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Higher Education Public Policy Forum

Higher Education Public Policy Forum. January 13, 2004. Who we are Why we are important Public perceptions of higher education The Sector and New York State: An interdependence. 2004-05 legislative agenda

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Higher Education Public Policy Forum

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  1. Higher Education Public Policy Forum January 13, 2004

  2. Who we are Why we are important Public perceptions of higher education The Sector and New York State: An interdependence 2004-05 legislative agenda Keep the state’s commitment to TAP, Direct Aid (“Bundy”), HEOP, STEP/C-STEP, Liberty Partnerships, Scholarships of Academic Excellence and other programs Include the Independent Sector in any capital program New York’s Independent Sector of Higher Education

  3. Who We Are

  4. New York State’s Independent Colleges and Universities

  5. Commission on Independent Colleges and Universities • A voluntary consortium of more than 100 non-profit institutions of higher education • Membership organization of college presidents • Financed by dues from member institutions • Chartered by and accountable to the Board of Regents • Serves as the voice of all independent colleges and universities in the State of New York with regard to public policy, regulation, legislation and programs • Functions as the formal organizational liaison with the State Education Department, SUNY, CUNY and the proprietary sector • Headquartered in Albany; full-time president and professional staff since 1968

  6. Long-term Enrollment Trends Show Overall Growth • In 2003-04, the Independent Sector enrolled 435,000 students in baccalaureate and graduate programs • 300,000 New Yorkers Rev. 11/11/03

  7. Independent Sector Enrolls Most Low-Income 4-year Students Rev. 11/24/03

  8. Educating Low-Income Students

  9. Most Independent Campuses Depend on Tuition Revenue • The cost of educating students at comparable institutions is about the same, regardless of sector • But the reliance on tuition revenues between public and private institutions is very different • 75 independent colleges and universities depend on tuition for at least half of their total revenue

  10. Increasing Minority Enrollment • Minority enrollment in the Independent Sector has increased from 15% in 1980 to 26% in 2001 • Each year more minority students earn their bachelor’s degrees from an independent campus than either SUNY or CUNY Rev. 11/20/03

  11. Minority Graduation Rates • The number of bachelor’s degrees awarded to Asian, Black, and Hispanic students has been increasing

  12. Among the Nation’s Best • In the U.S. News and World Report 2004 edition of America’s Best Colleges, 14% of the nation’s 100 “best” colleges and universities are New York institutions • This total is the highest in the country, tied with California • All are Independent Sector institutions • Another 28 campuses in New York State rank among the Northern region’s “best” • 23 of these colleges are in the Independent Sector

  13. Why We Are Important

  14. It Pays to Be Educated • Over a lifetime, nearly $1 million in income separates those with a bachelor’s degree and those with only a high school diploma • On average, individuals with a bachelor’s degree command nearly twice the annual income of a high school graduate

  15. Independent Campuses Are Major Employers • Employ 131,000 New Yorkers • $6 billion payroll • Generate $40.2 billion annually in economic activity • 500 research centers and institutes 4

  16. Degree Productivity • In 2002-03, the Independent Sector granted 114,000 of the college degrees in New York State. This represents: • 15% of associates • 58% of bachelor’s • 73% of master’s • 71% of doctorates • 85% of first professional

  17. Getting the Job Done

  18. Helping New York StateMeet Its Essential Needs

  19. Helping the State MeetFuture Enrollment Demands • High school graduates are projected to grow from 169,000 to 180,000 by 2008 • The Independent Sector will enroll many of these students, saving taxpayer dollars and ensuring that many of these students study in New York State

  20. A Cost-Effective Solution • Investing in Independent Sector students makes good sense • In 2001-02, state support was $917 per Independent Sector student or 1/14 the support for a student at the State University

  21. New York is America’s Leading Higher Education Destination

  22. Nation’s Top Destination for First-Time Freshmen

  23. Private Education is the Fastest Growing Sector in New York

  24. World-Recognized Brainpower • 135 Independent Sector faculty and alumni have won Nobel prizes • 85% of the state’s total • 32% of the world’s total in economics • 24% in physiology/ medicine • 22% in physics

  25. Independent Sector Excels in Medical Research • Independent Sector universities received approximately $1B in National Institutes of Health (NIH) grants in FY 2002 • New York’s share of NIH funding was 15.1% in 1981, but dropped to 9.6% in 2001 • New York State must halt its declining share of NIH dollars

  26. The Independent Sector and New York’s Economic Future

  27. Public Perceptions About Higher Education

  28. Public Perceptions ofHigher Education • In October 2002, cIcu commissioned Zogby International to conduct a telephone survey of 1,007 adults regarding their opinions and perceptions about higher education • The study polled an equal number of respondents (selected at random) in each of three regions: New York City, the metropolitan suburbs, and upstate New York • The regional samples are individually valid; the statewide totals were calculated using appropriate weights to reflect the distribution of the state’s population • The majority of respondents: • Believe that elementary and secondary education and higher education are equally important • Think that any increases in state higher education funding should be allocated directly to students • Recognize the importance of higher education institutions to their local economy, especially in upstate and New York City

  29. Higher Education, Elementary Education Equally Important • Is state funding for higher education more important or less important when compared to state funding for elementary education, or would you say they are equally important?

  30. Aid for Students Preferred • Suppose the state legislature has more money for higher education. Which one of the following options do you think is better?

  31. Higher Education Important to the Local Economy • How important is the college or university to your local economy, very important, somewhat important or not important?

  32. The Sector and New York State: An Interdependence

  33. Tuition Assistance Program • Tuition Assistance Program (TAP) is a grant to residents of New York with net taxable family incomes below $80,000 who are enrolled full-time at a postsecondary school within the State. It is based upon need. A grant to a student in the independent sector (where the weighted average tuition is about $20,000) may be as high as $5,000 a year. A grant to a student in the public sector may be as high as $4,350 or 100% of tuition. The original purpose of TAP was to make student choice of institutions a reality by narrowing the tuition gap between the independent and public sectors. • Tuition Assistance Program (TAP) is a grant to residents of New York with net taxable family incomes below $80,000 who are enrolled full-time at a postsecondary school within the State • Based on need • A grant to a student in the independent sector (where the weighted average tuition is about $20,000) may be as high as $5,000 a year • A grant to a student in the public sector may be as high as $4,350 or 100% of tuition • The original purpose of TAP was to make student choice of institutions a reality by narrowing the tuition gap between the independent and public sectors

  34. Institutional Grants Growing Faster Than Pell Grants and TAP

  35. Sample Financial Aid Packages

  36. Tuition Discounting • Since 1990, the percent of tuition income spent on student financial aid has grown 9% nationally and more than 11% in New York State • The majority of tuition increases since 1990 have gone to support college-funded grant aid - not college operations

  37. Direct Institutional (“Bundy”) Aid • Direct Institutional “Bundy” Aid is based upon the number and level of degrees conferred — not the sheer number of students enrolled • First awarded in 1969 • Protects a higher education system that emphasizes student choice and college access while preserving higher education diversity and quality • Saves tax dollars • Designed to be adequate enough to keep independent colleges and universities strong Direct Institutional “Bundy” Aid, is aid to colleges and universities that is based upon the number and level of degrees conferred and not just sheer number of students enrolled. It was first awarded in 1969. Direct aid protects a higher education system that emphasizes student choice and college access while preserving higher education diversity and quality. In addition it saves tax dollars. It was designed to be adequate enough to keep independent colleges and universities strong.

  38. The Difference Direct Aid Makes Direct Institutional (“Bundy”) Aid • Direct Aid funding model should be replicated • Based on outcomes, with funding tied to degree productivity • Our campuses provide $5.34 in college-funded financial aid for every $1 of state student assistance • Direct Aid ($44.3 million) is at one-third of statutory maximum ($140 million) Source: NYSED, Office of Research and Information Systems. Data are state fiscal year.

  39. Higher Education Opportunity Program • HEOP is a success • HEOP students graduate at rates comparable or above the general student population • The current HEOP graduation rate is 55.7% after five years • Since it establishment in 1969, HEOP has given economically and educationally disadvantaged students who may not have otherwise been admitted to the college the opportunity to attend college • There are 63 HEOP programs at 57 institutions in the independent sector • HEOP serves students of all races from all parts of New York State • The Higher Education Opportunity Program, HEOP, and other comparable programs have been a success. Since its establishment in 1969, HEOP has given economically and educationally disadvantaged students who may not have otherwise been admitted to the college the opportunity to attend college. There are 63 HEOP programs at 57 institutions in the independent sector. HEOP serves students of all races from all parts of New York State. HEOP students graduate at rates comparable or above the general student population. The current HEOP graduation rate is 55.7 percent after five years.

  40. HEOP Works • Participating institutions provide $2.87 for every state HEOP dollar • State support funding goes to • Counseling • Tutoring • Financial aid • Pre-freshmen summer program • Current HEOP funding, $22 million Revised 12/13/03

  41. Invest in New York’s Potential • The State should fully fund programs with proven track records: • Science and Technology Entry Program (STEP) / Collegiate Science and Technology Entry Program (C-STEP) encourages more minority students to pursue science, technology and health careers • Liberty Partnership Program prevents at-risk students from dropping out of high school • Aid for Part-Time Study (APTS) offers up to $2,000 to students enrolled for at least three credit hours per semester at a degree-granting postsecondary institution • Teacher Opportunity Program grants enable public and independent colleges and universities to increase enrollment of under-represented minority students in programs that lead to teacher certification • Scholarships for Academic Excellence provides 2,000 annual awards of $1,500 to New York’s top high school graduates and 6,000 annual awards of $500 to students demonstrating high scholastic achievement

  42. New York's College Savings Program Families saving for college expenses can contribute and earn interest on their savings free from state and Federal taxes. New Yorkers can deduct a portion of their contributions from their state income tax. The program is open to residents of any state and the money can be used to pay tuition and other qualified higher education expenses at any eligible public or private college or university, trade, vocational or professional school anywhere. Other qualified higher education expenses include fees, room and board costs, books, supplies, and required equipment. Approximately 265,000 accounts, with contributions exceeding $2.3 billion, have been opened since the program’s inception in 1997 For more information contact: www.hesc.com Tuition Tax Deduction The program allows a credit or itemized deduction for undergraduate college tuition expenses for taxpayers, their spouses or dependents attending an approved in- or out-of-state higher education institution The maximum amount of allowable college tuition expenses is $10,000 and the credit is phased in over a four-year period. Applicable percentages of allowed tuition expenses are 25% in tax year 2001, 50% in 2002, 75% in tax year 2003, and 100% in 2004 and thereafter Qualifying tuition expenses are defined as net of scholarships or financial aid. Institutions of higher education include business, trade, technical or other occupational schools, recognized and approved by the Regents of the University of the State of New York, or national recognized accrediting agency accepted by the Regents, which provides a course of study leading to the granting of a post-secondary degree, certificate or diploma State Programs Make College Possible

  43. 2004-05 Independent Sector Legislative Agenda

  44. Investing in the Independent Sector Helps New York State • Keep the state’s commitments to student and institutional aid • Tuition Assistance Program (TAP) • Direct Institutional (“Bundy”) Aid • Higher Education Opportunity Program (HEOP) • Science and Technology Entry Programs (STEP/C-STEP) • Liberty Partnership Programs, Aid for Part-Time Study, Teacher Opportunity, Scholarships for Academic Excellence and other state-supported higher education programs • Approve a capital matching grant program for Independent Sector campuses

  45. Independent Sector Higher Education Capital Program • Request: $250M over five years • Match requirement: For every $1 in state support, the eligible institution must raise $3 • Rationale: the State should assist in the capital needs of the independent colleges and universities, which provide a public mission in helping so many New York students meet their higher education needs • Economic impact: $1B total; 11,300 construction and related jobs • “And for the first time, I will advance a new capital initiative that includes our independent colleges and universities -- a critical part of our state's higher education system,” Governor George E. Pataki, State of the State, January 7, 2004

  46. Capital Investment Would Fuel Construction in Every Region

  47. Executive Committee Chair: David J. Steinberg Long Island University Vice-Chair: Lisa Marsh Ryerson Wells College Secretary: Stephen J. Sweeny The College of New Rochelle Treasurer: David A. Caputo Pace University At Large: Lee C. Bollinger, Columbia University Frances D. Fergusson, Vassar College Jeanne H. Neff, The Sage Colleges Stuart Rabinowitz, Hofstra University John E. Sexton, New York University Daniel F. Sullivan, St. Lawrence University Ex Officio:   Abraham M. Lackman, cIcu President Trustees Harry C. Barrett, New York Medical College Charles J. Beirne, S.J., Le Moyne College Mark D. Gearan, Hobart and William Smith Colleges Stephen Greenwald, Metropolitan College of New York Thomas F. Judson, Jr., Public Trustee, Council of Governing Boards Secretary Arthur Levine, Teachers College of Columbia University Robert A. Miller, Nazareth College of Rochester Edmunette Paczesny, FSSJ, Hilbert College Gayle F. Robinson, Public Trustee, Council of Governing Boards Chair Thomas Scanlan, F.S.C., Manhattan College Kenneth A. Shaw, Syracuse University Ronald J. Sylvestri, Public Trustee, Council of Governing Boards Vice Chair 2003-2004 Board of Trustees

  48. Abraham M. Lackman, President abe@cicu.org State Relations, Research and Policy Analysis Sheila C. Seery, Director of Research,sheila@cicu.org Michael Wachowicz, Research and Computer Systems Administrator,michael@cicu.org Christopher J. Nolin, Legislative and Research Analyst, chris@cicu.org Public Affairs and Federal Relations Terri Standish-Kuon, Vice President, Communications and Administration,terri@cicu.org Dennis J. Kennedy, Assistant Director of Communications, dennis@cicu.org Regulatory Issues and Governance Elizabeth Van Nest, General Counsel; Executive Director, Council of Governing Boards, elizabeth@cicu.org Admissions and Financial Aid Susan Nesbitt Perez, Director, Outreach Programs, susan@cicu.org Nancy Ackerbauer, Assistant Director of Outreach Programs, nancy@cicu.org Mary W. Shamblen, Outreach Projects Assistant, mary@cicu.org Commission on Independent Colleges and Universities 17 Elk Street, PO Box 7289Albany, NY 12224 518-436-4781 518-436-0417, fax www.cicu.org www.nycolleges.org Contact Us

  49. Learn More: www.cicu.org • Visit cIcu’s Web site. You’ll find: • Descriptions of TAP, Direct (“Bundy”) Aid, HEOP, and other vital state higher education programs • “Experts Search,” a database of faculty experts and research centers, programs and services at 100+ colleges and universities • “Community Connections,” how Independent Sector campuses are contributing to their regions through the arts, community service, economic development, the environment, health, and technology

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