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Congress considers Bush's Pell Grant increase

Given President George W. Bush's recent flurry of budget cuts and program reductions, his proposal to increase the amount of Pell Grant funding comes as a welcome surprise to underprivileged students across the country. The move supplements the president's education plan - the No Child Left Behind Act of 2001 - which was introduced in the House of Representatives last week.

Pell Grants are federal educational grants of up to $3,125 a year that are available only to underprivileged students. Bush's proposal would raise the average subsidy by $200, while modestly increasing the maximum possible grant to $3,750.

Both the House and the Senate have endorsed increases in the Pell Grant program. The Educational Excellence for All Learners Act of 2001 being considered in the Senate would increase the maximum grant to $4,700 per year. The House has discussed raising it to a compromised $4,350.

While an increase in the subsidies ould have a large effect on college students from low-income families across the country, it would mean little to the small number of Tufts students who receive Pell grants.

"Independently, no, it's not a lot. But then there are other grants and aid involved, and it helps in the overall package," said Al Mangini, Tufts' assistant director of financial aid.

Unlike loans, Pell Grants do not have to be repaid. They are typically awarded to students whose families make less than $20,000 a year, though students with family incomes of up to $40,000 a year are eligible.

Ten percent of Tufts students receive a total of $1,007,692 of aid through Pell Grants, according to Tufts Director of Financial Aid William Eastwood. The average grant amounted to $2,254, well above the national average of $1,890.

During the 1999-2000 school year, 43 percent of first-year Tufts students received financial aid, with the average package totaling $19,000, according to US News and World Report. While Bush's proposed $200 increase is not that large compared to Tufts' yearly tuition or the average financial aid award, Eastwood said that "every bit helps."

According to Eastwood, federal funding of the grants did not increase enough during the 1980s and '90s to keep up with the rising cost of higher education. A heavier reliance was placed on federal student loans, which caused educational debt to rise significantly.

"While recent increases in Pell funding have been better, there needs to be a dramatic increase if Pell grants are to ever approach the purchasing power they held 20 years ago, when the maximum Pell Grant of $1,670 represented 24 percent of Tuft's tuition, as compared to approximately 14 percent today," Eastwood said.

If Bush's proposal passes, it would represent a 39 percent increase in Pell Grant money since the 1997-1998 school year.

The House Committee on Education and the Workforce linked continued economic prosperity to having a highly educated and skilled workforce. The committee called for "the continued investment in the Pell Grant program... if college is to remain an achievable part of the American dream."

A study conducted by the Advisory Committee on Student Financial Assistance - an 11-member body that advises Congress on student-aid policy - found an average of $3,800 of unmet need for low-income students at four-year institutions.

According to the report, many low-income students have the same qualifications as their wealthier peers, but without proper financial aid are unable to attend the institution of their choice.

The increase in Pell Grants are just part of Bush's overall plan to improve education nationwide. The Republican National Committee's website says that Bush's budget proposal "provides the Education Department the largest percentage spending increase of any federal department." The department's budget would increase by 11.5 percent, or $4.6 billion.

Other proposed measures include federal monitoring of under-performing school districts, increases in tax breaks for educational savings and expenses, and a controversial plan to introduce school vouchers to allow public school students to attend private institutions.

Pell Grant recipients are determined by a formula that is revised and approved by Congress every year. The formula assesses the price to attend the institution, the family's financial situation, the size of the family, and whether the student is attending part time or full time.

Since the inception of the Pell Grant program in 1973, nearly 80,000,000 grants have helped low and middle-income students attend college.