University of Texas Students Save $1.25 Million Annually Through Expanded Co-op Scholarships

The University Co-operative Society ("Co-op") has underscored its commitment to affordability and supporting student success at The University of Texas at Austin by extending the University Co-op Course Materials Scholarship funding. Since its inception in 2021, the scholarship has aimed to alleviate the cost of course materials for low- and middle-income students. Currently, it delivers $1.25 million annually in savings to undergraduate students. In the FY2024-25 academic year alone, 7,700 undergraduates benefited from this scholarship, each receiving $250, equating to nearly $1.1 million in total savings. This represents a substantial increase from the initial financial commitment of $750,000 made in 2021, allowing an estimated additional 2,000 students to receive annual support.

Cheryl Phifer, University Co-op president and CEO, emphasized the organization's belief in equipping every student with essential resources for their academic success. Extending the scholarship through 2032 exhibits pride in championing UT students and a steadfast dedication to enhancing education affordability and equity. This initiative aims to reduce students' financial burdens and empower the future generation of Longhorns.

Concurrently, the University Co-op Board decided to prolong its yearly pledge of $250,000 to the UT Co-op Undergraduate Scholarship through 2032. This scholarship, formed in 2019 as part of the Texas Challenge—a dollar-for-dollar scholarship gift-matching program enabled by the UT System Board of Regents—augments the Texas Advance Commitment. On average, it supports tuition expenses for 15 students annually, with potential growth anticipated in the upcoming years.

Both scholarships are integral to UT's extensive affordability efforts, which also feature other initiatives such as the Texas Advance Commitment, UT for Me — Powered by Dell Scholars, and Longhorn Textbook Access (LTA). The LTA program offers students discounted digital textbooks at or before the commencement of classes. When leveraged alongside the Co-op scholarship, students often successfully meet the full expense of their necessary materials. Since its launch, LTA has saved students nearly $5 million, and as additional faculty members incorporate this program into their courses—1,238 courses participated during 2024-25—student savings are projected to continue climbing.

Shrikar Thangavel, an electrical and computer engineering senior, shared his gratitude for the scholarship, describing its significant impact on his academic experience. "Affording textbooks previously posed a real challenge, often leading me to deliberate whether the cost could be justified. This scholarship has allowed me to acquire required resources without undue financial stress, for which I am truly appreciative."

Aligning with the University's expanded Texas Advance Commitment, the Co-op has broadened the eligibility criteria for its $250 annual Course Materials Scholarship. This adaptation enables students with family incomes up to $150,000 annually to qualify, an increase from the former threshold of $65,000.

The timeline of Co-op’s support initiatives reflects its continued effort to benefit UT students:

- In 2019, the UT Co-op Undergraduate Scholarship was established under the Texas Challenge, expanding the Texas Advance Commitment.

- In 2020, the University paired with the Michael & Susan Dell Foundation to initiate UT for Me, with involved students receiving annual textbook credits facilitated by the Co-op for up to four years.

- 2021 marked the introduction of Longhorn Textbook Access in collaboration with the University Co-op, reducing digital textbook costs.

- In 2022, the University Co-op Course Materials Scholarship commenced with a $10 million commitment.

- The program expanded in 2023 with a $12 million commitment, granting the $250 annual award to qualifying Texas Advance Commitment students.

- By 2025, the Co-op will have expanded their Course Materials Scholarship funding and extended their annual pledge to the endowed University Co-op Undergraduate Scholarship through 2032, bringing annual financial support to approximately $1.5 million. This includes the Texas Challenge match, cumulating their financial dedication over 11 years to $15.5 million.

Operating as an independent 501(c)(3) not-for-profit entity, the University Co-op is governed by a board comprised of students, faculty, and staff from The University of Texas at Austin.