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Tuition Set Aside

Passed in 2003 by the Texas Legislature, House Bill 3015 deregulated tuition and enacted requirements that all public universities set aside a certain amount (up to 20%) of every student’s tuition each semester in order to fund needs-based financial assistance programs for other Texas residents. After passage of an amendment (Sec. 56.014) in 2009, universities were then required to send notification of this practice to impacted students.

In the spring semester of 2010, students of Texas colleges began receiving notices from their respective universities that a portion of their tuition (15% for undergraduate and 15% for graduate students) had been “set aside” for needs-based financial assistance programs for Texas residents as required by the Texas Education Code (Sections 56.01; 56.012, 56.014, and 56.465).

Frequently Asked Questions

What is tuition set aside?

Tuition set aside is the portion of tuition paid by resident students (those classified as citizens of the State of Texas) that is “set aside” and dedicated to provide need-based financial aid to students.

Why are these funds being set aside?

UHCL is required by law to set aside a portion of tuition charged to a resident student. See Texas Education Code Sections 56.011 and 56.012

How much of my tuition is set aside?

Fifteen percent (15%) per credit hour of designated tuition in excess of $46.00 per credit hour for an undergraduate resident and fifteen percent (15%) per credit hour of designated tuition in excess of $46.00 per credit hour for a graduate resident are set aside.

Is the same amount set aside from everyone’s tuition?

The amount set aside from a particular student’s tuition varies, based on the number of credit hours in which a student is enrolled and the student’s enrollment level.

Is the student charged extra?

No, by state law, UHCL is required to put a portion of the tuition that state residents pay into a fund to support financial aid to students. The amount for each student is determined by detailed calculations based on specific credit hour enrollments. The amount being set aside for this fund does not require any students to pay any additional cost for tuition and fees.

How is this money used? Can a student use it?

Examples of the financial assistance funded from tuition set asides include grants, scholarships, work study programs, student loans, student loan repayment assistance and more. To be eligible for assistance, a student must establish financial need in accordance with rules and procedures established by the Texas Higher Education Coordinating Board.

Priority is given to students who meet the coordinating board definition of financial need and whose cost for tuition and required fees is not met through other non-loan financial assistance program. In order to be considered for need-based aid, you must complete a Free Application for Federal Student Aid (FAFSA). For steps on how to apply for and receive financial aid, visit UHCL Student Financial Aid Office.

Will this affect my financial aid opportunities as a student?

No, tuition set aside does not affect the financial aid given to a student nor does it guarantee that student will receive aid. Financial Aid will still be determined on a case-by-case basis, and it’s based on the information you provide in your Free Application for Federal Student Aid and aid eligibility as determined by the UHCL Student Financial Aid Office.


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