As a result of the coronavirus pandemic, public colleges and universities are facing unprecedented financial stress. Regardless of the path that a college is taking for the fall term, these losses are likely to continue with fewer students on campus and increased costs related to health and safety. State funding plays a crucial role in supporting public colleges, but funding generally declines during recessions as states prioritize protecting other budget areas (such as K-12 education and health care). Higher education’s use as a balancing wheel during recessions means that state funding cuts during economic downturns can be large, and it can take colleges years to recover.
