Dr. Smith: Committee,
thank you for the opportunity
to testify today on the important topic
of improving college affordability.
As you heard, my name is Zakiya Smith
and I work on finance
and federal policy issues
at Lumina Foundation,
the nation's largest foundation
focused specifically
on increasing students' access to
and success in postsecondary education.
As someone whose grandmother
attended college
as a nontraditional student,
in the '50s in South Carolina,
before there were integrated schools
or even a Higher Education Act to consider,
I know both the transformative power
of higher education
and the pains that come
from lack of equity within the system,
for students of color
and for low income students.
And I know from working
with students as a college counselor
in a federally funded gear up program
that when talking to students directly,
their concerns about college are clear.
They think it's important but they just
don't know how they're going to pay for it.
And, we've talked about this issue
at the national level for decades.
We've tried to create
measures of transparency,
which I've very vocally supported,
with hopes that better information
could create market pressure
and direct students
to more affordable options.
Unfortunately, those efforts alone
are not enough.
Today's students have
responsibilities and commitments
that extend far beyond the classroom.
Students of color in particular
are more likely to be balancing
work and the responsibilities
of parenting with going to college,
as over 40% of Black
and Native American students
are also parents.
And contrary to popular imagination,
students today actually have to work
far more than past generations did
in order to pay for college.
In 1971, students could cover tuition
at public colleges
by working about 10 hours a week
throughout the year.
Students today would have to work
about a 60 hour work week
in order to cover the full cost
of attendance
at a public college in state.
So, these affordability concerns
aren't just in their heads.
The challenge of paying for college today
is greater than it was in the past.
Some might argue that expenses
like rent and food
aren't really costs of college
but general costs of living
that every adult must face.
But very few people
would argue with the notion
that the traditional student,
going to college straight from high school,
living on campus, deserves to be able
to use their financial aid
to pay for room and board.
Take that same student off campus
and now they've got to find an apartment.
Room because rent
and food, whether purchased
on or off campus, is the board.
Ensuring these non-tuition needs
are covered in some way,
which could include childcare
for student parents
or transportation to and from campus,
are integral to student success.
If basic needs aren't met, students are
less likely to do well in school,
further impeding completion.
And as we know, as we think about
how to address this concern,
we must recognize that affordability
means different things
to different people.
What's a bargain to one person
may feel like
an unattainable luxury to another.
For example, a $10,000 degree
could sound great
to a family making $150,000
yet unimaginable for someone
making only $20,000 a year,
near the poverty line.
That's why we can't focus
only on the overarching price
or even the average net price,
because it alone doesn't capture
what's reasonable
for families
at different income levels.
We've got to start to frame
affordability in terms
that are tailored
to individual and family needs
yet are transparent enough
for most people to understand.
In this vein, Lumina
has developed a concept
called The Affordability Benchmark,
in consultation with experts
from inside
and outside of higher education.
The benchmark is based on
some key principles,
that those with the capacity to save
should be encouraged to do so
with clear guidelines that can be
broken down into monthly amounts,
that students
without the capacity to save
shouldn't be expected to,
and that no student should have
to work more to pay for college
um-- so, have to which,
no student should have to work
so much to pay for college
that it impacts their ability
to be successful in school.
Two interconnected recommendations
could make this a reality.
First, a federal-state partnership
for affordability, quality, and completion.
A benchmark approach or any other type
of affordability guarantee
would require a new type of partnership
between the federal
and state governments,
in which colleges commit
to lower prices and better outcomes
for students over time
in order to receive funding.
States should be encouraged
to invest in post secondary education
in order to better leverage
the federal spend.
And because affordability
can't really be conceptually, uh,
separated from value,
it would require being
more vigilant about quality,
both to root out fraudulent practices
and to ensure credentials are meaningful.
Second, we must strengthen
and preserve the Pell grant.
Pell is the foundation
of federal student aid,
the bedrock on which the federal
commitment to students is based.
Unfortunately, the grant itself has not
kept up with the rising price of education
I urge the committee
to consider ways to strengthen Pell
so that it remains available
for future generations
and to encourage implementation
of early awareness
and information campaigns,
to ensure would be students
even know it exists.
I'd be happy to answer uh,
any questions about these ideas
or share in additional detail. Thank you.
Committee:
Thank you, Dr. Smith.