Reform, don’t cut, Pell Grants

If Republicans in Congress have their way, it may become even more difficult for America’s neediest to attend college.

According to The Chronicle of Higher Education, lawmakers on Capitol Hill have proposed cutting $5.7 billion dollars from the Federal Pell Grant Program, which awards federal grants to low-income students hoping to attend college. The program currently has a budget shortfall of $10.7 billion — mostly because of a surge in the number of students eligible for awards and increases in the maximum aid amount in the last decade. This deficit shows no signs of decreasing, prompting Congress and the Obama administration to consider reducing the amount of aid the program provides.

The Federal Pell Grant Program was introduced in 1972 as part of a reform to the Higher Education Act. The program awards grant money to any student that qualifies by meeting the standards of need determined by the U.S. Department of Education. The program has steadily expanded since its inception. In 2007, Congress passed a bill raising the income cutoff for the maximum award amount from $20,000 to $30,000. Over the last two years, the maximum award amount has increased by $819 to reach $5,500. And, in 2008, Congress approved a measure allowing students to receive two Pell Grants in one academic year.

If Republican budget cuts pass, nearly one quarter of current Pell Grant recipients would lose their eligibility, while those remaining would see an average $745 reduction in their award. These cuts stand to have a powerful impact on those that need grants to attend college. The loss of aid money could force some to take out costly loans to continue their education, and pressure others to drop out of school altogether.

The proposed cuts to Pell Grants join a long list of other valuable social programs, most notably Planned Parenthood and National Public Radio, that have recently been on the Congressional chopping block. These programs provide beneficial services to the public, but are viewed as excessive due to current budgetary constraints.

Fortunately, Duke students receiving Pell Grants will not see a reduction in their aid. In an article published in the February 18 issue of The Chronicle, Vice Provost and Director of Financial Aid Alison Rabil, said that any reduction in federal Pell Grants will be replaced with a matching Duke grant. This will nullify any effect grant markdowns might have on Duke students receiving Pell Grants, who made up 12 percent of the study body and 29 percent of all financial aid recipients in the 2009-2010 school year.

However, not all students are able to attend private institutions with large financial aid budgets. One quarter of all Pell Grants go to for-profit colleges, although only ten percent of all students attend such institutions. Furthermore, many students using Pell Grants at for profit colleges never graduate, resulting in for- profit colleges collecting federal grants from students who never receive a diploma. Withholding grant funds from institutions with low completion rates is one way to ensure that grants are not wasted.

Ultimately, attempts to reform the Pell Grant program should come before aggressive cuts. Policy changes in education are serious, and should not be left to partisan politics.