The University of California at Berkeley announced on Wednesday a new financial-aid program that officials said was designed to make the university more affordable to middle-income families.
The university already offers strong financial aid to low-income students, officials said. But with the university's tuition rising to help make up for shortfalls in state appropriations, affording Berkeley has become more challenging for middle-income families.
"This program is necessary and consistent with everything we stand for as an institution," said Robert J. Birgeneau, the university's chancellor.
In-state students at Berkeley whose families make up to $80,000 a year already have their tuition covered with grant aid through a systemwide program. The university's new Middle Class Access Plan will cap the parental contribution to the full in-state cost of Berkeley for students whose families make $80,000 to $140,000 at 15 percent of their income. Aid recipients will also be expected to make a student contribution, regardless of income.
The new program, which is expected to cost $10-million to $12-million a year and affect some 6,000 students, will be available to both in-state and out-of-state students, but the program will not cover the supplemental tuition required of out-of-state students.
The program will be available to both new and returning students starting in the fall of 2012. It will provide support to some families who were not previously eligible for financial aid at the university, so officials are encouraging everyone in that income band to file a Free Application for Federal Student Aid.
While some wealthy private institutions, including Harvard University, limit the share of income that families are expected to contribute toward college, Berkeley officials believe that it is the first public university to make such a move. Public universities' affordability programs tend to focus exclusively on low-income students, though the University of Virginia does cap the need-based loans it offers to all aid recipients.
Berkeley's announcement is surprising given the state's difficult—and worsening—financial situation. The university plans to pay for its new program by redirecting tuition revenue, but also hopes the program will catch the eye of donors.
