New Jersey’s Long-Range Plan for Higher Education

 

A BLUEPRINT FOR EXCELLENCE - STAGE 1

 

 

Higher education has become increasingly important to the success and the quality of life of individuals, states, and the nation. New Jersey’s economic competitiveness and prosperity are directly related to the quality and capacity of its colleges and universities, which develop human potential and discover and apply knowledge through teaching, research, and service. It is essential that New Jersey harness the intellectual power of higher education to propel the economy forward and serve the needs of the state and its citizens.

 

Consistent with its statutory responsibility, the New Jersey Commission on Higher Education, in collaboration with the Presidents’ Council, institutional board of trustee representatives, and other stakeholders, began facilitating the development of a long-range plan for higher education in April 2002. This plan includes a vision for higher education, seven principal state objectives, and initial action plans and performance measures. It also proposes an unprecedented new compact between the state and higher education, calling for a significant state investment and a measurable return on that investment by institutions.

 

The plan calls for using the state’s additional investment in higher education to:

·        achieve greater levels of excellence

·        increase capacity

·        expand student aid

·        expand collaboration with the P-12 community and among institutions

·        create innovative partnerships with business and other sectors

·        dramatically expand research and excellence by restructuring the public research universities

 

As the plan indicates, New Jersey’s higher education institutions need increased and predictable operating funds and a major infusion of capital funding to meet the new state expectations. As part of their compact with the state, the institutions will be accountable for measurable returns on the state’s investment. 

 

Over 500 stakeholders, including business leaders, government officials, legislative staff, community leaders, students, parents, trustees, faculty, alumni, college administrators, and others have been involved in the planning process.  Stakeholders provided feedback on the Stage 1 draft plan in October 2003 through public forums and written commentary. The Commission on Higher Education adopted Stage 1 of the plan in November 2003, affirming direction and preliminary implementation. Stage 2 of the planning process will integrate the work of related initiatives and further develop annual performance measures to complete action plans.

 

 

The long-range plan has been developed to achieve the following vision for the state:

 

 

 

 

To achieve this vision, recommendations were developed in four categories: Quality, Capacity, Resources, and Collaboration.  Within those four areas, seven principal state objectives were identified to realize the vision. Achievement of these objectives is dependent upon a state and institutional commitment to the compact.

 

PRINCIPAL STATE OBJECTIVES

The Foundation of the State Plan for Higher Education

 

 

              I.      Achieve and sustain higher levels of excellence in teaching and learning, research, and public service in all sectors, valuing differences in institutional missions and using resources effectively and efficiently.

 

 

           II.      Support targeted, multi-faceted increases in capacity and specific state and campus programs to (1) prepare a growing and increasingly diverse population for responsible citizenship in a democratic society, and (2) attract more New Jersey students to New Jersey institutions and prepare them for high-demand occupations.

 

 

         III.      Support financial aid programs that enable New Jersey students from all backgrounds to afford higher education of high quality.

 

 

        IV.      Establish and implement funding policies and methodologies that provide sufficient and reasonably predictable state operating support and ongoing state capital investments for the public research universities, state colleges and universities, community colleges, and independent institutions to provide the fundamental infrastructure necessary to achieve the state’s vision for higher education.

 

           V.      Encourage and enhance coordination and collaboration between and among all educational institutions in the state, including P-12 schools and associate and baccalaureate degree-granting institutions, to facilitate transition from each educational level to the next, to develop mutually beneficial partnerships, and to improve the quality of teaching and learning at all levels.

 

 

        VI.      Encourage and expedite systemic, innovative, and institutionalized partnerships and other collaborations between higher education and other sectors of society, including business and industry, the non-profit sector, and the public sector to help meet the state’s most pressing workforce needs and to develop nationally competitive programs of research and development.

 

 

 

      VII.      Restructure the public research universities to improve (1) the overall educational excellence of the universities, (2) collaboration in teaching, research, and service, and (3) the state’s competitiveness for federal and other support for biomedical, biotechnology, and related research.

 

The adoption of these principal objectives provided the foundation to propose initial action plans (Appendix A) and identify key performance measures related to their implementation.  Achievement of the objectives through the coordinated efforts of boards of trustees, presidents, the Commission on Higher Education, state leaders, and other stakeholders will make the vision for higher education a reality  

 

 

KEY PERFORMANCE MEASURES

2004 THROUGH 2010

 

The following key performance measures will be further developed during Stage 2 of the planning process. To varying degrees, full achievement of these measures will be influenced by the provision of state operating aid and capital support, student tuition and fees, and increased external support. In the initial years, progress may be modest on some measures given the time necessary to achieve results.

 

A.     New Jersey’s colleges and universities will make defined annual progress toward providing access to high-quality higher education opportunities for between 406,000 to 411,000 students, an increase of 45,000 to 50,000 students.

 

B.     Coordination and collaboration between and among educational institutions will be increased in measurable ways to improve student achievement and success, to expand access, and to enhance efficiency.

 

C.     Alignment between higher education admissions-related requirements and P-12 curriculum frameworks, standards, and tests will decrease the need for college-level remediation by defined annual percentages for recent high school graduates.

 

D.     Colleges and universities will achieve their institution-specific student outcome improvement targets through defined annual progress.

 

E.      The percentage of full-time undergraduate students who complete their baccalaureate degrees in four years or less, and the percentage of full-time undergraduates who complete their baccalaureate degrees in six years, will both increase by at least 10 percent through defined annual progress.

 

F.      The retention and graduation rates of a steadily increasing number of low-income and minority students will increase by at least 20 percent through defined annual progress. 

 

G.     As enrollments increase, colleges and universities will prepare significantly more graduates in high-demand areas to meet the most critical workforce needs identified for New Jersey.

 

H.     The level of satisfaction of employers with student preparedness for the workforce will increase by a minimum of 25 percent from a baseline established in 2004.

 

I.        New Jersey will increase its current national ranking of 20^th to at least 15^th in aggregate share of federal research dollars.

 

J.       State support and steadily increasing university competitiveness for federal and other research dollars will lead, where consistent with mission, to greater commercialization of intellectual property from the baseline established in 2004. 

 

K.    New Jersey colleges and universities will attain increased regional and national recognition of institutional programs and achievements through defined institutional efforts in targeted areas.

 

L.      State funding for student financial aid programs will be expanded proportionately each year to meet the needs of the growing number of eligible students as enrollments are increased.

 

M.   State policies and funding methodologies for operating support of colleges and universities in each sector will be linked to state goals, and annual funding will be consistent with methodologies and defined state targets.

 

N.    The state will provide significant additional capital support for higher education to enhance quality and preserve and expand campuses consistent with defined annual capacity targets and other principal state objectives.

 

O.    Colleges and universities will increase private, nontuition revenues by a defined annual percentage.

 

 

(A chart relating key performance measures to the principal objectives and major issue categories is available in Appendix B.  Underlying data for the plan are cited in footnotes or summarized in Appendix C.)

 

 

NEXT STEPS

 

 

The blueprint for higher education through 2010 is well underway. Preliminary process steps were undertaken during the summer and early fall of 2003 to pave the way for initial implementation.  During Stage 2 of the planning process performance measures will be further developed, and recommendations regarding research universities and economic development will be integrated into the long-range plan. The plan will then be reviewed annually and revised as needed based on progress and changes in circumstances.

 

 

 

 

OBJECTIVE I

 

ACHIEVE AND SUSTAIN HIGHER LEVELS OF EXCELLENCE IN TEACHING AND LEARNING, RESEARCH, AND PUBLIC SERVICE IN ALL SECTORS, VALUING DIFFERENCES IN INSTITUTIONAL MISSIONS AND USING RESOURCES EFFECTIVELY AND EFFICIENTLY.

 

RATIONALE

 

The quality of teaching and learning, research, and service at the colleges and universities in a state has an enormous impact on the overall competitiveness of the state and its economic strength and societal well-being.  Effectively and efficiently increasing the level of excellence of programs and outcomes at New Jersey’s rich array of higher education institutions is essential to realizing New Jersey’s vision for higher education. Enhanced excellence – in the arts and humanities, in the sciences and engineering, and in a broad range of professional fields – will benefit New Jersey’s students; attract additional talented faculty members; better prepare individuals for the future; improve workforce development; draw and retain business and industry in New Jersey; and enhance research that is essential to educational, social, technological, and economic progress and innovation.

 

The development and maintenance of an excellent system of higher education will require deliberate planning, ongoing investment, and commitment to a new compact between higher education and the state. Adequate and predictable state funding and institutional accountability are essential to support quality programs and services in all disciplines. In addition, there are targeted strategies below that are necessary to move New Jersey higher education to the upper echelon nationally.

 

 

COMPONENTS TO ACHIEVE OBJECTIVE 1

 

 

COMPONENT 1 -- Faculty

 

Because of their primary role in teaching and learning, faculty members are critical to student outcomes and institutional quality. Regardless of the type of institution or its mission, an adequate core of faculty is essential as is the provision of professional growth opportunities for all faculty members.

  

 

Initial Action Plan

 

Each institution should:

·        Develop by April 2004 faculty composition targets (e.g., adjunct, part-time, and full-time) appropriate for its mission, considering responsibilities assumed by and proportion of sections and kinds of courses taught by different faculty classifications.

 

·        Develop by June 2005 a plan to strengthen full- and part-time faculty development programs.

 

The Commission on Higher Education will survey institutions in 2007 and 2010 on their progress in achieving institutionally specific faculty composition targets and development plans.

 

COMPONENT 2 – Student Outcomes

 

Assessment of student outcomes is the key step to institutional improvement and excellence.  By identifying expected outcomes and analyzing resultant data, institutions can improve educational quality and effectiveness.

 

Initial Action Plan

 

Each institution should develop by June 2004 and achieve through 2010 annual goals to improve student persistence, transfer and/or graduation rates, time to degree or program completion, learning outcomes, student and alumni satisfaction, job placement rates and/or acceptance into graduate or professional programs, as well as other measures of student outcomes it identifies as appropriate to its mission. A special focus should be placed on disaggregating the data for and improving the success of groups traditionally underrepresented on college campuses.

 

The Middle States Commission on Higher Education has identified fundamental elements of assessment of student learning that characterize accredited institutions. Each institution is required by the Middle States Commission to have a student learning assessment process and ensure its use. [1]

 

 

COMPONENT 3 – Public Service

 

Colleges and universities provide public service through faculty, staff, and students, ranging from faculty sharing professional expertise to solve problems to students engaged in internships. Public service significantly expands the boundaries of the institution, promoting democratic principles and maximizing human potential.

Initial Action Plan

 

Colleges and universities should reflect the value of service in their teaching and research and engage students, faculty, and staff in public service on- and off-campus, reaching out to the community, state, nation, and world and imparting lifelong civic responsibility.

 

Each institution should expand, consistent with its mission, the level of student participation in learning experiences outside the classroom, including, but not limited to co-curricular offerings, off-campus learning experiences such as internships, mentoring, public service, service learning, and international study, and, as appropriate, residential programming. 

 

The Commission on Higher Education will survey institutions in 2007 and 2010 on their progress in enhancing on- and off-campus public service.

 

 

COMPONENT 4 – Enhancement of Research

 

The quality of institutional research, particularly at research universities, is critical to the competitiveness of both the institutions and the state. Strategic efforts to enhance research and increase the amount of federal and other research dollars coming to colleges and universities in the state can significantly improve the economy and quality of life in New Jersey. 

 

Initial Action Plan

 

The leadership of the research universities, and other institutions and organizations where appropriate, should work with the Commission on Higher Education to establish goals for increasing New Jersey’s current national ranking[2] in aggregate share of federal research dollars from 20^th to at least 15^th.

 

Research universities, and other institutions where appropriate to their mission, should develop tactical plans to increase significantly external research dollars garnered in areas that are high priorities for New Jersey.  Plans should include projected incremental increases in external funding against which progress is measured and reported. By July 2010, institutional funding targets should be achieved.

 

New Jersey’s colleges and universities, where appropriate to their mission, should collaborate with the Commission on Jobs Growth and Economic Development, Prosperity New Jersey, and other organizations to develop programs that support joint ventures and entrepreneurial frameworks for the creation and commercialization of intellectual property.

 

 

COMPONENT 5 – Support New Jersey’s Major Clusters 

 

Clusters are geographic concentrations of interconnected companies, specialized suppliers, service providers, and associated institutions in a particular field. New Jersey is engaging in a collaborative initiative, through the Jobs Growth and Economic Development Commission, to ensure continued leadership in five major fields: information technology, biomedical/life sciences, telecommunications, advanced materials, and devices and electronics. The state is already among the leaders in these fields, but its competitive position is threatened in some respects by major initiatives in other states. Higher education institutions, particularly research universities, will be critical in enhancing the state’s competitive position in these fields. The John J. Heldrich Center for Workforce Development at the Edward J. Bloustein School of Planning and Public Policy at Rutgers completed a Demand-Side Skills Assessment Project related to these fields in September 2003. 

 

Initial Action Plan

 

It is anticipated that, through the recommendations of the Jobs Growth and Economic Development Commission, the state will make targeted investments to support research and workforce development in the five major fields.

 

The Commission on Higher Education should monitor degree completion relative to industry needs identified by the Demand-Side Skills Assessment Project and other analyses to ensure programs are sustained, expanded, or introduced to address the need for associate and baccalaureate degrees to support these fields. These programs, available at many institutions in New Jersey, will serve as the pipeline for this initiative.      

 

Enhanced programmatic opportunities should result in incremental increases in advanced math and science degrees, which have already been identified as shortage areas, with targeted annual degree increases to be determined by the Demand-Side Skills Assessment Project and other analyses.

 

 

COMPONENT 6 – Collaborative Funding Opportunities

 

It is critical that institutions collaborate and make every effort to garner revenues available through external sources. Joint efforts to bring additional external funds to New Jersey must be a priority.

 

Initial Action Plan

 

By June 2004, the Presidents' Council, working with the Commission on Higher Education and other entities as appropriate, should create a strategy for increasing consortial efforts to seek external funding for the following initiatives:

·        regional, statewide, or other consortial faculty development initiatives;

·        initiatives intended to improve student retention and other outcomes;

·        regional, statewide, or other consortial learning experiences outside the classroom;

·        regional, statewide, or consortial research related to New Jersey’s major industry clusters;and

·        other means of increasing institutional quality and effectiveness to serve the diverse needs of all students.

 

 

COMPONENT 7 – Raising Public Awareness

 

The reputation and image of the state’s higher education system directly affects the desirability of the state as a place to attend school, to operate a business, to pursue a career, and to live. States that have been in the forefront nationally in terms of economic growth and quality of life depend on the quality, image, and visibility of their colleges and universities. 

 

Initial Action Plan

 

The Commission on Higher Education should work with the Presidents' Council and state

and business leaders to develop, fund, and begin implementing by Summer 2004 a coordinated, multiyear public awareness campaign to raise the visibility and augment the reputation of New Jersey's colleges and universities within the state and nationally.

 

·        The Commission on Higher Education and Presidents’ Council should establish the initial charge for a Marketing Leadership Team. The charge should recognize the need for a broad group of stakeholders to be involved in the campaign, including trustees and students.

 

·        The Marketing Leadership Team, composed largely of business and public sector leaders, should be formed and hold a kick-off planning retreat in December 2003.

 

·        A New Jersey “most marketable assets” summary, including collaborative efforts as well as individual institution efforts, should be compiled by the Presidents’ Council in collaboration with the Commission on Higher Education by January 2004.

 

·        The Commission on Higher Education, in collaboration with the Presidents’ Council and the Marketing Leadership Team, should complete a baseline public opinion awareness/attitude survey by February 2004. Follow up awareness/attitude surveys should be completed biennially with comparisons to the baseline data. Awareness and attitudes should show improvement with each subsequent survey.

 

  

 

COMPONENT 8 – Long-Range Plan Accountability

 

This long-range plan for higher education includes action plans to achieve the principal state objectives and performance measures to monitor progress and guide state funding. The plan will be reviewed annually and revised as needed based on changes in external circumstances.

 

Initial Action Plan

 

The Commission on Higher Education and Presidents’ Council should track the progress made on all components of the action plan, and the Commission’s Annual Systemwide Accountability Report should specify the progress in meeting key performance measures.

 

State funding increases should be linked to principal state objectives and performance measures.

 

The Commission and Presidents’ Council should annually review progress in implementing the plan and recommend revisions or additions as external circumstances warrant.

                             

The Commission’s baseline report should be issued by July 2004 and annually each year thereafter.

 

OBJECTIVE II

 

SUPPORT TARGETED, MULTI-FACETED INCREASES IN CAPACITY AND SPECIFIC STATE AND CAMPUS PROGRAMS TO (1) PREPARE A GROWING AND INCREASINGLY DIVERSE POPULATION FOR RESPONSIBLE CITIZENSHIP IN A DEMOCRATIC SOCIETY AND (2) ATTRACT MORE NEW JERSEY STUDENTS TO NEW JERSEY INSTITUTIONS AND PREPARE THEM FOR HIGH-DEMAND OCCUPATIONS.

 

RATIONALE

 

New Jersey is faced with a critical policy decision as to whether or not, and to what degree, it will invest in its colleges and universities to address an unprecedented demand for access to higher education. This decision will directly affect the state’s economic development and prosperity. There is no ambiguity about the impending and unparalleled increase in demand for higher education by residents who reflect the rich diversity of New Jersey or about the acutely inadequate capacity of New Jersey’s public and private higher education institutions to meet this demand.

 

The increased demand and diversity is attributable to several major circumstances:

 

·        The number of high school graduates is projected to increase by 15,800 students between fall 2002 and 2008, when that number is expected to decline slightly and stabilize in 2012. [3]

 

·        The growth rates for Asians will be 77%, Latinos 43%, African-Americans 14%, and Caucasians 6 percent.[4]

 

·        The foreign-born population in New Jersey has increased by 53 percent in the last decade and is anticipated to continue to increase.[5]

 

·        Compared with other states, colleges and universities in New Jersey have historically served a relatively smaller percentage (estimated to be 40 percent in 2002) of the state’s recent high school graduates; the national average is 47 percent. Of the remaining graduates, about 28 percent leave the state to attend college, and 32 percent do not attend college within 12 months of graduation.[6]

 

·        While the percentage of recent high school graduates that attend college in New Jersey is relatively small, it has increased from 37 percent to 40 percent in just four years, giving the institutions a larger share of the students as the total number of students increases. (Appendix C)

 

·        Institutional capacity will need to be increased considerably in New Jersey to continue serving even 40 percent of the projected recent high school graduates.

 

The transition to a technology-driven, information-based economy increases the demand for well-educated, high-skilled workers. The benefits of the new economy and educational opportunity beyond a high school diploma must be available to all, ensuring a well-prepared citizenry and the skilled workforce necessary to maintain quality of life and the nation’s preeminence. According to the Bureau of Labor Statistics, by 2006 seven out of ten jobs will require postsecondary education.[7]  But, an undeniable “digital divide” separates future workers into the technological “haves” and “have-nots.”  Educators face the difficult task of preparing individuals of all ages and backgrounds with a strong general education and complex workforce skills, allowing them to participate fully in the new economy.

 

This convergence of economic competitiveness, growing workforce demands, and demographic trends poses critical policy decisions for New Jersey.  Increasing higher education capacity – to educate the growing number of recent high school graduates, to provide ongoing education to upgrade the skills of the current workforce, and to extend educational access to underrepresented groups – is an opportunity and an obligation deserving immediate statewide attention and resources. It will require new commitments and accountability for colleges and universities and a significant additional investment in higher education – an investment that is vital to New Jersey’s prosperity in the knowledge-based, global economy. 

 

 

 

 

COMPONENTS TO ACHIEVE THE OBJECTIVE

 

 

COMPONENT 1 – Increased capacity to serve more students

 

For the most part, New Jersey’s colleges and universities lack additional capacity to respond to the increasing demand. Statewide, the community colleges have experienced significant growth, with an average increase in students of more than 5 percent annually over the last four years.  The community colleges also have a significant number of students taking noncredit courses, which also puts additional pressure on institutional capacity. Because the public sector is relatively small, New Jersey’s public research universities and state colleges and universities rank 43rd of 50 states in public four-year enrollment per capita.[8] They have had an average increase in students of about 2 percent annually over the last four years, but they are unable to accommodate growing demands, especially given funding and facility constraints. The independent institutions have also been expanding enrollments to assist in meeting the state’s capacity needs; some institutions in that sector are also at or near capacity.

 

While New Jersey ranks fifth among the states in the percentage of population with bachelor’s degrees or higher, the state has the sixth highest out-migration rate of baccalaureate-seeking students in the nation. (Appendix C) The potential loss of more students owing to lack of capacity does not bode well for workforce development and the economy. State, county, and institutional revenue will be necessary to support incremental growth through multiple means. The necessary expansion of services should not be dependent solely on new or enhanced facilities, although a state bond issue or dedicated revenue source will be essential to address facility renovation and construction needs.  Significantly increased collaboration between and among the public and private senior institutions and community colleges, enhanced use of technology, and expanded facilities and human resources should all be employed strategically to increase the state’s ability to meet the following needs.

 

(1) Serve a larger portion of New Jersey’s high school graduates annually, especially retaining talented and diverse students in the state.

 

(2) Serve more nontraditional students (usually 25 years old or older) seeking undergraduate education opportunities, especially those needing to upgrade their skills and knowledge to respond to the changing workplace.

 

(3) Serve additional students seeking graduate education programs, especially in math and science areas related to the state’s economic development initiative.

 

 

Initial Action Plan

 

Undergraduate Degree Programs:  New Jersey should increase the capacity of colleges and universities in the state by 2010 and surpass the national average percentage (47%) of recent high school graduates who attend college within their state. Strengthening undergraduate capacity by expanding baccalaureate institutions and increasing transfer opportunities will be critical.

 

The following incremental targets are recommended based on projected growth in the number of high school graduates and the projected increase in the percent of students who will attend college within 12 months of graduation.  If these targets are met, New Jersey will move from serving 40 percent of recent high school graduates to surpassing the current national average of 47 percent.  

 

Year             Increased # of freshmen over 2002*  

                 (recent high school graduates only) 

 

            Fall 2004                                  4,200                                                  

            Fall 2006                                  9,000                                      

            Fall 2008                                13,000                                      

            Fall 2010                                14,000

 

While national projections indicate the number of nontraditional students in degree- granting programs will remain fairly level in the coming years, capacity to serve these students should also increase modestly to accommodate New Jersey employers’ increasing demand for enhanced skill sets and associate and baccalaureate degrees.

             

 Year                     Increased # of nontraditional*                                          

                                        students over 2002 

                                               

            Fall 2004                                     500  

            Fall 2006                                  1,000

            Fall 2008                                  1,500

            Fall 2010                                  2,000

 

If the above targets are met for traditional freshmen and nontraditional undergraduate students, and if student persistence rates remain constant, New Jersey’s colleges and universities will need capacity to serve between 39,000 and 44,000 more full- and part-time undergraduates in 2010 than they currently serve. These numbers reflect the cumulative effect of the freshmen for the succeeding years they attend until graduation with current persistence rates applied. The actual number is dependent on the mix of full- and part-time students and two- and/or four-year degree paths, actual student persistence rates, and time-to-degree completion.  It is, however, also a goal of this plan to increase persistence and success rates, which will put further pressure on capacity.

 

Graduate Degree Programs:  Capacity should be increased for graduate level degrees, particularly in high-demand workforce areas. Over the past ten years, the average growth in full- and part-time graduate students enrolled was 1.2 percent. The following incremental targets for total students enrolled are recommended based on a continued average growth of 1.2 percent a year. 

 

              Year                      Increased # of graduate*                                                  

                                          students over 2002                                                  

            Fall 2004                                  1,500  

            Fall 2006                                  3,000

            Fall 2008                                  4,500

            Fall 2010                                  6,200

 

 

* Appendix C

 

If these targets are met, New Jersey’s colleges and universities will need capacity to serve an additional 6,200 full- and part-time graduate students in 2010 than they currently serve.

 

Overall Growth (Appendix C):   Total enrollment should increase annually through 2010, with a minimum increase of 3,400 full- and part-time undergraduate and graduate students in fall 2003, despite the significant fiscal constraints faced by institutions. By 2010, the potential increase of undergraduate and graduate students over 2002 should be between 45,000 and 50,000. The proposed growth will help to serve general statewide needs but should also specifically meet the needs of underserved areas of the state and groups that have been traditionally underserved.

 

Public Support for Increased Capacity:  Increased investments in higher education are essential to support capacity increases.  Adequate and reasonably predictable state operating support, ongoing capital assistance, and increased student assistance are critical components of the compact to achieve this and other objectives of the plan.  While capacity increases will be accomplished through multiple means, significant state support for capital renovations and new construction will be necessary. State and county aid, as well as external funding sources, must keep pace with the planned level of growth in order to achieve this objective. (See specific recommendations under resources section.)

 

 

COMPONENT 2 – MULTIFACETED STRATEGIES NECESSARY TO INCREASE CAPACITY 

 

Facilities and human resources expansion will be essential to meet the recommended growth targets, but colleges and universities should also achieve capacity increases through technology, possible new educational sites, interinstitutional collaborations, and enhanced productivity. 

 

 

Initial Action Plan

 

Institutional Plans:  By March 2004, each institution should develop a plan consistent with state needs and its mission to increase capacity, utilizing multiple strategies such as those referenced above. Each institution will make progress annually in achieving the goals of its plan within the parameters of its budget.

 

Enhanced Use of Technology:  By January 2004, the Presidents’ Council and the Commission should systematically encourage and facilitate extensive collaborative use of the statewide higher education network infrastructure, NJEDge.Net.  Institutions should increase use and collaborative deployment of the technology resources beginning in the 2003-2004 academic year.

 

The NJEDge.Net Network Board and staff should collaborate with the Commission on Higher Education to develop baseline data by January 2004 and collect annual data regarding the use of technology to increase capacity.  By 2010, all institutions should  have demonstrated an increase in capacity using technology. 

 

Programs in Underserved Areas:  The Commission on Higher Education will work in consultation with the Presidents’ Council and Administration staff to develop by November 2004 a state incentive program to enhance collaboration and provide high-quality baccalaureate and graduate degree programs in underserved areas of the state, including the northwest, southeast, and coastal regions.[9]  The incentive program should provide seed money in fiscal 2006, and new or enhanced programs should be available at both the baccalaureate and graduate levels in each of the three underserved regions by September 2006.

 

Meeting High-Demand Program Needs:  As capacity is increased, institutions will work collaboratively with the state to recruit and prepare more in-state and out-of-state students in high-demand program areas as identified through the fall 2003 Demand-Side Skills Assessment Project and subsequent workforce reports. (See specific recommendation.)

 

Meeting the Needs of an Increasingly Diverse Student Population:  The Commission on Higher Education should work in consultation with the Presidents’ Council to support institutional efforts to recognize and respond to the needs of an increasingly diverse student population through Education for Language Minority Students Grants, Special Needs Regional Centers, College Bound, the Educational Opportunity Fund, and other programs. 

 

By December 2005, institutions should have expanded their professional development opportunities for faculty related to teaching and learning with a diverse student body, including students for whom English is a second language and those who have a disability.

 

The Commission should work with the Presidents’ Council to establish by September 2004 a state initiative to expand faculty diversity. By 2010, faculty diversity should increase in all sectors consistent with the specific goals of the initiative.   

 

OBJECTIVE III

 

SUPPORT FINANCIAL AID PROGRAMS THAT ENABLE NEW JERSEY STUDENTS FROM ALL BACKGROUNDS TO AFFORD HIGHER EDUCATION OF HIGH QUALITY.

 

RATIONALE

 

New Jersey is consistently among the leaders in the nation in the provision of need-based student financial assistance and has expanded merit-based aid during the past decade. The state ranks third in the nation in need-based aid and total grant dollars per full-time undergraduate student, sixth in the proportion of undergraduates receiving need-based aid, and seventh in the number of undergraduates receiving any form of aid.[10] Merit-based aid has increased, and the state ranks tenth in the amount of dollars appropriated. The state’s growing and increasingly diverse population will require expanded state investments in student financial assistance programs.

 

New Jersey’s student financial assistance programs are rooted in the belief that educational opportunity for students serves not only those students but also the future economic and social well-being of the state.  Historically, state support for undergraduate student financial assistance has been guided by three basic principles: access, affordability, and choice.  Broadly defined, access refers to providing opportunities for all who desire to pursue higher education.  Affordability refers to ensuring that cost barriers are reduced or eliminated. Choice refers to the ability to select among the range of colleges and universities in the state.

 

The current appreciable enrollment of students of color and other traditionally underrepresented students will continue to increase in New Jersey. U.S. Census 2000 data indicate that these segments of the student body have significantly lower family and household incomes and disproportionately higher representation in the state’s neediest school districts.[11]  These demographics suggest that future undergraduate student populations will require substantially increased levels of financial assistance and support to ensure improved levels of persistence and academic degree program completion. 

 

While need-based aid should remain a priority, New Jersey should continue to provide a mixture of student financial assistance programs and options (i.e., grants, scholarships, loans, college savings plans) to make New Jersey colleges and universities affordable, accessible, and attractive to students from diverse economic backgrounds.

 

 

 

COMPONENTS TO ACHIEVE THE OBJECTIVE

 

 

COMPONENT 1 - Adequate Need-Based Student Aid

 

New Jersey has a long-standing commitment to need-based student financial assistance.  Approximately 88 percent of the total state appropriation for student financial assistance is channeled through the need-based Tuition Aid Grants (TAG) and the Educational Opportunity Fund (EOF). These programs will need to keep pace with the rising enrollment, rising costs, and changing demographics.

 

Initial Action Plan

 

Full-Time TAG:  The Commission on Higher Education, Presidents’ Council, and Higher Education Student Assistance Authority (HESAA) should analyze by December 2003 the establishment of a new goal that covers tuition for the neediest students at no less than the previous year’s tuition levels.

 

The Commission, Council, and HESAA should recommend funding fiscal 2005 TAG grants for the lowest income students at public institutions at no less than previous year tuition levels and adjust other award cells proportionately to maintain a lag of no greater than one year. Further, they should recommend implementation of statutory language regarding TAG for independent colleges and universities (up to 50 percent of their weighted average tuition).  The Governor and Legislature should consider including that strategy in the fiscal 2005 budget and beyond.

 

Part-Time TAG:  There are compelling needs for both full- and part-time TAG.  HESAA should evaluate the newly established part-time TAG program and consult with the Commission and Presidents’ Council on the future potential and expansion of the program.

 

Federal Financial Aid:  The Commission, Council, and HESAA should encourage the state’s Congressional representatives to support increases in federal student financial aid, especially Pell grants.

 

Educational Opportunity Fund:  The Educational Opportunity Fund (EOF) Board, in collaboration with the Commission and Council, should strengthen collaboration between EOF and the various pre-collegiate programs across the state by July 2004 and respond continually to the statewide increase of EOF-eligible students. 

 

The Commission, Council, and Board should jointly recommend increased EOF funding in fiscal 2005 and annually thereafter as necessary. The funds should be directed to strengthen foundational EOF support services, including, but not limited to, counseling and tutoring to improve student success rates. Additional funds will also be necessary and should be recommended to assist students with rising costs and to serve a larger number of students as institutional enrollments increase.

 

The Governor and Legislature should strive to include increased EOF funding in the fiscal 2005 budget and beyond to enhance services and increase the number of students served as general enrollment increases.  Retention and graduation rates should be benchmarked to measure improvement, and increases for campus programs should be linked to program outcomes.

 

COMPONENT 2 – Undergraduate Merit-Based Aid

 

New Jersey has gradually increased funding for merit-based undergraduate grants during recent years.  While approximately 12 percent of the current student aid allocation is designated for merit-based scholarships, the state’s student assistance programs continue to be primarily need-based. A lack of dependable, annual merit-based state appropriations will significantly reduce the ability of institutions to attract high-achieving students and will mean a continued significant exodus of top students. (New Jersey ranks sixth in the nation in outmigration of its recent high school graduates.[12])

 

 

Initial Action Plan

 

HESAA, in collaboration with the Commission and the Presidents’ Council, should make recommendations regarding distribution of merit-based aid by January 2004. The Governor and Legislature should consider including the funding for merit-based aid in the fiscal 2005 budget and beyond based on the recommendations.

 

 

COMPONENT 3 – Graduate and Professional Student Aid

 

Labor force requirements for employees with masters and doctoral degrees are rapidly increasing, particularly in high demand fields. New Jersey’s public and private sectors need well-prepared, highly skilled leaders at the graduate level from colleges and universities in the state to meet those needs.

 

Initial Action Plan

 

Based on the results of the  Demand-Side Skills Assessment Project, the Commission on Higher Education will identify by December 2003 workforce areas in high demand fields with the greatest need for individuals with advanced degrees and set goals with the Presidents’ Council to meet them. 

 

HESAA should review, in consultation with the Commission and the Presidents’ Council, the feasibility of creating a graduate and professional student assistance program.  The program would primarily encourage students to complete advanced degrees in those areas where the most pressing labor force needs exist. If determined advisable, HESAA, the Commission, and the Council should make a joint recommendation to the Governor and Legislature to establish such a program by September 2004 for inclusion in the fiscal 2006 budget. The Governor and Legislature should consider including the recommendation in the fiscal 2006 budget and beyond.

 

 

 

OBJECTIVE IV

ESTABLISH AND IMPLEMENT FUNDING POLICIES AND METHODOLOGIES THAT PROVIDE SUFFICIENT AND REASONABLY PREDICTABLE STATE OPERATING SUPPORT AND ONGOING STATE CAPITAL INVESTMENTS FOR THE PUBLIC RESEARCH UNIVERSITIES, THE STATE COLLEGES AND UNIVERSITIES, THE COMMUNITY COLLEGES, AND THE INDEPENDENT INSTITUTIONS TO PROVIDE THE FUNDAMENTAL INFRASTRUCTURE NECESSARY TO ACHIEVE THE STATE’S VISION FOR HIGHER EDUCATION.

 

RATIONALE

 

Adequate and reasonably predictable state support for college and university operations is essential to create and sustain a higher education system that is among the best in the world; to enable individuals to achieve their maximum potential; to improve the quality of life; and to support the state’s success in the global, knowledge-based economy.

 

Nationally, the successful collaborative efforts of government, higher education, and the private sector have set states apart as economic leaders.  New Jersey must also assume a similar leadership role, building on its abundance of human, geographical, commercial, and industrial assets through investments in higher education and research that underlie economic competitiveness and quality of life.

 

The creation of a higher education system that is among the best in the world requires a new compact between the state and its public and private colleges and universities. While the higher education institutions have a variety of responsibilities for effective and efficient operations, delivery of high-quality programs and student services, demonstration of successful student outcomes, significant scholarship and research, and attainment of external revenues, they are dependent on the state to varying degrees for fundamental financial support. Excellence in teaching and learning, research, and public service to accomplish broad state economic and societal goals hinges on this support. 

 

The three public research universities, nine state colleges and universities, nineteen community colleges, and fourteen independent institutions in New Jersey all receive varying levels of state operating and capital assistance. All of these colleges and universities derive their operating and capital revenues from differing combinations of direct state appropriations, tuition and fees, federal support, and private gifts and grants. The community colleges also receive widely varying county support. Cohesive planning and effective operation of colleges and universities to meet student and state needs require clear state support policies and methodologies.

 

New Jersey law establishes state funding levels for the community colleges and the independent institutions; however, the established levels are contingent on annual appropriations and have not been fulfilled.  There has been no clear funding policy or methodology for the public research universities or the state colleges and universities since the 1980s, resulting generally in across-the-board annual increases or decreases for all twelve institutions without regard to enrollment, programmatic need, or other considerations. There is no stream of revenue dedicated solely for higher education.

  

It is understandable that predictability of state operating appropriations for all sectors is affected by the state’s overall fiscal condition in a given year. However, state funding predictability and adequacy have been lacking even in the best of fiscal climates, which is apparent in comparing higher education budget increases and decreases over time with those of the state budget and New Jersey’s gross state product. (See Appendix C) This lack of adequate and predictable funding impedes efficient and effective management of institutions and predictability of student tuition and fees.

 

Over the past decade, higher education support has not kept pace with need, and in the last two years, the level of state support has been diminished. New Jersey, like most other states, has experienced serious budget deficits since fiscal 2002. As a result, state support for higher education has been limited. Fortunately, New Jersey has avoided the drastic cuts made in many states, which have led to extreme increases in student tuition and fees.

 

At the same time, rapidly changing demographics and workplace needs are placing far greater demands on higher education each year, leaving the state with a pressing need to enhance teaching and research and efficiently increase capacity to serve more students. It is critical to the economic and societal well-being of New Jersey for the state to commit to increased investments in higher education through clear funding methodologies that are consistent with the state’s vision and the other six principal objectives for higher education. An increased state investment should, in turn, leverage increased external support.  Further, increased state funding should be linked clearly to state priorities (such as capacity increases and quality enhancement) and more specific key performance measures that will evolve in Stage 2 of the planning process.  A commitment to increased public funding and institutional achievement of performance measures is the foundation of the new compact to achieve New Jersey’s vision for higher education.

 

 

COMPONENTS TO ACHIEVE THE OBJECTIVE

 

 

COMPONENT 1 – Operating Support for Public Research</