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Blow to National Merit Scholarships

September 1, 2009

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The University of Texas at Austin is ending participation in the National Merit Scholarship Program, the largest single campus departure in years from the program, which enjoys considerable prestige in some circles but is controversial in others. The university plans to shift the funds to need-based aid.

Last year, Texas was second only to Harvard University in the number of National Merit Scholars it enrolled (281). Some of the scholarships in the program (and all of those at Harvard) are sponsored by companies and other groups, but 213 of those who enrolled at Texas were sponsored by the university, which in recent years has sponsored more of the scholarships than all but a few other universities. (Last year, the University of Southern California sponsored more, 216 -- most colleges don't even top 50.)

The move by Texas comes at a time when some are criticizing the awarding of merit scholarships (and not just through this program) when so many students have clear financial need. Further, some admissions leaders have been criticizing the National Merit Scholarship Program for its reliance on PSAT scores -- and only PSAT scores -- to establish semifinalist status. There is a wide consensus among educators -- including the College Board, sponsor of the PSAT -- that standardized test scores alone shouldn't qualify or disqualify students for scholarships. (That consensus is in some cases more philosophical than operational, as the cooperation of the College Board with the National Merit Scholarship Program suggests.)

In the case of Texas, the decision was based not on concern about testing, but on a desire to focus more aid on students with need.

"We took a look at the economy, and the need level of our student body is up quite a bit. So we decided we needed to redirect the resources so UT stays accessible to everyone," said Thomas G. Melecki, director of student financial services at the university. Texas awards scholarships worth $13,000 over four years to the merit scholars it sponsors through the program (and will keep commitments to all who have been admitted through those starting this fall).

Melecki noted that only about one fourth of the university's National Merit Scholars even bothered to apply for federal financial aid, suggesting most of them don't need the money.

Historically, colleges that have invested heavily in the program have boasted about attracting students with good grades and very high SAT scores (since only those who did very well on the PSAT get considered). Melecki said he wasn't worried about losing talent because "our reputation is going to carry the day." The University of Texas does have other merit scholarships, and some of the students who might have received funds through the national program can still apply for them, he noted.

Further, the university has strong need-based aid programs -- which this shift should bolster -- for the minority of National Merit Scholars who do have financial need.

A spokeswoman for the National Merit Scholarship Corporation said that the organization would have no comment on the move by Texas, but that it planned to talk to Texas officials soon. The last major withdrawal from the program was the University of California, which had been awarding 600 scholarships among six of its institutions until 2005. In the case of the University of California, officials cited the reliance on standardized tests, saying that "using the PSAT exam alone to eliminate the vast majority of test takers from National Merit Scholarship consideration is inconsistent with the principles that standardized tests should be used in conjunction with other factors in measuring merit and that major decisions should not be made on the basis of small differences in test scores."

In April, the National Association for College Admission Counseling announced requests it had made asking the College Board to explain why it has done nothing about the use of the PSAT as the sole qualifying test for National Merit Scholarships, and to the National Merit Scholarship Corporation about why its policies run counter to the stated policies of the College Board and the new NACAC report. Both groups brushed aside the request.

Robert Schaeffer, public education director for the National Center for Fair & Open Testing, a critic of standardized testing, said the Texas decision was "very significant" because it has for so long been one of the major participants in the program. He predicted that for the reasons Texas and California left, others would follow and said that the testing program runs "the risk of losing more sponsors -- as well as their remaining credibility -- if they do not overhaul their unfair selection process."

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Comments on Blow to National Merit Scholarships

  • why no private prestigious colleges on board?
  • Posted by Joseph A Soares , Associate Professor of Sociology at Wake Forest University on September 1, 2009 at 9:30am EDT
  • It's embarrassing that private "leading" universities are not heeding the recommendation of NACAC on the use of the P-SAT to sort out national merit scholars. Why isn't Harvard acting on this?

  • Bravo, Texas
  • Posted by DS on September 1, 2009 at 12:15pm EDT
  • Given the painfully high correlation between family wealth and high school academic achievement, I applaud U of Texas for recognizing that there are much better ways to spend increasingly scarce resources. Yes, merit money can and does go to needy students, but every piece of available data that I've ever seen says that it goes disproportionally to those who don't need it. Need based aid provides an opportunity to those who wouldn't be able to afford it otherwise, while merit money often goes to help maintain lifestyles.

    Texas can now channel its dollars to providing access and improving the chances for upward mobility and student success instead of rewarding some rich kids for taking all those SAT prep classes.

  • Posted by Laura on September 1, 2009 at 1:30pm EDT
  • Not relying on PSAT alone to qualify students for National Merit scholarships is one thing. But this:

    "The move by Texas comes at a time when some are criticizing the awarding of merit scholarships (and not just through this program) when so many students have clear financial need."

    should cause us to ask what we are trying to accomplish with the university system. Are we trying to give everyone an equal opportunity to get an education? Or are we trying to maximize our resources by making sure that the next generation of rocket scientists and brain surgeons definitely get their crack? And can we not do both?

  • Texas Ignores Merit
  • Posted by ACF on September 1, 2009 at 1:30pm EDT
  • How unfortunate it is that Texas is ignoring merit. How do we expect to compete in a competitive global economy if we no longer reward merit? Our global competitors have no problem rewarding merit.

    By the way, the correlation between family income and test scores simply tracks the higher IQs or children in families whose parents have high IQs (and thus higher incomes):

    http://gregmankiw.blogspot.com/2009/08/least-surprising-correlation-of-all.html

  • reward merit
  • Posted by parent and scholar on September 1, 2009 at 4:15pm EDT
  • Should not our best and brightest have some recognition for their capabilities and have a scholarship based on such. How unfortunate we are moving in the direction of ignoring merit. I agree with above, our global competitors reward merit and are surpassing the US in test scores in the STEM areas. How do we expect to compete in a competitive global economy if we no longer reward merit?

  • Mediocrity
  • Posted by Ross on September 1, 2009 at 5:45pm EDT
  • It appears the goal of this country is mediocrity for all.

  • My Alma Mater has lost its mind
  • Posted by DGK on September 1, 2009 at 6:30pm EDT
  • As a member of the Class of '76 who has endowed a scholarship at UT, and has a son who just graduated with honors (UT does not participate in Phi Beta Kappa), I am shocked that THE UNIVERSITY has turned it's back on excellence. Second only to Harvard in National Merit Scholars is no mean feat and should be encouraged. Excellence is rare - why not reward it instead of demonizing it. A very sad day, indeed.

  • UT should be ashamed
  • Posted by parent of 4 National Merits on September 1, 2009 at 8:15pm EDT
  • I am sick to death of everybody treating college like it is a God-given right. I sent three children to UT on National Merit scholarships. My fourth found out today that she too, is a National Merit and that UT won't give her a dime. Yes, according to FAFSA, I can afford to pay for my daughter to attend. How did I accomplish this feat? I take basic cable; I don't have caller ID or a cell phone; I clean my own house and mow my own yard and repair my cars myself. I have never bought a new car, have lived in the same house for the last 15 years and my wife and I have worked and scrimped and saved. My daughters spent about 6 hours a night and 15 hours a weekend doing homework and that is on top of playing a sport year round and doing community service. Did I mention that my youngest daughter studied for two years to get the score she needed on the PSAT and NO, we didn't pay for any expensive prep classes. So, let UT ignore this type of student so they can give away money to some illegal in order to be politically correct.

  • work hard = reward
  • Posted by jamlock , Professor of Biology at Valdosta State University on September 2, 2009 at 8:30am EDT
  • Need, need, need.......bull#$%^. We are not a socialist country, or at least not the last time I looked. It's about time that hard work and results equaled reward. Evaluate it however you want. It's not the National Socialism Finalist Scholarship, it's the National MERIT (yes that's M-E-R-I-T) scholarship. Those who are underperforming need to quite pointing fingers and look in the mirror.

  • Merit Scholars
  • Posted by Lori Bland , English Teacher at Grapevine-colleyville ISD on September 2, 2009 at 11:45am EDT
  • I am a Texas public school teacher and a single parent. Enough said about high family income. My son was a Merit Scholar. Thank goodness he was awarded incredible finacial help to complete his education. He is currently working on his PHD at the University of Florida. He is among the "brightest and the best" in his field and was given the opportunity to reach his potential through the Merit Scholar program. Thank goodness his University highly valued his intelligence and academic ability. Oh did I mention, he is a proud graduate of Texas A&M?
    Gig em!

  • Merit Aid & the PSAT
  • Posted by Veteran Higher Ed Administrator , IR Director on September 2, 2009 at 1:00pm EDT
  • I am all for merit scholarships. From time to time I hear that this practice entails "giving money away to people who don't need it." Who are these people [who don't need it]? It's relative. The private schools in the northeast are so costly that, by the time the colleges get done with you, you will be needy -- and wiped out. However, awarding merit scholarships on the sole basis of the PSAT is silly. Perhaps colleges are looking at the students entire record. (As an aside, I am an advocate of public universities and colleges for good value.)

  • misleading comparisons
  • Posted by The Wise Bard , Assoc prof of Law and Bioethics (retired) at University of Wisconsin on September 3, 2009 at 11:00am EDT
  • My information may well be out of date, but it is probably more accurate than that in the story and several comments above.

    At least in the old days, there was a significant distinction between "true" national merit awards and those awards "sponsored" by other entities, including mostly employers and universities themselves. There were additional levels of screening beyond the exam results for the true "national" awards. Many colleges (not including the Ivies, including Harvard) awarded "sponsored" scholarships as a lure to draw students who might not otherwise attend, with the awards restricted to students who chose that university. Thus, many colleges with large numbers of National Merit Scholars attracted so many largely by virtue of paying those students to attend (and using a proportion of internal scholarship money for these non-need-based awards). Schools like Harvard, which did not sponsor institutional awards through this program, had large numbers of National Merit Scholars as a result of choices by high testing (and other merit criteria) students whose choices to attend were not predicated on non-need-based financial considerations. Thus the comparative rankings of schools by number of scholars, while much beloved by those institutions providing significant numbers of sponsored awards, were apples and kumquats.
    (I was one of the potential kumquats, offered a sponsored award by one university, only to choose to attend Harvard, where I was offered an "honorary" (Harvard designation, not based on the National Merit results) scholarship--i.e., no money--in the absence of demonstrated need. As it happens, my daughter was offered a substantial merit award by a leading private midwestern institution, which she turned down, also to attend Harvard. Discussion of morality of legacy preferences postponed for another occasion).

    I am generally inclined to believe that the great bulk, if not all, of institutional scholarship funds should be distributed on the basis of financial need ("honorary" scholarships based solely on measures of "merit" would be compatible with this principle, assuming those measures of merit are fair and defensible)--and that the overall use of financial resources for aid purposes would work better if all complied with this principle. (Yes, that includes money for athletic scholarships as well--but that, too, is a subject for another day). Of course, a number of institutions have been successful in attracting excellent students and building institutional prestige through non-need-based awards. If one shares a moral commitment to financial need as the governing principle for aid, then such institutions are acting as lone cowboys/outlaws, advancing themselves by undermining the system as a whole.

    I would not want to speculate on any potential association of the University of Texas, previously or now, with cowboy or outlaw behavior, in this or other respects.

  • Posted by Anon on September 5, 2009 at 2:30pm EDT
  • I was just named a National Merit Semifinalist yesterday. I did not pay for prep courses or even study that much - I didn't have the time or money to spend on it. With marching band rehearsals everyday, attending pep rallies, football games on Fridays or Saturdays (band goes to every one), club meetings, homework from 5 AP classes, work, AND community service, it was all I could do to look over some practice questions on the internet a few days before I took the PSAT. Don't think that just because someone is named a NMSF, that they don't deserve what they get out of it. The others at my school who are also NMSFs do every bit as much as I do, and I'm sure many of the NMSFs around the country are equally as active.

    I'm so sick of going through scholarship lists and seeing Hispanic and black and female scholarships, scholarships for "little people" and tall people (yes, they exist) and "first generation" and athletic scholarships. I'm lucky to find a few merit-based ones that aren't restricted by something I can't control, and the National Merit Scholarship Competition was one of the ones I could do. Need-based scholarships are nice, but if you want to talk about having only one consideration when handing out a scholarship, there are too many "scholarships" that only consider your financial need. It's called a SCHOLARship; you have to be a freaking SCHOLAR to get it.

    As someone said, college is NOT a right. It's a privilege, and too many people in this country think they just get all of their privileges without work. Wrong. You have to EARN your privileges, and those who can't or won't put in the work to get something don't deserve it.

    Right now, I'm trying to figure where I want to go to school because UT Austin is currently at the bottom of my list of choices since they obviously don't care enough to have me, OR the intelligent kind of person I would want to work with.

  • Posted by Charles on September 7, 2009 at 6:30am EDT
  • Bravo to UT - Austin for rising to a level to which they need not beg and plead NMS to attend their schools. And a double bravo for reallocating the funds to need-based aid, which for far too long at all too many colleges have failed to keep up with rising tuition and fees.
    If any students and parents wish to take advantage of a merit scholarship program, I'm sure they can find a program that properly addresses their unique merits. It's likely they'll have a more enriching experience at a college that truly values them, rather than a school that sees them merely as their ticket to a higher ranking in U.S. News.

  • Recognize the truth of what's happening here
  • Posted by Observer on September 9, 2009 at 12:00pm EDT
  • The "spin" on this story is amusing. Texas, and certain other schools, (but not the Ivies, Stanford, MIT, Duke, etc. have tried to give the illusion that they attract better students than they do by manufacturing their own National Merit Scholarship "winners" by the dubious practice of "converting" finalists into "winners" with a grant of as little as $1,000. This way, Texas has been able to trumpet: "WE HAVE MORE MERIT SCHOLARS THAN ANY SCHOOL EXCEPT HARVARD!!!" Trouble is, everyone in academia sees through the scam, and has not been fooled into thinking that Texas is, in consequence, an academic powerhouse on a par with the top private elites. Harvard, Yale, Stanford, Princeton, MIT, etc could probably each boast 1,000+ "winners" if they played this game, which they don't.

    Last year or the year before Florida gave up this scheme - concluding candidly that they weren't fooling the people voting in the USNews survey. The California state schools similarly concluded that such an effort to "buy" scholars and give the illusion of greater quality with a mess of mini "merit" awards made no educational or economic sense.

    Lets stop hearing the nonsense about the decision to finally forgo this scam being "moral" - or a considered judgement that there is something "evil" about the National Merit Scholarship program. The scam has proven less effective ever since The Chronicle of Higher Education started reporting the winners in two categories: "true" winners, and "institutionallu-supported" winners.

  • No such thing as "true" vs "institutionally supported" winners
  • Posted by parent of four National Merits on September 10, 2009 at 10:15am EDT
  • To the writer of the previous post: You don't understand how the National Merit scholarship program works. In order to qualify for a scholarship, an applicant must complete a series of steps. First, take the PSAT as a junior. Cutoff scores are determined by state so that each state has a number of semi-finalists that are proportional to the number of seniors in the state. For example, if California has 18% of the nation's senior class then they will have 18% of the semi-finalists as well. Second, all semi-finalists complete an application which includes an essay, detailed information about grades, a recommendation letter from a school official, a description of extracurricular activities, and proof of a confirming SAT score. The finalists are chosen from the pool of semi-finalists based on these applications. Now to become a scholar, there are three avenues. National Merit Corporation provides one-time $2500 scholarships to some students. I guess these are who you refer to as the "true" winners. Corporations provide scholarships to students whose parents work at the corporation. Finally, universities can sponsor a student if they don't receive one of the other awards. National Merit Corporation does not have the funds to provide scholarships to all of the finalists, so they have partnered with some corporations and universities in order to award scholarships to about half of the finalists. There is no difference in prestige for any of the awards. If a student chooses to attend a college like Harvard (which doesn't sponser National Merit awards), doesn't win the award directly from National Merit Corporation, or doesn't have a parent who works at the handful of corporations who sponser awards then that student cannot advance from "Finalist" to "Scholar". The designation of "Scholar" means only that the student has been awarded some money. There is no difference in the quality of the candidate. In fact, there are many cases where a student reports his first choice college to National Merit Corporation, then decides to attend a different university after an arbitrary deadline for naming the first choice college and ends up with no money even if the college he ends up attending sponsors awards. Some colleges only sponsor a limited number of scholarships so a student can attend a sponsoring college and still not be a "scholar." National Merit Corporation does a huge service for our gifted students and I applaud the corporations and universities that have partnered with them. There are not very many true merit scholarships to be had at colleges. I know because this is my fourth child to complete the process and we have looked everywhere for merit scholarships that don't have some limiting factor like income or race.

  • Merit...based off one test?
  • Posted by Kristine on September 16, 2009 at 5:15am EDT
  • I am a senior in high school in Arizona who took the PSAT both my sophomore and junior year. I attend a public college prep high school where National Merit is a seeming God given right, and I am one of the few kids who missed the cutoff. Does this mean I am a blithering idiot who obviously didn't earn a full ride? No. My GPA is 4.11, my Mock Trial team made it to Nationals, I work, am a member of advanced drama, play varsity tennis, the knitting club that I founded knits blankets for cancer patients, and I tutor Junioris in AP US History. I do not need to be told by the self-righteous College Board that I am not deemed worthy of a "merit-based" scholarship. How about they look comprehensively at GPA, activities, and reccommendations? Many of my classmates received national merit yet they are overpriviliged, lazy, non-hardworking slobs who have poor GPAs. Tell me how that is fair. It's not. This has nothing to do with need or true merit; this is all about how your student performed on one irrelevant test one day of their life. Please, someone explain to me how THAT is fair.

     

  • read the rules
  • Posted by Porter on September 27, 2009 at 2:00pm EDT
  • To qualify for any scholarships, your SAT score must prove your PSAT scores, so it isn't based on one test. Also, it does require a principal recommendation, essays, GPA, extra-curriculars, etc. Its like a college application. So to Kristine, those "slobs" who did well on the PSAT surely wont get approved to be finalists if what you say is true, so rest easy.

  • National Merit Scholar
  • Posted by George , Manager on September 27, 2009 at 11:45pm EDT
  • Kudos to Kristine from Arizona. She is spot on. One day, one test does not make one a scholar. The self righteous college board chooses to ignore this point out of fear that such discussion will kill the goose that lays the golden eggs -- money. My daughter missed being a "scholar" by one point, but earned SAT and ACT scores much higher than her PSAT score when converted. She also earned the award of AP Scholar with Distinction after her junior year and has a 4.00 GPA. The PSAT is just one of many factors (AP, GPA, SAT, ACT,...) that should be considered in determining who should be recognized as a "scholar". It should not be the ONLY factor. But then the college board would lose control of the goose that lays the golden eggs!

  • NMSC is a private institution...
  • Posted by owlice on October 5, 2009 at 7:15pm EDT
  • ...and gets to decide what it does with its own money. If it wants to award students who do extremely well on the PSAT, have a confirming SAT score, a good GPA, recommendation, essay, etc., it's entitled to do so.

    This is a MERIT scholarship, and there are precious few of them around.

  • Why bother?
  • Posted by Al on October 9, 2009 at 9:15pm EDT
  • I guess Merit doesn't qualify me for anything.

    I won't qualify for federal aid (why bother filling out the form). My parents don't have the money to send me to school. Can't/won't sell their house, they are too close to retirement to take loans. I'm not a minority, not female.

    Hey, guess what? There are a lot of really smart people out there that don't fit into the "needy" category that still don't have the money to go to school. All we have is our hard work.

    Maybe some other state or country might be interested?

  • That's Life
  • Posted by Anon on October 17, 2009 at 8:00am EDT
  • It's amazing the amount of entitlement reflected in these comments. The commentators talk about all their hard work but seem to be upset because the University of Texas won't give them a free college education. Guess what? That's life. If you're smart enough to be a merit scholar then you ought to be smart enough to find the money for school.

  • Subjectivity breeds abuse
  • Posted by DuDochNicht on December 1, 2009 at 9:45pm EST
  • Tests are the ONLY objective means to stratify candidates. You have it or you dont and this opposition comes primarily from those who dont.