McCombs School of Business
Texas Magazine : Fall/Winter 2006

Dean Gau on Texas' Top Ten Percent Law

by George Gau, Dean

While a top-ten ranking is nothing to scoff at, McCombs' #9 position in the recent BusinessWeek survey of undergraduate business programs might have been higher. Among the factors considered in that inaugural survey are students' SAT scores. McCombs, which is subject to the limitations imposed by the Texas Top Ten Percent Law, has the lowest SAT average of any school in the top 10.

Make no mistake, our students are top notch; many are competitive with students who attend other leading programs such as Wharton. Our program is also increasingly competitive to get into; the program saw a record number of applications in 2006—more than 6,000 for a class of about 800 freshmen. But despite the higher numbers and the competence of our students, the SAT average remains flat.

Here’s why: Under the Top Ten Percent Law, passed in 1997, any Texas high school student who graduates in the top 10 percent of his or her high school class is guaranteed admission to a state university. The business school—historically a school in high demand—would have to admit more people than there are spots available under the law.

To address this problem, McCombs instituted a cap: 75 percent of the freshman class is admitted under the law. The remaining quarter is filled considering other factors, including essays, extracurricular activities, class rank, SAT score and diversity.

In practice, this means the school admits students beginning with those in the top 1 percent, then the top 2 percent, and so on until 75 percent of the class is filled. Recently, all of those spots have been filled with students whose class ranks are as high as the top 3 percent of their high school classes. So many talented students apply to the business school that the class is filled before we even reach those students with a lower class rank than top 3 percent.

But here’s the rub: The size and quality of high schools varies greatly around the state. Thus, a top 10 percent class rank at one Texas high school may not be equivalent to a top 10 percent rank at another. The school’s hands are tied when it comes to considering more factors besides class rank. Simply put, the program lacks the ability to completely determine who is admitted and who is denied.

This law was designed to increase admissions diversity by putting all Texas high schools on a common plane. While it may have had some effect in this area, by limiting the McCombs School’s (and the university’s) ability to select students based on more than just one factor, the law has had unintended consequences.