A week after the House Budget Committee released its fiscal year (FY) 2017 Budget Resolution, which called for $6.5 trillion in spending cuts over 10 years, a new committee report further details what would be on the chopping block, including some noteworthy changes to the financial aid programs.
On Wednesday, the committee released the accompanying FY 2017 Budget Resolution Report, which provides more specifics on where exactly these cuts would come from. On top of capping the Pell Grant maximum at the AY 2016-17 level for 10 years, the report recommends eliminating the in-school interest subsidy and the administrative cost allowance, phasing out the TEACH Grant Program, among other noteworthy reforms.
While none of the proposed changes in the resolution or in the report would become binding if passed by both chambers, the programmatic changes suggested in these documents do serve to illustrate some of the Republican priorities in higher education from a budgetary perspective.
The budget resolution and adjoining resolution report made the following recommendations:
Pell Grant Program
Administrative Cost Allowance (ACA)
TEACH Grant Program
The resolution cleared the House Budget Committee last Wednesday, but its path to passing the full House of Representatives is unclear. The House is out of session until April 12, so it remains to be seen whether conservative Republicans, who support deeper spending cuts, will end up supporting the resolution.
As always, stay tuned to Today's News for updates on the budget process, and be sure check out our Federal Budget & Appropriations resource page for more information and a news archive.
Publication Date: 3/25/2016