he axiom, "Change is the only constant," is certainly as
true in American higher education as anywhere. Nationwide, from academic
years 1980 to 1992, private universities increased their revenue per
FTE (full-time equivalent enrollment) by 39%, public universities
increased their revenue per FTE by 12%, while public community colleges
actually decreased their revenue per FTE by 1% (National Center for
Education Statistics, 1996). New tuition-based revenues for the private
four-year sector consisted of new money that was not substituted for
any loss of revenue. However, new tuition-based revenues in the public
four-year sector were used to substitute for corresponding cuts in
state appropriations. University of Illinois at Urbana-Champaign officials
contend that the share derived from state taxes has declined from
49% of the university's total budget in 1980 to only 31.5% today (Breslin
& Vogell, 2000). Thus, public four-year revenues per FTE have
remained relatively flat during the twelve-year perioda nominal
increase on the average of 1% per year. The decrease in revenue per
FTE experienced by community colleges is likely the result of enormous
nationwide increases in enrollment without corresponding significant
increases in revenue.
During the period 1980 to 1997, headcount enrollment in all four-year
colleges and universities increased by only 11.7% whereas the headcount
enrollment of all community colleges increased by 22.7% (National
Center for Educational Statistics, 1999). The increase in community
college enrollment has been nearly double that of four-year colleges
and universities. Furthermore, according to the American Association
of Community Colleges (2000), 44% of all undergraduate enrollments
in 2000 are in community colleges.
From 1980 to 1999, in-state tuition and required fees at all public
four-year colleges and universities increased from $738 per year
to $3,226 per year whereas the tuition and required fees at all
private four-year colleges and universities increased from $3,225
per year to $14,003 per year (NCES, 1999). However, during this
same period of time, in-state tuition and required fees at all two-year
colleges increased from $526 per year to $1,704 per year (NCES).
Even after adjusting for inflation, the increases, and the difference
between the three increases, are still substantial. In Illinois,
to help offset the sizeable increases in tuition and required fees
for Illinois students attending private and public institutions
of higher education, the state's legislature has continued to appropriate
increasing amounts of tax dollars for direct student aid support.
According to a recent report from The National Center for Public
Policy and Higher Education (2000), Illinois ranks number one among
the 50 states by offering student financial aid at 124% of the federal
student aid level while some states provide little or no state financial
aid for college students. ISAC (Illinois Student Assistance Commission)
is the state agency that receives appropriations from the legislature
to support the MAP (Monetary Award Program). ISAC awards need-based
MAP grants to students attending Illinois higher education institutions,
and the institutions then submit vouchers to ISAC for repayment
of the students' tuition awards.
For comparison purposes, the chart shows the amount of tax dollars
appropriated by the state of Illinois for the ISAC and the Illinois
Community College System from fiscal year 1980 through fiscal year
2000.

Chart: State Funding for Illinois Community Colleges and
Illinois Student Assistance Commission Source:
Palmer, J. (2000).
Although state appropriations for support of direct student aid
and community colleges have both increased since fiscal year 1980,
state appropriations for need-based tuition awards have increased
at a much greater rate. In fact, in fiscal year 1995, state appropriations
for Illinois student aid surpassed that which was appropriated for
support of the state's entire community college system. However,
it is very difficult to compare or contrast the financial needs
of students attending four-year institutions with students attending
two-year institutions.
To put the amount of aid awarded in perspective relative to higher
education institutional types involved, the following chart shows
the percentage of students, by institutional type, whose students
received ISAC awards in school year 1999-2000.
|
Sector
|
% of all students applying for aid
|
% of all ISAC funds awarded
|
Public community colleges
Public 4-year colleges/universities
Private 4-year colleges/universities
Other
|
40%
29%
25%
6%
|
12%
37%
43%
8% |
Table: Illinois Student Assistance Commission
(2000).
It is perhaps noteworthy that, while only one-quarter of the students
attending Illinois' private four-year colleges and universities
were eligible to receive ISAC monetary awards in school year 1999-2000,
they, in fact, received nearly one-half of all the state's public
tax funds awarded by the ISAC. Regardless, a student's total student
financial need will typically be higher at a four-year institution,
private as well as public, because of the necessary inclusion of
basic living expensesroom and board, whereas most community
college students, especially in Illinois, live at hometheirs
or their parents'. One can only surmise that this increase in need-based
student financial assistance is a direct result of the Illinois
Legislature's response to the costs of attending private and public
four-year colleges and universities increasing at a much greater
rate than personal family income. Undoubtedly, more research on
the cost of higher education in Illinois will likely provide valuable
information for state legislators and higher education policymakers
to consider.
[Editor's note: We would invite anyone with an interest in this
topic to respond to Mr. Davis in a future issue of UPDATE.]
References
American Association of Community Colleges. (2000). All about
community colleges. [On-line]. Available: http://www.aacc.nche.edu/allaboutcc/snapshot.htm
Breslin, M. M., & Vogell, H. (2000, December 9). U. of I. seeks
big jump in new student tuition. Chicago Tribune, p. MW7.
Illinois Student Assistance Commission. (2000). Monetary award
program FY 2001 recompute. [On-line]. Available: http://www.isac-online.org/agenda/agenda07-00/items6.html
The National Center for Public Policy and Higher Education. (2000).
Measuring up 2000: The state-by-state report card for higher
education. Washington, DC: Author.
National Center for Education Statistics. (1996). Findings from
the condition of education 1995 (NCES 95-769). Washington, DC:
U.S.
National Center for Education Statistics. (1999). Digest of education
statistics 1999. (NCES 99-036). Washington, DC: U.S.
Palmer, J. (2000). Appropriations of state tax funds for operating
expenses of higher education. Normal, Illinois: Illinois State
University, Center for Higher Education & Finance.
Jackie
L. Davis (a 1974 graduate of Illinois Eastern Community Colleges:
Lincoln Trail College), is Dean of Instruction at Illinois Eastern
Community Colleges. He has worked in Illinois community colleges for
more than 20 years, and he is nearing the completion of his doctoral
course work in Community College Executive Leadership at UIUC. His
research interests for the past three years have focused on state-appropriated
funding of higher education. For more information, contact Jackie
at Olney Central College davisj@iecc.cc.il.us
or 618-395-7777.
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