Last week, President George W. Bush released his version of the budget for his final year in office, which includes plans to eliminate or reduce more than 150 programs that are said to be unsuccessful or unnecessary. But, to many college students, something on the chopping block certainly seems necessary—in some cases vital—to their ability to attend RPI: federally-backed finanacial aid and its counterparts.
The new budget threatens to cut the Federal Perkins Loan program, which offers loans to students who qualify. This government-subsidized loan does not accrue interest until the borrower begins to repay it, which typically begins several months after graduation. According to Bush and administrators, the loans offered under this program can be obtained through similar, but larger student loan programs.
On the brighter side for many, Bush’s budget aims to strengthen funding for the Federal Pell Grant by raising the limit given to families identified as needy. This does not come without a cost, however. In order to find the funding to make this possible, programs like the Federal Perkins Loan and the Supplemental Educational Opportunity Grant—aimed at families with exceptional need—may be cut. Additionally, many aid programs will be rewritten with more strict rules excluding many current recipients from future years’ aid. These changes combined with tightening credit may make it even more difficult for people, who are then forced to seek loans from non-government sponsored institutions, to get a reasonable rate for a tuition loan.
Bush’s budget is still merely a draft proposal and not a blueprint for what will actually happen. As this issue will affect nearly every student here—whether through tuition assistance, taxes, or other programs at risk—we encourage everyone to research the issue thoroughly and speak out to Congress and the general community. Regardless of your views about federal financial aid, it should be clear that this will have a broad-reaching effect on the student population at RPI and other schools nationwide. As this is reviewed by Congress, we hope that on a local level, RPI will investigate ways to mitigate the affects that this will have on all students—current and prospective. It is imperative that we continue to ensure that anyone wanting to attend Rensselaer is not deterred because of their financial background.
