Statement Following BHE Hearing on Early Enrollment Trends and Student Outcomes at Public Higher Education Institutions

We are encouraged by the new data shared at today's Board of Higher Education meeting, showing that the doubling of state student financial aid, coupled with the introduction of tuition-free community college programs, has driven a 14% overall increase in community college fall enrollment from 2023 to 2024 and an impressive 30% surge among new first-time students. This achievement represents a significant step forward in expanding access to higher education.

However, the data presented also underscores a longstanding concern: community college 6-years completion rates have stagnated at 34% (from 2018 to 2023), while both persistence and completion rates for students of color and low-income students consistently lag behind those of their white peers across all sectors, underscoring a critical equity gap that demands attention. During this same period, completion rates for students of color not only remained lower but also declined slightly, with 27% of Black/African American students and 25.5% of Latino students completing their programs. Similarly, the completion rate for low-income students held steady at 29%.

At the state universities, troubling trends reveal significant declines in persistence, on-time credit accumulation, and completion rates for all students, with widening equity gaps for students of color and low-income students. In 2023, 73% of white students completed their degrees within six years. However, the completion rate for Black/African American students dropped to 58%, down from 65% for the 2012 cohort measured in 2018. Similarly, Latino students saw their completion rate fall to 59%, also down from 65% during the same period. These declines highlight growing disparities and raise concerns about the effectiveness of current educational support systems.

Data on currently enrolled cohorts raises additional concerns, as persistence to the second fall has steadily declined since 2012, particularly among students of color. In the last 10 years, persistence rates for Black/African American students dropped from 87% to 80%, and for Latino students, the rate fell from 88.5% to 78.8%. White students also experienced a decline, with persistence rates decreasing from 90% to 86%. These trends suggest growing challenges in retaining students, especially those from underrepresented groups.

While affordability initiatives are essential for expanding access, they must be accompanied by the necessary resources to ensure all students—at both community colleges and state universities—can persist and complete their education. This alignment is crucial not only for individual student success but also to maximize the state's investment in cultivating an educated workforce and driving a robust economy.

To address these concerns, we have collaborated with mission-aligned partners to propose policy options, recently outlined in a joint letter to Secretary Tutwiler. Echoing feedback from members of the Board of Higher Education at this morning's meeting, a key recommendation is to expand and enhance the programs supported by the SUCCESS Fund by integrating evidence-based wraparound services. Proven models like the City University of New York's ASAP and ACE have achieved remarkable success in increasing graduation rates at both community colleges and state universities. These programs offer comprehensive support—including academic advising, targeted tutoring, financial aid counseling, and increased access to campus resources—and, if integrated into the SUCCESS program, could significantly improve student persistence and completion rates.

Furthermore, it's essential to continue addressing the unmet financial needs that prevent low-income students from enrolling full-time and persisting to graduation. Research shows that the inability to cover basic costs like transportation, food, and housing contributes to low graduation rates. To address this, we recommend expanding the stipend to $4,000 for all Pell-eligible students at all sectors of public higher education. This increase would more fully cover the substantial indirect costs that remain barriers to access and completion for underserved students.

While we celebrate the increased participation in community colleges, we remain confident that our state leaders are actively exploring solutions to address these other pressing concerns.

We are ready and eager to partner with the state and act as a resource in these efforts, ensuring that all students—regardless of their background—have the support they need to succeed and thrive.