The Widening College Access Gap - Pell Grant Disinvestment and Declining Student Enrollment in the South

Oct 15, 2026

The brief explains how inconsistent federal Pell Grant funding affects students’ chances to enroll in, persist through, and complete college, with an emphasis on the South. It argues that higher and more predictable Pell support is essential for Black students and low-income families, who have historically faced restricted access to higher education. It also details how Pell expanded from 2007–08 to 2011–12, partly supported by ARRA maintenance-of-effort, followed by later federal Pell cuts alongside sharper state higher-education budget reductions.

LanguageEnglish

CategoryResearch & Report

FormatPDF

Pages20

Reading Time50 min

AccessFree to download

Executive Summary

Pell Grant funding variability and college access

Policy brief purpose and recommended actions

Historical barriers and equity implications

Growth period, ARRA support, and program expansion

Subsequent federal and state disinvestment impacts

The Widening College Access Gap: Pell Grant Disinvestment and Declining Student Enrollment in the South By Stephen G. Katsinas, Noel E. Keeney, Nathaniel J. Bray, and F. King Alexander, with Garrett Till, Moses Ogunnarin, and Patrick J. Kelly, Education Policy Center, The University of Alabama The Widening College Access Gap: Declining Black Enrollment and Pell Grant Cuts in the South EXECUTIVE SUMMARY The federal Pell Grant program provides over 6.2 million students each year with financial assistance for college and college-related expenses. Its funding levels, however, are not a given and can fluctuate year-to-year in each budget set by Congress. Inconsistent funding levels are one factor that can impact many students’ opportunity to attend postsecondary institutions. Higher levels of Pell Grant funding—and more consistent funding—are essential for many students in the Southern Education Foundation’s 17-state region.1 This is especially true for the many students in the South and across the country with historically lower rates of college enrollment and completion: Black students and students of all backgrounds living in low-income households. This policy and research brief—produced by The University of Alabama’s Education Policy Center (UA-EPC) for the Southern Education Foundation (SEF)—addresses the impact of inconsistent funding for Pell Grants and their power as a tool for supporting students to and through college. Federal and state policymakers should push for higher levels and steadier Pell Grant funding. Policymakers in the South should especially make consistent and reliable Pell Grant funding a top priority in the federal budget, with an eye toward a better-prepared and more skilled workforce to keep the region and nation economically competitive. Greater support for Pell Grants could also help a wider range of students enter and complete various levels of college. Black students, other students of color, and students from low-income families could benefit the most from greater availability of Pell Grants. Black students and those from low-income families have historically had limited opportunities to pursue college. Before the 1960s, Black students were prohibited from attending most public colleges and universities in the South, hampering many Black families from entering the middle class. Additional support for Pell Grants would continue to help rectify this injustice, while also putting college within reach for millions of additional students in the South and across the country. Pell is treated like an entitlement, but not funded like one, putting it in competition with other key discretionary funding priorities and threatening its long-term sustainability. Over the course of three Congresses and two U.S. presidencies from 2007-08 to 2011-12, Pell Grant funding grew from $14.7 billion to $33.6 billion, the number of individual grant awards jumped from 5.5 million to 9.4 million. More college students took advantage of the Pell Grant as additional discretionary funding became available. Community colleges, regional and flagship universities, and Historically Black Colleges and Universities (HBCUs) saw record-high enrollments and record numbers of Pell grant recipients.21 The six years of expanding federal Pell Grant investments were aided by the maintenance-of-effort provisions in the 2009 American Recovery and Reinvestment Act (ARRA). Passed during the Great Recession, this law required 1Alabama, Arkansas, Delaware, Florida, Georgia, Kentucky, Louisiana, Maryland, Mississippi, Missouri, North Carolina, Oklahoma, South Carolina, Tennessee, Texas, Virginia, and West Virginia. 2This brief only covers 2007-08 to 2021-22, with a special focus on 2011-12. The 2021-22 data year was the latest available in IPEDS at the time of our analysis. However, we recognize that some HBCUs in more recent years are seeing record enrollment numbers and student applications. 1 The Widening College Ac

FAQs

What problem does the brief focus on regarding Pell Grants and college access?

It focuses on how inconsistent Pell Grant funding can limit students’ opportunity to attend and continue college, particularly affecting Black students and students from low-income households in the South.

Why did Pell Grant support increase during 2007–08 to 2011–12?

Pell Grant investments grew during that period, aided in part by ARRA maintenance-of-effort provisions, which helped sustain state spending levels while federal Pell expanded.

What does the brief recommend for federal and state policymakers?

It calls for higher and steadier Pell Grant funding, with Southern policymakers prioritizing consistent, reliable Pell support in the federal budget.

Oct 15, 2026

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