This book addresses ways the higher education community influences and is impacted by federal policy in the context of the decline of public confidence in higher education and budget constraints. A survey was conducted of 1,554 college and university presidents followed by 140 interviews with leaders in higher education. Results are analyzed in chapters on the following topics: (1) the federal role and structure for higher education policy making; (2) the history of the major higher education associations; (3) the erosion of public confidence in higher education and its implications for policy making; (4) criticism in the 104th Congress of academia and current policy issues; (5) the Washington higher education community especially the role of the American Council on Education; (6) the relationship between the major associations and their institutional members; (7) differences among institutional types; (8) lobbying strategies and tactics of the higher education community; (9) the effectiveness of interest groups; and (10) conclusions. The book concludes that challenges in federal relations will persist for the five organizations that compose the American Council on Education. Numerous figures and tables illustrate the data. Appended are the survey instrument, a comparison of survey respondents and colleges and universities in general, and a list of interviewees. (Contains approximately 220 references.) (BF)