I don't think you understand. It's a thing we all pay for. It's a publicly funded service that defends the country. It's not about who gets in, it's about how it's paid for. We all pay together for something that is not explicitly for profit that we believe to be for the good of the country. This is socialism.
But also, to your point, colleges would still reject students based on grades. This happens in countries with free college education. Standards are still maintained but it doesn't depend on how much money you have. We would get the best candidates based on merit instead of their parents income.