Every year millions of students enroll in colleges with the goal of completing a college degree or certificate so they can find a well-paying job. Unfortunately, many arrive on college campuses, take a college placement exam and discover they will need to complete remedial education courses in math, reading, or writing that won't count toward a college degree. The courses drain their financial resources and increase the time it will take them to earn a college credential. For many students, remedial education ends up being a road out of college instead of a pathway in. This paper describes how a number of states are taking concrete steps to improve the return on their remedial education investment. The innovative models presented in this paper can be adapted by governors nationwide to increase the number of college graduates in tough economic times. (Contains 1 figure and 1 footnote.)