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Policy Corner

Penn GSE experts on the educational headlines of the moment
By Rebecca Raber

The Headline

President Orders Department of Education Dismantled

The Story

On the campaign trail, Donald Trump promised to eliminate the Department of Education. As president, he began that undertaking by issuing an executive order in March that commands Secretary of Education Linda McMahon to “take all necessary steps to facilitate the closure of the Department of Education and return authority over education to the States.”

Though fully shuttering the cabinet-level department would require an act of Congress—Republican senators did formally introduce such a bill in April—the administration began deconstructing it by cutting its staff in half and canceling roughly 160 contracts.

Because the agency oversees a broad portfolio from across the learning lifespan—from early intervention for infants and toddlers with disabilities, to K–12 special education, to federal student loans for college—there are numerous consequences to these changes. Just in the higher education sector alone, the ramifications include issues with accountability, civil rights enforcement, and roughly $100 billion in federal student loans.

The expert

Professor of Practice and Associate Dean of Executive Programs Julie Wollman, GED’85, who served as the president of Widener University and Edinboro University of Pennsylvania, following experiences as a provost and vice president for academic affairs, dean, doctoral program director, and tenured professor. Wollman studies higher education leadership, strategy, and change management, as well as the college presidency.
Julie Wollman wearing a black blazer and standing outdoors with her arms crossed
Photo credit: Joe McFetridge for Penn GSE

HER TAKE

Wollman points out that there are four major areas in which higher education institutions rely on or are directly impacted by the Education Department: federal loans and Pell Grants, Office for Civil Rights investigations, databases of national statistics on K–12 and higher education enrollment, and accreditation.

There is, she said, certainly room for improvement in some of these areas—the challenging rollout of the new FAFSA (Free Application for Federal Student Aid) last year is one example of how the agency could be doing things better—but she worries about what might replace the current processes and how new ones would be implemented.

“In terms of access to college, the Pell Grant is incredibly important,” she said of the undergraduate financial aid program designed to assist students from lower-income backgrounds. “The goal of all of these programs—Pell, FAFSA, loan programs—is to improve service and access and knowledge, above all, for potential students and their families. But the issue with all of the recently proposed changes is they haven’t been thought through or planned carefully. So there’s a fear of actually making things worse.”

That’s not just a problem for students and families, but for institutions as well. Wollman said that Pell recipients make up 30–70 percent of the student body at many schools, including many regional campuses of state schools. To have such a large percentage of a student body suffering uncertainly about their access to funding could be disastrous to those schools’ enrollments and their bottom lines, which are highly tuition-dependent. Diminished access to higher education would also have widespread consequences beyond campuses.

“If you aspire to go to college, we want you to be able to go because we know that over your lifetime, you’re going to be far more successful financially,” said Wollman. “You’re going to be a better citizen—people who go to college tend to be more engaged in their community, they vote more.” So, she concluded, it benefits us all to have more educated citizens, and hurts us all to have fewer.

The Trump Administration has said that, once shuttered, important core functions of the Department of Education could be moved to other agencies. It has been floated that student loan administration, for example, could move to the Small Business Administration, and the Justice Department has already announced a partnership with the Office for Civil Rights for their discrimination investigations. But, said Wollman, these are not well-conceived plans for improvement, and for some of the department’s responsibilities—especially its data collection and dissemination—plans are less clear.

“The National Center for Education Statistics is so important to our work,” Wollman said of the small statistical agency responsible for monitoring student and institutional performance, which, as part of the Institute of Education Sciences, lost almost all of its employees in mass layoffs in March. “I go there for data all the time—for my classes and for my research—and I honestly don’t really know how we will be able to fully educate our students about what’s happening in higher education or do research that is based on data without it. . . . There’s no other national repository of this amount and type of data. So this is a crisis for research and teaching in higher education.”

Ahead of a looming demographic shift that predicts declining numbers of college-aged students, she said, this loss of data also disadvantages those who want to use such statistics to make college decisions based on things like an institution’s four-year graduation rate or alumni earnings.

“These are really important things to know about schools for accountability,” said Wollman.

As we wait to see the effects of these changes at the Department of Education—as well as the agency’s ultimate destiny—Wollman has advice for leaders of colleges and universities: Work together across institutions, even if that doesn’t come naturally.

“They are going to have to collaborate, despite the exceptionally competitive environment in which they operate, and they’re going to have to collect and share even more of their own data,” she said. “One of the things they can collaborate on is making the case for why higher education is valuable—to combat the public loss of trust—using very specific data on earnings, outcomes, graduation rates, and the economic impact they have on their city or town. . . . We need to change the narrative about higher education and its value. And individual leaders and institutions can’t do that alone.”

Impact in Higher Ed

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Loss of Data Collection

The Integrated Postsecondary Education Data System, part of the National Center for Education Statistics, collects vast amounts of high-quality, trustworthy data from every college, university, and technical and vocational institution that participates in the federal aid programs. This data covers almost every facet of higher education, from how people pay for college to how long it takes them to graduate. Without it, students and their families won’t be able to compare institutions and make informed choices about if and where to go to school, schools won’t be able to benchmark, and policymakers won’t have the best data to make decisions.

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Accreditation

Without federal oversight, accreditation could become fragmented, leading to inconsistencies in academic standards and reduced public trust. Institutions might face challenges maintaining eligibility for federal financial aid, impacting student access and institutional operations.

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Civil Rights Enforcement

The Department of Education’s Office for Civil Rights plays a critical role in enforcing civil rights laws in educational settings, including protections against discrimination based on race, sex, disability, and more. Shuttering the department would make it difficult to investigate discrimination and would reduce accountability, leaving students with fewer avenues for recourse. This could disproportionately affect marginalized communities and widen existing educational inequities.

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Federal Loans

Shutting down the current federal system could create uncertainty around the future of student loans and Pell Grants. The resulting instability could discourage college enrollment and disproportionately affect underserved populations.