Statement of Sameer Gadkaree, President:
House Republican appropriators are proposing major cuts to education funding in a bill that falls far short of what today’s students need. Their proposal would result in fewer college graduates, make student loans more expensive, reduce student borrower protections, and inhibit effective implementation of the FAFSA.
- By slashing funding for the already-under-resourced Office of Federal Student Aid—in the wake of this year’s troubled FAFSA overhaul—the bill would hobble the agency’s ability to support students.
- By prohibiting the implementation of the SAVE income-driven repayment plan, the bill would increase monthly payments for millions of borrowers and leave more borrowers in more debt for longer periods of time.
- By prohibiting the implementation of borrower defense regulations, the bill would cut off pathways to debt relief for borrowers who were victims of predatory schools that provided high-cost programs that led to credentials of little or no value.
- By prohibiting the implementation of gainful employment and financial value transparency regulations, the bill would deprive students of a baseline protection against career programs that leave them worse off and of the information they need to enroll in a course of study that sets them up for career success.
- By re-opening the 90/10 loophole—which Congress closed on a bipartisan basis three years ago—the bill would re-expose veterans to predatory recruitment.
- By slashing programs that allow student parents to access childcare, work-study programs, and campus aid, the bill would make it harder for parenting students to finish a degree.
- By flat-funding the maximum Pell Grant award—not even keeping it on pace with inflation—the bill would essentially lower the value of the award in the face of rising college costs.
Although we welcome continued funding for the Postsecondary Student Success Grant program and appreciate the acknowledgement of the Pell Grant as “the foundation of federal postsecondary student aid programs,” we urge House members to reject the cuts included in this bill and instead strengthen the full range of essential federal programs and supports that students across the nation need to complete college.
We encourage lawmakers to reject these proposals and instead invest in students and protect students and taxpayers against predatory and high-cost, low-value institutions.
