Higher Education Services Corporation, New York State

Agency Web Site: https://www.hesc.ny.gov/

Mission

The Higher Education Services Corporation (HESC) provides centralized processing of student financial aid programs. HESC administers the State’s Excelsior Scholarship, the Tuition Assistance Program (TAP), and other State and Federal aid programs.

Organization and Staffing

HESC is governed by a Board of Trustees composed of 15 members. Ten members are appointed by the Governor and confirmed by the Senate; the remaining five members, serving in an ex-officio capacity, include the State Education Department (SED) Commissioner, State University of New York (SUNY) Chancellor, City University of New York (CUNY) Chancellor, SUNY Student Assembly President, and Chair of the CUNY Student Senate. Daily operations are managed by HESC’s President and senior administrative staff.

Major Programs

New York State Tuition Assistance Program (TAP)

TAP is one of the largest need-based grant programs in the nation and the cornerstone of New York’s student financial aid programs. In academic year 2024, roughly 255,000 New Yorkers attending college were awarded more than $698 million in TAP funds to help pay their college tuition costs.

Senator Jose R. Peralta DREAM Act

In 2019, the Senator Jose R. Peralta DREAM Act was enacted, opening the doors of higher education to thousands of undocumented students by providing them with access to the Excelsior Scholarship, TAP, and other State-administered scholarships.

Targeted Scholarship, Loan Forgiveness, and Award Programs

During Academic Year 2024, HESC-administered State scholarship and loan forgiveness programs provided students with targeted awards towards their pursuit of a college education, with approximately $175 million going to support the college costs of roughly 46,000 students.

These totals include $122 million for almost 27,000 recipients of Excelsior Scholarships. In 2017, building on the State’s already generous tuition assistance, New York launched the groundbreaking Excelsior Scholarship to provide tuition-free college for middle-class families. The first-of-its-kind program covers tuition at New York’s public colleges and universities for families earning up to $125,000 a year.

College Access and Outreach Programs

New York State continues its commitment to ensuring that its students have both access to a college education and an understanding of their financial aid options, and HESC continues its commitment to supporting the pursuit and attainment of a postsecondary degree for all New York State students. HESC has expanded its virtual outreach efforts by significantly expanding virtual supports available to students. As part of this strategy, a wider range of events has been offered, including FAFSA and TAP application assistance for students and families and focused discussions with financial aid professionals. The continued investment in college access and outreach initiatives will help encourage more New York State students to pursue their academic and professional aspirations and achieve their full potential, regardless of financial circumstances.

Budget Highlights

The FY 2026 Executive Budget recommends $1.09 billion in total appropriations for HESC and a workforce of 105 FTEs. The FY 2026 appropriation level represents an approximate $500,000 net increase from the prior year, largely based on HESC's projections of the State's liability for the 2025-26 academic year (AY 2026).

The Executive Budget proposes to consolidate the three existing State financial aid programs for part-time students, including expanding part-time TAP to students taking a minimum of three credits, down from six. In addition, the Budget funds the anticipated increase in the Veterans Tuition Award program from the extension of eligibility to non-combat veterans.

For more information on this agency's budget recommendations located in the Executive Budget Briefing Book, click on the following link:

Briefing Book – Higher Education

Note: Most recent estimates as of 01/21/2025