Staff Editorial |Changes to federal financial aid a step in the right direction

When Democrats swept the midterm elections last November and gained majorities in both the House and Senate, The Miscellany News asked, “What’s next?” Now that the new Congress has been sworn in and the legislative session has begun, House Democrats have been fulfilling their campaign promises even beyond what they set out to do in the first 100 hours. This included increased attention to the financial needs of college students.

The bill, called the College Student Relief Act of 2007, calls for a reduction of interest rates on federally subsidized Stafford loans for undergraduate students to 3.4 percent from 6.8 percent. This is a small but important step toward making college financially possible for students from low-income backgrounds. It is worth pointing out, however, that the benefits of this program will only come to fruition in 2011, and the 3.4 percent interest rate will be in effect for only six months. While the rate change does not immediately address the issues of students today, it is at least a symbolic step toward addressing the needs of college students.

While the rates will certainly be a much-welcomed financial boost for future undergraduates, the bill does not come anywhere near fully addressing the direct needs of students seeking a college education. One recalls the $12 billion cut to the federal student loan program in 2006, and the elimination of the Perkins Loan program last year.

Clearly the work remains unfinished, but affordability is gaining ground as an important issue in education. To that end, the House passed a bill calling for a six percent increase in the maximum Pell Grant award in 2007, which would immediately address the needs of Pell Grant recipients by a maximum of $260.

Pell Grant improvements are more beneficial than Stafford interest rate reductions for low-income students gaining access to higher education, as President Catharine Bond Hill has mentioned in the past. However, the changes proposed by the Democratic House are far from perfect; the proposed six percent boost does not even offset the recent 6.6 percent increase in Vassar College tuition. President Bush, on the other hand, has recently one-upped the Democrats by proposing a 14 percent increase in Pell Grants for next year. This new proposal would never have happened without a Democratic Congress, but it does serve to challenge the newfound majority party. The Miscellany News support the President’s plan to add $1,350 to Pell Grants over the next five years, which would represent the largest increase to the program in a generation, and would begin to back up oft-heard rhetoric with much needed action.

As The Miscellany News has repeatedly stressed, making college affordable is one of the most pressing problems facing higher education today, and Vassar’s administration and students have remained acutely aware of this issue. President Catharine Bond Hill has made it a priority to attract and retain lower-income students, and in December, the Vassar Student Association Council passed a resolution supporting a strong financial aid policy. The attitudes of President Hill and the VSA are encouraging, and we hope further action will be taken by the College to make a Vassar education affordable. Ensuring that bright students get an excellent education regardless of their financial status is an invaluable goal.

The Staff Editorial represents at least a two-thirds majority of the Editorial Board.