News Release
September 22, 2005
Lumina Foundation Focus magazine addresses issues of rising college costs
Dreams Detoured: Rising college costs alter plans and threaten futures
INDIANAPOLIS—The rising cost of college is a complex and critical problem, not just for students and families, but also for officials and policy-makers in nearly every state. The latest publication from Lumina Foundation for Education tackles the college cost issue head on, exploring the problem from the varied perspectives of students, administrators and policy-makers.
Written by noted education journalist and Columbia University instructor Steve Giegerich, the Fall 2005 issue of Lumina Foundation Focus magazine analyzes the interrelated factors that contribute to the college cost problem, including: the decline of state funding, the inability or failure of families to save for college, and the diminishing effect of the Pell grant.
During the past 10 years, tuition and fees have risen 51 percent at public four-year institutions, 36 percent at private four-year colleges, and 26 percent at two-year colleges, according to the College Board's Trends in College Pricing, 2004.
Though rising college costs affect all students, they hit low-income students hardest. For a low-income family, the average bill for attending a four-year public institution in 2001-02 represented nearly 60 percent of income, up from 42 percent in 1971-72, according to America's Untapped Resource: Low-Income Students in Higher Education. During the same time period, the comparable percentage for high-income families actually dropped from 6 percent to 5 percent.
Also, data from the College Board show that, despite increases in funding for the federal Pell grant program to aid low-income students, the purchasing power of these grants has declined significantly. Because of rising costs and greater student demand, Pell grants covered only about 23 percent of the total charges at four-year public institutions in 2003-04, down from 35 percent in 1980-81.
"At Lumina Foundation, we are committed to increasing student access and success in education beyond high school," said Martha D. Lamkin, Lumina Foundation president and CEO. "Clearly, finding ways to reduce the rising cost of college is a vital part of fulfilling that mission."
This issue of Lumina Foundation Focus magazine is just one aspect of a larger initiative under way at Lumina Foundation, College Costs: Making Opportunity Affordable. As part of the initiative, and in partnership with the James B. Hunt Jr. Institute for Educational Leadership and Policy, the Foundation has invited hundreds of stakeholders to attend a national summit on November 2, in Washington, D.C.
"It is our hope that the summit—and this issue of Lumina Foundation Focus magazine—will help stimulate a national dialogue that leads to innovative and lasting solutions to the college cost crisis," said Lamkin.
A newly developed Web site is devoted to the issue, www.collegecosts.info. Sign up to receive news alerts on the topic.
About Lumina Foundation
Lumina Foundation for Education, an Indianapolis-based, private, independent foundation, strives to help people achieve their potential by expanding access and success in education beyond high school. Through grants for research, innovation, communication and evaluation, as well as policy education and leadership development, Lumina Foundation addresses issues that affect access and educational attainment among all students, particularly underserved student groups, including adult learners. The Foundation bases its mission on the belief that postsecondary education remains one of the most beneficial investments that individuals can make in themselves and that society can make in its people.
For more information, contact Dollyne Sherman (dsherman@luminafoundation.org), director of communication, Lumina Foundation for Education, at 317.951.5493
