Tennessee Education Lottery Scholarship Program Annual Report Tennessee Higher Education Commission Winter Quarterly Meeting 25 January 2007

Tennessee Education Lottery Tennessee Education Lottery Scholarship Program Scholarship Program

Annual Report Annual Report

Tennessee Higher Education Commission


Winter Quarterly Meeting

25 January 2007

“…provide assistance to the general assembly and to the Tennessee Student Assistance Corporation (TSAC) by researching and analyzing data concerning the scholarship and grant programs created under this part, including, but not limited to, student success and scholarship retention. THEC shall report its findings annually to the education committee of the senate and the education committee of the house of representatives before the second Tuesday in January.”


Statutory Charge


Tennessee Education Lottery ScholarshipInitial Eligibility Criteria, 2006-07

HOPE (base)

General Assembly

Merit Scholarship

ASPIRE (HOPE

with need supplment)

Access Award

Wilder-Naifeh Technical

Skills Grant

Amount (4-yr.) $3,800 $4,800 $5,300 $2,650 N/A

Amount (2-yr.) $1,900 $2,900 $3,400 $1,700 $1,500

Minimum High School GPA

3.00 3.75 3.00 2.75 N/A

Minimum ACT Composite

or 21 and 29 or 21 and 18-20 N/A

Family Adjusted Gross Income

N/A N/A$36,000 or

less$36,000 or less

N/A


Scholarship Recipients and Dollars Awarded2004-05 and 2005-06

Students Dollars Students Dollars

HOPE (including GAMS & ASPIRE)

31,272 $86,650,189 40,275 $126,345,913

Access Award 108 $152,560 265 $490,294

Wilder-Naifeh Technical Skills Grant

8,815 $6,613,273 10,023 $7,860,163

Foster Child Grant n/a n/a 30 $88,245

Dual Enrollment Grant n/a n/a 5,465 $2,060,356

Total 40,195 $93,416,022 56,058 $136,844,971

2004-05 2005-06

• 2006-07 estimate = $172 Million

• 2007-08 estimate = $211 Million


Distribution of Scholarship Recipients by Family Income(All Award Types*)

25%

33%

41%

25%31%

44%

24%29%

47%

0%

10%

20%

30%

40%

50%

60%

$36,000 or less $36,001 - $72,000 $72,001 andmore

Fall 2004 Fall 2005 Fall 2006

* HOPE, GAMS, ASPIRE, and Access.

Male Students as a Percentage of Scholarship Recipients

(All Award Types*)

44% 42%43% 41%43%39%

0%

20%

40%

60%

80%

100%

First-Time FreshmanTELS Recipients

All TELS Recipients



Males have consistently represented 43-44% of freshman scholarship recipients since the program’s inception. Scholarship retention rates that lag those of females have contributed to a gradual decrease in male representation among all awardees as the program matures.



Caucasian Students as a Percentage of Scholarship Recipients

(All Award Types*)

84% 85%84% 86%83%87%

0%

20%

40%

60%

80%

100%


All TELS Recipients

Fall 2004 Fall 2005 Fall 2006Caucasian students have consistently represented 83-84% of freshman scholarship recipients since the program’s inception. Scholarship retention rates exceeding those of other student groups have contributed to a gradual increase in Caucasian representation among all awardees as the program matures.


African-American Students as a Percentage of Scholarship Recipients

(All Award Types*)


11% 10%10%9%

11%

8%

0%

5%

10%

15%

20%

25%


All TELS Recipients

Fall 2004 Fall 2005 Fall 2006 African American students have consistently represented 10-11% of freshman scholarship recipients since the program’s inception. Scholarship retention rates lagging those of other student groups have contributed to a gradual decrease in African American representation among all awardees as the program matures.



Fall 2006 Freshmen1 by Race/Ethnicity

All First-Time Freshmen

18.1%

76.4%

5.5%

Caucasian

African-American

Other

First-Time Freshmen on Lottery Scholarship2

11.5%

83.0%

5.5%

1. Public institutions only; Tennessee residents age 19 or younger enrolled Fall 2006 as first-time freshmen.

2. First-time freshmen receiving HOPE, GAMS, ASPIRE, or Access awards.


Distribution of Scholarship Recipients by Postsecondary Sector

(All Award Types*)

62%

21%17%

63%

20%17%

67%

15%18%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Public 4-Yr Public 2-Yr Independent




Percent of Fall 2006 Freshmen Attending on a Lottery Scholarship

Students of Any Race/Ethnicity

* Tennessee resident first-time freshmen who were 19 or younger; public institutions only. HOPE, GAMS, ASPIRE, and Access awards only.

68.7%

86.6%82.1%

45.9%

TN PublicHigher Ed Total

UT TBRUniversities

CommunityColleges

69 percent of Fall 2006 freshmen in public institutions attended on a lottery scholarship. The percentage of students on scholarship was higher at universities than at community colleges.



Caucasian Students


74.6%

89.7% 88.2%

54.0%


UT TBRUniversities

CommunityColleges

75 percent of Caucasian freshmen in public institutions attended on a lottery scholarship.



African American Students


43.6%

69.0%61.4%

10.7%


UT TBRUniversities

CommunityColleges

44 percent of African American freshmen in public institutions attended on a lottery scholarship.



Students of Other Race/Ethnicity


69.0%

88.4%84.1%

39.7%


UT TBRUniversities

CommunityColleges

69 percent of public college freshmen from other racial/ethnic backgrounds attended on a lottery scholarship.


Academic Preparation

Qualification Standards Met by Fall 2005 First-Time Freshman TELS Recipients

59%

26%

15%

0% 20% 40% 60% 80%

Met ACT StandardOnly

Met High SchoolGPA Standard Only

Met Both HighSchool GPA and ACTStandards

First-time Freshmen Scholarship Retention Rates by Award Type

50%

90%

40%

23%

49%50%

87%

17%

50%44%

0%

20%

40%

60%

80%

100%

HOPE GAMS ASPIRE ACCESS Total

Fall 2004 to Fall 2005 Fall 2005 to Fall 2006


First-time Freshmen Scholarship Retention Rates

by Initial Postsecondary Sector

51%

39%

58%

49% 50%

35%

53%64%

0%

20%

40%

60%

80%

100%

Public 4-Yr Public 2-Yr Independent Total

Fall 2004 - Fall 2005 Fall 2005 - Fall 2006


Note: All Award Types

First-time Freshmen Scholarship Retention Rates by Family Income

Fall 2005 to Fall 2006

42% 44%49%

53% 55% 57% 59% 61% 63%

$12,000 andbelow

$12,001 -$24,000

$24,001 -$36,000

$36,001 -$48,000

$48,001 -$60,000

$60,001 -$72,000

$72,001 -$84,000

$84,001 -$96,000

over$96,000


Scholarship Retention Rates Fall 2005 First-Time Freshman TELS Recipients


66%

42%

23%

0% 20% 40% 60% 80%

Met ACT StandardOnly

Met High SchoolGPA Standard Only

Met Both HighSchool GPA and ACTStandards

Fall 2004 TELS First-Time Freshmen: Continued Enrollment in Subsequent Fall Terms,

by Original Award Type

Returned Fall 2005

48.2%

49.4%

89.0%

40.0%

24.8%

33.4%

34.7%

34.1%

38.6%

18.4%

15.9%

25.9%

36.6%

7.4%3.6%

Total

HOPE

GAMS

ASPIRE

Access

with TELS w/o TELS Did Not Return


Fall 2004 TELS First-Time Freshmen: Continued Enrollment in Subsequent Fall Terms,

by Original Award Type

Returned Fall 2006

35.2%

36.4%

83.8%

26.0%

9.0%

37.8%

39.8%

10.3%

36.9%

38.0%

27.0%

23.8%

37.1%

53.0%

5.9%

Total

HOPE

GAMS

ASPIRE

Access

with TELS w/o TELS Did Not Return



Fall 2004 TELS First-Time Freshmen: Began at a Public Institution, Lost Scholarship, but Remained Enrolled Fall 2005

41%

44%

32%

24%

27%

32%

0% 20% 40% 60% 80% 100%

Fall 2005

Fall 2004

TBR 4-Yr TBR 2-Yr UT


47%

45%

17%

21%

34%

34%

0% 20% 40% 60% 80% 100%

Fall 2005

Fall 2004

TBR 4-Yr TBR 2-Yr UT

Fall 2004 TELS First-Time Freshmen: Began at a Public Institution, Retained Scholarship, and Remained Enrolled Fall 2005

Fall 2005 TELS First-Time Freshmen: Who Lost Scholarship But Remained Enrolled Fall 2006, by Family Income


59% 60% 60%63% 62%

66%70% 71%

76%

$12,000 andbelow

$12,001 -$24,000

$24,001 -$36,000

$36,001 -$48,000

$48,001 -$60,000

$60,001 -$72,000

$72,001 -$84,000

$84,001 -$96,000

over$96,000


Indicators of Academic Preparation and Incomefor Fall 2005 First-time Freshman

Scholarship Recipients

ACT GPA AGI

Lost Scholarship

21.7 3.15 $54,108

Retained Scholarship

23.8 3.50 $67,733

Lost Scholarship and Stayed

21.7 3.17 $58,194

Lost Scholarship and Left

21.8 3.14 $48,395Note: ACT and GPA scores are averages and AGI is median.


Summary• Program is still maturing; Fall 2006 represents only the 2nd year

with consistent academic criteria for eligibility and retention

• Half of Fall 2004 first-time freshmen lost the award after one year in college; 2/3 after two years

• 82% of those first-time freshmen returned for their second year of college, either with or without the scholarship

• Among TELS forfeiters, 64% came back anyway, though this varied by sector, family income, and the level of high school academic preparation

• Among TELS forfeiters, stayers and leavers are similar in terms of high school academic performance, but they differ on family income

• Those who forfeit the scholarship but stay enrolled are more likely to migrate to a community college

Documents

Tennessee Education Lottery Scholarship Program Annual Report Tennessee Higher Education Commission Winter Quarterly Meeting 25 January 2007