A skilled workforce is one essential component of a prosperous and inclusive state economy. Attaining a degree or other post-secondary credential has obvious benefits to graduates and their families. Higher education insulates against unemployment and can be a pathway out of the low-wage economy. Funding for higher education is correlated with increased productivity, increased wages and a more adaptable labor force for employers. At the height of the recession, the state cut support for public higher education institutions and drastically cut need-based financial aid. Even though the state has made some strides in holding down rising tuition and fees, Ohio remains one of the priciest states for both four-year and two-year public schools. Not surprisingly, the state also has very high levels of student debt. In the 2016-17 budget, Ohio made progress toward reinvesting in higher education, but it is not enough to close the gap. The key findings noted in this report include: (1) Adjusted for inflation, state funding for higher education in FY 2017 will be a half-billion lower than in FY 2008; (2) 2016-17 budget invests $274 million in state share of instruction, a 7.6% boost that turns the trend in the right direction; (3) 2016-17 budget boosts need-based aid by almost 13%, adjusted for inflation, but Ohio remains 61 percent--$309 million--below the level of 2008-09. Ohio has a world-class network of public universities, community colleges and branch campus institutions. Underfunding this public system and keeping financial aid low hampers long-term prosperity for workers and the state as a whole.