The Key with Inside Higher Ed Ep. 190: What to do About the Pell Grant Running out of Money with Kristin Hultquist
Mar 5, 2026
Kristin Hultquist, founder and CEO of HCM Strategies and former senior advisor at the U.S. Department of Education, talks Pell Grant funding and policy solutions. She explains how FAFSA changes created a structural shortfall. She discusses mandatory versus discretionary funding, Workforce Pell design and guardrails, and the need for sustainable, data-driven approaches that protect opportunity for working and first-generation students.
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Toddler Escapes Harness And Remembers The Moment
- Kristin Hultquist shared a parenting anecdote about accidentally leaving her toddler upstairs while she shopped.
- Her daughter escaped a stroller harness, stood up and said, you left me, illustrating the 'lost keys' segment.
FAFSA Simplification Exposed Pell's Structural Cost
- FAFSA simplification massively increased Pell eligibility and revealed a structural cost problem in the program.
- Kristin Hultquist cites 150% more FAFSAs filed and a 27% rise in students eligible for the maximum award as evidence of the spike.
Pell Became A Hybrid Funded Program
- Pell funding is now hybrid with mandatory and discretionary streams, creating unpredictability in financing growth.
- Hultquist explains past moves shifted savings from mandatory loan subsidy reforms into Pell, making it a hybrid program.