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A Falling NJ STARS Program Needs Fixing to Restore Luster Darryl
G. Greer
Trenton
Times
The NJ STARS II program, a well-meaning but hastily constructed scholarship program that was created in slightly better fiscal times, is losing its luster and needs fixing. The original NJ STARS program, created in 2004, enables students in the top 20 percent of their New Jersey high school class to get free tuition at county colleges. The state currently pays for this. The program has helped to increase enrollment at the county colleges and improve the academic credentials of their entering students. In theory, because the scholarship would be open to a segment of students from all New Jersey high schools, including ones in disadvantaged areas, NJ STARS would help get more low-income students on the road toward a college degree, beginning with the county colleges. Two years later, NJ STARS II was conceived and advanced by the legislature with strong support from the county colleges. Originally, it was envisioned as a voucher-type program for successful NJ STARS students wishing to transfer to four-year public colleges; it did not contain a promise of fully covering tuition at senior public universities. Later, it was changed to add this promise, despite the fact that funding for it covered only about one-half the cost of senior college/university tuition and fees. The state colleges supported the half-funded scholarship warily, leaning on the Legislature's promise to help provide adequate funds should it become a major new unfunded mandate. It has since become such a mandate, costing senior colleges millions of dollars, yet the avowed state financial support has not occurred. And no such scholarship exists for talented students enrolling at senior public universities. Indeed, the successful one New Jersey had, Outstanding Scholar Recruitment Program, has been phased out. NJ STARS II is now laden with problems and unintended consequences that do not serve its original policy purpose, some of which have been spotlighted at recent budget hearings and in the press. Unfulfilled Goals. NJ STARS was promoted, at least partially, as a program to help more talented disadvantaged students attend college. As it turns out, many thrifty upper middle-income families jumped on the program quickly and word of mouth spread. At some institutions, the average income of NJ STARS II students' families is now as high as that for all students from families entering four-year colleges. The program was also expected to draw top academic achievers. Yet, a surprising number of those who qualify for NJ STARS, 30 percent in fact, have been found to need remedial help before they take college-credit courses. Underestimated Costs. Fully funding NJ STARS II in its current form is expected to cost the state's senior public colleges and universities a total of about $5 million next year. This is because this merit-based aid program as designed has been a poor fit with major state and federal need-based aid grants and Pell grants. The notion that state and federal aid would cover the balance of tuition and fee costs, an idea used to sell the program to senior college leaders, was shattered as soon as colleges got experience with the family incomes of NJ STARS II scholars. The costs to the state and institutions will jump next year because enrollment will increase more than 50 percent. Over-promising. NJ STARS II marketing by county colleges creates unrealistic, over optimistic expectations about the costs of going to college. Advertisements promote going to college tuition-free. In reality, the state colleges have room for only about 4,000 new county college transfers each year, regardless of whether they are NJ STARS scholars. Moreover, there is not enough room for the roughly 21,000-22,000 prospective first-time full-time students who apply to the nine state colleges and universities each year. Furthermore, the governor and Legislature are looking for ways to rein in STARS funding. The state simply can't afford it, as programs are being cut and other student aid is being rationed. The NJ STARS II program is emerging as an unaffordable poorly conceived, middle-class entitlement for some students that neither the state nor the colleges and universities are prepared to fund fully. Beyond the program's funding problems, its policy purposes remain unclear: whom it should serve and why; how it facilitates college access and affordability; and how it complements other student aid programs. In the meantime, here is what should be done: The award should be limited to what the state can afford and no more, not requiring senior colleges to fund it, and not taking money from other important need-based student financial aid. The lesson learned is that New Jersey should not create major new student aid programs without taking a close look first at how such programs can be funded to assist all their intended beneficiaries. This axiom is particularly important in these extremely tough budget times and at a time when college opportunity is so critical to the state's future prosperity.
Let's End the Poaching of New Jersey Graduates Paul
R. Shelly
Herald
News
As the Garden State invests another $500 million in public schools next year, the Legislature is also considering a proposal to reduce higher education funding by 10 percent, the fifth cut in 12 years. Unless the state changes course, more colleges and universities in other states will be taking our graduates. These academic poachers will offer incentives to lure our well-prepared, and often affluent high school graduates. Both public and private colleges will be seeking them out. State government policy plays a role; many states realize that where students land academically, they often stay to start careers and contribute to the tax rolls and economy. New Jersey is in a losing position. It ranks 50th in the nation in four-year public college seats per high school graduate. It is number one in the nation in net out-migration of college-bound high school graduates. How ironic is it that, at the elementary and secondary school levels, except for New York State, New Jersey spends more per student, on average, than any other state: $14,630 a year based on 2006 data released recently. A 21st century course correction in higher education policy is needed. New Jersey public high school graduates over the next decade or so will remain at a solid 100,000 students per year, roughly. In neighbor states there will be a decline, according to a recent report from the Western Interstate Commission on Higher Education (WICHE) called "Knocking at the College Door; Projections of High School Graduates by State and Race/Ethnicity 1992-2022." At least two big factors will contribute to an even greater "brain drain" here:
New Jersey should expect to see policy changes in other states designed to lure Garden State students. Current New Jersey budget policy, which penalizes state colleges and universities for not charging out-of-state students full cost, is anachronistic. As it is, these students compose less than 10 percent of the student body, a far smaller share than most would think. Other states' public universities are already moving toward tuition incentives for students from out of state, in some cases only for those who meet minimum academic standards. Examples include South Dakota, Nebraska, Tennessee, Wisconsin, Kentucky, Arkansas, and Missouri. It is likely that nearby New York and Pennsylvania, facing declines in the number of high school graduates, will consider tuition breaks for Jersey students. Rather than erecting barriers for out-of-state students, many states have "reciprocity" agreements with their neighbor states regarding giving tuition breaks to their students. Minnesota is a prime example; that state has agreements with Wisconsin, North Dakota and South Dakota. The WICHE report is a call to action for New Jersey to ensure that students of all racial/ethnic groups are headed toward college. The share of Hispanic students will increase from 14 percent to 19 percent of the public high school graduate population between 2004-2005 and 2014-2015; black, non-Hispanic students will compose 15 or 16 percent of future cohorts, and the Asian Pacific Islander student share will grow from 7 percent to 10 percent over the decade. The New Jersey Association of State Colleges and Universities has long been an advocate of increasing college opportunity, capacity and affordability for all New Jerseyans. We wish to do this in partnership with the state. Our New Jersey College Promise project is seeking ways to address the state's college capacity shortcomings, which affect economic development. Our recommendations include: eliminate the out-of-state student penalty; re-prioritize student aid; and redesign, based on college missions, some educational support services to allow enrollment and graduation of more students. Meanwhile, New Jersey students will continue to knock on the doors of affordable colleges and universities -- both here and, for many, elsewhere. (The website for the WICHE report: www.wiche.edu.)
Similar articles appeared as: High
School Graduates Will be Lured from New Jersey - Trenton Times (April 23, 2008)
Higher Education Funding: With Greater Budget Cuts Allow Fewer Regulations Darryl G. Greer, Executive Director, ASCU
Trenton
Times
Governor Jon S. Corzine introduced his FY 2009 spending plan February 26. It includes deep cuts in many areas, elimination of some departments, and another round of cuts for higher education. While higher education reductions are nothing new -- we have experienced five just in the past 12 budget cycles -- their cumulative effect is significant. If implemented, the cut would be part of what is arguably the largest reduction in the history of American higher education. In fact, New Jersey trailed the nation in new investment in higher education during the FY 2006-2008 period. The current proposal would reduce direct state aid by 10.2 percent. In dollars, it would sink funding for state colleges to below what it was in FY 2000, when the colleges had 15,000 fewer undergraduate students. The electorate knows that cutting operating aid to state colleges inevitably increases tuition and squeezes classroom spaces available for students. Our last poll of likely voters confirmed this. From it, we learned that 82 percent of likely voters say that state budget cuts are an important reason for rising tuition costs (50 percent say "very important" and another 32 percent say "somewhat important"). State college leaders know that this is the time not only to advocate against cuts, but to find new efficiencies. Our group of schools is already the third most productive set of public baccalaureate/master's level institutions in the nation when it comes to degrees produced compared to funding per full-time student. Nevertheless, the schools will continue to tap the best ideas of their trustees and other campus leaders while maintaining core missions. As a result of the colleges' thriftiness, innovation and fiscal diligence in recent times, while tuition and fees have gone up substantially, these charges grew at a rather modest pace given that New Jersey has been neither predictable nor strong in its budgetary support. Here are some examples of how state colleges and universities are smartly managing their resources:
This year, the ASCU has clearly delineated how the state can help these institutions and their students. With the latest round of cuts, we hope that policymakers in the State House feel a special sense of urgency. State colleges are asking for more flexibility in areas such as contracting for facilities and development of public/private partnerships. They are also seeking better control over costs through administration of workers' compensation, as opposed to having the state manage cases and determine settlements. Meanwhile, our association will advocate strengthening college boards of trustees. These governing bodies, vital to public accountability, must be kept nonpartisan. Our association's advocacy efforts are part of our New Jersey College Promise initiative to keep tuition and fees affordable by giving colleges more control over costs and enabling them to continue to develop the tools they need for effective self-regulation. As this happens, accountability will be preserved -- even enhanced. Citizens should feel confident that the colleges will do their best to keep college education affordable while continuing to serve as many deserving students as possible. However, since the state finds itself unable to provide consistent funding, it should, at the very least, be a better partner by cutting red tape and dispensing with outdated regulations.
State Colleges and Universities Respond to Fiscal Challenges Darryl
G. Greer
Op-Ed: March 4, 2008
This past week, the Governor introduced his FY 2009 spending plan. It includes deep cuts in many areas, elimination of some departments, and another round of cuts for higher education. While higher education reductions are nothing new -- we've experienced five just in the past 12 budget cycles -- their cumulative effect is significant. If implemented, the cut would be part of what is arguably the largest reduction -- over a three-year time span -- in the history of American higher education. In fact, New Jersey trailed the nation in new investment in higher education during the FY 2006-2008 period. The current proposal would reduce direct state aid by 10.2%. In dollars, it would sink funding for state colleges to below what it was in FY 2000, when the colleges had 15,000 fewer undergraduate students. The electorate knows that cutting operating aid to state colleges inevitably increases tuition and squeezes classroom spaces available for students. Our last poll of likely voters confirmed this. From it, we learned that 82% of likely voters say that state budget cuts are an important reason for rising tuition costs (50% say "very important" and another 32% say "somewhat important"). State college leaders know that this is the time not only to advocate against cuts, but find new efficiencies. Our group of schools is already the third most productive set of public baccalaureate/master's level institutions in the nation when it comes to degrees produced compared to funding per full-time student. Nevertheless, the schools will continue to tap the best ideas of their trustees and other campus leaders, while maintaining core missions. As a result of the colleges' thriftiness, innovation and fiscal diligence in recent times, while tuition and fees have gone up substantially, these charges grew at a rather modest pace given that the State of New Jersey has been neither predictable nor strong in its budgetary support. Here are some examples of how state colleges and universities are smartly managing their resources:
This year, ASCU has clearly delineated how the State can help these institutions and their students. With the latest round of cuts, we hope that Trenton policy makers feel a special sense of urgency. State colleges are asking for more flexibility in areas such as contracting for facilities and development of public/private partnerships. They are also seeking better control over costs through administration of workers' compensation, as opposed to having the state manage cases and determining settlements. Meanwhile, our Association will advocate strengthening college boards of trustees. These governing bodies, vital to public accountability, must be kept nonpartisan. Our Association's advocacy efforts are part of our New Jersey College Promise initiative to keep tuition and fees affordable by giving colleges more control over costs and enabling them to continue to develop the tools they need for effective self-regulation. As this happens, accountability will be preserved -- even enhanced. Citizens should feel confident the colleges will do their best to keep college affordable while continuing to serve as many deserving students as possible. However, since the state finds itself unable to provide consistent funding, it should, at the very least, be a better partner by cutting red tape and dispensing with outdated regulations.
New Jersey College Promise: Affordability, Productivity and Accountability R.
Barbara Gitenstein
Trenton
Times In a May 2007 poll conducted by the New Jersey Association of State Colleges and Universities (ASCU), 59 percent of likely voters said that state colleges and universities are less affordable than they were two to three years earlier. Those polled realized that tuition has increased substantially, and eight out of 10 understand that cuts in state funding are an important reason why. Unfortunately, while the Garden State consistently excels in preparing students for college, it has not invested adequately in higher education to take advantage of that pre-college investment. A recent national survey indicated that, over the past two years, New Jersey was the only state in the union to decrease funding for higher education. The other 49 states increased higher education funding by an average of 16.2 percent during the same span. As a consequence, New Jersey students and their families are beginning to worry that attending a four-year public institution could no longer be within their grasp. National surveys show that college is viewed almost universally as critical to personal prosperity and a fulfilling life. Our state college and university presidents, along with institutional trustees, are also very concerned about these trends and are seeking solutions that will ensure that our citizens are able to realize the promise of an excellent and affordable baccalaureate education . To that end, ASCU conceived a project called New Jersey College Promise that is designed to address the pressing needs for increased college access and affordability in a publicly accountable way. Last fall, we put together a 21-member advisory council that included some of the most nationally respected experts in higher education, as well as distinguished New jersey business leaders. That panel recently recommended the following steps:
At The College of New Jersey (TCNJ), we have already begun work on this agenda. Through well-conceived program structure and aggressive student support, we have achieved graduation rates that surpass those of the University of North Carolina at Chapel Hill and New York University. TCNJ has implemented strict and transparent financial controls, implemented a comprehensive energy conservation program, and has created a Center for Institutional Effectiveness to assess institutional performance and student outcomes. The college has also enacted debt and investment policies and established a board of trustees committee dedicated to auditing fiscal operations. The results have been low administrative expenditures, improved bond ratings, prestigious national rankings, and superlative graduation and retention rates. These initiatives to increase affordability and productivity would be significantly improved through greater partnership with the State of New Jersey. A rational plan must be developed for provision of operating and capital support to the state colleges and universities, but financial investment is not the only avenue through which the state can support higher education. The following actions on the part of the state would help institutions keep costs down and improve performance:
The nine ASCU institutions are together the third most productive among their peers nationally, according to the National Center for Higher Education Management Systems, but this is a critical time for putting renewed energy into addressing affordability, productivity and accountability. ASCU is convening three regional, invitational meetings with a wide cross section of New Jersey leaders and the public. These groups will include officials in the executive and legislative branches of government, state business and industry leaders, K-12 professionals, college presidents and trustees, parents of state college students, student leaders and other community, nonprofit and policy advocates. The College of New Jersey will continue to be part of this important leadership effort to fulfill the promise of college opportunity in the Garden State.
Previous News & Opinion Articles Group Calls for Steps to Increase College Opportunity, Affordability and Tuition Predictability, Darryl G. Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications & Marketing, NJASCU (January 15, 2008) College Group Applauds Higher Education Commission's Support of Autonomy; Vows Voluntary Steps to Increase Governance and Fiscal Accountability, Darryl G. Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications & Marketing, NJASCU (December 14, 2007) We Need Alternate Solutions for College Oversight, Darryl G. Greer, Executive Director/CEO, NJASCU (The Record, November 13, 2007) Consider all Facts on New Jersey Colleges and Universities, Darryl G. Greer, Executive Director/CEO, NJASCU (The Press of Atlantic City, November 2, 2007) ASCU Statement on State Commission of Investigation (SCI) Report, Darryl G. Greer, Executive Director/CEO, NJASCU (October 25, 2007) Survey Reveals Candidates' Views on Higher Education, Michael W. Klein, Director of Government & Legal Affairs, NJASCU (October 16, 2007) 95,000 Students at State Colleges and Universities Reflects a Decade of Growth, Paul R. Shelly, Director of Communications & Marketing, NJASCU (October 4, 2007) As New Jersey Legislative Races Heat Up, Many Candidates Willingly Register Higher Education Views, Darryl G. Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications & Marketing, NJASCU (October 1, 2007) Panel Seeks Solutions to State College Affordability, Darryl G. Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications & Marketing, NJASCU (September 25, 2007) College Affordability is Attainable, Darryl G. Greer, Executive Director/CEO, NJASCU (Hall Institute of Public Policy, August 2007) Affordable College an Investment in Labor Force, Darryl G. Greer, Executive Director/CEO, NJASCU (Asbury Park Press, July 25, 2007) Most in New Jersey Happy with State Colleges, Poll Finds Affordability of a Degree is a "Top-of-the-Mind" Issue for Residents, Ana M. Alaya, Star Ledger Staff (Star Ledger, June 29, 2007) A Poll of Likely Voters Shows They See New Jersey State Colleges and Universities as Doing a Good Job; Underestimate the Share of Residents Who Attend Them; Say Higher Tuition Results from Falling State Support; Reject Idea of More State Control; and Say Accountability Should Rest with Local Trustee Boards. Association Responds with a Plan, Darryl G. Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications & Marketing, NJASCU (June 28, 2007). State College/University Pledge to Keep College Affordable in Wake of Continuing State Underinvestment, Paul R. Shelly, Director of Communications, NJASCU (June 22, 2007) State College/University Association Promises Solutions to College Affordability Problem; Will Recommend Both College/University and State Policy Change, Darryl Greer, Executive Director/CEO and Paul R. Shelly, Director of Communications, NJASCU (May 23, 2007). State Must Help Colleges Keep Higher Education Affordable, Darryl G. Greer, Executive Director/CEO, NJASCU (Asbury Park Press, May 17, 2007) Good Policy Counts as Much as Good Funding, Darryl G. Greer, Executive Director/CEO, NJASCU (Trenton Times, May 12, 2007) Dollar Increases Welcome, But Policy Trends Uncertain, Darryl G. Greer, Executive Director/CEO, NJASCU (March 29, 2007) Merit Aid Retains our Best and Brightest, R. Barbara Gitenstein, President, The College of New Jersey (Trenton Times, March 14, 2007) Jersey's Higher Education System Must Have a Plan, Susan Cole, President, Montclair State University (Star Ledger, February 20, 2007)) As Enrollment Stabilizes, Demand for State College Opportunity is Very High, State Support Low, Darryl G. Greer, Executive Director, Paul R. Shelly, Director of Communications and Marketing, NJASCU (Press Release, February 14, 2007) Access to College for Low-Income Students Material to New Jersey's Future, Darryl G. Greer, Executive Director, NJASCU (Trenton Times, January 24, 2007) State Must Reverse Failure to Keep Pace with College Costs, Darryl G. Greer, Executive Director, NJASCU (Daily Journal, December 14, 2006) More Room Needed at Colleges for Lower Income Students, Paul R. Shelly, Director of Communications, NJASCU (Asbury Park Press, December 13, 2006) College Reforms Pay Off, Darryl G. Greer, Executive Director and CEO, NJASCU and Paul R. Shelly, Director of Communications, NJASCU (Trenton Times, November 27, 2006) State College/University Demand Growth Continues: Demand, Enrollment Up, Darryl G. Greer, Executive Director and CEO, NJASCU and Paul R. Shelly, Director of Communications, NJASCU (Press Release, October 11, 2006) Donors to College Know Their Gifts Don't Supplant State Funding, Paul R. Shelly, Director of Communications, NJASCU (Asbury Park Press, September 22, 2006) State Isn't Doing Enough to Keep College Costs in Check, Darryl G. Greer, Executive Director, NJASCU (Asbury Park Press, September 13, 2006) Retire Old Workforce Model, Paul R. Shelly, Director of Communications, NJASCU (Trenton Times, August 18, 2006) Crucial Colleges Cost Endure Even a Smaller Aid Cut, Paul R. Shelly, Director of Communications, NJASCU (Philadelphia Inquirer, June 22, 2006) Irony in Higher Education Budget Cuts: Doing More Means Less for New Jerseyans, Darryl G. Greer, Executive Director, NJASCU (Press Release, June 9, 2006) State College/University Advocate Asserts State Colleges are Effective and Productive, Darryl G. Greer, Executive Director, NJASCU (Press Release, May 16, 2006) Meet State Responsibilities for College Opportunity, Says Advocate, ASCU Press Release (May 8, 2006) Higher Education Must Lobby or Lose, ASCU Editorial (Jersey Journal, April 13, 2006) The Power of Wishful Thinking: Dispelling Higher-Education Myth, by Paul R. Shelly, Communications Director, NJASCU (Trenton Times, March 23, 2006) New Jersey Gets High Marks on College Access, Productivity, Falls Short on Capacity. Fixes are in Order, Says State College Official, by Darryl Greer, Executive Director/CEO, NJASCU (Press Release, February 1, 2006) Leading, and on the Right Path, Paul R. Shelly, Communications Director, NJASCU (Trenton Times, December 24, 2005) Keep New Jersey Higher Education a Force, by Paul R. Shelly, Communications Director, NJASCU (The Philadelphia Inquirer, November 30, 2005) This Time Next Year is Right for Higher Education Bond Issue, by Darryl G. Greer, Executive Director/CEO, NJASCU (Asbury Park Press, November 9, 2005) WBZN-TV Broadcast, Lisa Magalnick Jacknow, Reporter, Paul R. Shelly, Communications Director, NJASCU (WBZN-TV, October 26, 2005) State Colleges on the Offensive for Best Students, by Paul R. Shelly, Communications Director, NJASCU (Asbury Park Press, October 15, 2005) Our Next Governor is on Record to Make Higher Education a Top Priority, by George A. Pruitt, Chairman, NJ Presidents' Council and President, Thomas Edison State College (The Trenton Times, October 11, 2005) Public Favors $2-3 Billion Higher Education Facilities Bond Measure that State College/University Leaders Say is Urgently Needed to Provide College Opportunity, ASCU Press Release (Released October 5, 2005) Nonpartisan Boards Fulfill State's Trust, Poll Shows Present College System Favored, by Kathleen M. Matteo, Chair, NJASCU (Home News Tribune, September 2, 2005) Strong Support for Higher Education Could Help Sway Gubernatorial Race, by Darryl G. Greer, Executive Director (Asbury Park Press, August 5, 2005) Jersey Voters Want Public College/University Affordability and Access, Favor a Higher Education Facilities Bond Issue, and Have Confidence in Boards of Trustees to Oversee New Investment Darryl G. Greer, Executive Director (July 20, 2005) NJ Colleges Supplement State Funds, Institutions Coping with New Realities, by Darryl G. Greer, Executive Director (Home News Tribune, April 5, 2005) Grassroots Advocacy Needed to Fulfill Higher Education Legacy, by Paul R. Shelly, Communications Director, NJASCU (New Jersey Herald, February 27, 2005) Freshman Student Demand Outpaces State College Enrollment Capacity, by Darryl G. Greer and Paul R. Shelly (February 14, 2005) NJ College Oversight More Accountable, Welcoming, Paul R. Shelly, Communications Director, NJASCU (Asbury Park Press, January 19, 2005) Keep N.J. Higher Education a Force, Paul R. Shelly, Communications Director (The Philadelphia Inquirer, November 30, 2005) Despite Rising Tuition Costs, College Can Be Affordable, Darryl G. Greer, Executive Director/CEO, NJASCU (Asbury Park Press, November 11, 2004) Colleges Can't Keep Up With Demand, Darryl G. Greer, Executive Director/CEO, NJASCU (Asbury Park Press, October 20, 2004) Enrollment Crunch Continues - Getting into State Colleges/Universities Will Be Harder, College/University Group Warns, Darryl G. Greer/Paul Shelly (Press Release, September 23, 2004) NJ Colleges Must Expand to Keep Bright Students in State, Paul R. Shelly, Communications Director, NJASCU (Home News Tribune, May 25, 2004) Public Colleges Run Out of Room, Turn Students Away Donald Farish, President of Rowan University (Atlantic City Press, December 1, 2003) New Jersey Public College Costs are Not Out of Control, Darryl Greer (September 22, 2003)New Jersey's Rank in Four-Year Public College Enrollment Capacity, Already Low for its Population, Slips a Peg Darryl Greer (Press Release, September 3, 2003)New Jersey Higher Education A Priority for Citizens - Darryl G. Greer (Trenton Times, August 9, 2003)
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