State Lawmakers Call for Significant Reforms to Enhance College Affordability and Value
The task force emphasized that colleges should prioritize career preparation and maintain transparency about their charges, operational expenses, and program marketability.
For countless college students across America, situations can deteriorate quickly as they accumulate long-term debt to pursue higher education, often obtaining degrees that fail to meet labor market demand and aren’t worth the investment.
Analysis from a bipartisan group of state lawmakers reveals that substantial reforms are necessary within the U.S. higher education system—once considered the gold standard globally—if obtaining a college degree is to remain a viable route to lasting financial security.
The report, produced by 29 legislators and four legislative aides from 32 states, aims to provide guidance to leaders of colleges and universities, as well as state and federal lawmakers, on making higher education both affordable and worthwhile.
“It also helps dispel various misconceptions about higher education,” noted Dembrow, a Democrat, commending the bipartisan collaboration. “The focus is on areas where we can find common ground first. I was amazed by how much consensus we reached.”
Related Stories
Between 2012 and 2022, the number of undergraduate students decreased by 2.4 million, with most students attending public four-year institutions while many community colleges and private schools struggle to survive, the report notes.
Despite tuition and college expenses rising faster than inflation, the maximum federal Pell Grant for eligible students has only grown by 10 percent since 2003, reaching $7,395 this year. In stark contrast, the federal government invests over $37,000 per student annually, accounting for 2.5 percent of the U.S. Gross Domestic Product, compared to about $15,500 spent per K-12 student, according to the report.
The report suggests that state education departments expand dual-enrollment programs, allowing high school students to earn college credits, thereby reducing both the time and financial burden required to complete a degree after graduation. Higher education institutions—both public and private—should enhance transparency regarding which high school credits will count toward degree completion.
The federal government should also mandate that students participate in annual loan counseling sessions to fully understand their aid limits, the report advocates.
In terms of transparency, it recommends that colleges and universities disclose their complete operating budgets, including employee salaries and the comprehensive costs of attending their institutions full-time, rather than only presenting the “net” price or average cost. Expenses related to housing, meal plans, student services, and other components often far exceed tuition fees.
“It’s vital to clearly communicate the true costs that students incur,” the report states. “Evaluate program costs and pricing in relation to the income and career earning potential of enrolled students.”
It also proposes that federal block grants be allocated to states positioned to invest in higher education programs that directly correlate with local and state workforce demands. Employers should collaborate in developing course curricula and federally funded work-study programs to ensure that students are workforce-ready.
The report urges that tuition fees be equitable and reflect the costs of programs at colleges and universities while considering students’ income levels, career paths, and potential earnings.
“There exists a significant responsibility for the federal government to enhance the value of degrees,” it concludes.
Millner, a Republican, urged lawmakers nationwide to engage with the report and hold discussions with higher education leaders about necessary changes.
“This lays a strong foundation for creating a viable future for higher education across states,” she stated.
