Maryland's Public System of Higher Education

The USM in 2010: 

Responding to the Challenges that Lie Ahead

Tuition Affordability

Tuition must be kept at levels that allow broad access to higher education for Maryland students.

Among public colleges and universities, tuition levels are determined, to a large extent, by state policy, since it determines the balance between tuition and state support. This balance determines the degree to which higher education is subsidized by the State. North Carolina, for example, has a low tuition/high state support policy, while Pennsylvania's policy is the reverse. Maryland has oriented its policies toward moderate tuition. The USM policy reflects this orientation by requiring that resident undergraduate tuition be set at 30%-45% of the actual cost of education.

In the last few years, Maryland has also increased significantly appropriations to State financial aid programs.

While the USM institutions' tuition levels are high when compared to national levels, when compared to neighboring states, the USM institutions are competitive: tuition at the research institutions is in the middle range and at the comprehensives, it is in the low end of the high range.

As evidenced by continued across the board increases in enrollments, USM institutions are affordable to the majority of students. In fact, in 1996, Maryland was among the top half of states in the percentage of college students who are enrolled at public institutions (83%). And, in 1998, Maryland was one of a handful of states that led the nation in the proportion of adults with bachelor's degrees or higher (32%).

Another influence on our overall affordability is per capita wealth -- Maryland is an affluent state. At $24,983 in 1998, Maryland's per capita disposable income was 7^th among the states and well above the national average. In 1997, only two states had lower percentages of people below the poverty level. With only 8.4% of the population living in poverty, Maryland is significantly below the national average of 13.3%.

However, the fact is that the economic profile of some of the fastest growing segments of our student population may not be as strong as in the past. This speaks to another component in the affordability of USM institutions -- the Board of Regent's on-going policy to limit resident undergraduate tuition increases to a maximum of 4% annually. In order to ensure that a USM education remains accessible and affordable to Maryland citizens, tuition increases must continue to be controlled, and financial aid must be available for those who need it.

USM Response

USM institutions will:

• Support broad access to higher education by keeping resident tuition at moderate levels. To accomplish this goal, the USM will continue to limit undergraduate tuition increases to a maximum of 4% annually, while also limiting academic fees.
• Offer commensurate increases in the financial aid offered to qualifying students as tuition rates rise.
• Further limit tuition growth at USM institutions as they approach 100% of their funding guidelines.