About this Indicator
The relative share of the cost of higher education is represented by comparing educational appropriations and net tuition revenue each as a percentage of total educational revenue for public postsecondary institutions, including four-year, two-year, and less-than two-year institutions. State and local educational appropriations for higher education include funds used for public institutional operating expenses and public student financial aid. These appropriations exclude spending for research, agriculture-related programs, medical education, and nonoperating expenses such as capital outlays, as well as support for independent institutions or students attending them. Net tuition revenue is defined as gross tuition and fees minus state and institutional financial aid, tuition discounts, and medical student tuition and fees. Net tuition revenue also excludes Pell Grant revenue (which public institutions report as federal nonoperating grant revenue). Total education revenue is defined as the sum of education appropriations and net tuition, excluding net tuition revenue for capital debt service.
State Higher Education Executive Officers Association. State higher education finance.