauge

Data in average net price is imperfect, expert warns

FILE - The campus of the University of Central Arkansas in Conway is shown Oct. 27, 2008. (AP Photo/Danny Johnston)
FILE - The campus of the University of Central Arkansas in Conway is shown Oct. 27, 2008. (AP Photo/Danny Johnston)

Four of the six largest public universities in the state reported increases in average net price, a measure of college affordability for first-time enrollees who take classes full-time.

The average net price is an estimate of the true cost of attending college. It factors in expenses like housing and common types of grant aid.

For the four largest universities in the state, average net price increases ranged from 3% to 8%, percentages greater than the rate of increase in tuition and fees at the schools during the same year-over-year time period.

While rising costs outside of tuition and fees can contribute to increases in average net price, a higher education researcher said the wealth of students enrolling also matters.

[AVERAGE NET PRICE: Interactive graphic not showing up above? Click here to see it » arkansasonline.com/628netprice/]

"If the incomes of the students go down, then they'll have more students who get more aid and who get lower prices. So it's really, really hard to draw a conclusion from this number," said Sandy Baum, a nonresident senior fellow with the Urban Institute.

Data published this month at CollegeNavigator.gov shows average net price increasing by $1,252 at the University of Central Arkansas in 2019-20 -- the most recent year with data available -- compared with the previous year.

Universities reporting annual increases of less than $1,000 in their average net price included the Arkansas State University; Arkansas Tech University; and the University of Arkansas, Fayetteville.

The University of Arkansas at Fort Smith and the University of Arkansas at Little Rock reported declines in their average net price in 2019-20.

The average net price is only calculated for students awarded grant or scholarship aid from government sources or the school they're attending.

The "data are not perfect," Baum said.

Average net price features prominently on the search engine Google.com, however.

Typing in the name of a college results in average net price info. Google.com also displays data on average net price by income level, which is calculated for students receiving any kind of federal Title IV aid. This includes certain loans and work study funds, in addition to federal grants.

Public universities in Arkansas described a mix of factors leading to changes in their average net price, with most also describing efforts to boost scholarship aid for students to keep college affordable.

Fredricka Sharkey, a spokeswoman for the University of Central Arkansas, cited a decline in the number of students receiving Pell grants as a factor in the institution's rising average net price, which increased to $16,048 in 2019-20 from $14,796 a year earlier.

Pell grants are a form of federal financial aid for students with exceptional need.

Sharkey did not provide data on the number of Pell grant recipients on the Conway campus, except to say that the total declined from 2017-18 to 2019-20.

The most recent federal data available shows 903 first-time, full-time undergraduate students were awarded Pell grants in 2018-19, or 45% of that class of first-year students at UCA.

Donor contributions have led to "a steady increase in recent years" in the university's private scholarships, Sharkey said in an email, with scholarships awarded by the UCA Foundation rising to about $1.53 million in 2019-20 from $1.48 million a year earlier.

"Helping to defray the cost of attending college is of the utmost importance at the university for all students," Sharkey said in a statement.

UCA's average net price for its lowest-income students -- students and families reporting earnings of $30,000 or less -- increased to $14,136 in 2019-20 from $13,549 a year earlier.

The average net price at Arkansas State University increased by $994 to $14,275 in the 2019-20 school year.

Bill Smith, an ASU spokesman, cited rising costs for housing and meal plans when asked about the change.

Estimated room-and-board costs at ASU -- without factoring in aid -- increased by about 11 percent over two years, rising to $9,672 for 2019-20 from $8,740 two years earlier for on-campus housing, according to federal data. This doubled the percentage increase to tuition-and-fees, which over the same time period increased by about 5%, rising to $8,900 from $8,478, also according to federal data.

"To help address that for this fall, we have initiated a housing scholarship to assist students with the most need," Smith said in an email.

Data on students and families reporting earnings of $30,000 or less showed ASU's average net price increasing to $12,120 in 2019-20 from $10,948 a year earlier.

The University of Arkansas, Fayetteville's average net price increased year-over-year by $496 to $16,759 for the 2019-20 school year.

Suzanne McCray, UA's vice provost for enrollment and dean of admissions, in an email said increased housing costs as well as fees for the 2019-20 academic year, as well as a some other cost increases, likely explained the bump upwards in average net price.

For students in the $30,000 and under income category, UA's average net price dipped to $12,003 in 2019-20 from $12,094 a year earlier, according to the federal data.

To help the university's lowest-income students, McCray said UA is "considering need when students are equally qualified for scholarships." An added $5 million in support for scholarships specifically for Arkansas students -- in recent years about half of the UA freshman classes have come from outside the state -- should be evident in the 2020-21 federal data, McCray said. Data for the 2020-21 year is not yet available.

Arkansas Tech University's average net price increased year-over-year by $740 to $11,277 in 2019-20.

Sam Strasner, an Arkansas Tech spokesman, noted that looking back further, from 2017-18 through 2019-20 the university's average net price decreased.

"The 3.4 percent decrease in average net price at ATU over those three years, including zero tuition increase in 2018-19 and coupled with increases in graduation rates and degrees conferred during that same time frame, is evidence that Arkansas Tech is maintaining efficient operations and fulfilling its ultimate goal of student success," Strasner said in an email.

Arkansas Tech's average net price for its lowest-income students -- students and families reporting earnings of $30,000 or less -- increased to $10,455 in 2019-20 from $9,842 a year earlier.

Strasner again cited how, again going back further, the 2019-20 average net price for the lowest-income group decreased compared with two years earlier.

"Arkansas Tech University is beginning to implement need-based scholarships as a means of increasing its support for students from lower income brackets," Strasner added. "In addition, ATU invests funds from its educational and general fund in employment opportunities for ATU students in need of financial assistance."

The University of Arkansas at Little Rock saw its average net price decline year-over-year by $1,516 to $12,235 in 2019-20.

Jonathan Coleman, UALR's director of financial aid and scholarships, said the university awarded $7.1 million in scholarships in the 2019-20 academic year and is adjusting its scholarships to focus more on high school grade-point average.

"As long as a student has a 20 superscore on the ACT they are eligible for our merit scholarships. The amount of their award is determined by their high school GPA. The higher their GPA the higher their award will be," Coleman said.

At the University of Arkansas at Fort Smith, the average net price decreased by $823 to $9,209 in 2019-20.

Rachel Putman, a spokeswoman for the university, in an email said a new policy that took effect in fall 2019 requires students to have a payment plan before the start of a semester, which in effect required early completion of applications for federal financial aid and other scholarships, Putman said.

"This helps students be completely aware of all financial options and assistance, leaving significantly less money on the table that they may not have known they qualified for in the past," Putman said.

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