CHAPEL HILL — The Board of Governors for the University of North Carolina system is capping tuition increases at 5 percent annually for each campus while also capping the amount of tuition that can go back to financial aid.
The board on Friday approved a pair of measures. The first capped tuition increases, while the second limits the amount of tuition revenue diverted to financial aid at 15 percent, according to WTVD.
If a campus exceeds the 15 percent cap, the amount of financial aid would be frozen until it falls back below 15 percent of tuition income. Board members say both North Carolina State University and UNC Chapel Hill are now above 15 percent.
Board Chairman John Fennebresque said members were aware chancellors at some of the state’s colleges weren’t happy with the decision.
“Even if we do some things that irritate you, where you think we are flat wrong — we are doing the best we can, and we appreciate you and love you very much,” Fennebresque said.
UNC Chapel Hill Chancellor Carol Folt said she doesn’t want to force students to take out more loans and hopes the board can find creative solutions to fund financial aid at schools that exceed the 15 percent cap.
Folt sought to quiet criticism that tuition increases have paid to help low-income students. She says the median family income for students receiving financial aid in the university system is about $60,000 a year.
The board also on Friday named 53-year-old Mary Grant the next chancellor of the University of North Carolina at Asheville. She has been president of the Massachusetts College of Liberal Arts since 2002 and will take over in Asheville in January, replacing Anne Ponder.