While Tuition Aid Grants (TAG) for college students are effective for those in traditional academic pathways, this need-based student assistance program should be modernized to include learners seeking industry-aligned noncredit credentials that fill workforce shortages.
That was the message that NJBIA delivered in testimony before the Senate Higher Education Committee on Thursday. Senator Joseph Cryan (D-20), the committee chair and sponsor of legislation (S-3383) to require TAG grant awards for students at public colleges to equal those of students at private institutions, had invited business and academic stakeholders to the meeting for a broader discussion on ways to improve the TAG program.
In her testimony, NJBIA Vice President of Government Affairs Althea D. Ford said the TAG program is effective because it reduces financial barriers to post-secondary education for low- and moderate-income students at public, private and community colleges, however, its “degree-centric” focus is out of step with evolving workforce needs.
“TAG currently requires enrollment in a degree-granting program, which excludes many industry-valued noncredit workforce training programs that prepare students for in-demand careers,” Ford said. “This leaves a growing segment of learners without access to comparable state support, even though they are pursuing credentials that fill critical workforce gaps.
“New Jersey's employers across healthcare, IT, advanced manufacturing, construction, and other sectors report acute shortages of skilled workers who have credentials short of a degree. Existing financial aid structures do not adequately support students pursuing these noncredit but employer-valued credentials, which contributes to persisting workforce gaps,” she said.
Ford noted NJBIA supports recently introduced legislation, which was not before the committee on Thursday, to expand the TAG program to include workforce training programs. That bill, S-1467 also sponsored by Senator Cryan, directs the Higher Education Student Assistance Authority to designate eligible workforce programs for TAG participation and sets criteria such as minimum instructional hours and strong completion and job placement outcomes.
“This approach recognizes that many critical workforce pathways — from advanced manufacturing certificates to cybersecurity bootcamps, healthcare certifications, and apprenticeship programs — do not result in traditional degrees yet provide essential skills and employment,” Ford said.
NJBIA would also like to see continued support for the Summer TAG program, a modernization to the program made in 2023, because it allows students to take summer courses to accelerate coursework completion and graduation, she said.
Ford expressed NJBIA’s concerns about the bill before the committee (S-3383) because requiring parity in TAG amounts for private and public college students may have unintended consequences for private institutions, which have higher tuition and do not receive the same level of state financial support.
"We are concerned about this type of effort because we do believe that it limits a student and family’s choice to attend an educational setting that best aligns with the student’s needs and their career goals,” Ford said.
“And so, while we recognize the need to be very intentional about how public dollars are utilized ... we don’t want an unintended consequence that, in essence, closes off access to independent or private schools based on a student’s financial ability,” she said.
Senator Cryan announced at the start of the committee meeting that S-3383 was on the agenda for discussion only. The goal was to take testimony, gain insight from various perspectives, and “make the legislation better,” he said.
To read Ford’s entire written testimony, go here.
