FRANKFORT, Ky. – It's known as the "Powerball promise" in Kentucky – lottery money going to education, and state law requiring more than half of it to be used for need-based scholarships.

But for years lawmakers have swept millions of dollars earmarked for the College Access Program (CAP) and the Kentucky Tuition Grant Program into the state's general fund.

Dustin Pugel, a research and policy associate with the Kentucky Center for Economic Policy, says the General Assembly's new two-year budget was going to come close to meeting the statutory requirement before more than $40 million in line-item vetoes by Gov. Matt Bevin.

Pugel says the changes will keep the state far short of full lottery funding for need-based aid.

"The House and Senate had, more or less, fulfilled the Powerball promise and with the veto of sections of HB 10, there are 22,000 fewer students who are going to be able to take advantage of those scholarships," he points out.

Bevin says the budget "dedicates all available lottery proceeds entirely to education, as originally promised to Kentuckians."

But, Pugel says the final budget does not spend the lottery dollars as the law originally intended, instead redirecting funds to other education programs, including dual credit and Work Ready Kentucky Scholarships.

Bevin says that is an "appropriate" use of lottery funds.

University of Kentucky senior Brooke Stewart says she's "very grateful" for the CAP money she's been able to get, convincing her the program deserves full funding.

"I was just truly disappointed that education assistance wasn't at the top of his (governor's) priority list,” she states. “I have friends that have taken semesters off just because they could not afford it."

Pugel says more money for need-based scholarships is crucial with state funding to the state's public colleges and universities being cut and tuition going up, again.

"As it stands, neither Work Ready nor the dual credit scholarships are need-based,” he stresses. “So, we can't even really say that that money is going to low-income students who really are in the most need of assistance to be able to have the opportunity for higher education."

Pugel acknowledges that even with the governor's veto, need-based scholarships will still get a $15 million bump in the new budget to around $199 million over two years.

He also hopes that $9.4 million in lottery money freed up by Bevin's one-year delay of the Work Ready Program will be redirected to need-based aid.





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Capitol Hill observers said the Trump administration is moving quickly against the federal Department of Education, potentially leaving Virginia schools with a $2.5 billion hole in their budgets.

The Senate confirmed former pro wrestling executive Linda McMahon as the department's secretary this week, a move expected to trigger plans to dismantle the agency. Recent polls show 63% of Americans oppose closing the department.

David Walrod, president of the Fairfax County Federation of Teachers, said school districts are worried about the potential loss of funds.

"It would be devastating," Walrod explained. "Here in Virginia the federal government averages 9.8% of dollars that are spent on public education. If a district has a budget of $1 million, then the federal government is providing $98,000 of that. That's a pretty significant chunk."

According to USA Facts, Virginia public schools receive funding from the federal government, a total of $2.5 billion, or $2,038 per student. That's 19.6% below the national average of $2,233.

Walrod pointed out the loss of funds could affect the number of teachers schools can hire, put building improvements on hold and force administrators to decide which programs to keep. He fears the cuts would probably hurt the state's most vulnerable students.

"Most of that money is specifically geared toward students with disabilities," Walrod emphasized. "Students with disabilities can achieve. We know that they deserve the same opportunities that all of their classmates have. But in a lot of cases, those students can be more expensive to educate."

So far, the administration has made cuts to department staff, programs and research but only Congress can officially close the department. Walrod thinks elected officials should visit Virginia classrooms before making a decision.

"I would tell them to go walk through one of our public schools, to step into one of our special education classrooms, step into one of our inclusive classrooms, a generalized classroom that receives special education support," Walrod urged. "I would tell them to just look at the great work that is happening there."

Several hundred protesters marched to the Capitol building in Sacramento on Tuesday, calling for better funding for education.

The event was part of a nationwide day of action sponsored by the American Federation of Teachers.

Stephanie Luna, a student at East Los Angeles Community college, said she supports Assembly Bill 537, which would allow two years of free community college tuition for part-time students. Right now, the College Promise program is only open to people who take a full course load.

"We know that the majority of California community college students are part-time," Luna pointed out. "For the students that have to work or they have to take care of family, they're also deserving of access to a higher education the same way that full-time students are."

Speakers also called for full funding for higher education in the next state budget, currently under negotiation. And with the state and federal budgets in flux, Republicans in Congress are proposing huge cuts to Medicaid. The Trump administration is also threatening to pull federal funding from schools using race as a factor in policy or programming.

James McKeever, president of the American Federation of Teachers 1521 Faculty Guild in Los Angeles and professor of sociology at Pierce College, a community college in the San Fernando Valley, said courses touching on diversity, equity and inclusion are important to a well-rounded education.

"We're really trying to just show that we're teaching an accurate, diverse history," McKeever explained. "Too often, our history books have left out the accomplishments of women, of people of color and queer people. And we want to make sure that those people get remembered and recognized."

Speakers at the march also called on lawmakers to fend off any tuition increases and to prioritize fair compensation and equitable working conditions for campus employees.

Indiana-based Lumina Foundation has set a goal of 75% of U.S. working-age adults having college degrees or valuable credentials by 2040.

The initiative addresses increasing demands for a skilled workforce amid economic changes.

Jamie Merisotis, president and CEO of Lumina Foundation, said it aims to enhance affordability, accessibility, flexibility, and alignment with labor market needs in higher education.

"We're facing a fresh set of challenges: rising costs, doubts about job opportunities, and things like the influence of artificial intelligence have caused people to question whether a college degree is really worth it," Merisotis outlined.

The strategy includes reimagining educational and workforce structures to better serve today's students. Lumina will focus on four key areas: ensuring credentials provide real economic benefits, expanding access to quality education, supporting student completion rates, and redesigning education systems for current demands.

Since setting a national attainment goal in 2008, the percentage of U.S. adults with post-high school credentials has grown from 38% to 55%, reflecting significant advancements in educational attainment.

Courtney Brown, vice president of impact and planning for Lumina Foundation, said over the next five years, the foundation will lead investments and improve data collection to monitor progress.

"In the current goal, it's everybody who's 25-64 as our denominator," Brown explained. "Now, we're looking for people just in the labor force, and the labor force includes everyone who is employed, everyone who is unemployed but looking for work and anyone in the armed services."

Lumina aims to meet its 2040 goal through collaborations with educational, governmental and business sectors. This approach underscores the foundation's commitment to enhancing educational outcomes and economic prosperity through higher education.