Senate Proposal: Enroll More Low-Income Students or Pay Fine

September 22, 2016

Two U.S. senators on Wednesday proposed legislation that would give selective colleges that enroll relatively few low-income students (the bottom 5 percent of all institutions) four years to boost their enrollment numbers from this group or face paying a fee to continue being eligible for federal financial aid.

The bill also would use money from the fees to grant up to $8 million to colleges with mostly open admissions and low graduation rates (also bottom 5 percent) to improve their student outcomes. Colleges would need to opt in to be eligible for the completion money. If they failed to improve graduation rates, participating colleges could face a penalty and temporary loss of access to federal financial aid.

Senator Chris Coons, a Democrat from Delaware, and Senator Johnny Isakson, a Georgia Republican, proposed the legislation. They said the bill also would include competitive funding grants aimed at college completion, with priority going to minority-serving and historically black colleges. The proposal includes up to $200 million aimed at improving graduation rates, as well as nonfinancial rewards, such as bonus points in federal competitive grants or a reduced regulatory burden.

A news release about the proposal included supportive comments from a broad group of higher education leaders, including presidents of the University of California System and Georgia State University.

“Accessing quality, affordable higher education should be part of the American dream for those who choose to pursue it,” Isakson, a member of the Senate education committee, said in a written statement. “We’re working to even the playing field to make sure that’s a reality for students of all economic backgrounds at every college and university in the country. We’re modeling this new initiative after schools such as Georgia State University, which has opened its doors to more students while offering innovative ways to make tuition more affordable and creating a path to success for its students.”

+ -

Expand commentsHide comments  —   Join the conversation!

Opinions on Inside Higher Ed

Inside Higher Ed’s Blog U

Back to Top