The Title III Program began as part of the Higher Education Act of 1965, which was an effort by the U.S. Congress to "assist in raising the academic quality of colleges that had the desire and potential to make a substantial contribution to higher education resources of our nation, but which for financial and other reasons were struggling for survival and were isolated from the main current of academic life."

The U. S. Department of Education, Institutional Development and Undergraduate Education Services administer the Title III Program. The Title III Program supports the Department of Education's commitment to improve educational opportunities for minorities and the disadvantaged. Funding is focused on institutions that enroll large proportions of disadvantaged students. The Title III Program provides financial assistance to enable eligible institutions to solve problems that threaten their ability to survive, to stabilize their management and fiscal operations, and to build endowments.

An important objective of the Title III Program is to help participating institutions improve their academic programs and management and become financially independent in order to increase their self-sufficiency and strengthen their capacity to make a substantial contribution to the higher education resources of the Nation.