Excerpt from the Dayton Daily News
Expected federal government cuts to the U.S. Department of Education and a projected budget shortfall for Pell Grants, which are given to low-income students, could have an impact on high education enrollment next school year.
The Congressional Budget Office, a nonpartisan organization that provides information to members of Congress about the budget, projects a budget shortfall of about $2.7 million for Pell Grants in fiscal year 2026.
Around 40% of U.S. college student rely on Pell Grants, a type of federal aid available to low-income families who demonstrate financial need on the Free Application for Federal Student Aid application, according to the National Center for Education Statistics.
A major reason for the projected shortfall was the increase in student population in the fall and the increase in applicants for Pell Grants. Enrollment increased more than 5% in higher education.
James Cosby, founding executive director of Bottom Line Ohio, which helps first-generation students get into and finish college, said more freshmen going to college this year and more eligibility for Pell Grants under previous president Joe Biden’s administration meant more students got Pell Grants.
“They were already projecting a shortfall, but they didn’t think it was going to hit until 2027,” Cosby said. “Now it’s going to hit in 2026. That is coupled with a current administration that has made it clear that they want to cut as much as they can from the Department of Education federally.”
