Free tuition at ACC for graduating high schoolers? Here's what the chancellor is proposing

Hoping to help eliminate barriers to higher education, Austin Community College Chancellor Russell Lowery-Hart floated a proposal: What if ACC made tuition free?

Lowery-Hart proposed to ACC's board of trustees during its meeting Monday night that the school offer free tuition to this year's class of high school seniors, with the goal of eventually scaling the program to offer free schooling to everyone.

“When we looked at our data on who our students are and who needs us the most and isn't accessing us, it's students that have told us that the affordability of college and the subsequent debt that they would incur is keeping them from gaining a credential that leads to a family-sustaining wage,” Lowery-Hart told the American-Statesman. “We feel like that we have the resources to at least start this conversation while we engage the community in figuring out how we can scale it for all students.”

The proposal tasks the college with covering three years of tuition to promote full-time enrollment and completion. If approved, this pilot program would serve as a model to recruiting students and encouraging positive outcomes, with the goal of expanding participation to adult learners.

Tuition is currently charged per credit hour. For 15 credit hours, an ACC in-district student pays $1,275. Out-of-district students, or those who live in Texas but outside the college's district, pay $4,290 for 15 credit hours.

Lowery-Hart's proposal would also offer free tuition to graduating Texas high school seniors this year who live outside the college's service area, though they'd be responsible for covering the out-of-district $201 fee per credit hour.

Graduating seniors are the college’s largest and most easily quantified single cohort, Lowery-Hart said. But according to Jenna Cullinane Hege, vice chancellor of institutional data and analytics, after the COVID-19 pandemic, ACC went from admitting 14% of graduating seniors to 10%.

The Texas Higher Education Coordinating Board data dashboard shows that enrollment at ACC dropped from 36,900 in 2020 to 32,000 in 2022. Meanwhile, fewer high school graduates are deciding to pursue higher education altogether, Lowery-Hart said.

"Our competition is not between ACC and UT or Texas State or A&M," Lowery-Hart told ACC trustees. “Our competition is between somewhere and nowhere, and nowhere is kicking our tail.”

Cullinane Hege said the latest Trellis Financial Wellness Survey indicated that 68% of students worry about having enough money for school. In a survey of students who are not enrolling in higher education, they found that 58% could not afford tuition and 36% did not understand the financial aid process.

Lowery-Hart said he expects to have a concrete proposal before the board at its next meeting in February, and vote on it in March.

How would ACC pay for free tuition?

Based on last year’s graduates, covering tuition would cost ACC around $7 million.

The college has been awarded $6.8 million in additional funding from House Bill 8 — a bill that transformed how Texas community colleges are funded, shifting away from enrollment-based funding to a merit-based model that rewards colleges for the credentials of value it awards and its completion and transfer rates.

Neil Vickers, ACC's chief financial officer and executive vice chancellor of finance and administration, who with Lowery-Hart presented the proposal, told the board Monday that HB 8 provides an “unallocated funding stream” that ACC could put toward their plan.

HB 8 funding will go toward bolstering programs to increase completion and transfer rates. But with the additional HB 8 funding going toward those costs, Lowery-Hart said there’s room in the budget to address student access and affordability. In that way, the free tuition "could pay for itself," he said.

“If we can use it to incentivize students enrolling full-time, and leveraging the support that we have to solve those other barriers, they're going to be more successful,” he said. “And HB 8 will reward that success."

Who would the free tuition program help?

As proposed, the college would offer free tuition to any 2024 high school graduate within ACC's district — or those who live within the city of Austin, including portions of the Eanes and Pflugerville school districts, and within the Austin, Del Valle, Elgin, Hays, Leander, Manor and Round Rock school districts. Lowery-Hart said there would be no application or cap; all 2024 high school graduates within ACC’s service area would be eligible.

Non-resident and international students' tuition, out-of-district fees, specific course/program fees and textbooks would not be included in the free tuition program.

Under the proposal, students would not be required to prove a financial need. And undocumented students who meet residency requirements and graduate high school this year would also receive free tuition, as per the plan.

Some board members raised concern that this program would cover all students regardless of their financial situation, so they suggested adding an option for those who can afford to pay to voluntarily do so.

They also emphasized that when accepting more students, ACC would need to bolster support systems to support them through their academic experience.

Lowery-Hart told the American-Statesman that if the board approves the proposal, the first cohort will be a “test case” to determine what the college's actual cost is, and that ACC will adjust its program as needed before making it available to everyone.

“If we get more students, it's not just that it would cost more to cover the cost of the tuition that they're not paying, but it would require more faculty and more advisors and more support staff,” he said. “What I know about this college is if we set our mind to something, we have the resources to do it. And I think this could be one of the most unique and profound college Promise Programs in the country.”

What about scholarships?

Lowery-Hart said that some Promise Programs ― scholarship programs that offer local recent high school graduates in a specific area free tuition ― are Last-Dollar Programs, which cover any remaining tuition costs after scholarships are accounted. Conversely, Lowery-Hart's proposal would offer free tuition regardless of other scholarships, allowing students to instead use any accrued financial aid to cover living and other expenses, he said.

“It allows the scholarships that we have already to go further than they go right now,” he said. “That’s really exciting."

'Redefining how our education functions'

Lowery-Hart became ACC's chancellor three months ago. He said transformative action like the one he is proposing is why he accepted the job.

“This community has the resources and the innovation to redefine higher education,” he said. “I think this is the first conversation to that end goal of redefining how our education functions and how we can make ourselves a national model.”

Lowery-Hart said this program, if it's made available to everyone, has the opportunity to help students who are often overlooked, such as those who are 35 and older, and boost Texas' economic engine.

“That doesn't just change their lives,” he said. “It changes the economic power of our entire community.”

Lowery-Hart said officials will reach out to local school districts for their feedback on the proposal. Though he will present a complete proposal to the board at its February meeting, he expects the board to vote on the plan in March.

If you go

The ACC board of trustees meets at the college's Highland Campus, at 6101 Highland Campus Drive in Austin, in building 3000, room 2110.

The work session, which is open to the public, begins at 3 p.m. Feb. 12.

This article originally appeared on Austin American-Statesman: Austin Community College floats proposal for free tuition after HB 8