Obama Administration's Impact on HBCU Funding: A Complex Legacy
The relationship between President Barack Obama's administration and Historically Black Colleges and Universities (HBCUs) is a complex and multifaceted one, marked by both progress and setbacks. While Obama championed increased access to higher education and provided substantial funding increases to HBCUs, his administration also implemented policies that drew criticism from HBCU advocates. This article explores the nuances of Obama's impact on HBCU funding, examining the specific initiatives, policy changes, and the resulting debates within the HBCU community.
Initial Concerns and the $85 Million Controversy
Just months after taking office in 2009, Obama faced scrutiny when his administration did not renew a temporary $85 million earmarked for HBCUs, a program initiated by his Republican predecessor, George W. Bush. This decision sparked immediate concern among HBCU advocates, who viewed it as a potential setback for institutions heavily reliant on federal funding. While the administration pointed to increases in Title III direct funding to HBCUs (from $238 million to $250 million) and Pell Grant limits as mitigating factors, the loss of the $85 million raised questions about Obama's commitment to HBCUs.
Michael Lomax, President and CEO of the United Negro College Fund (UNCF), explained that the $85 million was part of a larger $500 million package designed to support minority-serving institutions. These funds were intended to help institutions with a high percentage of low-income and minority students to meet their needs and keep costs down. Lomax emphasized that these institutions often serve students who are academically less prepared and require additional resources.
The Parent PLUS Loan Changes and Their Disproportionate Impact
Perhaps the most contentious issue between the Obama administration and HBCUs was the Department of Education's changes to the Parent PLUS loan program in October 2011. These loans, designed to allow parents to borrow on behalf of their children, had their credit requirements stiffened as the federal government consolidated loan programs. This policy change resulted in the rejection of thousands of black parents who had previously qualified for the loans, leaving many HBCU students scrambling for funding.
The UNCF estimated that approximately 28,000 students at black colleges-nearly 10 percent of the HBCU student population-lost their Parent PLUS loans during the 2012-2013 academic year. Some students were aided by emergency grants and scholarships, but many others were forced to transfer to community colleges or less expensive institutions. Johnny C. Taylor, head of the Thurgood Marshall Fund, expressed disbelief that such a situation could occur under a black president.
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While the administration eventually created a reconsideration process that approved the vast majority of resubmitted applications, the initial damage was significant. The new policies coincided with a general drop in college enrollment as the recession ended, but the decline was more pronounced at HBCUs. While HBCU enrollment increased by more than 12 percent between 2000 and 2010, it declined after that and has yet to fully recover.
Graduation Rates and Accountability
Another point of contention was the Obama administration's emphasis on graduation rates. HBCUs traditionally serve a larger-than-average population of low-income students, many of whom require remedial education. This makes it difficult to compare their graduation rates to those of more selective institutions.
Michael Lomax acknowledged that the average graduation rate for HBCUs was around 43 percent, lower than the national average. However, he argued that these institutions have been historically underfunded and serve a disproportionate number of students who are academically underprepared. He advocated for increased investment in HBCUs, coupled with accountability measures to improve graduation rates.
Julianne Malveaux, an MIT-trained economist and former president of Bennett College, argued that comparing graduation rates at HBCUs to those of institutions like Harvard is like comparing apples and oranges. She emphasized that HBCU students often face financial challenges that interrupt their studies, making it unfair to judge them by the same metrics.
Increased Funding and Support
Despite the criticisms, the Obama administration also made significant investments in HBCUs. Overall federal funding for HBCUs increased by more than $1.5 billion per year during Obama’s tenure, reaching over $4 billion. This included increased funding for Title III programs, which provide direct support to HBCUs.
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Ivory Toldson, executive director of the White House Initiative on Historically Black Colleges and Universities, highlighted the unprecedented increase in HBCU funding during Obama's administration. He also noted that the America's College Promise program and the restoration of summer Pell Grants would further benefit HBCUs.
Furthermore, Obama consistently emphasized the importance of HBCUs and their role in American society. He and First Lady Michelle Obama repeatedly spoke at black colleges, using these platforms to inspire students and advocate for their success.
The FUTURE Act and its Significance
In 2019, President Donald Trump signed the FUTURE Act into law, making permanent a significant stream of federal funding for HBCUs. This funding had been provided under the same program during Obama's presidency, but it required annual renewal by Congress. While Trump's supporters claimed he "saved" HBCUs, the reality is more nuanced. The FUTURE Act simply ensured the continuation of existing funding, rather than representing a new initiative.
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