Low graduation rates among Pell grant recipients at community colleges are leading some administrators to think the system needs to be reformed.
While the Pell grant increases accessibility of higher education to low-income students, many schools are combating retention problems and fraud.
The U.S. Department of Education provides Pell grants to college students based on their family’s income, their enrollment status and their college’s cost of attendance.
But Richard Vedder, director of the Center for College Affordability and Productivity, conducted personal research, which found that 40 percent of Pell grant recipients are graduating within six years. Vedder’s sample consisted of 750 U.S. schools.
“A lot of kids are getting Pell dollars and not graduating,” he said. “Does the goal of giving everyone a chance trump the goal of keeping costs down in today’s economy?”
Vedder said graduation rates are lowest in three types of schools — some private institutions, non-selective schools and community colleges.
“All three cater to low-income students whose prospects of success are low,” he said.
About 11 percent of Pell grant recipients who enrolled in the N.C. community college system in fall 2009 graduated or were still enrolled a year later, said Megen Hoenk, spokeswoman for the N.C. Community College System.
But she said community colleges cater to a different set of students than universities.