The University of California Board of Regents today (September 20) endorsed a three-year (2008-09 through 2010-11) plan of fees for students in professional degree programs and approved professional fee increases for the 2008-09 academic year.

The three-year plan, intended to help schools maintain and enhance the quality of their programs while providing more predictability for students, calls for fee increases of 7 percent annually at the majority of UC’s professional schools. However, for nine campus programs in the fields of law, business and pharmacy, the Regents endorsed professional degree fee increases ranging from approximately 10 percent annually to a maximum of 19 percent. Increases in total charges – which include the professional school fee, mandatory systemwide fees and campus-based fees – will not exceed 15 percent annually at any school, and will be well below that for most professional degree programs.

“I want to reassure professional school students that this fee plan includes a robust financial aid program to preserve access and affordability,” said UC President Robert C. Dynes. “In fact, all the campuses plan to use an amount equivalent to at least 33 percent of all new fee revenue for financial aid. They plan to substantially increase their grants, and in the case of our law schools, significantly expand their assistance for students who enter employment in public interest and public service fields after graduation”

UC’s professional schools were disproportionately impacted by the budget cuts earlier this decade, which undermined their ability to improve the quality of their programs and to offer competitive salaries to faculty and staff. The schools’ financial circumstances remain severely strained, and a sustained effort over time is required for the schools to fully recover.

As a result, the Regents at their March meeting adopted the principle that fees for professional degree students would be approved within the context of a multi-year plan that is subject to annual reconsideration. The proposed fee levels were developed based on campus proposals presented to the Regents in July.

The nine programs that recommended professional degree fees higher than 7 percent share a number of common concerns and objectives. For example, all are determined to enhance the quality of their programs and to continue to offer contemporary and innovative instructional programs that require hiring high-quality faculty and improving their salaries.

Meanwhile, all schools are concerned about preserving access and affordability and have proposed significant increases in their financial aid programs to mitigate the effects of fee increases on their students.

As part of that commitment, each program will use funding equivalent to at least 33 percent of the revenue from the fee increases to expand their financial aid programs. All will substantially increase the grant assistance provided to enrolled students, and all law schools will use revenue from the proposed fee increases to provide loan repayment assistance for students who enter public interest and public service employment upon graduation.

Each law school has a Loan Repayment Assistance Plan (LRAP) to ensure that student debt does not preclude students from taking employment in these lower-paying fields. The schools would use revenue from the proposed fee increases to significantly increase their LRAPs in order to expand eligibility to more students and improve the amount of the assistance provided. This means that law school graduates who take jobs in qualified public interest positions could have a portion or the entirety of their student loan debt cancelled, depending on their salary and length of employment. In addition to the University-run programs, the federal government also has loan forgiveness programs for graduates who pursue public service careers in a variety of fields.

For instance:

• UC Berkeley’s Boalt School of Law plan includes a return-to-aid of about 35 percent on new professional degree fee revenue generated in 2008-09. It also will allow the law school to provide an additional $2.8 million for need-based grants. The additional funds will also support its recently expanded LRAP and increase funding from $700,000 in 2007-08 to about $1.5 million by 2010-11.

• The Davis law school plan includes a return-to-aid of about 36 percent on new professional degree fee revenue generated in 2008-09 to increase grant funding and expand its LRAP program. Grant funding is expected to increase from $2.4 million to $4.2 million by 2010-11.

• UCLA law school plan includes a return-to-aid of about 38 percent on new professional degree fee revenue generated in 2008-09 to expand its LRAP program and provide additional grant funding. UCLA’s LRAP program is expected to nearly quadruple to just over $1 million by 2010-11, and grant funding is expected to increase from $5.6 million to $9.0 million during the three-year plan.

All programs also plan to inform students through their publications and web sites how the availability of financial aid impact the actual net cost that they pay. The three-year professional degree fee plan also requires the programs to evaluate the impact of the fee increases on student access and inclusion, and to report back to the Regents on any changes in the composition of the enrolling student body.

FEE LEVELS FOR 2008-09 AND THREE-YEAR FEE PROPOSALS

Professional degree fees for the following schools will increase by 7 percent for 2008-09 and would rise by 7 percent annually for 2009-10 through 2010-11:

Medicine: Berkeley, Davis, Irvine, Los Angeles, Riverside, San Diego and San Francisco
Dentistry: Los Angeles and San Francisco
Veterinary Medicine: Davis
Optometry: Berkeley
Nursing: Los Angeles, San Francisco and Irvine (new program beginning in 2009-10)
Theater, Film & TV: Los Angeles
Public Health: Berkeley, Davis, Los Angeles and Irvine (new program beginning in 2008-09)
Public Policy: Berkeley, Los Angeles and Irvine (new program beginning in 2008-09)
International Relations
and Pacific Studies: San Diego

UC LAW SCHOOLS

Total charges for students enrolled in UC law schools, including the professional degree fee, mandatory systemwide fees and campus-based fees, will not exceed 15 percent annually:

Total Charges*
Berkeley: 15 percent annually
Davis: about 11 percent annually
Los Angeles: an average of about 14 percent annually

*These estimates assume a 7 percent increase in mandatory systemwide fees.

The resulting increases in the professional degree fee for the following campuses will range from 13 to 19 percent for 2009-09 and would rise by 13 to 19 percent annually for 2009-10 through 2010-11:

Professional Degree Fee
Berkeley: approximately 19 percent annually
Davis: 13 percent annually
Los Angeles: an average of about 17 percent annually

UC BUSINESS SCHOOLS (MBA)

Total charges for professional school students enrolled in UC MBA programs, including the professional degree fee, mandatory systemwide fees and campus-based fees, will not exceed 15 percent annually:

Total Charges*
Berkeley: 15 percent annually
Davis: 8.8 percent annually
Irvine: 7.1 percent annually
Los Angeles: 12 percent annually
Riverside: 6.8 percent annually
San Diego: 9 percent annually

*These estimates assume a 7 percent increase in the mandatory systemwide fees.

The resulting increases in the professional degree fee will range from 7 to 18.5 percent for 2008-09 and would rise by 7 to 18.5 percent annually for 2009-10 through 2010-11:

Professional Degree Fee
Berkeley: approximately 18.5 percent annually
Davis: 10 percent annually
Irvine: 7 percent annually
Los Angeles: approximately 14 percent annually
Riverside: 7 percent annually
San Diego: 10 percent annually

UC PHARMACY SCHOOLS

The professional degree fee for students enrolled in UC pharmacy programs will increase by approximately 13 percent for 2008-09 and would rise by approximately 13 percent annually for 2009-10 through 2010-11. Total charges, including the professional degree fee, mandatory systemwide fees and campus-based fees, for the two pharmacy schools at UC’s San Francisco and San Diego campuses would increase by approximately 11 percent per year.