Bush’s plan leaves students struggling
February 2, 2005
Some students will have to pay more for college this fall, and that’s not a good thing.
The Bush administration recently announced a change in the formula used to determine one’s estimated family contribution. The EFC affects eligibility for Pell Grants and other types of financial aid, such as the Monetary Award Program Grant.
This change in tables will cause about 90,000 students to be cut entirely from the Pell Grant program and 1.3-million more students throughout the country to receive less money. The change also will help relieve a deficit in the program.
The students most affected are those who now are awarded the minimal amounts of aid.
Although the most needy will still get full Pell Grants, the students in the middle-lower class may have to increase loans or work more jobs to pay for the reduction.
It’s troubling the announcement to change the EFC formula came over Winter Break, when many students were on vacation. It’s also troubling that the change is coming while students across the country are facing rising tuition costs.
Another problem is that many students will lose other grants or loans because many states and colleges use the national formula to determine their own awards.
Bush also is proposing an annual $100 increase in the Pell Grant cap for the five years. That amount is better than nothing, but it is still not enough to cover the costs of education for an impoverished student. The proposed increase is more of a nice gesture than a real solution.
It is understandable that Washington wants to balance its financial aid deficit. But it’s a shame the change will place well over a million students in an even more precarious position.