Suggestions for Pell Grant Reform from Prominent Financial Aid Researchers

The Pell Grant program, the foundation of the financial aid system designed to reduce the financial barriers faced by low- and moderate-income students aspiring to postsecondary education, is at risk.  A weak economy and rising college prices have created a growing need for the program, but at the same time, a commitment to reducing the federal budget deficit is generating proposals for severe funding cuts to Pell.

The College Board believes it is vital that we protect students by finding the best ways to ensure that the Pell Grant program continues to increase educational opportunities even as Congress works to relieve budget pressures. As such, we have asked a group of prominent financial aid researchers to engage over the coming months in deliberations to develop recommendations for long-term, evidence-based reform of the Pell Grant program.  This will be a time-consuming process.

Because Congress is likely to act quickly – before thoughtful proposals can be adequately developed – this group has made some initial suggestions about the least damaging ways to achieve short-term reductions in Pell expenditures.  They have written us the following letter not to recommend either budget cuts or a short-term perspective on modifying the program, but in the hope that they can help shape thinking about preserving and improving the federal role in increasing college access and success.

Read the full letter here.