More than 5,000 University students may see a reduction in their federal aid for higher education if a U.S. House of Representatives’ budget is successful.
Republican Congressman Paul Ryan’s budget proposal would reduce funding for Pell Grants by $90 million as a means of balancing the federal budget.
In fall 2013, 34.5 percent of students at the University received those Pell Grants, according to numbers provided by the University. State-wide, 31,000 college students benefit from the grants.
These proposed cuts are part of the House Republican’s budget, which would reduce federal spending by $5.1 trillion. It was passed the House Budget Committee on Wednesday, and will now move to the Republican-controlled House of Representatives next week.
Ultimately, it will need Senate and United States President Barack Obama’s approval before becoming law.
The Federal Pell Grant Program provides need-based grants to low-income, undergraduate students across the country, allowing them to receive a college education.
Congressman Tim Ryan (D), U.S. Representative for Ohio’s 13th congressional district, offered an amendment to the budget Wednesday to maintain the Pell Grants. The amendment, which was ultimately voted down, would have instead reduced or eliminated tax breaks for oil companies and nixed corporate loopholes that encourage outsourcing.
The amendment was rejected by a party line vote, as the House Budget Committee is composed of 22 Republicans and 17 Democrats.
Ryan took issue with the Republicans’ budget because it shifts the financial burden to the middle and lower class, he said in a conference call with editors from college newspapers on Thursday.
The Pell Grant reduction in particular affects college students, as the average student graduates with $29,000 in debt.
“We have an obligation to reduce that burden,” Ryan said. “This budget doesn’t address that at all. It actually makes matters worse.”
Further, the proposed budget would see $41 billion cut from the federal loan program. The Republican budget would eliminate subsidizing loans while students are in school, which means students would have to pay back the interest before graduation.
“I just think that’s a ridiculous burden,” Ryan said.
Ryan pointed out that many students who receive Pell Grants work multiple jobs and are the type of people the Republican party claims to support.
“Those very students who are working hard … are the ones that are going to get punished,” Ryan said. “[The Republicans’] proposals don’t reward their own rhetoric.”
Calls to Paul Ryan’s office for an interview request were not returned, but his opening remarks at Wednesday’s markup for the budget indicate his stance:
“It puts us on the path to pay off our debt. How do we do it? We stop spending money we don’t have,” Paul Ryan said. “After five years of big spending and little results, we think it’s irresponsible to take more from hardworking families to spend more in Washington. Every family must balance its budget. Washington should do the same. And with the right reforms in place, we can strengthen our national security, foster a healthier economy, create jobs, and raise take-home pay.”
The federal government distributed $32.3 billion nationally in Pell Grants in 2013, according to statistics provided by the Department of Education. That number is estimated to rise to $33 billion in 2014.
In Ohio, $1 billion was distributed by the federal government in Pell Grants in 2013, a number expected to drop slightly in 2014.
University officials are unsure of how the House Republican Budget would affect students as of now, according to a statement provided by University Spokesperson Dave Kielmeyer to The BG News.
“It is too early to speculate about what it could mean for Bowling Green State University and our students,” the statement read. “Keeping a BGSU education as affordable and accessible as possible is a top priority for the University.”
Ryan encouraged students potentially affected by this budget to “get active and get involved” by lobbying legislators and petitioning.
“The students of Ohio need to get active and energized,” Ryan said.
As the budget moves to the House floor for discussion and a vote, Ryan himself will maintain his opposition.
“Every step through the process is an opportunity to push back,” Ryan said. “We’ll continue to fight on the House floor.”