As Federal Support Wanes, States Must Reinvest in Public Higher Education
Summary: The long-standing promise of public higher education is at risk as federal support retreats and tuition costs rise. Advocates argue that state investment is essential not only for access and equity, but also for strong local economies, citing successful programs and economic returns from public college systems.
The Morrill Act of 1862, championed by Abraham Lincoln, created a lasting partnership between the federal government and the states to expand access to higher education. It funded and established public colleges and universities, helping to shape institutions that remain the backbone of American higher education today. The arc of this history is reflected in landmark milestones, such as the University of California system, which grew from those early public investments. The story of higher education in this country has long been tied to federal support and state stewardship.
Today, that partnership is fraying. The promise of affordable, accessible public higher education is increasingly at risk as federal funding wanes and costs for students climb. Critics point to policy shifts and budget pressures—including the so‑called Big, Beautiful Bill and proposed cuts to programs like Gaining Early Awareness and Readiness for Undergraduate Programs—as threats to opportunity for low‑ and middle‑income students. In this moment, the responsibility to sustain and strengthen public higher education falls more heavily on state governments.
As a first‑generation college student, the author recalls how public universities opened pathways previously closed. Growing up in a community where relatively few residents earned college degrees, the author found guidance, mentorship, and a sense of possibility on campus. Public higher education offered access to people and programs that shaped a career, not just a credential, and helped redefine what counts as a future.
Data reflect the challenge. Rural and community colleges—vital community hubs—are underfunded relative to four‑year institutions. A 2020 analysis by the Center for American Progress found that community colleges receive about $8,800 less per student than four‑year colleges. The National Education Association reported that 32 states spent nearly $1,500 less per student on public colleges and universities in 2020 than in 2008, underscoring a widening gap in state support over more than a decade. This disinvestment disproportionately affects students from under-resourced communities who rely on public institutions as their primary route to higher education.
Yet there are bright spots that demonstrate what is possible when states commit to public higher education. Tennessee’s Promise Program and New York’s Tuition Assistance Program, along with robust public systems such as the State University of New York and the City University of New York, show how targeted state investments can expand access and improve outcomes. Research from the Rockefeller Institute of Government indicates that every dollar invested in SUNY yields about $8.67 in economic returns, highlighting that public higher education is not only a social imperative but also a strong economic strategy.
Pell Grants—funds awarded to low‑income students—already flow predominantly to students attending public institutions. Strengthening public higher education amplifies the impact of federal aid and sustains a lifeline for low‑income, first‑generation, and working‑class students. The payoff is multi‑year and multi‑facet: expanded access, reduced debt burdens, and a more skilled workforce that can drive regional and national economic growth.
A constructive path forward accepts the reality of fiscal constraints but refuses to accept widening inequality as the default. The solution is not to retreat but to invest more—especially in communities facing the greatest barriers. If states choose to reinvest in public higher education, they can preserve pathways to opportunity, bolster local economies, and complement federal support with durable, locally tailored programs.
What this means for readers and policymakers:
– Prioritize funding for community colleges and public universities to close funding gaps relative to four‑year institutions.
– Expand and sustain programs that already work, like Tennessee Promise and New York TAP, with a focus on outcomes and affordability.
– Leverage proven models that demonstrate broad economic returns, reinforcing the case for public investment to policymakers and taxpayers.
– Align state strategies with federal aid to maximize impact for low‑income and first‑generation students.
– Engage with representatives to advocate for continued and enhanced investment in public higher education, especially in underserved communities.
A hopeful takeaway: public higher education remains a powerful engine for mobility and opportunity when state governments commit to reinvestment. By strengthening public institutions, states can uphold the original promise of the Morrill Act—expanding access, enriching communities, and fueling long‑term economic vitality.