Advocates Say New Bill Threatens Access to Higher Ed
Feature Story by Tyler Lewis - 9/9/2005
Student advocates are decrying the House Higher Education Act reauthorization bill, claiming that it will dramatically decrease access to higher education.According to the United States Student Association (USSA), the bill, HR 609, would force students to pay thousands more for student loans.
HR 609 would eliminate the fixed rate option in student loan consolidation; raise the current cap for student loan interest rates to 8.25 percent; and raise interest rates on borrowers who consolidate loans while in school.
The bill would also affect student aid, by freezing the authorized maximum Pell Grant at the same level through 2013.
USSA noted that the bill failed to include the Student Aid Reward Act, a bill "to ensure that the Federal student loans are delivered as efficiently as possible," introduced by Rep. Tom Petri, R. Wis., and Representative George Miller, D. Calif.
Under the Student Aid Reward Act - which USSA supported - schools that switched to the cheaper of two lending programs would be given half of the savings generated from the switch. As a result, student aid would have increased at no taxpayer expense.
"The failure to include the Student Aid Reward Act constitutes a profound lack of interest in the economic needs of all students," said Jasmine Harris, Legislative Director of USSA.
Together with other national organizations, including the Organization for Chinese Americans, USSA is planning a National Call-In Day that will enable concerned college students to call their representatives and urge them to vote against HR 609.
USSA's Harris said, "HR 609 just reemphasizes the fears of minority students and students from underprivileged and working class backgrounds that higher education is not for them and sends the message that the government is not interested in the goals and dreams of all deserving students."
