The FY2010 State Adopted Budget agreed to by the Governor and New York State Legislature calls for an increase of $71.0 million over the current year for the City University of New York. State aid is decreased by $44.6 million and offset with $115.6 million from additional tuition and fee revenue, based on rate increases of 15% ($600) for resident full-time students.
In December 2008, the University Board of Trustees authorized an increase in tuition of up to $300 per semester for senior college undergraduate resident students and up to $200 per semester for community college resident students. We will, therefore be implementing the $300 semester increase for senior college undergraduate resident students, but we will come in below the $200, to $175 dollars, for community college resident students, and a 15 percent across the boards for all other categories. This move to reduce the burden on our community colleges, I think, is the right thing to do, because these represent the students whose financial profile is probably the most tenuous as we have in the University.
In order to mitigate the effect of this tuition increase and assist those students who will be at risk of continuing of their matriculation due to the higher tuition costs, the Trustees approved the funding of $10.0 million to provide financial assistance to students.
This initiative is not designed for students who are receiving full Tuition Assistance Program (TAP) and Pell Grant awards since their existing financial aid support will not be jeopardized by the tuition increase. Currently, about 90,000 CUNY students receive Federal Pell grants and 75,000 students are granted TAP awards by New York State. The Federal government increased Pell Grant awards in the current year by $421 (9.8%), to $4,731 per year. This amount will rise by $619 (13.1%) to $5,350 for Fall 2009, and by an additional $150 (2.8%) to $5,500 per year for Fall 2010. Overall change in award from Fall 2007 to Fall 2010 is $1,190, or 27.6%.
This home-grown financial aid program will encompass several measures aimed at benefiting as many students as possible. There are five components to the CUNY Financial Aid Initiative:
Partial Tuition Waivers ($4,750,000)
* The University will allocate $4.75 million to the colleges so they can provide assistance to students in meeting increased tuition rates.
* Up to 25,000 students will benefit from these partial tuition waivers. On average, the effective rate of the tuition increase for this population of students will be reduced by approximately one-third.
Tuition Payment Plan ($1,000,000)
* The University currently contracts with Sallie Mae, a financial services corporation, for a tuition payment plan that allows students to defer tuition by five payments over five months. All students are eligible to participate; approximately 30,000 students are enrolled per semester. Currently, Sallie Mae requires an $18 fee each semester ($36 annual) to participate in the program. The University, as part of the Student Financial Aid Initiative, will cover the cost of the $36 fee.
* CUNY will also: 1) significantly promote participation in the program and 2) modify the payment plan by a combination of reducing the percentage of payment required in the first month and spreading the payments over more months in order to ease the burden of the tuition increase on students.
Textbooks ($2,000,000)
The University has explored options for assisting students with the cost of textbooks. Initiatives include:
* CUNY will significantly promote the purchasing of books on-line. State Comptroller DiNapoli recently issued a report which found that CUNY students can save up to 40% on textbooks if they are purchased through on-line vendors.
* Comptroller DiNapoli’s report reported that undergraduate students can be expected to pay $400 – $800 per semester on textbooks. By exploring other avenues of textbooks purchases, students can save as much as $2,000 over a four-year period.
* The University will encourage colleges to utilize used textbooks with more frequency. A number of possible programs have been identified, including following a model developed by other colleges in which it is required that the same textbook be used in core courses for at least a year.
* Colleges will be encouraged to develop student coop programs to seek or donate used textbooks so that they can be provided to fellow students at a reduced price.
* The University will encourage college bookstore discounts supported by the reduction of college commissions.
* CUNY will fund additional library purchases for electronic books.
* The University will also allocate funds to college libraries so that very costly textbooks can be made available to students by direct loan.
* CUNY will develop a philanthropy matching program so that private donors can help students cover their textbook obligations.
Student Employment Program ($2,000,000)
The University participates in the Federal Work Study Program which requires it to match federal funds for student part-time employment.
* In Fiscal Year 2010, additional Federal funds are available for this program. The University, therefore, will increase its match in order to provide more employment opportunities for students. Currently, approximately 7,300 students participate in the Federal Work Study Program CUNY-wide. With the increased match, it is expected that another 700 students can be afforded employment opportunities, bringing the total participation up to 8,000. This will allow more students to participate in the program and/or increase the hourly rate that students receive.
* CUNY will use the Federal Work Study Program as a model to develop its own Student Employment Program. Students will be hired as Student aides to work in such areas such as tutoring, computing help desk, tech labs, libraries, and registration.
Food Stamps Now Initiative ($250,000)
In light of the difficult economic times facing low-income CUNY students, Vice Chancellor Garrie Moore through his Office of Student Affairs is developing a program to focus on issues of hunger, nutrition and homelessness, where appropriate.
* A coordinating council will be created, co-chaired by Distinguished Professor of Public Health at Hunter College and the Graduate School Nicholas Freudenberg and University Dean for Student Affairs Chris Rosa. Members of the council would include student affairs professionals from the campuses, especially those in the areas of mental health and wellness and service learning, and faculty with expertise in public health government benefits and nutrition, and other relevant areas. The council will include student membership and will initiate the planning and implementation of activities, working with governmental agencies and community organizations to help students to enroll in Food Stamps and other benefit programs, make free or low-cost healthy food available at CUNY campuses, and provide comprehensive information on housing and hunger resources.
