Who has to go into debt to attend a reasonable college?

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How common is it for state universities to require students to live in the dorms without exception for those within reasonable commuting distance?
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I think that the issue is how a school defines “reasonable commuting distance”. I certainly don’t know what other public schools have for policy. I am not even personally currently looking at the school in my example. A private school my D is looking at requires on campus housing for 3 years! At that school, you have to maintain permanent residence with your parents within 40 miles of campus to be considered a commuter and get a housing waiver.