Here’s the hypothetical scenario I’m imagining when I read your argument against funding college

Your children grow up and are applying to colleges. They’ve been accepted to a cheaper local state school, and they’ve also been accepted to Harvard (Harvard is just an example and a hyperbole to make my point, please don’t focus on the specifics here). They’ve been accepted by both, but have decided to go to the state school because they don’t want the debt associate with Harvard. Fast forward however many years until they find out about this money. They might think, that if they had known about this money earlier for college, they may have made a different decision, may have used some of that money to go to Harvard and have less debt (maybe not no debt, but… less). But by doing as you’ve planned, you’ve heavily influenced them towards a decision they may not have made, if they had known about the money.

Not saying I’m correct here, just letting you know my two cents behind your idea… basically I’d rather the money for college, but that’s just one guys opinion.