The greatest watershed in federal higher education policy was the Educational Admendments of 1972 that involved the federal government in support of higher education through aid to students. Future fruitful steps in federal legislation would be student-aid policies that allow recipients more institutional choice; meet the needs of part-time students; and promote international understanding by developing a new program for foreign students. In regard to federal policies governing research, colleges and universities should be given annual institutional grants that would enable them to keep their libraries, laboratories, specialized facilities, and technical staffs intact and in good health. Federal funds should be appropriated for infrastructural grants to the 30 or 40 key centers of advanced foreign affairs research in the U.S. A third policy frontier is the need for federal attention to the health of academic pluralism in the United States. Improvements in the regulatory process should continue to be high on the unfinished agenda of federal higher education policy. (Author/MLF)