Federal Cuts, Student Parents, and What Campuses Need to Know 

Federal Cuts Hit Parenting Students Hardest

Recent changes in federal funding and benefit programs are disproportionately hurting college students who are parents. Advocates warn that cuts to childcare support (including threats to CCAMPIS funding) and changes to SNAP and Medicaid eligibility could make postsecondary success much harder for this group, who already balance caregiving with school and work. Institutions may face increased demand for wraparound supports while states juggle their own budget pressures. Policymakers and campus leaders are urged to communicate clearly with student parents as the policy landscape shifts.

Key Takeaway: Cuts to federal supports risk derailing the success of one-fifth of postsecondary students who are parents.

Dept. of Education Awards $169M for Innovation 

The Department of Education announced $169 million in grants from the Fund for the Improvement of Postsecondary Education to advance priorities across the sector. Funds will support responsible use of AI in teaching, promote civil discourse on campus, enable accreditation reform, and build capacity for workforce-aligned programs eligible for Workforce Pell. This allocation signals federal interest in aligning higher education with both innovation and broader civic goals. Institutions with strong proposals in these areas may have new opportunities for partnership and program growth.

Quick Insight: Significant federal funding is now available to fuel institutional innovation in AI, discourse, accreditation, and workforce training.

ED Panel Begins Talks on Unified Accountability Metrics

A federal panel has commenced negotiations to harmonize disparate accountability measures, including the earnings test and gainful employment standards. The proposed alignment would apply the same earnings benchmark across degree levels, potentially affecting program eligibility for federal aid if new standards are not met. Changes could reshape how institutions report outcomes and retain access to Title IV funds, with debate ongoing about balancing uniformity and fairness. Critics argue that eliminating debt-to-earnings metrics may weaken protections for students and taxpayers.

Key Insight: Institutional leaders must stay vigilant on federal and state policy developments that could impact operations and compliance.

3 Major Policy Changes College Leaders Should Track

Higher education leaders are being advised to monitor several policy shifts that could affect institutions this year. Key areas include adjustments to regulatory frameworks, workforce and financial challenges linked to federal and state policy movements, and evolving compliance landscapes. While specific details vary by institution type, the overarching message is that proactive awareness and planning are becoming essential. Administrators should map these shifts to their strategic priorities to respond effectively.

Takeaway: Institutional leaders must stay vigilant on federal and state policy developments that could impact operations and compliance

Published: January 9, 2026