President signs bill with substantial investment in college student aid into law.

Washington, D.C. (February 17, 2009) - The National Association of Student Financial Aid Administrators (NASFAA) thanked President Barack Obama for following through on his campaign promise to make college more affordable by signing a $790 billion economic stimulus bill into law - including a significant investment in college student aid programs.

The American Recovery and Reinvestment Act of 2009 provides slightly more than $17 billion to increase in the maximum Federal Pell Grant award to $5,350 in 2009-10 and to $5,550 in 2010-11, and to eliminate the Pell Grant shortfall. This infusion of additional funds will help more students enroll and stay in school, especially those from families who have suffered economic losses. These funds will also help unemployed workers get the training they need to reenter the job market, help colleges maintain their workforce levels, and support local businesses in college communities.

In addition, the bill promotes student employment by providing $200 million for the Federal Work Study program; creates a new tax credit that, because it is partially refundable, will help even the neediest families; and encourages use of savings for educational costs by allowing computers to be considered a qualified expense under 529 college savings plans.

NASFAA President and CEO Dr. Philip Day expressed the association's appreciation to President Obama who worked tirelessly ensure the bill made it through Congress with significant funding to help students and families struggling to pay for college.

"We are truly grateful to Obama and his administration for fighting to get this bill passed with meaningful increases in financial aid for needy students," Day said. "The financial aid funding in this bill will pay for itself many times over by enabling students to receive the education and training they need to succeed in the increasingly competitive global economy.

"Beyond providing immediate financial relief to students and families struggling to pay for college, this bill reaffirms President Obama's commitment to making higher education accessible for any one who wants to attend, regardless of their ability to pay," Day continued. "The future success of the American economy depends on our ability to produce a highly-educated, highly skilled workforce. Removing financial barriers to higher education is a crucial step to ensuring that America's workers get the training they need to drive the American economic engine. The Obama administration has taken an important first step to get our economy back on track by getting this bill through Congress and signed into law."

About NASFAA
The National Association of Student Financial Aid Administrators (NASFAA) is a nonprofit membership organization that represents more than 20,000 financial aid professionals at nearly 3,000 colleges, universities, and career schools across the country. Each year, financial aid professionals help more than 16 million students receive funding for postsecondary education. Based in Washington, D.C., NASFAA is the only national association with a primary focus on student aid legislation, regulatory analysis, and training for financial aid administrators. In addition to its member Web site at www.NASFAA.org, the Association offers a Web site with financial aid information for parents and students at www.StudentAid.org.

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Posted 02/13/09 to www.NASFAA.org. Redistribution to non-NASFAA institutions is prohibited. Please submit Web Site questions or comments to Web@NASFAA.org.