Joe Biden’s anticipated win for presidential office will not be official until the Electoral College vote in December, but his promises for higher education are included and explained in this article. Some of those promises include expanding free college, undoing Trump-era initiatives such as changing immigration policies and oversight of Title IX, and investing more into minority-serving institutions.
Harvard Business Review
Fall 2020 marks an inflection point as students, educators, and government leaders scrutinize the price and value proposition of higher education through the new lens of traditional classroom vs. multiple modes of digital delivery. Higher education has significantly lagged behind other industries in moving to a more digitally-driven model, and less than 5% of college budgets are dedicated to IT spending. The current climate, paired with technological developments make it imperative for college leaders and policymakers to make digital transformation and technology a much more central strategic priority.
July 09, 2020 Value and Affordability
Just under half of the total $14 billion allotted to the CARES Act is reserved for students who are disadvantaged by the pandemic. The Institute for College Access & Success noted the funds were distributed to colleges with little guidance attached, and schools that received funding were to inform the Department of Education on how they are distributing funds to students.
Inside Higher Ed.
A report from the Federal Reserve Bank of New York rfinds that people from majority Black or Hispanic neighborhoods are less likely to attend college. Those that do attend college are more likely to borrow more in student loans and default on these loans later in life. While these critical social issues long predate COVID-19, it’s clear that the implications have been made starker by the coronavirus.
FAFSA renewals are down from last year through mid-April, with an increase in administrative financial aid award appeals. Pandemic-related financial concerns can prevent students from re-enrolling in fall 2020.
The Washington Post
The 2018 federal spending increase for child-care programs has helped some colleges and universities provide child care for students who have children. However, this funding is not enough to meet all of the needs of the students or to ensure that their children have a spot in the limited number of seats in child care programs offered. Lawmakers and university administrators are looking to increase funding to provide more flexibility and resources to students with children.
The Hechinger Report
The proportion of middle-class students at colleges and universities has been quietly declining. Reasons cited for non-enrollment include family obligations, planning to take a gap year, not feeling ready to attend, not having a desire to attend, and expenses associated with enrollment, as many middle-class parents increasingly have their own college debt to pay.
July 30, 2019 Value and Affordability
In a recent Twitter poll run by USA Today, 45% of 41,025 participants claimed cost is their primary consideration when choosing a college or university. Cost consciousness, however, is not the same as being able to afford the price of school. Another Twitter poll concluded that while 42% of future enrollees’ families were planning to use income and savings to fund their child’s education, the remainder planned to rely on a mix of loans, scholarships, and credit cards to cover costs.
The Hechinger Report
As national student debt continues to climb, more than 10% of new borrowers regularly default as they leave post-secondary education. More than 60% of those in default have small loans of less than $10,000. In recent years, however, there’s been a surge in the number of students utilizing big loans to finance their education, with 17% leaving school with more than $50,000 of federal student loan debt. With this growth, scholars are identifying new types of big borrowers: lower-income adults and parents.
Inside Higher Ed
In an effort to boost the number of students receiving financial support for college, Texas will soon become the second state to require high school seniors to complete the FAFSA prior to graduation. Completing the FAFSA is a leading indicator of college enrollment, with ample evidence that more financial aid is associated with college completion outcomes.