Hearings to examine the state of higher education.

Committee on Education

2025-05-21

Source: Congress.gov

Summary

This meeting of the Senate Committee on Health, Education, Labor, and Pensions convened to discuss the pressing issues facing American higher education, including escalating costs, student debt, and the perceived loss of institutional purpose. Senators and invited witnesses shared diverse perspectives on the challenges and proposed various reforms to enhance accountability, affordability, and the overall value of a college degree in today's rapidly evolving economy.[ 00:21:35-00:21:40 ]

[ 00:28:02-00:28:07 ]

Themes

Affordability and Student Debt

A central theme was the soaring cost of higher education and its impact on student debt, with tuition and fees at private nonprofit and public four-year institutions rising significantly over the last three decades.[ 00:21:57-00:22:02 ]

Many degrees were noted to have a negative return on investment, meaning students pay more than they can expect to earn in increased salaries.[ 00:22:06-00:22:14 ] Witnesses suggested reforms such as capping uncapped federal aid programs like Grad PLUS and Parent PLUS loans, and implementing a median cost of attendance for aid eligibility to combat tuition inflation. Community colleges, exemplified by Austin Community College, were presented as an affordable model, having frozen or not increased tuition for over a decade, and their free tuition program led to a 40% enrollment increase. Concerns were raised about potential federal budget cuts to Pell Grants and TRIO programs, which were described as vital for low-income and first-generation students' access and success.[ 02:03:22 ] The Parent PLUS program was acknowledged as a significant debt burden, leading to a "debt trap" despite providing access for many students.

Purpose, Value, and Accountability in Higher Education

Several speakers argued that the American higher education system has "lost its purpose" and the public's trust, with some colleges prioritizing DEI ideology over academic excellence and preparing students for the workforce.[ 00:21:35-00:21:40 ]

[ 00:22:28 ] There was a strong call for comprehensive reform and increased accountability, shifting focus from institutional performance to program-level outcomes and labor market relevance. Transparency in college outcomes, including graduate earnings and job placement, was emphasized as crucial for students to make informed decisions. Historically Black Colleges and Universities (HBCUs) and religiously-oriented institutions like Taylor University were highlighted for their distinct missions, contributions to social mobility, and commitment to student formation and community impact.[ 01:59:40-01:59:44 ]

Innovation and Accessibility

The discussion touched upon barriers to innovation, with accreditation being cited as a significant impediment that limits new colleges and forces conformity in educational processes. The importance of a highly educated workforce for global competitiveness and the value of lifelong learning were stressed, emphasizing the need for accessible education for all.[ 00:28:02-00:28:15 ]

Community colleges were recognized for their vital role in workforce education, offering stackable credentials and partnering with local employers to meet industry demands.[ 01:26:10-01:26:24 ] Expanding Pell Grant eligibility to include high-quality career and technical education was advocated to provide greater flexibility and support for students seeking non-traditional pathways to career success.

Tone of the Meeting

The tone of the meeting was primarily serious and concerned, reflecting the shared understanding among participants that American higher education faces significant challenges.[ 00:21:35 ]

An underlying bipartisan desire for reform was evident, with several senators emphasizing the need for collaborative solutions to improve student outcomes and affordability.[ 00:23:53 ] However, moments of political tension emerged, particularly concerning proposed federal budget cuts to student aid programs like Pell Grants and the impact of administration policies on educational institutions and student loan borrowers. Despite these differences, witnesses and senators expressed passion and commitment to the transformative power of education, highlighting examples of successful initiatives and the importance of fostering civic virtue and community engagement.[ 00:24:43-00:25:08 ]

Participants

Transcript

The Senate Committee on Health, Education, Labor, and Pensions will please come to order.  In some respects, the American higher education system has lost its purpose.  Many college students are not learning skills needed to succeed in the modern workforce, and studies show that the cost of college is quickly outpacing the value of a student's education.   In the last 30 years, tuitions and fees at private nonprofit colleges rose by 80%.  At public four-year institutions, they've increased by 109%.  Meanwhile, according to a nonpartisan analysis, 23% of bachelor's degree programs and 43% of master's degrees have a negative return on investment.  This is to say that students pay more for their degrees than the increase in salaries they can expect.   Now, this increased cost often is not going to improve education.  Often those dollars are being funneled to promote a DEI ideology, dividing students based on race and ethnicity.  A report studying 65 colleges and universities   found that the average institution was paying for 45 staff members to promote DEI policies.  By the way, these programs are subsidized by taxpayers who contribute significant funding annually for these universities.  Instead of promoting academic excellence, many campuses have been ideologically captured, becoming hotbeds of hate and division.  Students leave college woefully unprepared for the workforce while being saddled with insurmountable debt that they cannot pay back.   Comprehensive reform of higher education is needed.  President Trump and Secretary McMahon are making progress, including fixing the broken student loan program, but congressional action is needed to create lasting change.  Over the last several years, there have been multiple legislative attempts to improve higher ed to benefit students.  This includes my bipartisan College Transparency Act with Senator Warren, which allows students to compare the differences between prospective
prospective colleges and a major to see if the value of the degree is worth the cost.  Senator Tupperville is leading the Graduate Opportunity and Affordable Loans Act to end graduate plus loans, which have been inflationary to tuition costs.   This bill puts downward pressure on rising college costs by limiting graduate school borrowing.  There's also the Streamlining Accountability and Value in Education, or SAVE, for Students Act, led by Senator Cornyn, which streamlines confusing repayment options for student loan borrowers, decreasing the nine options to two, giving students and families clarity as to which repayment plan best fits their needs.  I look forward to discussing these and other policies in depth today.   It is a given, but nonetheless, I emphasize the power of education.  It can transform lives, lifting not just the generation that attends college out of poverty, but the subsequent generations in that family as well.  It is also a font of life-changing innovation and research, helps develop lifesaving cures,   and define solutions to some of America's biggest challenges.  But when universities fail in their basic responsibility to ensure a safe learning environment, when students leave college in debt and without hope for a brighter future, the American people lose trust in higher ed.  There is no one who can advocate for higher education better than the institutions themselves.  Universities must make the case to the American people as to why they are valuable to the nation   and are worthy of taxpayer investment.  I thank Taylor University and Tuskegee University for being here.  Rarely are HBCUs or religiously oriented universities mentioned in conversations about the landscape of how to improve America's higher education system.  We'll also hear from the Austin, Texas Community College District, which offers an interesting perspective beyond traditional four-year universities.  A great opportunity for all to share stories of the value you provide.   I'll make one more comment.

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