Skip to main content
  • About IHEP
    • About IHEP
    • Message from our President
    • History
    • What We Do
      • What We Do
      • Current Initiatives
        • Current Initiatives
        • Postsecondary Data Collaborative
        • Degrees When Due
        • Assessing The Impact of Prison-Based Postsecondary Education Programs
      • Previous Initiatives
        • Previous Initiatives
        • Global Initiatives
        • IHEP Champions of Access and Success
        • College Not Prison
        • Minority-Serving Institutions-Models of Success Program
        • Film Series: Federal Student Aid History
        • Summer Academy
        • Community Partnership for Attainment
        • Symposium on Financial Literacy and College Success at Minority-Serving Institutions
        • Walmart Minority Student Success Initiative
        • BEAMS
        • Project Win-Win
        • Redefining Access for the 21st-Century Student
        • Reimagining Aid Design and Delivery
        • Pathways to College Network
    • Who We Are
      • Who We Are
      • IHEP Staff
      • Board of Directors
      • Emeritus
    • Partners
      • Partners
      • Funding Partners
    • Working at IHEP
      • Working at IHEP
      • Career Opportunities
  • Policy Priorities
    • Policy Priorities
    • Affordability & Need-Based Aid
    • Data & Transparency
    • Degree Completion
    • Higher Education for Students Impacted by the Criminal Justice System
  • Research
    • Research
    • Publications
    • Search Publications
  • Press
    • Press
    • News Releases
    • Letters, Opinions, and Statements
    • Press Clips
  • Donate
  • Contact Us

25 Years of Equity

Twitter Facebook

  • About IHEP
    • Message from our President
    • History
    • What We Do
      • Current Initiatives
        • Postsecondary Data Collaborative
        • Degrees When Due
        • Assessing The Impact of Prison-Based Postsecondary Education Programs
      • Previous Initiatives
        • Global Initiatives
          • Global Policy Fellows Program
        • IHEP Champions of Access and Success
        • College Not Prison
        • Minority-Serving Institutions-Models of Success Program
        • Film Series: Federal Student Aid History
        • Summer Academy
          • Participating Institutions
        • Community Partnership for Attainment
          • Participating Communities
        • Symposium on Financial Literacy and College Success at Minority-Serving Institutions
          • Participating Institutions
        • Walmart Minority Student Success Initiative
          • Participating Institutions
        • BEAMS
          • Participating Institutions
        • Project Win-Win
        • Redefining Access for the 21st-Century Student
        • Reimagining Aid Design and Delivery
        • Pathways to College Network
    • Who We Are
      • IHEP Staff
      • Board of Directors
      • Emeritus
    • Partners
      • Funding Partners
    • Working at IHEP
      • Career Opportunities
  • Policy Priorities
    • Affordability & Need-Based Aid
    • Data & Transparency
    • Degree Completion
    • Higher Education for Students Impacted by the Criminal Justice System
  • Research
    • Publications
    • Search Publications
  • Press
    • News Releases
    • Letters, Opinions, and Statements
    • Press Clips
  • Donate
  • Contact Us

You are here

Home / Press / Letters, Opinions, and Statements

The Future of Pell Grants

By: Michelle Asha Cooper, Ph.D.

Featured in: The Chronicle of Higher Education

Mar 21, 2011

When Congress proposed last month to cut spending for the Pell Grant program, which was created more than 30 years ago and remains the foundation of federal higher-education support for needy students, the move intensified a national debate over what role, if any, the grants should continue to play in helping low-income students attend college during these tough economic times. The Chronicle of Higher Education asked six of the nation's top thinkers in the areas of higher education and public policy to share their thoughts on what the Pell Grant program should look like in the future. 

Some of the more recent critiques of the Pell Grant program argue that it does not provide students with incentives for completion. That point is supported by research showing that a sizable number of college students drop out, often in the first or second year. 

While the issue of college dropouts deserves attention, in considering the value of the Pell Grant program it is necessary to acknowledge that various factors limit the program's effectiveness. For one thing, growth in college costs has outpaced growth in the Pell Grant program. Despite regular increases in funding, the purchasing power of Pell Grants has diminished significantly over the last three decades. In addition, the number of students eligible to participate in the program has grown substantially in recent years, and continued growth is projected, accompanied by an increase in program costs. 

Discussions about the need to restructure the program are not new, and numerous proposals exist. Some suggestions include increasing award amounts in the first and second years and decreasing them in subsequent years or decreasing award amounts in earlier years and increasing them in subsequent years. Others look at simplifying the financial-aid process to allow for early award notification for high-school students. Still others suggest adjusting federal need analysis to better aid the neediest students. Performance-based scholarships are also under consideration. 

Each of these proposals has some merit, but they also have different goals. Some encourage access, others aim to foster completion. Although both federal and state policies tend to separate the goals of access and completion, that approach is limiting. As we think about the best approach for restructuring Pell Grants, we have to begin with both of these objectives in mind—access and success. But regardless of whether Pell operates under the existing framework or an improved one, the program must be adequately funded to be effective, and institutions must respond to pressure to constrain costs and focus on increasing the educational quality and graduation rates of their Pell Grant recipients. Providing financial assistance to college-ready, low- and moderate-income students is a sound financial investment for our nation, making the Pell Grant program absolutely necessary for students—and for society. 

Michelle Asha Cooper, Ph.D., is the president of the Institute for Higher Education Policy, an independent nonprofit organization that is dedicated to increasing access and success in postsecondary education around the world.

About the Institute for Higher Education Policy

The Institute for Higher Education Policy (IHEP) is a nonpartisan, nonprofit organization committed to promoting access to and success in higher education for all students. Based in Washington, D.C., IHEP develops innovative policy- and practice-oriented research to guide policymakers and education leaders, who develop high-impact policies that will address our nation’s most pressing education challenges.

Media Contact

Piper Hendricks
202-372-7204

Archive

  • 2021 (2)
  • 2020 (34)
  • 2019 (15)
  • 2018 (15)
  • 2017 (27)
  • 2016 (24)
  • 2015 (15)
  • 2014 (9)
  • 2013 (9)
  • 2012 (2)
  • 2011 (9)
  • 2010 (10)
  • 2009 (3)

Press

  • News Releases
  • Letters, Opinions, and Statements
  • Press Clips

© Institute for Higher Education Policy 1993-2020.
1825 K Street, N.W., Suite 720 Washington, DC 20006
(202) 861-8223 TELEPHONE (202) 861-9307 FAX
institute@ihep.org  |  Join Our Mailing List | Read Our Privacy Policy | Read Our Informed Consent Policy

© Institute for Higher Education Policy
1993-2014.
1825 K Street, N.W., Suite 720 
Washington, DC 20006
(202) 861-8223 TELEPHONE
(202) 861-9307 FAX
institute@ihep.org
Join Our Mailing List