Throughout most of his high school career, Taylor Borders saw himself moving away from home and attending the University of Iowa.

But things changed this school year. Banks collapsed and the economy plunged. Unemployment rates jumped as companies cut costs or shuttered their doors. As a result, people tightened their budgets and became more cost-conscious, including Borders.

The Central High School graduate now plans to enroll at Scott Community College for his first two years of school and live at home. It’s something he expects to save him and his family thousands of dollars.

“Moneywise it’s smarter,” Borders said. “It’s less money and you can do about the same things at Scott as you can at (the University of) Iowa.”

Borders is not alone. High school guidance counselors and college officials in the Quad-Cities say more students are opting to attend community colleges instead of four-year schools. The reason for most? Affordability.

The recession has prompted other changes among this year’s graduates, educators and students said.

Many students waited until the last minute to select a school. Interest in private and out-of-state four-colleges dropped. More students applied for financial aid and scholarships to help pay for their education. They also paid closer attention to the terms of the assistance and asked more questions.

In addition, college financial aid offices have dealt with a large increase in families seeking special condition exceptions, which potentially provide students with more financial assistance due to a job loss or salary reduction in their family, among other things. To ease the burden of college costs, some schools have also boosted the amount of scholarship money available for students.

“The economy has definitely made people much more cautious in their decisions,” said Meg Halligan, assistant vice president of enrollment and director of admissions at St. Ambrose University. “Families and students are becoming much more educated about the enrollment process and financing their education. People, regardless of their financial background, are being smart with their money.”

 

Community college expect to see gains

Although they don’t yet have final numbers, officials at Scott Community College and Black Hawk College say they expect enrollment increases this fall. Summer figures already exceed those from last year at both schools.

Academic advisors at Black Hawk have met with significantly more high school graduates than in previous years, said Gene Gardner, interim president of the college. He also expects to see an increase in the number of students who take advantage of the school’s offer for free tuition. To qualify, they must be in the top 10 percent of their high school class.

At Scott Community College, scholarship applications from high school graduates are up 10 percent, while enrollment for summer classes grew by almost 6 percent compared to last year, according to Erin Snyder, assistant director for enrollment management at the Eastern Iowa Community College District.

“We’ve had a lot of parents and students who have indicated with the current credit crisis students are looking at more affordable college options,” Snyder said. “They don’t want to come out of college with a huge amount of debt.”

The Project on Student Debt, an initiative by the Institute for College Access and Success, named Iowa as having the highest average student debt load in the country in its 2007 report, which is its most recent. According to the study, students who graduated from Iowa’s public four-year colleges left with an average debt of $25,904. Those graduating from private four-year schools carried an average $26,936 in debt.

The difference in costs between two- and four-year schools is significant. For example, full-time students at the University of Iowa will pay nearly $19,500 in tuition, fees, room and board, and other expenses. A full-time student at Scott Community College paid almost $9,200 this year, according to figures from the two schools.

“Students feel the two-year school is something they can afford,” said Amy Wine, a guidance counselor at North High School in Davenport. “They can live at home and some are able to work while they go to school. They feel that it’s easier to handle than the leap to the four-year college with the tuition costs.”

Being able to live at home and work while going to school are two of the biggest reasons Jonathan Marler said he plans to attend Black Hawk College. Marler has lived alone in his mother’s house during the last part of his senior year because his mom got a job in Florida. The family is trying to sell the house, which means Marler is responsible for its upkeep, along with chores such as taking care of the dog and his laundry. He also works part-time at Quizno’s to help pay the bills and buy groceries.

“Right now, the plan is to go to Black Hawk,” Marler said. “I can get an associates degree there and then move on. .. It allows me to help us get better situated.”

 

Private colleges take a hit

Although Elmhurst College near Chicago was Allie Corbin’s first choice of schools, it’s not where the Central High School graduate will attend this fall.

Elmhurst College, a private, four-year school, attracted Corbin because of its location near a big city, small campus and pre-medicine program. But its price tag of almost $39,000 a year was a deal-breaker. Instead, she opted for Iowa State University, which was more affordable.

“At first I was pretty upset about it,” Corbin said. “But now I’m pretty excited. ...With the economy, it’s hard on my parents. (The cost of college) is more of a worry than it was when my brothers and sisters went. If you don’t qualify for financial aid, people will take out loans. There are only a number of those they can give out. The interest rate goes up and it’s just harder on them.”

High school guidance counselors say noticeably fewer students this year looked at private colleges because of the higher cost.

St. Ambrose University officials said they also have noticed the change. Applications are down for next school year. And it looks like the string of nearly a decade of recording breaking enrollment will come to an end this year, according to current figures.

Halligan, who oversees admissions at St. Ambrose, said the school has, however, already met its fall enrollment target of 540 for its freshman class.

To help them better afford the college, St. Ambrose added $200,000 to the more than $5 million it will hand out in scholarships for first-year students, said Jamie Loftus, the school’s vice president for enrollment and student services.

The economy “has made us more aggressive in terms of reaching out to perspective students,” Loftus said. “It’s made us better planners and heightened our awareness that folks are concerned.”

Officials at the University of Iowa say they expect to gain some of the students who were limited by the cost of either private or out-of-state colleges. However, it also means the school could see a drop in nonresident students, said Michael Barron, assistant provost for enrollment services and director of admissions.

Also, the school anticipates more students taking part in a 2 Plus 2 Plan offered at Iowa colleges. The program makes it easier for students to attend community colleges and then transfer to an in-state university.

Under it, four-year colleges, such as the University of Iowa, provide academic counseling and yearly degree audits to students while they complete their first two years. In addition, students have access to university resources and campus activities.

“We expect participation in that to escalate this year,” Barron said.

Like St. Ambrose, the University of Iowa is also increasing the money it will hand out to students next school year. Leaders expect to award $33.3 million in scholarships, which is a 13 percent increase from the previous year.

“The bottom line is the economy has presented more challenges to more families and we are trying to be as responsive as we can,” said Mark Warner, assistant provost for enrollment services and director of financial aid at the University of Iowa.