Letter from 309 Organizations to Congressional Leadership: “Index Pell Grants to Inflation Indefinitely”
The Honorable Mitch McConnell
Majority Leader
U.S. Senate
Washington, DC 20510
The Honorable Chuck Schumer
Minority Leader
U.S. Senate
Washington, DC 20510
The Honorable Paul Ryan
Speaker
U.S. House of Representatives
Washington, DC 20515
The Honorable Nancy Pelosi
Minority Leader
U.S. House of Representatives
Washington, DC 20515
Dear Leader McConnell, Leader Schumer, Speaker Ryan and Leader Pelosi:
Absent Congressional action, the maximum Pell Grant award will no longer adjust with inflation after this upcoming school year. As costs for students continue to rise, ending the annual inflation adjustment is — in real terms — a cut to the value of the Pell Grant. As institutions of higher education and organizations that support and advocate for students, we urge you to support our nation’s students by continuing the annual indexation of Pell Grants to inflation.
Pell Grants are the foundation of our national investment in higher education, giving low-income students the opportunity to go to and graduate from college and pursue careers that increasingly require a postsecondary education. This year, Pell Grants will help over 7.5 million students — including one-third of all White students, two-thirds of all Black students, and half of all Latino students — continue their education after high school1.
But right now, the maximum Pell Grant covers less than 30 percent of the average cost of attendance at a public, four-year institution — resulting in its lowest purchasing power in over 40 years2. For the last five years, indexation has played a critical role in preventing further decline of the historically low purchasing power of the current Pell Grant. If Congress fails to continue the adjustment, Pell students would see the buying power of their awards reduced drastically. In 10 years, with the award frozen at its current amount, the grant will cover only one-fifth of college costs3.
This decreased buying power exacerbates already significant financial barriers for students. In fact, after grant funding from all sources is considered, low-income students still have to find a way to finance, on average, the equivalent of three-quarters of their family income to cover their net college costs — leading them to disproportionate levels of debt4. Pell Grant students are already more than twice as likely to have student loans. Nine in 10 Pell Grant recipients graduate from four-year colleges with student debt, and their average debt is nearly $5,000 more than their higher income peers5. In this economy where postsecondary credentials are critical for pursuing a career, these financial barriers significantly limit social mobility and the availability of a skilled workforce; and we cannot afford to let the obstacles become even greater.
Congress made an important investment in fiscal year 2017 by restoring access to Pell Grants year-round. But that step alone is not enough. Without action to maintain the inflation adjustment, students will face a decline in their aid. We urge you to continue the annual indexation for Pell Grants with the same determination and bipartisan support you showed for restoring year-round Pell.
Thank you for your attention to this important issue.
Sincerely,
10,000 Degrees | Governors State University | Seattle University |
Achieving the Dream | Grand Rapids Community College | Slippery Rock University |
Alabama Possible | HACC, Central Pennsylvania’s Community College | Smith College |
Amarillo College | Hartnell College | Sonoma State University |
American Association of University Women (AAUW) | Heritage University | South Carolina Independent Colleges and Universities |
American Student Assistance | Higher Ed, Not Debt | Southern Adventist University |
Arizona State University | Higher Education Loan Coalition | Southern Education Foundation |
Arkansas State University – Beebe | Hispanic Association of Colleges and Universities (HACU) | Southern Illinois University System |
Arkansas State University – Jonesboro | Hostos Community College, CUNY | Southern University Law Center |
Arkansas State University – Mountain Home | Houston Baptist University | Southwest Texas Junior College |
Arkansas State University – Newport | Humboldt State University | St. Edward’s University |
Arkansas State University Mid-South | Illinois College Access Network | St. Louis Graduates |
Arkansas State University System | iMentor | St. Louis Regional Chamber |
Arkansas Tech University | Imperial Community College District | St. Philip’s College |
Aspen Institute College Excellence Program | Indian River State College | State Higher Education Executive Officers Association (SHEEO) |
Association of Catholic Colleges and Universities | Indiana University Northwest | State University of New York at Fredonia |
Association of Independent California Colleges and Universities | Institute for Higher Education Policy (IHEP) | State University of New York at Oneonta |
Association of Independent Colleges and Universities of Pennsylvania | Inter American University of Puerto Rico | State University of New York The College at Brockport |
Baruch College of the City University of New York | James Madison University | Stella and Charles Guttman Community College |
Benedict College | Johnson University | Student Veterans of America |
Berkshire Community College | Joliet Junior College | Tennessee College Access and Success Network |
Bethel University | Kansas Independent College Association | Tennessee Higher Education Commission |
Bottom Line | Kentucky Association of Student Financial Aid Administrators | Tennessee Independent Colleges and Universities Association |
Brazosport College | Kentucky Higher Education Assistance Authority | Texas A&M International University |
Bronx Community College, CUNY | Kingsborough Community College | Texas State University |
Brooklyn College | Lake Erie College of Osteopathic Medicine | Texas Tech University |
Broward College | Lamar Institute of Technology | Texas Wesleyan University |
Bucknell University | Lamar State College – Orange | The Active Advocacy Coalition |
Buffalo State College | Lamar University | The California State University |
Bunker Hill Community College | Lane College | The City College of New York (CUNY) |
Butler County (PA) Community College | League of United Latin American Citizens | The Commit! Partnership |
Cabrini University | Learning for Life at Rhode Island College | The Education Trust |
California Polytechnic State University | Lehigh Carbon Community College | The Institute for College Access & Success (TICAS) |
California State University, Chico | Lehman College, CUNY | The Scholarship Foundation of St. Louis |
California State University, Dominguez Hills | Let’s Get Ready | The State University of New York |
California State University, East Bay | Lincoln Memorial University | The Texas State University System |
California State University, Fresno | Lincoln University of Pennsylvania | The University of Memphis |
California State University, Fullerton | Lorain County Community College | The University of New Mexico |
California State University, Long Beach | Los Angeles Area Chamber of Commerce | Third Way |
California State University, Los Angeles | Luzerne County Community College | Thurgood Marshall College Fund |
California State University, Monterey Bay | Macaulay Honors College of CUNY | Towson University |
California State University, Northridge | Martin Methodist College | Trinity Washington University |
California State University, Sacramento | Maryland Independent College & University Association | Troy University |
California State University, San Bernardino | Mercy College | Tulsa Community College |
California State University, San Marcos | Metropolitan State University | U.S. PIRG |
California State University, Stanislaus | Metropolitan State University of Denver | uAspire |
Cameron University | Miami Dade College | UNC Scholars’ Latino Initiative |
Campaign for College Opportunity | Michigan Association of State Universities | UNCF |
Capital Community College | Michigan College Access Network | University of California |
Center for Law and Social Policy (CLASP) | Middlesex Community College | University of California, Davis |
Center for Urban Education, University of Southern California | Mississippi Valley State University | University of California, Irvine |
Cerritos College | Montgomery College | University of California, Riverside |
Chaffey College | Moraine Valley Community College | University of California, Santa Cruz |
Chapman University | Morgan State University | University of Delaware |
Charles R. Drew University of Medicine and Science | Mott Community College | University of Hawaii |
Chicago Urban League | Mountain Empire Community College | University of Houston |
Christian Brothers University | NAACP | University of Illinois at Chicago |
Cleveland State University | National “I Have A Dream” Foundation | University of Louisiana at Lafayette |
Clovis Community College | National Association for Equal Opportunity in Higher Education (NAFEO) | University of Maryland, Baltimore County |
College Advising Corps | National Association of Independent Colleges and Universities | University of Maryland, University College |
College Beyond (New Orleans, LA) | National Association of Student Financial Aid Administrators (NASFAA) | University of Massachusetts |
College Bound – St. Louis | National Association of System Heads | University of Massachusetts Amherst |
College Forward | National College Access Network | University of Massachusetts Boston |
College of Marin | National Urban League | University of Massachusetts Dartmouth |
College of Staten Island, CUNY | Nevada State College | University of Massachusetts Lowell |
College Possible | New Jersey City University | University of Missouri – Kansas City |
College Success Foundation | North Carolina Agricultural and Technical State University | University of Missouri System |
CollegeTracks | North Carolina Central University | University of North Carolina Charlotte |
Colorado State University | North Shore Community College | University of North Carolina Wilmington |
Colorado State University – Pueblo | Northampton Community College | University of North Georgia |
Colorado State University Global Campus | Northeast Iowa Community College | University of Northern Colorado |
Colorado State University System | Northeastern Illinois University | University of Puget Sound |
Community College of Allegheny County | Northern Arizona College Resource Center | University of Texas at Arlington |
Community College of Beaver County | Northern New Mexico College | University of the Southwest |
Community College of Rhode Island | Northwest Missouri State University | University of the Virgin Islands |
Consortium of Universities of the Washington Metropolitan Area | Northwest Vista College | University of West Georgia |
CUNY Graduate School of Public Health & Health Policy | Oakland University | University of Wisconsin – Madison |
CUNY School of Professional Studies | Olympic College | University of Wisconsin – Parkside |
DC Prep: PrepNext | One Wisconsin Institute | University of Wisconsin – Platteville |
De La Salle, Inc. | OneGoal | University of Wisconsin – Stevens Point |
Denver Scholarship Foundation | Our Lady of the Lake University | University of Wisconsin System |
DePaul University | Pennsylvania Highlands Community College | University System of Maryland |
Dillard University | Philadelphia Futures | Utah System of Higher Education |
Dixie State University | Phoenix College | Valencia College |
Donnelly College | Pontifical Catholic University of Puerto Rico | Vanguard University of Southern California |
East Stroudsburg University of Pennsylvania | Public Higher Education Network of Massachusetts (PHENOM) | Vaughn College of Aeronautics and Technology |
EDP University of Puerto Rico | Queens College, CUNY | Veterans Education Success |
Fairleigh Dickinson University | Queensborough Community College, CUNY | Virginia Commonwealth University |
Felician University | Reading Area Community College | Waco Foundation |
First Generation College Bound, Inc. | Renton Technical College | Walla Walla Community College |
Fisher College | Riverside City College | Watkins College of Art |
Fisk University | Rutgers University – Newark | Wellesley College |
Florida A&M University | Saint Luke’s College of Health Sciences | Western Michigan University |
Florida Gulf Coast University | Saint Martin’s University | Western Oregon University |
Francis Marion University | Salem State University | Western Texas College |
Franklin & Marshall College | Sam Houston State University | Whittier College |
Frostburg State University | San Antonio College | Whitworth University |
Generation Progress | San Diego State University | Wilbur Wright College |
Genesys Works Houston – Alumni Program | San German Campus of Inter American University of Puerto Rico | Wright State University |
George Mason University | San Joaquin Delta College | Wyman |
Georgia Gwinnet College | San Jose City College | Yes We Must Coalition |
Georgia Independent College Association | San Jose State University | York College, CUNY |
Goshen College | San Juan Bautista School of Medicine | Young Invincibles |
- Congressional Budget Office (CBO), January 2017 baseline projections for the Pell Grant program, http://bit.ly/2mLy0nk, Table 2; and Ed Trust calculation NPSAS:12 using PowerStats.
- Ed Trust calculation using College Board’s Trends in College Pricing, https://trends.collegeboard.org/sites/default/files/2016-trends-college-pricing-web_1.pdf, and U.S. Department of Education maximum Pell award figure, https://ed.gov/programs/fpg/index.html?exp=0.
- U.S. Department of Education, “New U.S. Department of Education Report Highlights Colleges Increasing Access and Supporting Strong Outcomes for Low-Income Students,” https://www.ed.gov/news/press-releases/new-us-department-education-report-highlights-colleges-increasing-access-and-supporting-strong-outcomes-low-income-students.
- Ed Trust calculation NPSAS:12 using PowerStats.
- Calculations by TICAS on data from the U.S. Department of Education, National Postsecondary Student Aid Study, 2011-12.