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Report Criticizes Public Colleges On Use Of Funds To Recruit Out-of-state Students

Public universities are using non-need-based aid to recruit out-of-state students, at the expense of low-income and in-state students. That’s the thesis of a report released today by New America.

Public colleges that provide substantial amounts of what they call merit aid to students tend to enroll more nonresident students — and have experienced a greater decline in resident students over the past 15 years — than their peers that don’t use that strategy, the report found. They also tend to enroll fewer students with Pell Grants and charge low-income students a higher average net price than colleges that provide little merit aid.