When state budgets are tight, Pell Grants can indirectly give states more financial flexibility to support the success of innovative state and local ideas. Conversely, cuts to Pell, or the failure to maintain current provisions such as tying the value of it to inflation, can have lasting negative impacts on the success of state postsecondary initiatives. This brief is designed to show examples of these linkages that may not be initially clear to policymakers.