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Regents review TOPS report as acceptance rates fall; members discuss options for unspent funds

Board of Regents · October 1, 2024

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Summary

Staff presented a TOPS report showing high retention for recipients but a long-term decline in acceptance and eligible populations; Regents discussed whether leftover TOPS funds could be retained for higher-education priorities and directed staff to study legislative and administrative options.

Board staff presented an annual review of the TOPS scholarship programs and a senate study resolution directing Regents to analyze state financial-aid tools for alignment.

Staff said TOPS recipients graduate and are retained at higher rates than nonrecipients — the report cited retention rates for TOPS recipients at an all-time high (more than 95% retention) — but also noted a multi-year decline in the share of eligible students who actually accept TOPS awards and enroll at Louisiana institutions.

Denley and other staff briefed the board on TOPS variants (Opportunities, Performance, Honors, and TOPS Tech) and said TOPS Tech continues to see particularly low uptake among eligible students: many eligible students enroll part time or in programs that do not meet TOPS Tech eligibility, limiting program uptake.

Regents discussed how other states structure similar merit programs and whether policy tools — such as incentives for in-state retention or legislative guardrails on award recapture — could change the trend. A Regent asked whether some unspent TOPS funds could be retained within higher education rather than redirected by the state; staff said doing so would require legislative authority though administrative reallocations have occurred in the past when projections justified it.

The board approved the staff recommendation to accept the TOPS report and authorized the commissioner to submit it to legislative committees; members asked staff to include comparisons to other states and to identify policy options to encourage acceptance and retention.

What’s next: staff will prepare the fuller Senate Resolution 138 study and present recommendations in January.