Planning & Budgeting

May 24, 2013

Georgia State Launches Pilot Program to Help Retain Students

Georgia State University (GSU) has launched an innovative pilot program, called the Panther Retention Grant, designed to help retain and graduate GSU students who drop out of school for financial reasons.  At Georgia State, a diverse public university with over 24,000 undergraduates, administrators have been struggling to raise the undergraduate 6-year graduation rate, which has been below 50 percent for years. This task is complicated by the diversity of the student body–more than 50 percent of students qualify for federal Pell grants, 60 percent are non-white, and 26 percent are adult learners.

In an effort to better understand the root of its low graduation rates, GSU administrators decided to study the students who were dropped from classes for non-payment. They found that the majority of students who were dropped had good grades and owed less than $1,000 on their tuition bill. The university therefore created the Panther Retention Grant—small grants awarded to students who would otherwise be cut due to nonpayment—to bridge the gap on their tuition bill and give students the opportunity to return to school. The grant comes with strings attached—students must complete three online financial literacy modules and fill out a study skills questionnaire to receive the funding.

GSU has already seen promising results. A few years ago, the university provided small grants to 200 students who had been cut for nonpayment to allow them to return to school. The program not only helped retain those students, it also generated more than $660,000 in otherwise forgone tuition revenue. Last year, GSU expanded the program, awarding $600,000 to more than 700 students. GSU hopes its program will demonstrate the effectiveness of targeted, need-based aid in improving graduation rates, particularly for low-income and minority students.

 The University of Washington has long recognized the importance of ensuring affordable education for low-income students with its commitment to Husky Promise. Thirty-three percent of resident undergraduates were eligible for Husky Promise this year, which covers all tuition and fees for resident students who qualify for the Pell Grant or State Need Grant.  This contributes to the UW’s remarkable success in retaining and graduating students: 79 percent of entering freshmen graduate from the UW within six years, one of the highest 6-year graduation rates among public universities in the nation.

To read more about Georgia’s program, check out the Higher Ed Chronicle’s article. For more information about the UW’s commitment to affordable education, please see the Husky Promise website.