Starting fall 2020, UT-Austin students with a family income of $65,000 or less will have their tuition and fees paid for after the University of Texas System Board of Regents voted unanimously Tuesday to establish an endowment.
The board established the $160 million endowment from the state’s Permanent University Fund to provide the financial assistance, according to a UT System press release. The university will also provide some assured tuition support to students with family incomes of up to $125,000.
Currently, no announcement has been made whether this program could be expanded to other UT System universities.
The endowment will support first- to fourth-year and transfer Texas undergraduate students. It will supplement existing state and federal financial aid to cover tuition costs. An estimated 8,600 students are expected to receive full tuition coverage, according to the press release.
The Permanent University Fund receives money from oil and gas royalties earned on state-owned land in West Texas and provides support to the UT System and the Texas A&M University System.
Texas A&M University currently pledges to provide grants and scholarships to cover all tuition costs for Texas students with family incomes of up to $60,000 but does not cover fees.
The median household income in Texas was $59,206 in 2017, meaning half of Texan household incomes were less than that amount, according to the U.S. Census Bureau.