The scheme will cost students US$420 a year for 50 minutes of call time per month, unlimited text messaging, emergency GPS tracking and unlimited data use on campus.
Students are not tied into particular phones or contracts, and can choose from a range of options.
"I do not see why they should be adding unnecessary fees to the students who have a hard time paying for college anyway," freshman Sury Lopez told WCBSTV.com.
Other students were more positive, however, maintaining that they liked the safety and convenience aspects of the phones.
"It is very helpful," said student Vanessa Adames. "I have the train schedule on there, and I can check my email."
Montclair State University is one of the first in the US to insist that students have tracking capabilities on their phones.
While the institution regrets the cost to students, it claims to have done everything it could to minimise the financial impact.
"If you are accessing the campus from anywhere with a device attached to your hip, you are also avoiding a lot of costs," said Ed Chapel, vice president of IT at Montclair State University.
University insists on GPS phones for students
By Iain Thomson on Nov 28, 2007 7:30AM