Despite some bold proposals , Congressional action will be requred. Nothing is likely to happen in an election year, and his concepts need to be carefully crafted to accomplish his objectives -see below where the link has much more depth on Obama higher education plan than news reports.
President Barack Obama called for an overhaul of the higher education financial aid system, warning that colleges and universities that fail to control spiraling tuition costs could lose federal funds. He also proposed a Race to the Top competition to encourage states to better use higher education dollars in exchange for $1 billion in prize dollars. The First in the World competition would encourage innovation to boost productivity on campuses. (Boston Globe, 01/27/12)