College is too expensive for too many Ohioans. The costs include tuition, fees, room and board — and the short-term income forgone in hopes that a degree will pay off in the long run. If high costs make college prohibitive, it’s not just the individual who misses out because the benefits don’t just go to those who graduate. An educated workforce is essential to a middle-out economy. A highly educated workforce is essential to Ohio’s future prosperity. Today’s graduates build the businesses and are the innovators of tomorrow. An educated workforce attracts forward-looking businesses, which can strengthen the state’s economy overall. In short, helping more Ohioans afford college is in the state’s best interest. The Ohio College Opportunity Grant[1] (OCOG) was established to do just that — but it has never been as effective as it could be, and recent budget decisions are making it even less so.
Ohio’s changing economy requires a highly trained workforce
As technology advances, Ohio’s workforce is changing rapidly, driving the need for post-secondary education. The Ohio Bureau of Labor Market Information [2] estimates that by 2028, 75% of job growth in the state will be in occupations requiring a minimum of a post-secondary non-degree credential; 58% of growth will be in occupations requiring a minimum of a bachelor’s degree.
Ohioans are not enrolling in public institutions fast enough to keep up with demand.[3] Across all Ohio public universities and community colleges, undergraduate enrollment declined steadily from 2015 to 2024.[4] Nationally, more eighteen-year-olds are choosing to forgo higher education altogether and go right into the workforce, the military, or trade schools or programs[5] rather than pursuing a 4-year degree. Additionally, only one in four adults[6] in the United States believe that it is extremely or very important to have a 4-year college degree in order to get a well-paying job in today’s economic landscape. The impact isn’t just on four-year institutions, but also two-year institutions. Accounting for both, immediate college enrollment after graduating high school was 70% in 2016. The most recent data looks at trends going through 2022, where enrollment immediately after high school has dropped to 62%.[7] Although it’s a positive that more youth are choosing to go into the trades, a healthy workforce on the whole depends on support in both blue-collar and white-collar sectors so that individual strengths can be utilized to their best ability.
The high cost of post-secondary education is one obvious reason for the decline in enrollment. Threats to higher education financial assistance, uncertainty around federal loan programs, fears of student debt, and wage uncertainty post-graduation are all making the value proposition of higher education less of a sure bet in the minds of students and parents. Main campuses at public four-year institutions had an average tuition and fees cost of $13,202[8] for FY 2025-26. Four years at that rate adds up to $52,808, without considering any other costs associated with attending school like books, transportation, and housing. Tuition and fees have increased at Ohio’s public four-year institutions by close to 35%[9] on average over the last 15 years.
Community colleges are much more affordable; The average tuition and fees required to obtain an associate degree at a community college in Ohio is $10,682.[10] However, legislators have shifted more of that cost onto students by repeatedly choosing to underfund public higher education.
Gov. DeWine’s most recent state budget proposal is one example.Despite the fact that Ohio’s per-student education appropriations in 2025 were at 61% of the national average[11] (down from approximately 77% in 2006), the governor’s Executive Budget proposal included less than a 1% increase in the State Share of Instruction[12] over the biennium. When taking into account inflation, his proposal actually underfunded the State Share of Instruction by 4.2%.[13] Ultimately, the legislature reduced the gap by increasing SSI by 2.9%[14] — but accounting for inflation, the increase still doesn’t make up for the overall cuts since 2006. While the governor’s budget proposal doesn’t determine the final state budget, it does start the debate— so Ohio’s next governor must aim higher.
OCOG could do more to make college affordable for Ohioans
The Ohio College Opportunity Grant (OCOG) program was established in FY 2007 to financially support Ohioans who pursue higher education. OCOG funding comes from appropriations from the General Revenue Fund and can also come from the OCOG Reserve Fund. To date, OCOG is Ohio’s only need-based state financial aid program. For the 2026-2027 school year, qualifying students can receive up to $5,000 to cover the cost of tuition and fees — though in practice that number is often much smaller.[15]
That amount is set based on the calculations of the Chancellor of Higher Education.[16] Each year, the chancellor calculates the state cost of attendance for Ohio institutions, with different amounts depending on the type of school and number of credit hours. The state cost of attendance historically has only included tuition and fees, but the chancellor is free to increase the amount of funding available to students by factoring in books, housing, transportation and other living expenses. One way to improve OCOG would be to require the chancellor to include these costs in state cost of attendance. No chancellor has ever done so voluntarily.[17]
The table above shows typical amounts, but there are some exceptions and special cases. For example, some institutions that have relatively low tuition and fees typically have an award cap lower[18] than the maximum amount of OCOG dollars that can be used at other more expensive institutions.[19] For students attending community colleges for the 2026-2027 academic year, the maximum Pell award of $7,395[20] exceeds the state cost of attendance for bachelor’s degree programs at community colleges, therefore those students are ineligible for OCOG.[21]
Once the Chancellor has established the state cost of attendance and the maximum per student OCOG award, students can begin the application process to see if they qualify for any funds. Students must demonstrate financial need in order to be considered, which begins by submitting a Free Application for Federal Student Aid (FAFSA). To meet the minimum requirements to be considered for OCOG assistance, an individual needs to have a Student Aid Index (SAI) of $3,750 or less, a maximum household income of $96,000, and be an Ohio resident.
A student’s OCOG amount[22] can be determined based on how much federal aid they’re eligible for, what kind of institution they’re attending, and the type of degree they’re pursuing. Ohio residents pursuing an associate degree, first bachelor’s degree, or a nursing diploma in Ohio (and some select Pennsylvania institutions) may qualify for OCOG funds. Across all scenarios, OCOG could make higher education more financially attainable, but falls short of doing so due to restrictive policies and underfunding.
Example A:
- A student enrolled full time at a regional campus in 2026 meets the qualifications for OCOG and is eligible for up to $492 from OCOG. If they qualify for the max $7,395 in Pell grant funding, that’s a total of $7,887 in potential aid.
- Student tuition and fees come to $10,064 (the cost to attend a regional Ohio State University campus for the 2026-2027 school year).
- Pell grant funding plus OCOG is still $2,177 short of covering the full tuition and fees. In this case, a student would have to pay thousands in tuition and fees per semester and have no assistance with other costs of attendance needs such as books, housing, and transit.
Lowballing cost estimates is one way Ohio has made OCOG less effective than it could be. Another involves federal funding, particularly the need-based federal Pell Grant.
Both OCOG and Pell Grants are focused on students with low incomes (or from families with low incomes). Students who qualify for Pell Grants typically also qualify for OCOG. However, the state of Ohio makes OCOG less effective by applying a Pell first policy: OCOG awards (which are more restrictive and can only be used to pay for tuition and fees) are calculated after applying the full value of the Pell grant (which could be used to cover other expenses). In practice, that means Ohio students may have their OCOG award reduced and be forced to miss out on the intended flexibility of the successful Pell Grant program.
Example B:
- A student enrolled full time at a public four-year institution in 2026 meets the qualifications for OCOG and is eligible for up to $4,000 from OCOG. If they qualify for the max $7,395 in Pell grant funding, that’s a total of $11,395 in potential aid.
- Student tuition and fees come to $7,817 (approximately the cost to attend Bowling Green State University for the 2026-2027 school year).
- With the Pell first policy, all $7,395 in Pell funding goes to tuition and fees, then OCOG kicks in another $422 to cover the full cost of tuition and fees, leaving $3,578 of potential OCOG funding on the table.
- If there was no Pell first policy, then the full OCOG amount could be used towards tuition and fees, leaving $3,817 left in tuition and fees for Pell to cover. The student would still have $3,578 in Pell aid to use towards food, housing, books, and other expenses.
Students enrolled in community colleges and university regional campuses who meet the financial qualifications can apply for OCOG, but due to the “Pell first” policy, most students do not qualify.[23] For the 2026-2027 academic year, the maximum Pell award of $7,395[24] exceeds the state cost of attendance for bachelor’s degree programs at community colleges, therefore those students are ineligible for OCOG.[25] However, students choosing to go to high-cost proprietary schools are still eligible for funds, despite these schools often failing the debt-to-earnings test.[26] If state dollars are going to be used to support students going to school in Ohio, then we ought to set students up for success and encourage them to go to institutions where they have the best opportunity to thrive after graduation.
Legislators can make OCOG more effective by eliminating the Pell first policy.
The Chancellor of Higher Education should also allow OCOG funds to cover more than just tuition and fees. Doing so would encourage students to choose more affordable options, like regional campuses or community colleges. (The current policy actively discourages them from doing so by offering the least assistance for the most affordable options.)
Currently, the OCOG award cannot exceed the state cost of attendance — set by the Chancellor of Higher Education — which only includes the cost of tuition and fees. If a student chooses a more affordable school with tuition and fees low enough that they are covered by Pell funding, their OCOG award amount drops to zero, even if they have too little income to afford books, housing, transportation, and the other costs of attending school. When those additional costs are prohibitive, students may opt out of college altogether, collecting $0 in Pell grants, $0 in OCOG funds, and likely losing out on thousands of dollars in lifetime earnings.[27]
Federal changes
Workforce Pell
Attempting to encourage students to pursue workforce opportunities that don’t require a degree, the Trump Administration expanded the Pell Grant through the Working Families Tax Cut Act in 2025. The final rule opens up Pell Grants for participants in pre-determined workforce programs. Programs have to be 150-599 clock hours in length or an equivalent number of credit hours. Programs must have at least 8 weeks but less than 15 weeks of instruction. Individuals can apply for the Pell Grant so long as they are receiving no other grant or scholarship assistance from non-federal sources that equals or exceeds their cost of attendance for the period of time they’re in the program.[28]
Creating more opportunities to get into in-demand jobs quickly and with financial support is a positive step in workforce development. However, the Trump Administration has left glaring funding holes for Pell Grants that jeopardize every recipient’s award amount regardless of whether they chose a post-secondary route or are in a qualified program.
Over the next decade, Pell is facing a cumulative shortfall of over $100 billion. Even with H.R. 1 providing a one-time injection of $10.5 billion, the program will have a $5 billion deficit at the end of 2026. If Congress fails to fill the gap, it’s extremely likely that there will be a sudden reduction in award amounts during the 2028-2029 school year.[29]
If Pell Grants face serious cuts, Ohio legislators should be prepared for more students relying on other supports like OCOG due to the full Pell award not covering the state cost of attendance, making more students eligible for OCOG dollars.
Recommendations
OCOG is well intentioned and much needed support to make higher education options more affordable to Ohioans, but the program is deeply flawed. Not only does it provide too little aid, but it’s also underfunded and poorly targeted.[30] Addressing these shortcomings could be especially helpful for individuals trying to save money by attending community college or regional institutions, who are currently underserved by OCOG.
Discourage students from attending predatory institutions
Currently, individuals choosing to enroll in private for-profit institutions can receive a maximum of $2,000 from OCOG. The next governor should significantly reduce this funding. Too many private for-profit institutions are predatory and they often fail debt-to-earnings tests, meaning that graduates tend to earn less and have higher amounts of debt.[31]
Revise the average cost to obtain a degree to factor in additional expenses and make OCOG a first-dollar award
The Governor should require the Chancellor of Higher Education to factor in additional costs of attending a post-secondary institution (books, housing, etc.) to give a more accurate number of what it costs on average to obtain a higher education degree in Ohio. A more accurate picture of the average cost outside of just tuition and fees would open up opportunities for more students attending community colleges or regional institutions to receive OCOG dollars because the maximum Pell grant amount would not be greater than the state cost of attendance. Furthermore, OCOG should be a first-dollar award[32] so that students can use OCOG dollars to cover tuition and fees while using more flexible Pell grant dollars to cover other costs.
These simple changes will make higher education more affordable in Ohio, stop penalizing students for choosing more affordable options, increase equity across geography and financial status, and help meet the increasing need for advanced credentials. With a new governor and a new budget cycle, Ohio’s decision makers have the opportunity to close the gaps in OCOG and allow the next generation of workers to receive the education they need to be productive in the workforce.
[1] Ohio Legislative Services Commission. Ohio College Opportunity Grant: Q&A. February 11, 2026.
[2] Ohio Department of Higher Education. Attainment Overview,
[3] The Ohio Department of Higher Education does not have complete data on private institution enrollment. Based on available data, private institutions are also experiencing enrollment declines. (Table 1a in ODHE’s data includes summary data for private schools.)
[4] Ohio Department of Higher Education. Headcount Enrollment Dashboard.
Professional degree programs were the exception, showing a moderate increase over that period. This includes programs in areas such as Pharmacy, Dentistry, Law, and Medicine. Undergraduate enrollment notably increased from 2024 to 2025.
[5] Ideastream. Some Ohio universities have millions in debt. Can they recover? Erin Gottsacker. April 2, 2025.
[6] Pew Research Center. Is college worth it? Richard Fry, Dana Braga, and Kim Parker. May 23, 2024.
[7] National Center for Education Statistics. Immediate College Enrollment Rate.
[8] Ohio Department of Higher Education. Annual Survey of Student Charges (Fall 2025), “Fees Analysis” tab.
[9] Signal Cleveland. How much tuition will cost new students at Ohio’s public four-year colleges this fall. Amy Morona. July 9, 2024.
[10] Ohio Association of Community Colleges. Making Higher Education a Better Value for Ohio’s Students and Employers.
[11] The State Higher Education Executive Officers Association (SHEEO). State Profile: Ohio.
[12] Policy Matters Ohio. Higher Education Funding in Ohio’s State Budget. Piet van Lier. February 25, 2025.
[13] Calculated using Chained CPI-U based on 2026-27 Main Operating Budget Allocations.
[14] Policy Matters Ohio. State Budget Scorecard. February 27, 2026.
[15] Ohio Legislative Service Commission. Ohio College Opportunity Grant: Q&A.
[16] Ibid.
[17] Ibid.
[18] Ibid.
[19] The full table including anomalies can be found here.
[20] U.S. Department of Education. 2026-27 Federal Pell Grant Maximum and Minimum Award Amounts.
The combined Pell and SAI amount of $7,395 is the same for both the 2025-2026 school year and 2026-2027 school year.
[21] Ohio Department of Higher Education. Financial Aid Guidance Memo. July 1, 2025.
Exceptions exist for foster youth because their living expenses are added to their state cost of attendance.
[22] Ohio Legislative Service Commission. Ohio College Opportunity Grant: Q&A.
[23] Ibid.
[24] U.S. Department of Education. 2026-27 Federal Pell Grant Maximum and Minimum Award Amounts.
The combined Pell and SAI amount of $7,395 is the same for both the 2025-2026 school year and 2026-2027 school year.
[25] Ohio Department of Higher Education. Financial Aid Guidance Memo. July 1, 2025.
Exceptions exist for foster youth because their living expenses are added to their state cost of attendance.
[26] Policy Matters Ohio. Risky Business: For-profit education in Ohio. Hannah Halbert. May 25, 2017.
[27] Policy Matters Ohio. Testimony to the Senate Higher Education Committee on HB 96. Piet van Lier. May 13, 2025.
[28] Accountability in Higher Education and Access Through Demand-Driven Workforce Pell: Pell Grant Exclusion Relating to Other Grant Aid; and Workforce Pell Grants. Federal Register.
[29] Committee for a Responsible Federal Budget. Pell Grant Program Faces Serious and Immediate Shortfall.
[30] Policy Matters Ohio. Testimony to the Senate Higher Education Committee on HB 96. Piet van Lier. May 13, 2025.
[31] Policy Matters Ohio. Risky Business: For-profit education in Ohio. Hannah Halbert. May 25, 2017.
[32] Policy Matters Ohio. Testimony to the Senate Higher Education Committee on HB 96. Piet van Lier. May 13, 2025.