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For Immediate Release:
4/15/2004
Contact:
Luke Swarthout, 202-546-9707
Luke Swarthout, 202-546-9707 x333
U.S. PIRG

State PIRGs Criticize Federal Higher Education Funding for FY05, Announce Launch of Web site to Increase Grassroots Support for Student Aid

"At a time in which state budget cuts and escalating college tuitions are threatening to place an affordable college education out of reach for thousands, the federal government has proposed a budget that puts up even greater hurdles for students by freezing funding for federal student aid," said Kate Rube, associate with the State Public Interest Research Groups' Higher Education Project, criticizing the federal FY05 budget. In response to inadequate funding levels for student aid, the State PIRGs launched www.StudentAidAction.com, a web site designed to increase grassroots support for federal student aid programs.

"Congress needs to place a priority on making college more affordable," said Rube, "StudentAidAction.com is a recognition that to convince Congressional representatives to dramatically increase student aid funding this year, grassroots involvement is critical. "

The web site includes background on the FY05 budget approved by the House and Senate last week, a budget that would freeze the maximum Pell Grant award at $4,050 for the third year in a row, as well as level fund Federal Work-Study, graduate student scholarships, and campus-based student aid programs. Given inflation increases over the past three years, the level funding of these programs amounts to a more than five percent cut in student aid funding over this time.

StudentAidAction.com seeks to mobilize thousands of students, faculty, and parents over the next several months, a period in which Congress will determine actual spending levels for federal programs through the appropriations process. "We have the opportunity to demonstrate to Congress how important federal student aid is to those seeking to pursue higher education," said Rube. StudentAidAction.com provides a forum for individuals to e-mail their Congressional representatives about student aid funding, submit Letters to the Editor to newspapers around the country on the topic, to submit personal stories about student aid, and to serve as grassroots campaign coordinators at college campuses.

Joining others in the higher education community, StudentAidAction.com is calling for Congress to increase the maximum Pell Grant award to $4,500, as well as to increase funding for other student aid programs by $1 billion overall. Pell Grants, which assist more than 4 million needy students nationwide, have declined in purchasing power over the past three decades. In the 1970s, the maximum Pell Grant covered more than 80 percent of the costs at a four-year public institution. Today, the maximum award of $4,050 covers less than 40 percent of those same costs.

Over the last year, tuition at the average public college has increased by 14 percent, while the average private institution's tuition has increased by 6 percent. State budget cuts to higher education last year were among the most severe in decades, with state spending on higher education dropping 2.1 percent overall, the first decline since 1992-93.

"Students at colleges across the country need more help than Congress has proposed to give them," said Rube, "Thousands of students are struggling to pursue the dream of a college degree, but without additional student aid, realizing that dream will force more students to take on additional loan debt and work longer hours."

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