Indiana Colleges: Low-Earning Degrees Face Cuts Under New Bill

Indiana college students could face a shifting landscape of degree options as state lawmakers consider a measure that could lead to the elimination of certain programs based on graduates’ earnings. Senate Bill 199, which has already passed the Senate and a House committee, aims to scrutinize degree programs where median wages fall between approximately $24,000 and $35,000 annually.

Legislative Action and Concerns

The bill is connected to President Trump’s One Big Beautiful Bill Act, linking federal student loan eligibility to post-college earnings. It also addresses regulations concerning youth social media use. While the bill has progressed through the Indiana legislature, it has drawn criticism from some lawmakers. Representative Ed Delaney, R-Indianapolis, questioned the bill’s purpose, stating, “Why don’t we pass something useful?”

Differing Perspectives on State Intervention

State Representative Vernon Smith, D-Gary, a retired education professor, argued against state intrusion into college offerings. He emphasized the importance of job satisfaction, stating, “We’re forgetting a thing called job satisfaction… Why are we getting into everybody’s choice?” Representative Tonya Pfaff, D-Terre Haute, expressed concern that eliminating programs based on earnings could be a “dangerous path,” noting that students from various degree programs often take courses within those programs.

Did You Know? The U.S. Department of Education issued a preliminary list of programs potentially at risk, but the final list won’t be available until 2027.

Impact on Specific Programs

Secretary of Education Katie Jenner, who also leads the Commission for Higher Education, defended the bill by suggesting families should be aware of the financial outcomes associated with different degree programs. She illustrated her point with an example involving a hypothetical “underwater basket weaving” programme. A preliminary list identified 16 degree programs at 11 Indiana state colleges and universities, as well as 21 undergraduate certificate fields, potentially impacted by the legislation.

Specifically, bachelor’s degree programs in English Language and Literature General at Indiana University Northwest and Purdue University Northwest, along with PNW’s computer software and media applications degree, were included on the preliminary list. IU-Bloomington’s music degree and Ball State’s dance degree were also identified. Several cosmetology schools and Ivy Tech Community College teacher education programs are also potentially affected.

Expert Insight: This legislation reflects a growing national conversation about the return on investment for higher education, and the responsibility of institutions to prepare students for financially stable careers. However, it also raises questions about the value of non-monetary benefits of certain fields of study.

What’s Next?

The bill could be considered for final passage in the House early in the week. If passed, the Indiana Commission for Higher Education would begin a review process. Programs would need to consistently fall below the earnings thresholds for several years before losing eligibility for federal loan funding. Last year, lawmakers already directed the commission to eliminate or merge programs with low enrollment or duplication.

Frequently Asked Questions

What is Senate Bill 199?

Senate Bill 199 is a measure that calls for the Indiana Commission for Higher Education to scrutinize degree programs based on graduates’ median earnings, potentially leading to the elimination of programs with lower earning potential.

What earnings thresholds are being considered?

The bill focuses on degree programs where graduates earn median wages between approximately $24,000 and $35,000 annually.

Will programs be immediately eliminated if they fall below the earnings threshold?

No, programs would need to fall below the earnings target for several years before losing federal loan funding.

As Indiana lawmakers weigh the financial outcomes of higher education, how might this legislation influence students’ choices of study and the future of academic offerings in the state?