Handbook of Operating Procedures > Series 400 Budget, Finance and Operations > 4.7.1 Tuition and Fee Policy: Granting of Waivers, Exemptions, Institutionally Funded Tuition and Fee Discounts and Tuition Reductions

4.7.1 Tuition and Fee Policy: Granting of Waivers, Exemptions, Institutionally Funded Tuition and Fee Discounts and Tuition Reductions

All tuition, fees, rates, and charges of The University of Texas at Tyler and The University of Texas Health Science Center at Tyler, collectively, the “University,” are charged and collected under specific authorization of the laws of the State of Texas, including, but not limited to, the authorization in Texas Education Code Section 54.008, §54.051, §54.0513, §54.504, §55.16, and other applicable sections.

The University of Texas System (UT System) Board of Regents has delegated to the University President (Regents Rule 40401: Assessment, Collection, Delegation, and Waiver of Tuition, Fees, and Charges) the authority to assess and collect tuition and fee charges, as well as to establish certain fee charges and grant exemptions and waivers from tuition and fees and other charges in accordance with state laws, including, but not limited to, Texas Education Code Section 54.218, §54.5035, and §54.0513.

Tuition and fee information is published in the Academic Catalogs.  All tuition and fees are subject to change by action of the Texas Legislature and/or the UT System Board of Regents. Certain fees are subject to change by student referendum.

A. Purpose 

The purpose of this policy is to establish the University’s roles and responsibilities in administering actions related to granting tuition and fee waivers and exemptions as well as institutionally funded tuition and fee discounts, and reductions. 

B. Person Affected

This policy applies to University administrators, faculty, and staff.

C. Definitions 

1. Tuition: The University charges three different types of tuition and publishes those tuition rates online, on the University’s website (links to Health and Academic Tuition and Fee public pages).
   1. Statutory Tuition is authorized under Texas Education Code §54.051 for undergraduate students and is a mandatory amount set by the state.
   2. Board Authorized Tuition is authorized under Texas Education Code §54.008 for graduate programs and the rate is set by the Board of Regents. Texas Education Code §54.008 authorizes institutions to set tuition at rates not more than twice that of undergraduate tuition.
   3. Designated Tuition is authorized under Texas Education Code §54.0513 for undergraduate and graduate students and is set by the Board of Regents. It is the amount the Board of Regents considers necessary for the effective operation of the institution. Rates vary between undergraduate and graduate students.
2. Fees: Fees are assessed by the University as authorized by the UT System Board of Regents and State statute in support of academic course delivery and related student services. 
   1. Mandatory fees are assessed for University-related services available to students. Explanations of Fees, including amounts, are published on the University’s website (link).
   2. Instructional fees vary by course and fall into two fee categories. Explanations of Fees, including amounts, are published on the University’s website (link).
   3. Academic fees are authorized under Texas Education Code §54.504. They are assessed at the college/school level based on the estimated costs of goods and services related to instruction at the college/school level.
   4. Laboratory Fees are authorized under Texas Education Code §54.501. They are only applicable to courses which require students to register for a laboratory section. Laboratory fees are collected to cover the cost of materials and supplies used by students in the laboratory.
   5. Incidental and Other Non-Mandatory (Other Fees): explanations of Fees, including amounts, are published on the University’s website (link).
3. Waiver:  the reduction of non-resident tuition rates to resident rates. 
4. Exemption: the reduction or elimination of tuition and/or fees for a student to which the exemption applies. 
5. Institutionally Funded Tuition and Fee Discount/Tuition Reduction:  the University relies upon scholarships from many sources: operating funds, endowment, as well as grants and contracts ("tuition discounts" as defined by generally accepted accounting principles) to attract and retain high quality students and also to meet goals of attracting and retaining a diverse student body. These discounts on tuition and fees are funded in the University's approved budget.

D. Policy

1. Waivers and Exemptions
   1. Pursuant to the Texas Education Code §54.545, and UT System Rules and Regulations of the Board of Regents Rule 40401, granting of any and all exemptions and waivers from tuition, fees, and other charges for academic programs requires the President’s approval.
   2. The University shall apply exemptions and waivers for tuition and fees based upon applications and supporting documents that  meet the criteria of the exemption or waiver pursuant to Chapter 54, Subsection D of the Texas Education Code.
2. Institutionally Funded Tuition and Fee Discount/Tuition Reduction Programs
   1. The University recognizes that increasing the average semester credit hour course load and improving the retention and graduation rate of students enrolled in the University, as well as attracting qualified students may be beneficial to the University and enhance the University’s ability to fulfill its mission. 
   2. Granting of any and all tuition and/or fee discounts for academic programs requires the President’s approval. 
   3. Additionally, any reductions of tuition, as may be appropriate per §54.010 of the Texas Education Code, requires the President’s approval.
3. The President may expressly delegate the waivers of specific incidental and non-mandatory fees to the Executive Vice President of Academic Affairs/Provost and the Executive Vice President of Health Affairs/Vice Provost.   

E. Responsibilities 

1. The Senior Vice President for Finance/Chief Financial Officer, Senior Vice President for Business Affairs/Chief Operating Officer, Academic Affairs, and Senior Vice President for Business Affairs/Chief Operating Officer, Health Affairs provide management oversight on the waivers, exemptions, institutionally-funded tuition and fee discounts, and tuition reduction programs that may be available to students. 
2. Deans may develop a recommendation of an appropriate University program tuition and fee discount or reduction amount, relying upon input from Enrollment Management, Financial Aid, Finance, Budget, and other areas, as appropriate. This recommendation is submitted to the Executive Vice President of Academic Affairs/Provost, Executive Vice President of Health Affairs/Vice Provost, Senior Vice President for Finance/Chief Financial Officer, Senior Vice President for Business Affairs/Chief Operating Officer, Academic Affairs, and Senior Vice President for Business Affairs/Chief Operating Officer, Health Affairs for approval.  
3. Any new tuition and fee exemptions, waivers, discounts and reductions must be approved by the President. 
4. It is the responsibility of Financial Aid and Scholarships to appropriately assign/award the approved exemptions, waivers, discounts, and reductions to the student and ensure the amounts are accurately considered in cost of attendance and need calculations.
5. It is the responsibility of Student Business Services to ensure all approved exemptions, waivers, discounts, and reductions are recorded correctly on the student’s account.
6. It is the responsibility of Accounting and Financial Reporting Offices to ensure all approved exemptions, waivers, discounts, and reductions are recorded correctly on the University’s financial statements. 
7. It is the responsibility of the Budget Offices to ensure all approved exemptions, waivers, discounts, and reductions are appropriately considered and reflected in the University’s annual operating budget.  

F. Review 

The Divisional Head for this policy is the President.  This policy shall be reviewed every five years or sooner, if necessary, by the following stakeholders:

1. President
2. Executive Vice President of Academic Affairs/Provost
3. Executive Vice President of Health Affairs/Vice Provost
4. Executive Vice President/Chief Business Officer
5. Senior Vice President for Finance/Chief Financial Officer
6. Senior Vice President for Business Affairs/Chief Operating Officer, Academic Affairs
7. Senior Vice President for Business Affairs/Chief Operating Officer, Health Affairs

G.  Relevant Federal and State Statutes

Texas Education Code Section 54.008 – Tuition Rate Set by Governing Board

Texas Education Code Section 54.010 – Reduction in Tuition 

Texas Education Code Section 54.051 – Tuition Rates

Texas Education Code Section 54.0513 – Designated Tuition

Texas Education Code Section 54.218 – Distance Learning or Off-Campus Courses; Optional Waiver

Texas Education Code Section 54.501(a) – Laboratory Fees

Texas Education Code Section 54.5035 – Waiver of Fees

Texas Education Code Section 54.504 – Incidental Fees

Texas Education Code Section 55.16 – Board Responsibility (Rental Rates)

H. Relevant System Policies

Regents’ Rules and Regulations, Rule 40401 – Assessment, Collection, Delegation, and Waiver of Tuition, Fees, and Charges