● Two programs that serve as “critical lifelines” — SNAP benefits and the Pell Grant — are in peril and could lead to lower college completion rates for students from low-income backgrounds if they aren’t adequately funded, a new analysis from the Institute for Higher Education Policy states.
● The analysis states that program funding for SNAP — or the Supplemental Nutrition Assistance Program — is being shifted to states through the One Big Beautiful Bill Act, or OBBBA, and that some states could scale back access as a result. Undocumented students also lost eligibility for SNAP, and expanded work requirements could make it difficult for otherwise eligible students to obtain SNAP benefits, the analysis states. About two out of three students eligible for SNAP do not receive the benefits due to barriers such as complex eligibility rules and lack of awareness of the program, the analysis states.
● The analysis also maintains that if Congress fails to fill a projected $16.9 billion Pell Grant shortfall, “students could face reduced award amounts or reduced eligibility, threatening their ability to afford college.” The analysis laments that the Pell Grant now covers the “lowest share of college costs in its history.” “These shortcomings lead to persistent food insecurity and lower completion rates among students who face the greatest financial barriers to college,” the analysis states.
The bigger picture:
The gradual dilution of the purchasing power of Pell Grants has been noted for some time.
“At its peak in 1975-76, the maximum Pell Grant covered more than 75% of the average cost of attending a four-year public college,” according to The Institute for College Access & Success. “The 2023-24 maximum award amount covers just 26% of that cost.”
The fact that the Pell Grant program itself is facing a shortfall only exacerbates the concerns that have already been raised about how the Pell Grant doesn’t cover what it used to.
The Trump administration’s shift of responsibility for funding SNAP to states reflects a series of moves the administration has made to grant more power and responsibility to states for matters that range from health care to education. Observers worry that states may not have the resources to keep programs like SNAP in operation, and that food insecurity — already experienced by Pell Grant recipients at a rate that is twice that of other students — could increase and negatively affect students’ mental and physical health, as well as their progress toward finishing school with a degree.
