The College of the Marshall Islands could be seriously affected if changes to US scholarship funding are introduced as planned.
Nearly all of the one thousand students at the Majuro-based college receive financial support.
Funding for these students is expected to move from one based on enrolment and access to one based on student success and performance.
The President of the College of the Marshall Islands, Carl Hacker, says the poor preparedness of students coming from high school could cause trouble, even doom the College if the current education environment remains the same.
Only six percent of Marshallese college students pass their course in three years compared to 27 percent in the US.
Mr Hacker says a public school taskforce has been formed to improve the quality of students entering the college.