Will Your Major Matter More? Latest Bill Ties College Funding to Future Earnings
A sweeping new bill, Senate Bill 199, is sparking debate across Indiana and beyond, potentially reshaping the landscape of higher education. Tied to President Trump’s One Massive Stunning Bill Act, the legislation links federal student loan eligibility to post-college earnings, raising concerns about the future of certain degree programs. The bill has already passed the Senate and a House education committee, with a final House vote anticipated soon.
The Earnings Threshold: What Programs Are at Risk?
The core of the bill centers on the Indiana Commission for Higher Education scrutinizing degree programs where graduates earn median wages below a specified range – roughly $24,000 to $35,000. Programs consistently falling below these thresholds could face losing eligibility for federal student loan funding. This isn’t an immediate shutdown; programs would need to demonstrate low earnings over several years before funding is impacted.
A preliminary list released by the U.S. Department of Education identifies 16 bachelor’s degree programs at 11 Indiana state colleges and universities potentially at risk. These include English Language and Literature at Indiana University Northwest and Purdue University Northwest, as well as PNW’s computer software and media applications degree. Other programs flagged include music at IU-Bloomington and dance at Ball State.
Beyond Four-Year Degrees: Impact on Vocational Schools
The impact extends beyond traditional university programs. Twenty-one undergraduate certificate fields, many within cosmetology schools, are also on the preliminary list. Specifically mentioned are programs at Ivy Tech Community College, Tricoci University of Beauty Culture, Don Roberts School of Hair Design, Lil Lou’s Beauty and Barber College and Paul Mitchell the School.
Did you know? Last year, Indiana lawmakers already directed the higher education commission to eliminate or merge programs with low enrollment or duplication, signaling a growing trend toward increased accountability in higher education.
The Debate: Job Satisfaction vs. Financial Outcomes
The bill has ignited a passionate debate among lawmakers. Rep. Ed Delaney, R-Indianapolis, criticized the measure, stating universities already monitor their programs. Rep. Vernon Smith, D-Gary, a retired education professor, argued against the state interfering with college offerings, emphasizing the importance of job satisfaction even in lower-paying fields. Rep. Tonya Pfaff, D-Terre Haute, expressed concern about eliminating programs that serve as foundational courses for other degrees.
Secretary of Education Katie Jenner, who also heads the Commission for Higher Education, defended the bill, arguing families deserve to understand the financial realities associated with different degree paths. She illustrated her point with a hypothetical example of “underwater basket weaving,” highlighting the potential debt burden for students in programs with limited earning potential.
A National Trend: Linking Higher Ed to Workforce Needs
This move in Indiana reflects a broader national conversation about the value of a college degree and the need to align higher education with workforce demands. The focus on earnings data is part of a growing effort to ensure students are prepared for financially stable careers after graduation. Similar discussions are taking place in other states, as policymakers grapple with rising student debt and concerns about the return on investment for a college education.
Pro Tip: Students considering college should research the median salaries for graduates in their intended field of study. Resources like the Bureau of Labor Statistics ([https://www.bls.gov/](https://www.bls.gov/)) can provide valuable data.
FAQ
Q: Will programs be immediately eliminated if they fall below the earnings threshold?
A: No. Programs would need to consistently fall below the target earnings for several years before losing federal loan funding.
Q: What is the One Big Beautiful Bill Act?
A: It is President Trump’s act that links federal student loan eligibility to post-college earnings.
Q: When will the final list of at-risk programs be released?
A: The U.S. Department of Education plans to issue the final list in 2027.
Q: Does this bill only affect Indiana students?
A: While the bill is specific to Indiana, it reflects a national trend toward increased accountability in higher education and could influence policies in other states.
What are your thoughts on this new bill? Share your opinions in the comments below! Explore our other articles on higher education trends and student loan debt for more insights.
