The Diocese of Peoria has awarded 521 Catholic school students tuition assistance grants totaling nearly $700,000 for the 2009-2010 academic year.

Both the grant total and the number of students awarded are the largest in the four years the diocese has disbursed monies from the John Lancaster Spalding Scholarship Fund, established by contributions to the Rooted in Faith Capital Campaign.

“The need is a lot greater,” said Brother William Dygert, CSC, who sent letters to parishes, schools, and parents this week announcing next year’s grants.

All grants were based on need as assessed by the FACTS Management Company and were made in rank order beginning with the neediest. The grants covered up to 60 percent of the tuition costs.

Recipients represent 37 elementary schools, seven secondary schools, and 65 parishes.

“Even though the total amount of the money available for distribution was substantially higher than last year, the fund was not able to assist all who qualified,” said Brother William, adding that the applications reflected the region’s struggling economy. Seventy-four percent of those qualifying for grants will receive assistance, he said.

Applications were invited in late 2008 through announcements at the schools, in parish bulletins, the diocesan Web site, and publications including The Catholic Post.

A board that oversees the $12 million Spalding Scholarship Fund sets policy for the grants, which are then distributed through the Office of Catholic Schools. Although the money is awarded to students, the funds are paid to the schools they attend.

While the new diocesan tuition grants are substantial, Brother William pointed out that the bulk of tuition assistance is provided at the parish level. Actual tuition is usually only about 50 percent of the per-child cost of education, he said. The other 50 percent is covered by fundraising (12 percent) and direct subsidies from parishes (38 percent).

All Spalding Scholarship Fund grants are for one year only. Students must apply each year.