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its recognition of the hardships posed for students by graduating deep in debt. Pasquerella was invited to meet last March with

two of President Obama’s top advisors on education, Zakiya Smith and Roberto Rodriguez. She discussed Mount Holyoke’s historic commitment to access and the decision to confront the issue of rising tuition and fees throughout higher education. Since then the College has committed to a White House effort aimed at encouraging institutions to be more trans- parent regarding loan burdens for students.

Q&A

Pasquerella continues to speak out about how

escalating costs threaten the nation’s ability to educate for democracy. Meanwhile, she recognizes that Mount Holyoke cannot hold down tuition indef- initely. Under her leadership, the College is seeking efficiencies, particularly in partnerships with the rest of the Five College Consortium, to help control costs. “Many colleges commit to attracting and sup-

porting academically talented students regardless of their ability to pay,” said Pasquerella. “Mount Holyoke will continue to lead the way.”

Ben Hammond, vice president for finance and administration, answers some of the most frequently asked questions about the tuition freeze and how it affects the College’s bottom line.

What is the economic impact on MHC for freezing tuition two years in a row? How can MHC absorb that loss of revenue? Since most MHC students receive aid, increasing tuition would not have brought in more revenue from those students. This year MHC is providing $50 million in grant financial aid to approximately 70 percent of our students. The economic impact is therefore limited to the revenue lost from not increasing tuition for full-pay students. However, the president and trustees believe that holding tuition flat is an important investment in ensuring that a Mount Holyoke education remains affordable. As part of the College’s recently adopted Strategic Blueprint, we are working hard to reduce the cost structure of the College as a key part of developing a new, more sustain- able financial model for Mount Holyoke.

How does this freeze affect the amount of financial aid that MHC awards? Traditionally, annual tuition increases have required significant corresponding increases in the need-based financial aid we provide to our students. As the cost of attending goes up, so too does the amount of financial aid we have to provide. By not raising tuition, we avoid the need to increase financial aid even further.

How is tuition set, and how many years at a time? Will MHC go for a third year? Tuition is set annually by the board of trustees, usually at the February meeting. This year, the trustees voted to hold tuition flat at the October meeting. Given that MHC’s costs increase like those of most other goods and ser- vices in the economy, it is clear that holding tuition flat is not something the College can afford to do indefinitely.

What will happen when MHC raises tuition in the future? Will there be a catch-up increase at that time? The College is committed to containing the cost of higher education. The current economic model of increasing tuition significantly in excess of the rate of inflation (as MHC has itself done for the past decade) is unsustain- able. No such catch-up increase is anticipated.

Why doesn’t the College just admit more full-pay students? Since the financial crisis, virtually all families have been making difficult choices about how and how much to pay for college. The sticker price of Mount Holyoke is now $53,596, which makes us among the most expensive colleges in the country. The issue of affordability isn’t one solely for students with financial need. Mount Holyoke is leading the way as colleges and universities strive to contain costs to make higher education affordable and accessible for all.

In FY13, approximately 70% of students received $50 million in financial aid. | 5

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