House committee approves minimum tuition bill

PHOENIX - A state House committee has approved a bill that will make thousands of Arizona university students dig a little deeper into their pockets to pay for school.

The legislation would require full-time students to pay at least $2,000 each year toward their tuition at a state university.

Students would not be able to use university-provided grants, scholarships or tuition benefits to pay the minimum share.

Supporters say the measure will ensure taxpayers are not subsidizing university educations for students who haven't earned them.

Critics say it will hurt the neediest students and create more barriers to achieving a higher education.

The state auditor general's office reports that nearly half of the in-state resident undergraduate students paid no tuition or mandatory fees in the 2009-2010 school year because of scholarships, grants or other financial aid gifts.

When Arizona State University President Michael Crow mentioned that fact during a legislative hearing last year, it caught the attention of Rep. John Kavanagh of Fountain Hills, who sponsored this year's bill.

If more students invested their own money in their education, they would have a greater incentive to stay in school and dropout rates at the universities would be lower, Kavanagh said during a House Appropriations Committee hearing Wednesday.

"Not everyone, but some people take things they get for free less seriously," Kavanagh said during the hearing.

The bill has exemptions for athletic scholarships and grants awarded solely on academic merit or a competitive program. It also exempts tuition reimbursements provided by an employer.

Kavanagh said he plans to make further changes to the proposal, including an exemption for students who, in some cases, cannot live at home while attending college.

The bill still allows universities to give "unearned" scholarships to need-based students, he said, but those students have to come up with $2,000 on their own.

Students could cover that with any outside scholarship or grant, or even work-study programs, he said.

Kavanagh also said the bill will help public universities by freeing up money to use in other ways.

"Why are all the universities registered in opposition today if this is such a great plan for the university system?" asked Rep. Chad Campbell, a Phoenix Democrat.

In addition to the three public universities, about 100 students registered their opposition to the bill.

Christine Thompson, a lobbyist for the Arizona Board of Regents, said the information legislators were using to justify the bill was "flawed," because the students paying no tuition had earned their awards on merit, athletic skill or some other program.

"As far as we can tell, there are no students who are receiving a full ride on tuition out of just need-based dollars," Thompson said.

Tuition and fees for the 2009-2010 school year for full-time undergraduates ranged from about $6,100 to $6,800, but the average amount paid by students was about $2,500 after scholarships, grants and other gifts, according to the report released last September by the auditor general.

The report also found that more than half of all students graduating with a bachelor's degree in that school year were graduating with debt, with the average amount around $19,946.

"I'm very concerned that we're asking students to further mortgage their futures," said Rep. Lela Alston, a Phoenix Democrat.

Brianna Pantilione, an Arizona State University student, told lawmakers that the bill would force students to take out more loans, and lawmakers should consider the entire cost of attending a university.

"There's way more to going to college than just tuition," Pantilione said.

The House Appropriations Committee approved the bill 7-6 on Wednesday, with two Republicans joining Democrats to oppose it. Several Republicans who voted for the bill expressed concerns about it, but said they hoped they would be addressed at a later time in the legislative process.

The bill must pass through another committee before it goes before the full House for a vote.

Lawmakers supporting the bill argued that the minimum contribution would ensure students have "skin in the game."

Rep. John Fillmore, a Republican from Apache Junction, said giving students "the opportunity" to spend $2,000 on their own education is "by far one of the most valuable things that I can see coming out of this year."

Critics argued it is offensive to assume students aren't committed to their education and by adding another financial obstacle, it will only be more difficult for them to stick it out.

"We should be reducing barriers to education, not putting them up," Campbell said.