A private Arizona college will start imposing a fee on students to help fund scholarships for illegal immigrants.

FOX's Rachel Sutherland reports from Washington:

Prescott College in Arizona will start adding a $30 fee to its $28,000 a year tuition to pay for its "Freedom Education Fund", which will cover costs for one undocumented immigrant student.

The school hopes to raise more money in the future to provide more full tuition scholarships for illegal immigrants, who are not eligible for federal financial aid.

The fee, which kicks in next school year, is sparking controversy. Supporters say it will help reverse Arizona's reputation as a "national example of discriminatory politics."

Others say the scholarship program is a slap in the face to legal residents saddled with student loans after they graduate.

In Washington, Rachel Sutherland, FOX News.