The increasing cost of a college education is a growing concern to students, families, educators, business leaders and policy-makers. Students now finance their education through a number of sources including work earnings; parent contributions; federal, state and institutional grants; scholarships; and loans. A portion of the university's institutional financial aid to students comes from endowment funds.

On Feb. 28, the U.S. Senate Finance Committee requested information about university endowments and financial affordability from 136 academic institutions throughout the nation.

More than 220,000 students are enrolled at the University of California. Together with a variety of other grant and scholarship mechanisms, the university's endowments provide an increasingly important role in providing financial assistance to UC students. This past year, UC endowment funds provided approximately $69 million in student financial support. This represented approximately 20 percent of the total endowment payout of $350 million, based on a 4.75 percent payout rate.

The University of California's full response to the committee included:

o UC President Robert Dynes' cover letter
o UC's response to the Senate Finance Committee request
o Annual Endowment Report, 2006-07
o Annual Report on University Private Support, 2006-07
o Cambridge Associates' letter to the Senate Finance Committee in response to Jan. 24, 2008, inquiry to large colleges and universities

For more information about the University of California: www.universityofcalifornia.edu