FINANCE

NEW YORK STATE SENATE AND ASSEMBLY JOINT HEARING ON HIGHER EDUCATION BUDGET — The chancellors of SUNY and CUNY defended Governor Hochul's 2023-2024 higher education budget proposal on Monday, emphasizing affordability while supporting controversial tuition increases that would generate $97 million annually. The hearing, held before the joint fiscal committees of the Legislature, revealed sharp disagreement over the timing of tuition hikes amid enrollment declines at both systems. Chancellor John B. King Jr. of SUNY argued that the proposed tuition increases, combined with expanded TAP and Excelsior scholarship coverage, would not burden low-income students, since 53 percent of SUNY students already attend tuition-free. He highlighted $200 million in proposed digital transformation funding and a $1.5 billion research endowment for University Centers designed to compete with peer institutions nationally. Chancellor Félix V. Matos Rodríguez of CUNY noted that 70-80 percent of community college students would not see tuition increases due to financial aid coverage, and emphasized that the funds would support student retention services critical to reversing enrollment losses. However, Sen. Toby Stavisky, chair of the Senate Higher Education Committee, posed a pointed challenge: "How will a tuition increase help reverse the trend of declining enrollment?" She noted that CUNY has lost 100,000 students according to New York City Department of Education records and expressed disappointment that CUNY was not included in the Governor's transformational budget investments. King also addressed the financial crisis facing SUNY's three university hospitals, which serve as safety nets and workforce training centers. He noted that SUNY Downstate faces a $133 million operating deficit and that 85 percent of its patients are Medicare, Medicaid, or uninsured. The Legislature added nearly $70 million in hospital debt relief last year, but King said additional support is desperately needed. Matos Rodríguez highlighted CUNY's achievements, including 16,000 students enrolled in the CUNY Reconnect program, which exceeded its 10,000-student goal, and $417 million in research grants through the first half of the fiscal year. He also requested $7 million for the CUNY Medical School, described as the most diverse medical school in the nation outside of HBCUs. The hearing, the 10th in a series on the Governor's budget, included testimony from faculty unions, student advocates, and representatives of independent colleges. The tuition proposal emerged as the most contentious issue, with legislators questioning whether rate increases during inflationary times and amid enrollment challenges would achieve the stated goal of improving educational quality and access. NEW YORK — State University of New York and City University of New York leaders defended their budget requests before a joint legislative committee on Monday, as lawmakers raised sharp questions about funding disparities, tuition increases, and cuts to student support programs in the Governor's 2023-2024 executive budget proposal. SUNY Chancellor King and CUNY Chancellor Matos Rodríguez testified that both systems face enrollment declines and structural deficits, but emphasized their commitment to serving all communities and expanding workforce development programs in high-demand fields like nursing and cybersecurity. The hearing revealed significant tensions over the budget's allocation. The Governor proposed nearly $1 billion more for SUNY, including a $500 million endowment investment intended to generate $1.5 billion for University Centers, while proposing only $94 million for CUNY against its request for $313 million. This breaks from the traditional 60/40 funding split between the systems. Sen. Gounardes called the disparity "offensive," noting CUNY would receive only 35 percent of the proposed higher education funding. Sen. Liu pressed both chancellors on the abandonment of the historical parity, asking whether they were "really positive" about the proposal. Neither chancellor directly endorsed the funding disparity. On tuition, Chancellor King said SUNY has held tuition constant since 2019 and that the Governor's proposed increase would translate to "a couple of hundred dollars a year." However, Sen. Gounardes characterized any tuition increase as "a tax increase by another name," and Sen. Liu questioned whether there was a correlation between rising tuition and declining enrollment over the past decade. Key data points emerged during testimony: SUNY's 53 percent full-time faculty ratio compared to CUNY's 40 percent; CUNY's conversion of 80 percent of its 250 new faculty hires from adjunct positions; and the fact that 53 percent of SUNY students currently pay no tuition. Lawmakers also raised concerns about proposed cuts to opportunity programs. Assemblywoman Bichotte Hermelyn noted that SEEK and EOP programs—established by civil rights pioneers Shirley Chisholm and Arthur Eve—face proposed reductions of $1.3 million and $1.1 million respectively. Both chancellors expressed support for restoring this funding. On workforce development, both leaders highlighted efforts to address nursing shortages through simulation training. A bill by Assemblywoman Lupardo and Senator Stavisky would allow 30 percent of nursing clinical hours to be completed through simulation, which both chancellors said is critical to expanding the nursing pipeline. Community colleges emerged as another flashpoint. The Governor's budget includes a 20 percent withholding on community college funding pending submission of efficiency plans. Assemblywoman Clark questioned the timing, noting that previous withholding periods "never went well." Chancellor King said SUNY would work with campuses to develop plans focused on growing high-demand programs. The hearing is part of the Legislature's budget review process ahead of the April 1 deadline for enacting a state budget. New York's higher education leaders faced pointed questioning from state legislators on February 27 about the Governor's 2023-2024 budget proposal, with particular focus on affordability, enrollment declines, and institutional challenges facing SUNY and CUNY. CUNY Chancellor Félix Matos Rodríguez and SUNY Chancellor John King testified before the joint legislative Finance Committee, defending the administration's budget while acknowledging significant resource constraints. The chancellors requested substantial new investments: CUNY sought $53 million for STEM programming, citing higher costs to educate science and engineering students, while SUNY requested $120 million in operating aid increases to maintain current service levels. Legislators expressed deep concerns about the Governor's proposed tuition increases, with multiple lawmakers arguing that raising costs would further discourage enrollment at a time when both systems are losing students. Assemblywoman Forrest highlighted the burden on low-income families, noting that a family earning less than $70,000 would graduate from SUNY Geneseo with $30,000 in debt after paying $50,000 out of pocket. Sen. Jackson, an EOP program alumnus, opposed any tuition increase, advocating instead for higher taxes on wealthy New Yorkers and corporations. Chairwoman Krueger raised alarm about predatory for-profit colleges, noting that New York distributes more TAP grant money per student than any other state, effectively subsidizing low-quality institutions. She also questioned SUNY Upstate Hospital's aggressive debt collection practices against low-income patients, requesting a follow-up investigation. Other concerns included SUNY's vaccine mandate's impact on enrollment, nursing faculty shortages, campus hate incidents and antisemitism at CUNY, and the slow approval process for new academic programs. Chancellor King acknowledged a $7.7 billion capital maintenance backlog and committed to exploring faster program approval timelines. Chancellor Matos Rodríguez announced a comprehensive transfer reform initiative to make credit transfers seamless within CUNY and highlighted investments in paid internships, noting that 11,000 students applied for just 2,000 available positions through the Career Launch program. New York's higher education leaders faced pointed questions about enrollment declines, healthcare worker shortages, and for-profit college oversight during a joint legislative budget hearing on February 27, as lawmakers signaled they may not fully fund the governor's proposed transfer of professional licensing authority from the Education Department to the Health Department. NYSED Commissioner Betty Rosa testified that approximately 86,000 students with disabilities now attend New York colleges—a 15 percent increase over five years—yet receive only $27 per student from a $2 million state allocation. She requested $15 million to adequately support this growing population. Rosa also requested a 10 percent funding increase for Opportunity Programs serving over 46,000 students, and strongly opposed the governor's proposal to move healthcare professional licensing to the Department of Health, calling it "extreme" and a threat to public safety. The fraudulent nursing diploma crisis emerged as a major concern. Rosa disclosed that SED is investigating over 2,000 nursing licenses potentially obtained through fake credentials from Florida schools. Deputy Commissioner Sarah Benson noted that SED licenses approximately 35,000 nurses annually, with 30 percent coming from out-of-state, typically processed in two weeks. Assemblywoman Fahy, chair of the Higher Education Committee, pressed Rosa on declining high school enrollment and its ripple effects on college enrollments, citing a Chalkbeat article showing New York is an outlier in funding for-profit colleges while seeing high student loan default rates. She requested data comparing student engagement and retention in career and technical education versus traditional programs. Both SUNY Chancellor King and CUNY Chancellor Matos Rodríguez testified on childcare expansion efforts. SUNY operates 47 centers on 43 campuses with seven more planned; CUNY is building a new center at Queensborough Community College and expanding infant-toddler services. Assemblyman Ra pressed both on whether minimum wage increases would require additional state support to maintain childcare worker compensation and center affordability. Chairwoman Weinstein raised concerns about nursing shortages at SUNY hospitals, particularly at Downstate Medical Center, and questioned the status of capital improvements to the facility's parking garage, which has been closed due to safety concerns. The hearing revealed significant tension over the governor's healthcare licensing proposal, with multiple senators signaling skepticism about moving the Office of Professions from SED to the Department of Health, despite the governor's second consecutive year pushing the transfer. New York State education officials defended their 2023-2024 budget proposals at a joint legislative hearing Monday, emphasizing expanded access to higher education while facing pointed questions about proprietary school oversight and program approval delays. NYSED Commissioner Rosa and her team highlighted a $836 million increase in higher education support and detailed efforts to close 26 proprietary schools that failed to meet state standards. However, Chairwoman Krueger pressed for specifics on the closure process and raised concerns about 52 yeshivas receiving over $32 million annually in TAP funds without apparent oversight scrutiny. Senator Liu challenged SUNY's claims about program approval delays, with NYSED officials clarifying that roughly 40 percent of new program applications are approved within 10 days. The exchange suggested delays stem from SUNY Central's internal processes rather than state education department bottlenecks. HESC President Guillermo Linares reported strong early uptake of expanded TAP benefits for part-time students, with over 7,000 certified in fall 2022 compared to 2,000 the previous year—a 300 percent increase. He also noted that thousands of DREAM Act students are accessing benefits and that the state is on track to reach its 5,000-student target. Multiple legislators expressed concern about proposed reductions to EOP and CSTEP programs, with Senator Webb and Assemblyman Eachus calling them "lifesaving" for disadvantaged students. NYSED officials acknowledged teacher shortages remain acute in special education, English language learners, and STEM fields. The hearing, held February 27, revealed tensions between state oversight and institutional autonomy, with NYSED defending its regulatory role while facing questions about whether all higher education institutions—particularly yeshivas—receive equal scrutiny. New York's higher education system faces persistent funding gaps and enrollment challenges despite last year's budget investments, according to testimony at a joint legislative hearing on the 2023-2024 executive budget held February 27. Higher Education Services Corporation President José Linares reported that the state's Enhanced Tuition Award program has experienced dramatic decline, with participating colleges dropping from 38 in 2019-2020 to 27 currently, and student enrollment falling from 4,600 to 2,000. The agency is implementing TAP expansion to part-time students, with approximately 7,000 currently enrolled, and has extended financial aid to incarcerated individuals across 60 colleges operating 30 programs in 40 correctional facilities. Senator Liz Krueger pressed Linares on oversight of 52 yeshivas receiving TAP funds for approximately 7,200 students, seeking clarification on accreditation processes and credit transferability requirements. She requested a complete list of the institutions. Union representatives and faculty advocates outlined significant funding shortfalls. James Davis of the Professional Staff Congress testified that CUNY, which generated $57 billion in graduate earnings and $4.2 billion in state taxes in 2019 alone, is now demanding severe austerity cuts of an additional $100 million over the $75 million from fiscal 2023. The PSC is requesting $82 million to cover mandatory cost increases. Andrew Dobbyn of the Graduate Student Employees Union called for $10 million to eliminate fees for approximately 5,000 graduate assistants who currently must pay 8-20 percent of their minimal stipends in fees—pushing some into poverty. He urged inclusion of Senator Stavisky's fee elimination bill in one-house budgets. Andrew Sako of the Faculty Federation of Erie Community College requested the Legislature hold harmless community college base aid at 100 percent of 2019-20 levels, which would provide $23 million additional funding, noting that State Education Law requires the state to pay 40 percent of operating costs. James McCartney of the SUNY Police Lieutenants Benevolent Association testified that the department has lost 114 officers over two years—only 19 to retirement—largely due to the 25-year pension requirement compared to the 20-year standard for 96 percent of police and firefighters nationally. He cited a projected $67 million cost for pension parity but noted each departing officer represents approximately $120,000 in lost training costs. Senator Joe Griffo questioned whether the system could sustain TAP eligibility expansion to potentially 24,000 additional families and advocated for reinstating Graduate TAP focused on critical workforce shortage fields including nursing, education, and STEM. NEW YORK — Union leaders and higher education advocates urged state lawmakers on Monday to dramatically increase funding for public universities and student support programs, warning that chronic underfunding threatens enrollment and workforce development across New York. Testifying before a joint legislative hearing on the 2023-2024 higher education budget, Dr. Fred Kowal of the United University Professions said SUNY has experienced a $7.8 billion decline in direct state support since 2008-2009 when adjusted for inflation, despite the state's $8.6 billion budget surplus. He highlighted that 19 SUNY campuses face a cumulative structural deficit of $160 million and called for immediate investment to address the crisis. "Funding a public university system on the private money of students is totally unsustainable," Kowal testified, opposing tuition increases championed by some administrators. "This is a public university system, and by its nature you need to have public investment." Kowal cited alarming enrollment data: 60 percent of African-American high school graduates in New York do not attend higher education, as do 35 percent of Hispanic graduates. He argued that increased public investment would reverse these trends and generate $8 in economic activity for every $1 invested in SUNY institutions. Dr. James Davis of the Professional Staff Congress, representing CUNY faculty, echoed the call for public investment, noting that CUNY lost almost 800 full-time faculty through attrition and retirement over four years during the pandemic. While acknowledging progress in hiring full-time faculty with a $53 million allocation, Davis said much of that funding is backfilling lost positions. Davis and other union leaders opposed tuition increases, with Davis calling for the state to maintain the historic 60/40 funding balance between SUNY and CUNY. He suggested that if SUNY receives an additional $1 billion, CUNY should receive approximately $667 million to maintain parity. Patrick Dobbyn of the Communications Workers of America testified about the "pay-to-work" system where graduate students pay fees from their stipends. He said all 5,000 CWA members previously paid approximately $2,000 annually in fees, with base stipends around $20,000, meaning students pay 10-20 percent of their income in fees. He criticized the lack of uniformity across campuses and argued that fee elimination is necessary to attract and retain graduate student workers. Community college advocates pressed for stable, enrollment-independent funding. Andy Sako warned that FTE-based funding is "killing" community colleges and called for wraparound services including financial aid, advisement, and support for students facing food insecurity and transportation barriers. Assemblywoman Helene Weinstein (D-Brooklyn), chairing the hearing, and other lawmakers signaled support for increased public investment. Assemblywoman Monica Wallace emphasized the economic importance of regional campuses like Buffalo State, Brockport, and Fredonia as anchors in their communities. Assemblyman Ron Kim pressed for data on why students are dropping out, noting that CUNY recovered 16,000 previously enrolled students and suggesting larger efforts could yield more. Dr. Renaldo Alba, representing CSTEP and STEP programs serving 20,000 students, requested a 20 percent funding increase, citing inflation that has raised the minimum wage from $8.75 in 2015 to $14.20 statewide. He said all programs remain "hobbled" by an outdated 2014 funding formula that fails to account for pandemic-related student crises including food and housing insecurity. Advocates for independent colleges and student support organizations also testified. Samuel Rowser of On Point for College highlighted that the organization's students persist at 74.3 percent, 25 percent higher than typical first-generation students, and contribute over $23 million in tuition and fees to community colleges. Lola Brabham of the Commission on Independent Colleges and Universities called for expanded Tuition Assistance Program funding and restoration of $30 million in higher education capital funding. The hearing, held February 27, reflected growing consensus among education advocates that New York's public higher education system requires substantial new investment to address workforce shortages, enrollment declines, and equity gaps. Lawmakers appeared receptive to the arguments, with several signaling support for increased funding and opposition to tuition increases. NEW YORK STATE SENATE FINANCE COMMITTEE HEARS TESTIMONY ON HIGHER EDUCATION SUPPORT PROGRAMS — Advocates for five major student support initiatives testified before the New York State Legislature on Feb. 27 regarding the 2023-2024 Executive Budget for higher education, requesting significant funding increases to address enrollment declines and student retention challenges. The Liberty Partnership Programs, celebrating its 35th anniversary as New York's only state-funded dropout prevention program, requested a 20 percent funding increase and removal of per-pupil funding caps. The program serves over 15,000 at-risk youth and reported a 91 percent graduation rate with less than 1 percent dropout rate among seniors. Liz Altman, president of Friends of the New York State Liberty Partnership Programs, also raised concerns about chronic delays in funding access, often arriving in the second or third fiscal year, jeopardizing service continuity. The Fostering Youth College Success Initiative, established in 2015-2016, requested an additional $2.08 million to reach $10 million in total funding. The program currently serves close to 1,000 students across more than 100 colleges and universities. Deidra Nesbeth of the Fostering Youth Success Alliance noted that 25 percent of foster youth are preoccupied with housing insecurity, making college planning difficult. Independent colleges and universities reported enrollment challenges, with a 5 percent decline following the Excelsior Scholarship introduction and pandemic-related losses. Dr. Brabham of the Commission on Independent Colleges and Universities proposed raising the TAP income limit to $110,000 to capture an additional 24,000 eligible students, and advocated for increased Bundy Aid funding, currently at $35 million—only 18 percent of statutory levels. CSTEP and STEP programs reported strong outcomes, with over 75 percent of CSTEP students graduating and 80 percent of STEP graduates pursuing professional degrees in STEM and health fields. Dr. Alba requested a 20 percent funding increase for all Opportunity Programs and emphasized the importance of wraparound support services addressing housing, food insecurity, and transportation barriers. Legislators engaged substantively on multiple fronts. Assemblywoman Clark raised concerns about housing insecurity among college students, noting that community colleges now have more students living in shelters than ever before. Assemblyman Epstein pressed for detailed data on student attrition, questioning whether TAP funding exhaustion drives departures. Sen. Gounardes challenged independent colleges on diversity practices, expressing concern that legacy admissions and early decision policies perpetuate exclusion of lower-income students. Several legislators noted discrepancies between reported and actual timelines. Dr. Brabham reported that while SED claims a 22-day average for program approvals, CICU member schools have experienced waits of several months to several years. Assemblywoman Hyndman, a former CSTEP administrator, praised the programs as producing successful professionals nationwide and advocated for renaming Bundy Aid to increase awareness. The hearing underscored tensions between enrollment declines across all higher education sectors and the demonstrated effectiveness of targeted support programs. Legislators signaled strong support for increased funding for precollege and college support initiatives, with multiple members characterizing these programs as essential to student retention and workforce development. NEW YORK STATE SENATE COMMITTEE ON HIGHER EDUCATION FINANCE — Advocates and institutional representatives testified before the joint legislative committee on February 27 in support of increased state funding for student support services, with particular emphasis on sexual assault prevention, food insecurity, reproductive healthcare access, and nursing workforce development. The hearing revealed stark gaps in campus services. Emily Miles, executive director of the New York City Alliance Against Sexual Assault, testified that the Enough Is Enough sexual assault prevention program has been flat-funded at $4.5 million since its 2015 inception, leaving 92,000 students across 60 unserved colleges without access to critical services. Miles noted that her organization serves 102,000 students across 14 New York City campuses with a single full-time coordinator, requesting an increase to $9.6 million to expand reach and provide culturally responsive prevention materials. Food insecurity emerged as a crisis affecting roughly half of all CUNY and SUNY students. Robb Friedlander of Swipe Out Hunger cited a 2020 study showing 48 percent of CUNY students and 40 percent of SUNY students are food-insecure—rising to 51 and 54 percent respectively at community colleges. He documented severe underfunding, noting that of nine CUNY pantries studied, only one had a budget exceeding $20,000. Friedlander requested $10 million for the Hunger Free Campus initiative, noting that food-insecure students are 2.5 times more likely to fail or drop out. Niharika Rao, a student and abortion doula with the Reproductive Justice Collective, requested $10 million to provide medication abortion access at SUNY and CUNY campus health centers, emphasizing that young people account for more than half of all U.S. abortions and face unique barriers including limited financial resources. She noted that medication abortion is safe, with only 0.4 percent of patients requiring hospitalization. Dr. Melanie Bernitz of Columbia Health testified in support of New York joining the Interstate Medical Licensure Compact and Nurse Licensure Compact, arguing these would improve continuity of care for approximately 1 million students enrolled in New York higher education. Nicole Livanos of the National Council of State Boards of Nursing noted that New York would become the 40th member state and that the state faces a predicted shortage of 39,000 registered nurses by 2030. Bloomberg Institute for Public Policy Research (NYPIRG) opposed the Governor's tuition increase proposal, urging instead increased state support and restoration of cuts to Opportunity Programs and the Tuition Assistance Program. Donna Stelling-Gurnett of the Association of Private Colleges requested expansion of part-time TAP to proprietary college students and elimination of disparities between dependent and independent TAP schedules, noting that single independent students face a maximum income threshold of just $10,000 annually. Sen. Webb pressed testifiers on data and awareness, asking about food insecurity statistics and ways to promote awareness of support services beyond funding increases. The hearing underscored persistent underfunding of student support services despite documented need. NEW YORK STATE SENATE FINANCE COMMITTEE HEARS TESTIMONY ON HIGHER EDUCATION BUDGET, NURSING COMPACT, AND PROPRIETARY COLLEGES Albany — The New York State Legislature's joint Finance Committee held an extended hearing on the 2023-2024 higher education budget on Monday, with testimony focusing on the nursing licensure compact, Tuition Assistance Program expansion, and the role of proprietary colleges in serving New York students. The National Council of State Boards of Nursing urged New York to adopt the nursing licensure compact, which currently includes 39 member jurisdictions. Nicole Livanos testified that the compact would provide immediate access to out-of-state nurses to address critical workforce shortages, while maintaining New York's existing licensure standards for state residents. She noted that during the COVID-19 pandemic, 34 compact states were able to rapidly deploy nurses across borders to address emergency hotspots. Vermont, Pennsylvania, and New Jersey are among neighboring states that have already adopted the compact. Assemblywoman Hyndman noted that New York's nursing education programs would take five to six years to produce sufficient graduates to address current shortages, making the compact an important interim solution. However, Assemblywoman Simon expressed skepticism about whether the compact would meaningfully address the nursing shortage, which she characterized as a longstanding national problem. The Association of Private Colleges (APC) presented data on proprietary institutions' role in New York higher education. APC President Donna Stelling-Gurnett testified that the 11 APC member institutions serve approximately 20,000 of the state's 25,000 proprietary college students. She reported that over 90 percent of APC students are from New York, and over 80 percent of graduates remain in the state. APC member institutions provide over $100 million in institutional aid annually. Stelling-Gurnett advocated for raising the TAP income threshold from $80,000 to $110,000-$125,000 and for restoring Graduate TAP for high-need fields such as nursing. Sen. Murray proposed an alternative approach: tying the TAP threshold to regional median income rather than a flat statewide figure, noting that Long Island's higher median income makes the current $80,000 threshold particularly restrictive. Assemblyman Epstein pressed Stelling-Gurnett for specific data on default rates, graduation rates, and student barriers to TAP access, emphasizing that policy decisions should be driven by concrete data rather than anecdotal evidence. He noted that the APC website contains graduation rate data and requested additional information on five-year default rates and reasons students fail to access TAP despite eligibility. Stelling-Gurnett clarified that recent media reports conflating default rates for degree-granting proprietary colleges with non-degree institutions were misleading. She noted that the U.S. Department of Education calculates only three-year cohort default rates; the five-year figures cited in recent articles are projections rather than official data. Assemblywoman Simon raised concerns about oversight of proprietary colleges, citing the case of ASA College, where leadership faced sexual assault allegations. Stelling-Gurnett clarified that ASA is not an APC member and stated that APC institutions work closely with state education officials and accreditors to address institutional governance issues. The hearing concluded at 6:46 p.m. A follow-up Health Committee hearing on nursing licensure is scheduled for the following day at 10:00 a.m.