How Much Money Do Public Universities Get From The Government

Two Decades of Change in Federal and State Higher Teaching Funding

Recent trends across levels of government

Issue Brief Oct fifteen, 2019 Read time:

Ii Decades of Change in Federal and State Higher Education Funding

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Figure 1 Higher Education Is Overall a Small Part of Federal Spending but the Third-Largest Category in Land Budgets Postsecondary didactics funding as a share of full federal expenditures ($3.98 trillion), FY 2017

	Other federal spending	Federal spending on major higher education programs beyond all agencies
Federal spending	98	two

Major categories of state general fund spending, land FY 2017

	Billions of dollars
Simple and secondary pedagogy	283
Medicaid	156
Higher education	78
Corrections	53
Public assistance	9
Transportation	5
All other	209

Note: These data include funding that flows to public, nonprofit, and for-profit higher education institutions and their students, excluding federal loans and revenue enhancement expenditures. See the technical appendix for more than details.

Sources: Pew's assay of data from the U.South. Part of Management and Budget, "Historical Tables"; U.S. Department of Education, National Center for Education Statistics' Integrated Postsecondary Education Data System; U.S. Department of Education, "FY 2017 Budget Request" and "Country Funding History Tables"; National Science Foundation, National Heart for Scientific discipline and Technology Statistics, "Survey of Federal Funds for Inquiry and Evolution Fiscal Years 2016-17"; U.S. Department of Veterans Affairs, "FY 2017 Budget Submission"; and National Association of State Budget Officers, "2018 Country Expenditure Written report"

Figure 2 Federal and State Investments Are Both Sizable, simply Differ in Nature Spending categories by level of authorities, academic year 2017

	General purpose appropriations	State inquiry, agriculture, and medical education appropriations	State fiscal aid grants	Other federal grant programs	Federal veterans educational benefits	Federal research funding	Other federal financial help grants	Federal Pell grants
Federal	three.0			ii.2	13.6	26.5	1.7	27.7
Land	66.0	10.2	11.0
Local	10.5

Note: These data include spending that flows to public, nonprofit, and for-profit college education institutions and their students, excluding loans and tax expenditures. Numbers may non add up due to rounding. Federal numbers take been adapted from federal fiscal years (Oct to September) to academic years; state data are unadjusted because both state fiscal and bookish years run from July to June. See the technical appendix for more details.

Sources: Pew's analysis of data from the U.S. Department of Pedagogy, National Center for Education Statistics' Integrated Postsecondary Didactics Data Organization; U.Due south. Department of Education, "FY 2019 Budget Request" and "State Funding History Tables"; Department of Veterans Affairs Budget in Cursory Volume III, "Benefits and Burial Programs and Departmental Administration," fiscal year 2019; National Science Foundation, National Center for Science and Engineering Statistics, "Survey of Federal Funds for Research and Evolution Fiscal Years 2016–17"; Country Higher Teaching Executive Officers Clan, "State College Education Finance," fiscal year 2018; and National Association of State Educatee Grant and Help Programs, "48th Annual Survey Report on State-Sponsored Student Financial Aid: 2016-2017 Academic Twelvemonth"

Effigy 3 Federal and State Higher Pedagogy Spending Shifted Significantly During and Afterward the Great RecessionTrends in major expenditure categories, academic years 2007-17, adapted for inflation

yr	Federal Pell grants	Federal research funding	Federal veterans educational benefits	Land general purpose appropriations	State inquiry, agriculture, and medical education appropriations	Country financial aid grants
2007	16.18690398	27.59481281	3.915086191	68.19603692	11.95337175	9.038259555
2008	xix.10085585	26.96004558	3.934391584	lxx.43937727	12.54922392	nine.182823454
2009	29.78706062	31.98564033	4.567033045	68.04527345	eleven.88829561	9.637271047
2010	37.41998011	32.82394481	8.577286967	66.5197958	11.18698414	9.896403297
2011	37.1507632	29.15669625	11.11764008	61.87817036	x.84985406	10.07861471
2012	34.07957855	27.59447852	xi.59731774	56.90827318	10.21534353	9.957273689
2013	33.0445128	25.89747852	12.8234955	56.56186351	10.27292	10.0216091
2014	31.4003444	26.06066289	13.44573195	59.83529799	ten.3862089	ten.22870059
2015	29.08539509	26.14409015	13.80681928	63.04148119	10.25424003	ten.74037453
2016	27.01669073	26.63307976	14.14615361	64.36554239	10.28363808	ten.92704045
2017	27.68750991	26.36745254	xiii.64558348	65.968	10.23597091	10.978581

Note: Data include spending for public, nonprofit, and for-profit higher education institutions and their students, excluding loans and tax expenditures. Run into the technical appendix for more than details

Sources: Pew'southward assay of information from the U.S. Department of Didactics, "State Funding History Tables," fiscal years 2007-17; National Science Foundation, National Center for Science and Engineering Statistics, survey of federal funds for research and development, fiscal years 2007-17; State Higher Education Executive Officers Association, "State College Educational activity Finance," fiscal years 2012-17; National Association of Land Pupil Grant and Aid Programs, annual survey report on state-sponsored student financial help, academic years 2007-17; U.S. Department of Veterans Affairs, "Almanac Upkeep Submission," fiscal years 2008-19; National Bureau of Economical Inquiry, "U.South. Business Cycle Expansions and Contractions"

Figure 4 Federal and Land Higher Education Funding Converged Shortly After the Recession Revenue per full-fourth dimension equivalent educatee flowing to colleges and universities, by level of government, country FY 2000-fifteen, adjusted for aggrandizement

Academic Year	Federal revenue	Country acquirement
2000	3676	7345
2001	3948	7663
2002	4216	7168
2003	4443	6632
2004	4621	6245
2005	4636	6113
2006	4435	6130
2007	4336	6359
2008	4243	6426
2009	4432	5957
2010	5019	5219
2011	5111	4980
2012	4877	4585
2013	4704	4604
2014	4555	4890
2015	4544	5099

Note: Data include funding for public, nonprofit, and for-profit higher education institutions and their students, excluding loans and tax expenditures. See the technical appendix for more details.

Sources: Pew'due south assay of information from the Delta Cost Project Database, based on original data from the U.S. Department of Pedagogy, National Middle for Education Statistics' Integrated Postsecondary Education Information System; National Bureau of Economical Enquiry, "U.S. Business organisation Cycle Expansions and Contractions"

Figure 5 Most Pell and Research Dollars Get to Public Institutions, While More Veterans' Benefit Funding Flows to Individual Ones Distribution of funds for major federal higher education programs by institution type, bookish year 2017

	Public enrollment	Private nonprofit enrollment	Private for-profit enrollment
Federal spending	70	23	7

	Public	Individual nonprofit	Individual for-turn a profit
Pell	seventy.3	15.4	xiv.4
Research	threescore.9	37.iii	0.0
Post-9/eleven GI Beak	36.vii	28.6	34.seven

Note: Data are adjusted to academic year. See the technical appendix for more details.

Sources: U.S. Department of Education, National Centre for Education Statistics' Integrated Postsecondary Education Data System; U.S. Department of Education, Role of Federal Student Help, "Title IV Program Volume Reports"; National Scientific discipline Foundation, "Higher Instruction Research and Development Survey," financial twelvemonth 2016; U.South. Department of Veterans Affairs, "Post9/xi GI Bill Data," http://www.va.gov/transparency/Post-9-11-GI-Bill-Data.xlsx

Figure 6 The Post-ix/11 GI Bill Has Driven Increases in Veterans' Education Benefits Federal spending on veterans' higher education programs, FY 2007-17, adjusted for inflation

Year	Mail-ix/11 GI Bill	Total of other programs
2006	0.00	three.88
2007	0.00	iii.93
2008	0.00	3.94
2009	0.xviii	four.59
2010	half-dozen.22	three.63
2011	viii.37	iii.xviii
2012	9.04	2.57
2013	x.69	ii.53
2014	11.11	2.41
2015	11.57	two.33
2016	11.82	two.41
2017	11.06	2.39

Notes: The "Total of other programs" section includes seven different programs. Data are adjusted for aggrandizement using the U.South. Bureau of Labor Statistics' Consumer Price Alphabetize and presented in abiding 2017 dollars.

Sources: Department of Veterans Affairs Budget in Cursory Book Iii, "Benefits and Burial Programs and Departmental Assistants," fiscal years 2008-nineteen; National Bureau of Economic Research, "U.Southward. Business Wheel Expansions and Contractions"

Figure seven Federal Pupil Borrowing Grew Sharply After the Recession and Has Since Been Declining Value of loan issuances, academic years 2007-18, adjusted for inflation

Twelvemonth	Unsubsidized Stafford	Subsidized Stafford	Parent PLUS	Grad PLUS	Perkins Loans
2007	29.69	30.l	9.91	two.55	1.97
2008	32.56	34.59	9.15	iii.66	one.64
2009	46.33	37.86	viii.81	4.96	1.x
2010	52.64	43.04	x.06	6.43	0.93
2011	52.82	45.47	eleven.86	7.79	0.96
2012	51.54	44.53	12.16	8.21	1.04
2013	60.24	29.64	10.47	8.11	1.08
2014	58.03	27.73	10.79	8.50	1.23
2015	54.45	25.47	11.07	viii.62	1.20
2016	52.00	23.53	12.26	ix.07	i.07
2017	50.84	22.05	12.80	ix.82	0.90
2018	48.96	21.00	12.82	10.32	0.eighty

Note: Includes loans that catamenia to students attending public, nonprofit, and for-turn a profit higher education institutions.

Sources: Pew's analysis of information from the College Board, "Trends in Student Aid 2018," based on original data from the U.S. Department of Education, National Educatee Loan Information Arrangement; National Bureau of Economic Research, "U.Due south. Business Cycle Expansions and Contractions"

Figure 8 Federal Support for Postsecondary Education Via the Tax Lawmaking Expanded Essentially Effectually the Recession Value of higher education tax benefits, FY 2000-17, adjusted for aggrandizement

Year	Billions of 2017 Dollars
2000	xiii.45
2001	13.28
2002	15.87
2003	16.ninety
2004	xvi.83
2005	eighteen.75
2006	19.12
2007	16.55
2008	19.87
2009	23.66
2010	32.23
2011	38.04
2012	36.17
2013	32.93
2014	35.64
2015	33.26
2016	33.02
2017	40.48

Annotation: Data include taxation expenditures that flow to students attending public, nonprofit, and for-profit higher education institutions. See the technical appendix for more details.

Sources: Pew'south analysis of data from the U.S. Department of the Treasury as presented in the Office of Management and Budget, "Belittling Perspectives: Budget of the United States Authorities," fiscal years 2002-19; National Bureau of Economic Research, "U.Southward. Business Bike Expansions and Contractions"

Figure nine Federal and State Funding Account for Significant Shares of Public Higher and University Budgets Total revenue for public institutions, by source, FY 2017

	Revenue
Self-supporting operations	90.80
Internet tuition and fees	79.53
All other	37.35
Private gifts, investment revenues, and endowment income	36.17
Local revenue	15.91
Federal revenue	fifty.10
State acquirement	82.32

Notation: Data include operating and nonoperating revenue received by public higher education institutions. Just nether i percent of all such institutions report their funding using the standards of the Financial Accounting Standards Lath and may not include Pell Grants under federal revenue. For more than data see the technical appendix.

Source: Pew's assay of information from the U.South. Department of Pedagogy, National Center for Educational activity Statistics' Integrated Postsecondary Education Data System

Figure 10 Public Institutions Rely on Federal, Country, and Other Major Funding Sources at Varying Levels Beyond States Composition of revenue per full-time equivalent pupil, past country, FY 2017

State	Federal acquirement	State revenue	Local revenue	Net tuition and fees	Private gifts, investment returns, and endowment income	Self-supporting operations	All other
Michigan	5948.23	5338.23	1615.50	12119.82	8711.96	16639.15	1458.63
Oregon	6705.06	6346.93	2113.61	9181.07	3932.06	20054.99	2769.75
Utah	5042.39	7779.56	20.86	6461.60	3495.53	26705.65	1335.83
District of Columbia	7152.00	24556.05	1575.56	10883.38	2087.forty	224.35	3937.02
Hawaii	9692.68	20013.58	0.00	7473.66	1669.77	3595.49	6561.ninety
Pennsylvania	5299.37	5150.02	416.42	13854.08	5592.56	16785.55	1652.96
Iowa	5278.44	7174.36	1247.45	8131.sixteen	3235.00	20364.49	3042.30
Alaska	8647.08	20265.49	1069.00	7734.13	3876.07	2687.50	3453.11
Vermont	7130.08	3769.07	0.00	20257.95	6916.83	6568.83	1598.46
New Mexico	7110.99	10648.69	3244.24	3650.74	2114.61	15680.78	3739.93
Connecticut	3769.19	14889.23	12.14	8573.79	1066.91	10658.14	6846.forty
Texas	4205.71	7004.22	3140.18	6056.52	7398.15	5768.91	9126.70
Kentucky	4693.35	8230.57	206.16	7429.83	1982.03	16981.60	3091.75
Wyoming	4023.xviii	17291.55	1980.53	3949.64	4285.94	3349.34	7042.61
Alabama	5301.fourteen	7666.05	73.09	9304.88	3581.88	14010.37	1676.29
Washington	6387.77	7409.47	711.39	7790.52	4624.63	11383.92	3285.06
Delaware	5068.17	8486.28	221.78	14446.71	7070.76	4914.30	1326.sixteen
Ohio	3375.13	6208.89	568.lxx	10161.79	4526.82	13629.87	1693.41
Colorado	9362.75	2769.25	511.96	11206.28	3693.73	9317.90	2931.98
Virginia	4382.43	6519.l	82.03	9954.35	4866.52	11240.73	2294.51
Illinois	4467.93	5511.52	3565.65	7798.78	1407.72	6551.fourscore	9954.92
California	4395.27	8641.74	2979.85	5017.64	2094.28	11144.68	4618.72
Arkansas	4066.84	8933.ten	404.54	5535.85	1998.63	14267.57	3018.38
Nebraska	4535.06	10320.35	2326.91	6360.01	5243.07	6074.81	2966.19
United States	4706.71	7733.84	1494.27	7471.15	3397.83	8530.63	3509.29
Maryland	7196.85	9178.21	1993.59	8193.66	1838.84	5207.62	2826.66
Massachusetts	4448.56	10075.24	72.85	9516.48	1805.22	4354.34	5926.33
Mississippi	5160.77	8729.21	564.45	5528.78	1411.57	11747.92	2903.25
North Carolina	5297.03	12518.49	831.98	5948.08	3304.39	5781.33	1441.35
Oklahoma	4090.83	7368.17	2544.51	6996.22	2596.64	7996.21	2788.xl
New Hampshire	3522.87	4310.85	104.76	12253.68	4078.50	7168.61	2285.94
Due north Dakota	4815.63	9548.16	199.85	8537.53	1941.xv	5632.41	2371.36
New York	4312.15	10446.63	2123.74	5208.84	1087.19	6245.96	2966.48
Wisconsin	4653.43	6806.08	2523.47	6978.44	3763.73	3959.25	3448.55
New Jersey	3706.09	8100.47	901.62	9405.52	1891.73	5256.xxx	2740.96
Indiana	4210.39	7359.86	28.72	10617.54	3408.92	4045.33	2083.91
Missouri	3268.17	5702.06	945.88	6577.95	2835.92	10352.43	1642.96
Minnesota	4491.71	8783.01	357.64	7409.31	4279.44	4548.46	1247.04
Montana	6354.85	7081.xiii	294.84	8318.xix	1911.05	4079.25	2832.93
South Carolina	4397.49	6514.eighteen	492.34	10267.60	2374.93	4328.29	2333.11
Kansas	3981.41	6223.22	2290.29	7210.32	1703.18	4986.01	2214.00
West Virginia	3553.49	7008.16	76.92	8778.00	2650.71	3893.11	1613.95
Rhode Island	4120.66	6342.eighty	0.00	9407.75	688.42	4446.96	2344.24
Arizona	4421.82	3283.08	3680.07	9420.65	2064.05	2318.27	2092.90
Georgia	5018.81	7339.04	85.18	6947.70	2272.40	4121.22	1334.09
Maine	3876.33	9341.19	0.00	6862.10	2094.25	3672.41	1232.97
South Dakota	4479.12	6469.62	40.77	7626.80	1860.52	3792.09	2567.49
Tennessee	3978.84	9339.05	165.79	6312.58	2017.90	2828.x	1995.87
Louisiana	3761.99	5676.67	12.lxxx	7341.28	4160.64	3348.92	1976.46
Idaho	4169.92	8627.53	580.03	6760.30	1577.90	2595.77	1121.12
Nevada	3631.fifteen	8064.74	372.97	5541.75	2103.05	2560.42	1048.38
Florida	4057.12	7980.eleven	143.16	4513.89	2494.29	1666.75	1338.66

Note: Federal revenue in Pennsylvania and Delaware is understated because of those states' use of Financial Accounting Standards Board bookkeeping standards. Colorado's net tuition and fees are overstated and its state revenue is understated because of the way data are captured in the source.

Source: Pew's analysis of data from the U.S. Section of Instruction, National Center for Education Statistics' Integrated Postsecondary Teaching Data Organization

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