House Education and the Workforce Committee Chairman John Boehner (R-Ohio) told higher education officials that his committee intends to complete the Higher Education Act reauthorization this year. He also expressed a desire to reform certain parts of the federal student aid system and work with colleges and universities to achieve mutually beneficial results.
In his February 15 speech at the annual American Council on Education conference in Washington, D.C., Boehner said his personal experiences have colored his opinions on the importance of college access for low-income students. As one of 12 children and the son of a Ohio tavern owner, Boehner--the only of his siblings to graduate from college--used financial aid and was forced to take long breaks between semesters to work and save money.
Boehner went on to address a number of issues that have created controversy in recent months, such as now-defunct proposal by Rep. Buck McKeon (R-Calif.) to revoke Title IV aid from schools that increase tuition above the rate of inflation for a certain time. "Our intent has never been to tell you all how to run your institutions, but cost is a big issue," he said, noting that new data reporting will still be required for schools that increase tuition at unusually high rates.
Gathering and better utilizing helpful information from colleges and universities is a major part of House Republicans' reform plan, he said.
"The other new reporting requirement is related to transfer of credit," Boehner said, adding that schools should make their credit-transfer policy very clear so that students and parents can adequately weigh the benefits of transferring credit. "We also say you can't deny transfer of credit based solely on who that credit comes from" and what type of accreditation the institution holds, he said.
House Republicans also hope to increase loan limits and get rid of origination fees, as well as "rid the student loan process of unnecessary rules and regulations," he said.
Another incendiary topic for the higher education community has been the competition between the Direct Loan program and the Federal Family Education Loan Program (FFELP).
While Boehner insisted that he and other lawmakers intend to maintain neutrality on the programs during reauthorization, he admitted a personal bias against the Direct Loan program.
"Direct Loan has never met its targets," he said, noting that "anyone who believes the government can do it cheaper than the private sector hasn't been in the private sector for very long."
In closing, Boehner addressed the President's new FY06 budget, which proposes an increase in the Pell Grant maximum, funded at least in part by the elimination of the long-standing Perkins Loan program. The proposal has been met with frustration from many higher education officials.
Boehner noted that in the current "budget neutral" economic environment, "We can't have all that we want." He added, however, that he is not sure how politically viable it would be to scuttle the Perkins Loan program entirely.
By Elizabeth B. Guerard
NASFAA Assistant Director for Communications
Posted February 16, 2005 on www.NASFAA.org, the Web Site of the
National Association of Student Financial Aid Administrators (NASFAA).
Copyright 2005. Redistribution to non-NASFAA institutions is prohibited
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