North Carolina Newspapers is powered by Chronam.
Thursday, September 8, 1983The Daily Tar Heel5
ns and out
of UNC dollars
these advertised items is reauired to be readily available for
or below the advertised price in each A&P Store, except as
ically noted in this ad.
PRICES EFFECTIVE THRU SAT, SEPT. 10 AT A&P IN CHAPEL HILL & CARRBORO
ITEMS OFFERED FOR SALE NOT AVAILABLE TO OTHER RETAIL DEALERS OR WHOLESALERS
UNC has other sources of income besides tuition
riwjfilS Each of
I f4w" -i-J sale at
By JOSEPH BERRYHILL
The University of North Carolina may exist to benefit
students, but it doesn't depend on them financially.
Tuition and student fees accounted for only 6 percent
of UNC's $365 million income in 1982-83, according to
statistics from the Office of Business and Finance.
"An awful lot of people are keeping this institution
going, and only a small part of that comes from tuition,"
said Donald Boulton, vice chancellor for student affairs.
The relatively small income that UNC gets from tui
tion and fees is no accident though, said Farris Womack,
vice chancellor for business and finance.
"This institution has always viewed tuition as some
thing that must be kept low," Womack said. "This Uni
versity has taken great pride in assuring access on the
basis of talent rather than being concerned with ability to
Womack said this attitude is embodied in North
Carolina's state constitution, which guarantees that the
benefits of the University "as far as practicable, be ex
tended to the people of the state free of expense."
In accordance with the constitution, the state's
General Assembly annually funds almost 40 percent of
The state actually spends an annual average of $4,050
per student in the UNC system, said Wayne Jones,
associate vice chancellor for business and finance.
"Overall, as far as this state is concerned, it has done
an admirable job of supporting higher education,"
Joe Hackney, D-Orange, said the General Assembly
recognizes the importance of funding higher education.
"By and large, the people in the General Assembly
recognize the needs to be met and the benefits to be
derived from the University," Hackney said.
"I think the University is worth every cent the stat
But the state is not the only important source of in
come for UNC.
'By and large, the people in the General
Assembly recognize the needs to be met
and the benefits to be derived from the
University. I think the University is worth
every cent the state spends. 9
Government grants and contracts, which often sup
port research at UNC, account for 18 percent of UNC's
income. Sales and services of educational activities,
which include activities such as the medical and dental
clinics, comprise 15 percent of total income. Sales and
services of auxiliary enterprises which include Uni
versity housing and sales and services of independent
operations which include the Carolina Inn com
prise 16 percent of income.
Private gifts and endowment income account for the
final 6 percent of the University's income. Included in
this percentage are contributions from alumni, Carolina
Annual Giving, which collects the most substantial
overall alumni contribution each year, gave $2.8 million
to UNC during 1982-83.
Jones said the private contributions make the dif
ference between mediocrity and excellence for UNC.
"I think it gives us our margin of excellence, really,"
he said. "We need that support to maintain our stature
nationally and internationally."
Womack said that the percentages which make up the
University's income do not vary much annually.
"The percentages don't change very much," Womack
said. "They can't. You're talking about too much
But administrators agreed that UNC students have an
active role to play at the University, despite their relative
ly small financial contribution to UNC.
"The whole purpose of the University's existence is
students," Womack said.
Boulton said UNC students enjoy a bigger role in ad
ministrative decisions than students at other universities.
"The student's role at this University has been a
strong one since its founding," Boulton said- "The role
that students play in governance at this institution is as
great or greater than any institution I'm aware of."
Fred Schroeder, director of the department of student
life, agreed with Boulton, saying that students at UNC
have an impact on UNC and Chapel Hill.
"Students have made substantial differences in many
ways in the life of the community," he said.
"UNC is unique in the direction of quantity and
quality of student involvement."
UNC Financial Aid Office has alternatives
By LIZ LUCAS
Nearly half of the students at UNC
receive some form of financial aid. But
financial aid is not always easy to get and
students usually must supplement it with
their own money.
Financial aid awarded through the UNC
Student Aid Office is based on a formula
comparing the cost of an education at
UNC about $4,000 a year for in-state
students to what the student's family
The student and family's perception of
their need for financial assistance com
pared to what the formula determines is
the need do not always coincide, said
Eleanor Morris, director of the UNC'Stu
dent .Aid Officer - 'i j?
"Aid has Ibeen sb easily available until
the past few years that families haven't
made plans for financing an education,"
For families who are not so well-prepared
for facing the rising costs of higher
education, the UNC Student Aid Office
matches student need with available
University and federal funds, including
scholarships, grants, loans and work study
jobs, Morris said. During the 1982-83
school year, the office distributed about
$22 million to 9,000 to 10,000 students on
the Chapel Hill campus.
The Guaranteed Student Loan Program
and Pell Grants are applied for separately
from University financial aid.
Financial aid forms, generally filed as
soon after Jan. 1 as possible, determine a
student's financial need by a complicated
process of formulas and are based on the
family's current income-tax form.
Once financial need is ascertained
through filing a form, it is the job of the
Student Aid Office to compile aid
packages for eligible students.
Scholarships and grants
According to the Student Aid Office's
"packaging policy," each eligible student
will get some aid in the form of "gift
Srvhich do not have to be paid back, Morris
said. If the student can be matched with a
scholarship fund, the office will award a
scholarship. If the student cannot be
matched with an existing scholarship, the
aid will be awarded as a grant, she said.
"People still hold the idea that scholar
ships are awarded on merit only," Morris
said. "That's not always true. It's a ques
tion of matching up students with suitable
Students not eligible for scholarships or
grants can borrow money in the form of
loans directly from the University or
through outside lending organizations in
the form of Guaranteed Student Loans.
The Student Aid Office distributes $3
million in loans each year. About $1
million comes from federally funded Na
tional Direct Student Loans. The other $2
million in loans come from money the
UNC Financial Aid Office annually col
lects on outstanding loans.
University-distributed loans usually
carry a 5 percent interest rate.
Morris said that contrary to popular
belief, most National Direct Student
Loans and University loans at UNC are
paid back on time. Loan payment begins
after graduation with a maximum, pay
ment period of 10 years and the typical
monthly payment is about $30.
"We work with borrowers in hardship
cases if we are notified, but we get tough if
we're not notified of difficulty in fulfilling
payments," Morris said. Delinquent cases
are reported to the N.C. attorney general's
office and students may be taken to court,
Guaranteed Student Loans are usually
available to any student whose parents
earn $30,000 or less annually, Morris said.
These loans carry a 7 percent to 9 percent
interest rate which is paid by the govern
ment until the student graduates.
The GSL with about 4,500 recipients
at UNC is the most common form of
financial aid disbursed on the UNC cam-
pus because students do not have to show
documented need for the program, Morris
said. Potential recipients must only show
that their parents make less than $30,000 a
Similar to GSLs are PLUS loans, which
are available to families who make more
than $30,000 annually. These loans are
available to parents of students and to in
dependent undergraduates with a 12 per
cent interest rate. Financial need is not
considered when applying for a PLUS
loan and the parents of a dependent
undergraduate may borrow up to $3,000 a :
year through the program.
Unlike other loans, interest payments on
PLUS loans usually begin within 60 days
after they are received and the payments
on the principal must begin six months
after the time enrollment ends.
Work-study programs offer still another
means of providing financial aid to
students without loan payments to worry
about after graduation.
Students in the work-study program
earn $3.50 an hour working in a University
job often related to their career choice.
Already this fall, the Student Aid Office
has made more awards than at this time
last year, Morris said. "Money is still
available for students but they have to ap
ply to find out if they can qualify."
From page 1
University officials may be worried about
attracting and retaining the highest quality
faculty, but they are pleased with the quality
and diversity of the students who choose to at
Jones said the state's commitment to make
higher education available to all citizens is the
main reason a diversified student body is at
tracted to UNC. He also cited the abundance
of financial aid available at UNC as a reason
for student body diversity.
"When you have a large percentage of
students receiving some form of aid, I think
that indicates that you have a diversified stu
dent body from an economic standpoint," -Jones
Schroeder agreed that low tuition combined
with student aid makes UNC accessible to
students of all economic backgrounds.
"My sense of our student body is that it is
more cross-sectional of the entire socio
economic spectrum than many other univer
sities," he said.
Undergraduate Tuition and Fees at Selected Public Institutions,
Institution and Fees and Fees
University of Texas $ 462 $1,542
University of North Carolina $ 766 $3,128
University of Kansas $1,068 $2,648
University of Maryland $1,332 $3,725.
University of California at Los Angeles $1,368 $4,728
University of Virginia $1,586 $3,766
University of Michigan $2,168 $6,296
Pennsylvania State $2,312 $4,644
plane From page 1
He said no one has the right "without punish
ment" to violate the sovereignty of a foreign
state, adding that Soviet frontiers are "sacred."
Gromyko said the plane did not respond to
directions to land and "tried to escape" with the
result that a Soviet interceptor aircraft "fulfilled
the order of its base to cut short the flight."
Shultz said he was "disappointed" at what he
called the "continued falsehood" contained in
In Washington, White House spokesman
Larry Speakes said the Reagan administration
had "practically irrefutable" evidence that the
Soviet Union should have known the airliner
was a civilian plane. He would not describe the
Flying into Madrid early Friday, Shultz said
that he still planned to meet with Gromyko to
day but that he intended to limit his discussion
to the jumbo jet disaster and U.S. demands for
an apology, compensation and a promise such
an incident won't happen again.
The Soviet press on Wednesday unleashed a
savage attack on the United States and said
Washington had staged an international furor
over the incident.
A cartoon in the Communist Party news
paper Pravda showed President Reagan waving
a banner displaying a Nazi swastika, and a
weekly paper accused U.S. officials of.using the
"recipe" of Nazi propaganda chief Josef Goeb
bels; "Tell lies, tell lies something will stick."
Korean Air Lines Flight 007 was downed over
the Sea of Japan after crossing Soviet territory
on a flight from New York to the South Korean
A Japanese Maritime Agency official,
Hiroshi Kishima, said the number of Soviet
vessels operating in the waters near where the
airliner went down nearly doubled Wednesday,
fueling speculation that the Soviets may have
found something in the area.
The Kremlin first acknowledged Tuesday
night that a Soviet jet had "stopped" Korean
Air Lines Flight 007, but an official statement
said the fighter pilot could not have known the
plane was a civilian airliner and insisted the act
was justified because the jetliner was on a spy
mission over Soviet territory. South Korea and
the United States denied the accusation.
The Soviet arguments failed to appease the
world's airline pilots. Their trade organization,
the 57,000-member International Federation of
Airline Pilots Associations, Tuesday called on
pilots' groups in its 67 member nations to refuse
to fly to Moscow for a period of 60 days.
After the pilots from the four nations agreed
to boycott Soviet-bound flights, the British
pilots association's leaders conferred with
British Airways in hopes of obtaining the
airline's cooperation. A spokesman for British
Airways, which runs four flights to Moscow a
week and one to Tokyo that stops in Moscow,
said the airline had not decided whether to
cancel flights but said passengers should expect
Pilots in West Germany, the Netherlands,
Norway, Sweden and Italy were meeting to con
sider a boycott, and there was little doubt they
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