Scholarship News

Community Colleges Seek New Revenue Streams


September 27, 2010
by Suada Kolovic
College is expensive - no one would argue that. That being the case, attending community college is an option students are turning to. But with the economy in a slump, community colleges across the country are faced with booming enrollment amid decreasing financial support from the state government.

College is expensive - no one would argue that. That being the case, attending community college is an option students are turning to. But with the economy in a slump, community colleges across the country are faced with booming enrollment amid decreasing financial support from the state government.

State appropriations for community colleges have taken a hit in recent years. In the past decade alone, state funding per full-time equivalent student fell to $3,150 from $4,350. Accordingly, the state’s community colleges turned away about 4,000 applicants this fall alone because of lack of capacity, turning away a similar number last fall.

The Foundation for Maine’s Community Colleges, a newly created development organization courting donations for the state’s seven two-year institutions, has begun a $10 million fund-raising campaign to help with the slumping state’s support. Foundation officials note that they expect the majority of the funds to come from state businesses that see community colleges as serving them, in contrast to the development work many four-year institutions do among alumni.

But as state budgets continue to dwindle, experts expect more community colleges to look to private donations in the future.

"Most donors to universities are alumni who have been carefully cultivated and served," said Linda Serra Hagedorn, professor and interim chair of Iowa State University’s Department of Educational Leadership & Policy Studies. Community colleges typically do not keep communications open with their alumni. Most do not keep any contact with their alumni. As a result, most CC graduates do not identify with the CC as an alma mater. I think we will see this changing with time."

Hagedorn acknowledges that donors can be very helpful to providing the funds necessary to serve their students and many community colleges have yet to explore the options of naming their buildings or providing endowed professorships.

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