The UNC Board of Governors voted to cap on the amount of tuition revenue that can be spent on financial aid to 15 percent and limited the amount that universities within the system can increase tuition annually to no more than 5 percent on Aug. 1. 

If the number of students requiring aid and the amount of aid needed remain the same for the 2015-2016 academic year, about half of the undergraduate population at NC State would experience some additional unmet financial need, according to Krista Domnick, director of the Office of Scholarships and Financial Aid.

The required caps will take effect in 2015 for all UNC-System schools, including NC State, and will influence the amount of financial aid that the university can provide for its students.

“NC State is currently exceeding the 15 percent cap,” Domnick said.  “So while current funding levels will not be reduced, additional funds cannot be set aside for need-based financial aid.” 

Because NC State currently spends more than 15 percent of tuition revenue on financial aid for students, the plan will require the university to limit the amount of money spent on need-based aid to the current tuition levels. 

Domnick said it is difficult to predict how many students exactly will be affected by this cap and how much money will no longer be awarded because the required changes will not take effect until the next academic year. 

In 2013-2014, about 69 percent of students applied for financial aid and 53 percent demonstrated financial need, according to Domnick.

Through this proposal, tuition increases with each university will not be allowed to exceed 5 percent annually. Though the price of tuition and room and board may increase, additional financial aid will not be available to help in covering those additional costs.

“It will not be more difficult to access aid, but the amount awarded will not go as far as it might have in prior years,” Domnick said.

NC State students receiving financial aid could feel the effect of this cap as early as next year.

Nate Bridgers, a sophomore in accounting and a student senator at NC State, said the Student Senate will be discussing tuition rates with the vice chancellor in September.

“As a student who is already having to take out loans to help pay for my own tuition and fees, I plan to help however I can to keep tuition as low as possible,” Bridgers said.

The potential for a tuition increase without an accompanying increase in financial aid could result in students taking additional student loans.

“I would probably have to take out more loans to make up the difference,” said Rhiannon Crisp, a sophomore in polymer and color chemistry. “Having more loans would create more stress for me even after I graduate.”

Domnick said the lack of available financial aid could require students to use more of their personal earnings and to plan more strategically to pay for college expenses.

“The most important thing students can do to contain their costs is to ensure they graduate on time,” Domnick said. “Extending the time to degree is very costly for students and also puts more pressure on the need-based grant resources because more students are still in the pipeline.”

Domnick said the university offers a payment plan to help students figure out how to spread their balances out and pay them over time.

“Students should calculate their specific costs and compare to their grants, scholarships and earnings set aside for college before determining the amount of loan funding they will use,” Domnick said.

Paige Hiller, a sophomore in accounting and an out-of-state student, said she would consider looking at other schools depending on how much extra she would have to pay.

“I would probably pick somewhere closer to where I live if there was a huge difference in cost for me,” Hiller said.

Dominick said the Office of Scholarships and Financial Aid is working to develop resources to potentially help students manage expenses after they graduate.

“We hope to have information about these new tools available very soon,” Domnick said.