Office of Program Policy Analysis and Government Accountability
Office of Program Policy Analysis and Government Accountability

Stronger Financial Incentives Could Encourage Students to Graduate With Fewer Excess Hours

Report 04-44, June 2004

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Report Summary

Student enrollment in Florida's higher education institutions is projected to grow faster than higher education's share of state revenues. The Legislature may wish to consider providing financial incentives to encourage students to graduate with fewer excess hours and thereby decrease costs. The financial incentives, which other states have used and could be implemented in Florida, includ

  • charging the full cost for credit hours in excess of 115% of graduation requirements, which could save $29 million annually;
  • providing tuition rebates to students who graduate with minimal excess hours, which could serve as an incentive for timely graduation and could save $3.5 million annually; and/or
  • offering "locked-in" tuition, under which students who do not graduate within four years would pay the higher tuition rates charged to new students, which may encourage students to graduate in four years.

Related Reports
  1. Several Universities Have Improved Systems to Track Student Progress
    Report 09-22 March 2009
  2. Excess Hours Cost State $62 Million Annually; University Actions May Help Address Problem
    Report 06-58 August 2006
  3. Legislature Increases FRAG Awards; Residency Determination Rules Improved
    Report 06-57 August 2006
  4. Florida's Postsecondary Institutions Employ a Variety of Support Services for Students
    Report 06-52 June 2006
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
Copies of this report in print or alternate accessible format may be obtained by email OPPAGA@oppaga.fl.gov, telephone (850) 488-0021, or mail 111 W. Madison St., Room 312 Tallahassee, FL 32399-1475.
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