By Chairwoman Virginia Foxx — May 17, 2018
Graduation season is upon us once again, and for millions of Americans who are finally about to get their hands on a baccalaureate degree, the road has been longer and more expensive than ever.
Far too many students graduating with what they thought would be a four-year degree started their coursework more than six years ago. Those at a public college or university ended up paying, on average, an additional $22,826 for each year beyond the four they’d planned to spend on campus.
They pursued that degree for all the right reasons. Over a lifetime, Americans with a bachelor’s degree can expect to earn 74 percent more than those who did not pursue education beyond high school. But for those who took six years to finish instead of four, they’ve already missed out on about $90,000 of income they could have earned if they’d joined the workforce on time.
Public confidence in traditional higher education is not just dropping, it’s falling fast. Right now, only 54 percent of parents think a four-year university is a reachable goal for middle-class kids. Only about two out of every five workplace managers believe college-educated employees are equipped for jobs in their chosen fields, and only about 13 percent of Americans actually believe college graduates are equipped for the jobs they’re seeking.
The numbers just don’t add up in defense of treating federal higher education policy in the same old way. The class of 2018 deserved better, but it’s not too late for their classmates. We have a plan for the future that every student, parent, and institution that truly puts students first can get behind.
The most important reforms in the PROSPER Act, legislation the Education and Workforce Committee has submitted to the House of Representatives for a vote, make finishing a degree on time and on budget a realistic, reachable goal for students. For lower-income students who rely on the Pell Grant to pay tuition costs, the PROSPER Act allows for an annual $300 bonus when they take 15 credits per semester in addition to the 12 hours required now. At that rate, students are on track to finish within four years and their financial aid situation will be working for them, not against them. Additional reforms in the PROSPER Act will make the Pell Grant available for 7 million additional students over the next 10 years.
For all other students, the PROSPER Act makes the federal student aid system more fair and streamlined. It doesn’t play favorites by taking already limited aid dollars and channeling them toward those who promise to pursue certain careers over others.
The PROSPER Act provides equal opportunity to students regardless of age, background, or education level to apply for one grant, one loan, and one work study program. These reforms make costly — and often hidden — student-paid origination fees a thing of the past, and allow aid to be disbursed on a schedule with the same consistency and dependability as a paycheck.
These transparency measures, along with additional reforms that make financial aid counseling more frequent, informative and accessible to students and parents, will help make sure individuals are only borrowing what they need to finance the education they want. These financial aid decisions are lessons in financial stability and fiscal responsibility future job creators can learn before they buy their first textbook.
The overwhelming majority of parents — more than 80 percent — believe college costs too much. They’re exactly right. For the past several decades, tuition rates have gone up faster than inflation. That pattern isn’t just unsustainable for the future; it’s unbearable for the present. College may not be for everyone, but for millions of Americans, of all ages, it is a dream worth fighting for. We have to make that fight worthwhile, and reforming postsecondary education is the only way we can.
To read online, click here.
To learn more about the PROSPER Act, click here.
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