New & Noteworthy
Hartford Foundation Submits Testimony Supporting Higher Education Affordability and Loan Reimbursements
On Thursday, February 20, the Hartford Foundation for Public Giving submitted testimony to the legislature’s Higher Education and Employment Advancement in support of Senate Bill 0005, An Act Concerning Higher Education Affordability And Accountability and House Bill 6074, An Act Concerning The Student Loan Reimbursement Program.
As part of our strategic priorities to dismantle structural racism and advance equitable economic and social mobility for Black and Latine residents of Greater Hartford, the Hartford Foundation continues to work with government, nonprofit and other public-private partners to increase stable employment and career opportunities for youth and adults in our region facing multiple barriers.
Our work recognizes that all residents of our region need access to training and employment options that provide a sustaining wage. The foundation’s efforts focus on increasing opportunities for education and training and hiring and retaining residents with significant barriers to employment, including returning citizens and opportunity youth disconnected from school and work. November 2024 unemployment was three percent, yet labor participation was 64 percent. The low participation reflects the need to ensure we are engaging residents who have challenges in accessing and persisting in workforce training and job opportunities.
Recognizing the value of postsecondary education and training to the economic mobility of middle- and low-income students, in 2024 the foundation awarded 440 scholarships totaling more than $1.45 million. These scholarships were awarded through more than 100 funds created at the Hartford Foundation by individuals, families, and organizations. The foundation has been awarding scholarships since 1945 and has seen first-hand the importance of students receiving adequate funds to attend college. For many students, especially those from low- and moderate-income families, whether they receive the financial aid needed directly affects the feasibility of attending four-year colleges. We know that a high percentage of older and first-generation students in Connecticut rely on receiving substantial support.
The foundation supports Senate Bill 0005, which seeks to make modifications to the Roberta B. Willis Scholarship program to enhance higher education affordability and accountability in Connecticut. This effort includes requiring participating higher education institutions to award need-based grants of $4,500 to full-time students, with prorated amounts for part-time students based on their credit hours. The foundation also supports the proposals mandate that bill also mandates that the Office of Higher Education disburse scholarship funds earlier than in previous years, specifically by May 1st for fall semester grants and November 1st for spring semester grants, starting in the fiscal year ending June 30, 2026. As a scholarship provider, the foundation recognizes the need for funds to be disbursed in a timely manner to ensure that tuition is covered well before an institution for higher education’s deadline to receive payment. The foundation supports the proposal’s efforts to provide more predictable and timely financial support to eligible Connecticut students pursuing their first associate or bachelor's degree at a state institution of higher education.
Research has shown that there are negative effects on college enrollment when college prices increase, and grant aid decreases and that these enrollment effects are particularly substantial among students from low-income households. Local research examined how expanded services to students can better support underrepresented college students. In a literature review on scholarships and student supports conducted by Trinity College on behalf of the foundation, it highlighted that monetary scholarships on their own are insufficient in helping students to complete college and financial aid applications, successfully transition and acclimate to college, or remain resilient until completion. The review suggested additional supports including financial aid application assistance, enhanced advising and college coaching both before and during enrollment, immersion in learning communities, and sustained contact with scholarship recipients about procedural requirements may be particularly effective in increasing college access, persistence, and completion.
The executive summary of the literature review can be found here and full report here. A Hartford Foundation learning brief on scholarships and college access can be found here.
The foundation recognizes the need for wraparound services to support students needing a range of supports in addressing basic needs and navigating courses to complete college. The foundation has long-standing experience working with the Hartford Promise scholarship program. It provides qualifying students graduating from Hartford Public High Schools with $5,000 annually for four-year schools and $2,500 for two-year programs. In addition to providing administrative support for the program, the foundation has also provided financial resources for the wraparound services for Hartford Promise students.
In 2021, the Foundation also awarded a grant to Capital Community College to more fully serve its student body by connecting students to its on-campus Equity, Diversity, and Inclusion Center initiative. It is designed to help connect students to both internal and external support programs needed to persist and complete their studies and move on to gainful employment.
The foundation also provided a $45,000 community organizing grant to the Student Loan Fund to support its work to develop leaders to help improve the systems of higher education funding and financing that disproportionately impact people of color and first-generation students. With an average debt of $36,000, borrowers are struggling to build wealth, contribute fully to their families, and engage deeply with their communities. Student debt also has been shown to be a racial equity issue. Black women often receive less financial and end up owing more than any other group.
The foundation also supports House Bill 6074, which modifies the existing student loan reimbursement program by expanding the definition of qualifying volunteer service to include volunteering for nonprofit organizations, religious organizations, firefighting, and emergency medical services.
At a time when many nonprofits are experiencing increased demands for services, but dwindling economic support, this proposal could be a valuable tool in expanding work-based experiences options for students.. In addition to providing program participants with up to $5,000 in loan reimbursements with a maximum of $20,000 over four years, by providing students with opportunities to work for local nonprofits, they can learn more about their community and see opportunities to work with nonprofits, faith, government emergency services, and other community-based organizations work after graduation. Creating these types of volunteer opportunities can create a long-lasting impact on students and the communities they will be serving.