Congress could cut Pell grants
By Chelsea Schneider Kirk cschneider@post-trib.com March 2, 2011 5:12PM
Updated: August 4, 2011 4:20PM
Former Lake Central High School student AnaTeresa Bagatella relies on a federal grant to help her afford college at Indiana University.
But the amount Bagatella will receive next year through her Pell grant is uncertain as Congress continues to debate spending cuts and attempts to prevent a federal government shutdown.
“In order to make it through college, I need to work 15 hours each week on campus,” said Bagatella on Wednesday in a press conference arranged by Indiana Public Interest Research Group. “I receive the Pell grant to make up the rest.”
A U.S. House of Representatives resolution passed in February reduced the maximum amount a student could receive through the grant from $5,550 to $4,705 for next school year. But the Democratic-controlled U.S. Senate was expected to make changes to the bill, which covered federal spending for the remainder of the 2011 fiscal year. To avoid a shutdown, the House and Senate bought time by passing a temporary resolution to cover spending through March 18 and to continue the debate on long-term spending cuts.
That resolution doesn’t impact Pell funding, according to National Association of Student Financial Aid Administrators spokesman Haley Chitty.
“There is some uncertainty in what the Senate and House will be able to agree to,” Chitty said. “Obviously, Republicans are pushing for the $845 cut.”
Ivy Tech Community College is advising students to apply for Pell grants and not become overly concerned until the final bill is passed, the university’s Chief Financial Student Resources Officer Ben Burton said. Pell grants are need based and help low-to middle-income students afford their post-secondary education.
“We’re a little concerned if Pell grant funding becomes one of those issues that does get cut. It will disproportionately affect the more low-income student,” Burton said. “Our student population averages an income less than $20,000 a year, so we do think it will disproportionately hurt our students.”
Indiana University Northwest also is closely watching the debate.
“It is concerning for us because it affects what students will be able to receive in the coming award years,” IUN Director of Scholarships and Financial Aid Harold Burtley said. “We’re waiting for Congress to determine what cuts.”
INPIRG’s data shows 202,000 Indiana students will receive a Pell grant next year, and under the House’s original plan, the state would lose $115 million in Pell funding.
“Rather than cutting education and risking the health of our workforce and economic recovery,” the research group’s Higher Education Advocate Rich Williams said, “Congress should focus on wasteful, special interest giveaways and other low-hanging fruit.”
For Bagatella, losing her Pell grant would force the college sophomore to think about taking on a private loan or leave school.
“I worked really hard to get into school,” Bagatella said, “and I don’t want money to be the issue that takes me out of it.”
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