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Research recognizes that higher education’s designation as a public or private good impacts policy formation, particularly funding. Although critical research acknowledges how the nature of higher education is socially constructed and power-dependent, the role of race in this construction remains undertheorized, despite documented funding disparities for racialized students. Using critical discourse analysis on fifteen Congressional hearing transcripts, I identified public and private goods arguments supporting HSIs in Congressional discourse. These arguments included economic efficiency, equality, and social mobility. Additionally, two new argument types emerged: community benefit and institutional benefit. This study enhances the theorization of public and private goods in higher education and provides implications for how policymaking discourse impacts postsecondary outcomes.