How Rural Georgia Lost HOPE

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For the first sixteen years of its existence, Georgia’s HOPE scholarship program did something unusual for a state entitlement: it tilted toward the people who needed it most. Not dramatically, not necessarily by design, but measurably. From 1995 through 2011, the 147 counties that I call “Notlanna” – sparsely populated rural counties and the state’s regional hub cities — produced substantially more HOPE scholars than my 12-county “Atlanna” region.

In 1995, the program’s first full year, Notlanna was home to about 58 percent of the state’s population and produced nearly 70 percent of the first full HOPE class.  That’s according to Census Bureau population estimates and HOPE data from the Georgia Student Finance Commission.  By 2011, those numbers had moved somewhat in Atlanna’s direction, thanks in some measure to population shifts, but Notlanna was still producing the lion’s share of the state’s HOPE scholars (64%) and earning most of the HOPE scholarship dollars (55%).

Then came House Bill 326.

Passed by the General Assembly and signed by Governor Nathan Deal in March 2011, HB 326 was sold as an act of fiscal necessity. The Georgia Lottery — HOPE’s funding source since Governor Zell Miller created the program in 1993 — was projecting a $243 million deficit for fiscal year 2011 and a $317 million shortfall by 2012. Deal’s framing was blunt: reduce HOPE or lose it altogether.

So the legislature reduced it. The new law decoupled scholarship awards from actual tuition, stripped book and fee coverage, added rigorous course requirements, imposed a seven-year eligibility cap, and — most consequentially for working Georgians — raised the GPA requirement for the HOPE Grant, which serves technical college students, from 2.0 to 3.0. Approximately 9,000 technical college students lost their grants almost overnight. Full-time equivalent enrollment in Georgia’s technical college system fell nearly 25 percent between 2011 and 2012.

The legislators who passed HB 326 by and large represented rural Georgia. The General Assembly in 2011 was majority Republican, majority rural in its political weight, and operating under the conviction that it was making a hard but responsible choice to preserve a program that might otherwise collapse. What they did not appear to consider — or perhaps could not see — was who would bear the cost.

The county-level data make the distribution of that cost unmistakably clear. And it runs directly counter to the interests of the voters whose representatives cast the critical votes.

In the year after HB 326 took effect, Georgia’s smallest counties — those with fewer than 35,000 residents — lost 23.4 percent of their HOPE scholars in a single year. The state’s largest counties, those over 150,000 in population, lost 16 percent; for Atlanna, the hit was smaller yet, just 13 percent. The penalty, in other words, was inversely proportional to county size: the smaller and more rural the county, the harder the blow.

But the immediate shock was only the beginning. What happened in the years that followed is the real story.

Atlanna recovered.  Notlanna still hasn’t.

By 2025, as the graph below illustrates, the 12 Atlanna counties had gotten back to their 2011 peak.  The other 147 counties – Notlanna – were still 63,000 HOPE scholars below their 2011 high water mark.  HB 326 basically knocked them off a cliff and they’ve mostly been sliding downhill ever since.   

The HB 326/HOPE story follows the patterns I’ve found with every other socioeconomic calamity I’ve studied, including the Great Recession and Covid-19.  Atlanna bounces back pretty quickly.  Notlanna, not so much.  But nowhere is that pattern clearer than with education and educational attainment – and now it seems clear that HB 326 was an inflection point that dramatically widened the education gulf between the Two Georgias. 

As I reported last year, based on data from the American Community Survey, Atlanna’s educational attainment numbers put it on a par with the best educated states in the nation; Notlanna, were it a state unto itself, would come in next-to-last, behind Mississippi but ahead of West Virginia.  The state’s 103 smallest counties would, collectively, trail Puerto Rico.

This story’s political irony bears repeating.  The predominantly Republican, predominantly rural state legislators dropped a legislative bomb on their predominantly Republican, predominantly rural constituents.  By passing HB 326, they essentially redirected HOPE resources away from rural, lesser resourced school districts and toward wealthier school systems, primarily in Atlanna.

What’s more, they were warned at the time.  Vincent Lloyd and Devin Fergus, professors at Georgia State University and Emory, respectively, tried to sound the alarm in a March 13, 2011, op-ed in The Atlanta Journal-Constitution.

“Especially troubling is the effect that the changes to HOPE would have on students from rural Georgia,” Lloyd and Fergus wrote.  “While 40 percent of students from Alpharetta High School would qualify for full scholarships based on the SAT requirements (about 166 students), just 1.8 percent of students from Meriwether County would qualify (about two students total last year).”

“Our resources,” they concluded, “would be better directed at those thousands of students from rural Georgia and from working-class families whose lives will be dramatically changed for the worse if HOPE is taken away.”

In the fullness of time, we can now see just how right Fergus and Lloyd were.  Take, for instance, the 56 counties of interior South Georgia, which is heavily rural and heavily Republican.  In 2011, those counties produced just under 45,000 HOPE scholars; in 2025, that number was down to 21,436.  In contrast, Gwinnett County alone saw its HOPE numbers rise from a little over 16,000 in 2011 to 21,146 in 2025, nearly matching all of South Georgia.

To put a finer political point on this story, Georgia’s five most Republican counties – Banks, Brantley, Echols, Glascock and Pierce, all rural and all 90 percent GOP or close to it – have seen their combined HOPE scholar production drop nearly 38 percent since HB 326 was passed in 2011.  In 2011, they sent 1,699 HOPE scholars to college; in 2025, that collective number was down to 1,058.

The Georgia Lottery’s reserve fund, the supposed crisis that made all of this necessary, now stands at more than $1 billion. And while that surplus was building, countless young Georgians, mostly rural, missed their chance at a higher education.  The vast majority lost ground they will never recover, and the same goes for their hometowns. 

Given everything else we know about the trajectory of the Two Georgias, there is little reason to think either they or their communities will ever fully recover. Educational attainment drives income, income drives population stability, and population stability drives the tax base that funds the schools that produce the next generation of HOPE scholars. HB 326 upended those building blocks and did more than reduce a scholarship program.  For tens of thousands of young people in the reddest, most rural corners of Georgia, it foreclosed a future. That’s how rural Georgia lost HOPE — not all at once, and not with anyone intending it, but thoroughly, and with the receipts now in plain sight.

(c) Copyright Trouble in God’s Country 2026

Comments

  1. Rebecca McCarthy

    Great, Charlie, just great.
    And, a side note, UGA has become University of Metro Atlanta .

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