FACT
SHEET - White House Unveils America’s College Promise Proposal: Tuition-Free
Community College for Responsible Students
Nearly a century ago, a movement that made high school
widely available helped lead to rapid growth in the education and skills training
of Americans, driving decades of economic growth and prosperity. America
thrived in the 20th century in large part because we had the most educated
workforce in the world. But other nations have matched or exceeded the
secret to our success. Today, more than ever, Americans need more knowledge and
skills to meet the demands of a growing global economy without having to take
on decades of debt before they even embark on their career.
Today the President is unveiling the America’s College
Promise proposal to make two years of community college free for responsible
students, letting students earn the first half of a bachelor’s degree and earn
skills needed in the workforce at no cost.
This proposal will require everyone
to do their part: community colleges must strengthen their programs and
increase the number of students who graduate, states must invest more in higher
education and training, and students must take responsibility for their
education, earn good grades, and stay on track to graduate. The program would
be undertaken in partnership with states and is inspired by new programs in
Tennessee and Chicago. If all states participate, an estimated 9 million
students could benefit. A full-time community college student could save an
average of $3,800 in tuition per year.
In addition, today the President will propose a new American Technical Training
Fund to expand innovative, high-quality technical training programs similar to
Tennessee Tech Centers that meet employer needs and help prepare more Americans
for better paying jobs. These proposals build on a number of historic
investments the President has made in college affordability and quality since
taking office, including a $1,000 increase in the maximum Pell Grant award to
help working and middle class families, the creation of the $2,500 American
Opportunity Tax Credit, reforming student loans to eliminate subsidies to banks
to invest in making college more affordable and keeping student debt
manageable, and making available over $2 billion in grants to connect community
colleges with employers to develop programs that are designed to get
hard-working students good jobs.
The President’s Plan: Make Two Years of
College as Free and Universal as High School
By 2020, an estimated 35 percent of job openings will require at least a
bachelor’s degree and 30 percent will require some college or an associate’s
degree. Forty percent of college students are enrolled at one of America’s more
than 1,100 community colleges, which offer students affordable tuition, open
admission policies, and convenient locations. They are particularly
important for students who are older, working, need remedial classes, or can
only take classes part-time. For many students, they offer academic programs
and an affordable route to a four-year college degree. They are also uniquely
positioned to partner with employers to create tailored training programs to
meet economic needs within their communities such as nursing, health
information technology, and advanced manufacturing.
The America’s College Promise proposal would create a new partnership with
states to help them waive tuition in high-quality programs for responsible
students, while promoting key reforms to help more students complete at least
two years of college. Restructuring the community college experience, coupled
with free tuition, can lead to gains in student enrollment, persistence, and
completion transfer, and employment. Specifically, here is what the initiative
will mean:
Enhancing
Student Responsibility and Cutting the Cost of College for All Americans: Students
who attend at least half-time, maintain a 2.5 GPA while in college, and make
steady progress toward completing their program will have their tuition
eliminated. These students will be able to earn half of the academic credit
they need for a four-year degree or earn a certificate or two-year degree to
prepare them for a good job.
Building High-Quality Community Colleges: Community
colleges will be expected to offer programs that either (1) are academic
programs that fully transfer to local public four-year colleges and
universities, giving students a chance to earn half of the credit they need for
a four-year degree, or (2) are occupational training programs with high
graduation rates and that lead to degrees and certificates that are in demand
among employers. Other types of programs will not be eligible for free
tuition. Colleges must also adopt promising and evidence-based
institutional reforms to improve student outcomes, such as the effective Accelerated
Study in Associate Programs (ASAP) programs at the City University of New York
which waive tuition, help students pay for books and transit costs, and provide
academic advising and supportive scheduling programs to better meet the needs
of participating students, resulting in greater gains in college persistence
and degree completion.
Ensuring
Shared Responsibility with States: Federal funding will
cover three-quarters of the average cost of community college. States that
choose to participate will be expected to contribute the remaining funds
necessary to eliminate community college tuition for eligible students. States
that already invest more and charge students less can make smaller
contributions, though all participating states will be required to put up some
matching funds. States must also commit to continue existing investments in
higher education; coordinate high schools, community colleges, and four-year
institutions to reduce the need for remediation and repeated courses; and
allocate a significant portion of funding based on performance, not enrollment
alone. States will have flexibility to use some resources to expand quality
community college offerings, improve affordability at four-year public
universities, and improve college readiness, through outreach and early
intervention.
Expanding
Technical Training for Middle Class Jobs. Additionally, in order to spread the
availability of high-quality and innovative programs like those in Tennessee
and Texas, which achieve better than average completion and employment
outcomes, the President is also proposing the American Technical Training Fund.
This fund will award programs that have strong employer partnerships and
include work-based learning opportunities, provide accelerated training, and
are scheduled to accommodate part-time work. Programs could be created within
current community colleges or other training institutions. The focus of the
discretionary budget proposal would be to help high-potential, low-wage workers
gain the skills to work into growing fields with significant numbers of
middle-class jobs that local employers are trying to fill such as energy, IT,
and advanced manufacturing. This program will fund the start-up of 100 centers
and scale those efforts in succeeding years. Smaller grants would help to bring
together partners and start a pilot program. Larger grants would be used for
expanding programs based on evidence of effectiveness, which could include past
performance on graduation rates, job placement rates and placement wages. Building
on the President’s community college initiative, known as the Trade Adjustment
Assistance Community College and Career Training Grants and for which 2014 was
the final year of funding, these funds will help community colleges become more
job-driven.
Building on State and Local Programs.
In the past year, Tennessee and the City of Chicago initiated free community
college programs. In the first year of the Tennessee program, 57,000
students representing almost 90 percent of the state’s high school graduating
class applied for the program. The scholarship is coupled with college
counseling, mentorship, and community service that early evidence suggests
supports greater enrollment, persistence and college completion. This is
coupled with efforts to spur innovation and improvement by funding colleges
using performance outcomes based on student success and an innovative approach
to career and technical education through the Tennessee Colleges of Applied
Technology. These Tennessee Tech Centers have a graduation rate of 80
percent and a job placement rate of 85 percent.
Building on a Record of Progress. Since
taking office, President Obama has taken steps to expand federal support to
help more students afford college, while calling for a shared responsibility in
tackling rising college costs. Key achievements include:
Doubling
the Investment in Pell Grants: The President has
raised the maximum Pell Grant award to $5,730 for the 2014-15 award year — a
nearly $1,000 increase since 2008. The number of Pell Grant recipients has
expanded by 50 percent over that same time.
Expanding Education Tax Credits: President Obama
established the American Opportunity Tax Credit in 2009 to assist families with
the costs of college, providing up to $10,000 for four years of college
tuition.
Pay-As-You-Earn
Loans: All new borrowers can now cap loan payments at 10
percent of their incomes. The Department of Education has begun the process to
amend its regulations and will make the new plan available on all direct loans
by December 2015. We expect it to benefit up to 5 million borrowers.
First
in the World Grants: In September, the Department of
Education awarded $75 million to 24 colleges and universities under the new
First in the World grant program to expand college access and improve student
learning while reducing costs.
College
Ratings Program: The Department of Education continues to
develop a college ratings system by the 2015-2015 school year that will
recognize institutions that excel at enrolling students from all backgrounds;
focus on maintaining affordability; and succeed at helping all students
graduate with a degree or certificate of value.
Job-Driven
Training Grants: Through the Trade Adjustment Community
College and Career Training program more than 1,000 institutions have received
$2 billion in federal funding to design education and training programs,
working closely with employers and industry that prepare workers for jobs
in-demand in their regional economies, such as health care, information
technology and energy. These programs have shown early success -- through the
end of FY2013, among the nearly 164,000 individuals who had enrolled in these
programs 88 percent either completed a program or continued the program into a
second year.
White
House Summit on Community Colleges: In October 2010, the
President convened community college leaders, faculty and students; business
leaders; philanthropic organizations; and other workforce development experts
for the first White House summit dedicated to the role that community colleges
play in our efforts to increase the number of college graduates and prepare
those graduates to lead the 21st century workforce.
Center
for the Analysis of Postsecondary Readiness: Last August, the
Department of Education launched a new $10 million Institute for Education
Sciences-funded Center for the Analysis of Postsecondary Readiness (CAPR) that
is working to strengthen the research, evaluation, and support of college
readiness efforts across the nation. CAPR is documenting current practices in
developmental English and math education to identify innovative instructional
practices that improve student success.
Call
to Action on College Opportunity: Last December, the
President, Vice President, and First Lady joined college presidents and leaders
of non-profits, foundations, and other organizations to announce over 600 new
commitments to produce more college graduates. Community colleges made
commitments individually, and in partnership with neighboring school districts
and four-year institutions, to build seamless transitions among institutions,
develop clear educational and career pathways, implement strategies to increase
student completion of STEM programs, and establish more accurate measures of
student progress and success.