July 28, 2025
This year has been marked by almost unimaginable upheaval for students, families, and institutions of higher education. From deep cuts to higher education and safety net programs in the “One Big Beautiful Bill,” to massive layoffs at the U.S. Department of Education, to cuts to essential health and science research, the postsecondary education landscape looks radically different, and far more challenging, than it has in decades.
As students take stock of their ability to finance their education in the wake of student loan cuts, and colleges and universities address the fallout from the immediate and long-term fiscal threats of reduced federal funding, another set of major funding decisions is being shaped this summer, with enormous potential consequences for the ability to help students enroll and succeed in their degree programs.
Right now, Congress is in the midst of debating a path forward for Fiscal Year (FY) 2026 appropriations, which will impact funding for a number of critical programs that help college students afford food, housing, child care, health care, transportation, and more. Appropriations bills for the Departments of Labor, Health and Human Services, Education, Agriculture, and more are key to maintaining investments made in the proven strategies to address student basic needs insecurity, and are set to be taken up this week.
The Trump Administration has called for deep cuts to higher education programs in its proposed FY2026 “skinny budget.” But lawmakers must avoid these cuts and instead put federal financial aid programs, including Pell Grants and campus-based aid programs such as Supplemental Educational Opportunity Grants (SEOG) and Federal Work-Study (FWS), on sound fiscal footing while maintaining or increasing award levels for students. Programs like TRIO that help students address academic and non-academic barriers, should also be protected. And Congress must ensure that federal agencies and regulators have the resources they need to administer student aid and provide support to institutions that rely on federal funding to help students access crucial support services.
At the Hope Center, we've also identified several oft-overlooked federal programs that hold enormous potential to build an ecosystem of support on campuses across the country, and ensure durable federal investment to help students focus on what matters while they’re enrolled. At a time of so much uncertainty in federal policy, we’re urging lawmakers to fund the programs that lower students’ costs and get them to and through college, strengthening the nation’s workforce and economy.