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Proposed long-term stability and financial aid plan

November 7, 2014

Dear UC Merced students and families,

You might have heard by now about a proposal to implement a new five-year plan for low, predictable tuition increases that will allow students and families at all income levels to budget for the total cost of their UC educations.

The proposal was announced yesterday by UC President Janet Napolitano. If approved by the UC Board of Regents later this month, it would affect all UC campuses, starting with the 2015-16 academic year.

Under the proposed long-term stability plan for tuition and financial aid, tuition and fees could increase by a maximum of 5 percent annually per year over the next five years. That would amount to $612 for the 2015-16 academic year, if implemented.

The amount of the increase will depend on the level of state funding the UC receives each year. Increases could be anywhere from 0-5 percent annually over the course of the five-year period.

Tuition and financial aid this academic year (2014-15) will not be affected.

Fortunately, the majority of our undergraduate students at UC Merced (65 percent) will continue to pay no systemwide tuition or fees as part of the Blue and Gold Opportunity Plan.

In addition, approximately 83 percent of our students who receive need-based financial aid will continue to do so.

The proposal for additional funding – either from state investment or tuition increases – will benefit the state and its students in many ways. It will enable UC to:

  • enroll at least 5,000 more California students over that time;
  • continue UC’s robust financial-aid program which, together with state programs, helps students and families earning up to $150,000 per year;
  • improve the student educational experience by hiring more faculty members to reduce the student-to-faculty ratio, increase course offerings, and provide academic support services to help improve students’ time-to-degree and graduation rates; and
  • maintain tuition at low, predictable levels.

I believe the plan addresses our obligation to students and their families to provide them with the best education possible at the most affordable price. It is predictable and fair, and it allows families to plan ahead.

Students and families should bear in mind that the long-term stability plan is only a proposal at this point.

The UC Board of Regents will consider its merits later this month. In addition, as stated previously, the increase might be lower if the improving California economy allows the state to restore more of the funding it took away from the UC system during the recent recession.

If you have questions about financial aid, please check with our Office of Financial Aid.

Students, I also encourage you to talk with your representatives: Ivan Flores, president, Associated Students of UC Merced; Brandon Stark, president, UC Merced Graduate Student Association; and Jefferson Kuoch-Seng, president, UC Student Association.

I will continue to provide updates as the proposal is considered.

Sincerely,

Dorothy Leland
Chancellor

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