House Republicans have introduced “The College Cost Reduction Act,” which aims to increase transparency in college costs, phase out certain types of loans, expand Pell Grants for students on track to graduate, and hold colleges accountable for student loan repayment failures.
This legislative proposal aligns with recommendations made to the House Subcommittee on Higher Education and Workforce Investment. Suggestions included upfront price transparency and shared risk between colleges and taxpayers regarding loan repayment.
Furthermore, there’s a call to reassess the role of existing accreditors and shift focus from regulating inputs to rewarding colleges for delivering value. The proposed accreditation reforms aim to introduce new “quality assurance entities,” fostering innovation and competition to lower the cost of higher education.
Emphasizing student outcomes, the legislation also seeks to curb micromanagement by the Department of Education, allowing colleges more freedom to innovate. Bipartisan support for these principles could be achievable, as both parties recognize the need to address price inflation and prioritize student outcomes.
By implementing risk-sharing measures, colleges would be incentivized to prioritize student success and make more informed decisions. Overall, these proposed reforms signal a step in the right direction towards making higher education more accessible and accountable.