March 2009
Feature: New federal funding holds promise and risks
Worth considering: Obama raises the bar
Update: Agenda endorsements begin
Update: Face-to-face advocacy and Facebook
Student voice: Mary Gleich
Editor’s note
This education policy e-newsletter is sent to members of the Minnesota Private College Council Legislative Action Network. View Legislative Update archive
FEATURE
New federal funding holds promise and risks
The good news is that members of Congress and President Barack Obama have taken action to increase aid to low-income students. The stimulus legislation included $15.6 billion for Pell Grants; this is intended to increase the maximum grants for the lowest-income students by $619 a year. There are additional important elements of the stimulus legislation tied to higher education, including an expanded tax credit. But the Pell Grant increase is a key change, one that can quickly help thousands of Minnesotans.
The risk, however, is that state policymakers could consider the Pell Grant boost as a way to reduce Minnesota’s costs tied to the State Grant, since the two programs are linked. New Pell dollars could account for $60 million more over two years for need-based aid in the state. But that gain could be erased if Minnesota were to cut its contributions.
We should all urge Minnesota’s lawmakers to retain the state’s current commitment to need-based aid and the thousands of college students whom it helps. Pell Grant increases were put in place to help more college students — not to help balance budgets.
Why is it important to retain current state funding for the State Grant?
- Past spending has not kept up with demand. For years federal and state investment in need-based aid has been falling short. Consider just the State Grant for U of M students: Over the most recent eight-year period the share of tuition covered by the average award has dropped from 43 to 34 percent.
- Today’s economic hardships make need-based aid even more important. Families are facing huge new challenges in financing higher education, ranging from the decline in home equity to reduced incomes.
- Future changes call for stronger need-based aid. Minnesota can act now to have the educated workforce that will be required to build future jobs and economic growth. One of the key steps is to build in the financial support to help more low- and middle-income students complete college degrees.
Kathy Ruby, director of financial aid at St. Olaf College in Northfield, was quoted in an MPR piece on the issue. “Certainly the state deficit creates a real challenge for our lawmakers. It's easy for me to say, but it seems clear to me that this is something that students clearly need, and this is something that Congress intended," she said. Ruby is also the president of the Minnesota Association of Financial Aid Administrators.
Student advocates should keep their eyes open on this front. By keeping the State Grant spending level, our state policymakers can leverage federal changes to do their part to help increase need-based aid.
WORTH CONSIDERING
Obama raises the bar
In his February speech to Congress, President Barack Obama set a goal of having the highest proportion of college graduates in the world by 2020. The US share of the population with college degrees has remained relatively flat, while most other industrialized economies have been growing their share, as can be seen when comparing the rates among 55-64 year-olds and 25-34 year-olds in different countries. In the same speech Obama put his bully pulpit to use on education, saying that dropping out of high school is no longer an option. Keeping more students in high school — and helping more make the transition to college — will both be critical to meeting Obama’s goal. View chart on post-high school education.
UPDATE
Agenda endorsements begin
If you’re fortunate enough to have a box of Girl Scout cookies nearby, here’s a second reason to be thankful for this organization’s efforts on behalf of girls. The Girl Scouts of Minnesota and Wisconsin River Valleys have endorsed the Minnesota Private College Council’s 2009 College Opportunity Agenda. And they’re not alone; endorsements have come in from the Chicano Latino Affairs Council and the Council on Asian-Pacific Minnesotans.
- “Minnesota needs to increase the size and number of State Grants that help girls from low- and middle-income families,” wrote local Girl Scout CEO Linda Keene.
- “If we do nothing differently, our students will not be prepared and graduate in the numbers that our economy will require in a new era,” wrote Rogelio Muñoz, Jr., executive director of Minnesota’s Chicano Latino Affairs Council.
- “We stand in partnership with the MPCC as we both invest our time and energy in ensuring that higher education is accessible and affordable for all Minnesota students and their families,” said Ilean Her, executive director of the Council on Asian-Pacific Minnesotans.
Read the full text of the endorsements and other supportive statements. Let us know about other organizations that you think might be supportive and willing to consider an endorsement.
UPDATE
Face-to-face advocacy and Facebook
Hundreds of college students have already been to the Capitol this year to meet with their legislators and help share the impact of the State Grant program. This is a key ingredient to helping policymakers understand the importance of preserving State Grant funding. So far the College of St. Scholastica has sent the most students, but several more Days at the Capitol are being held. Staff and students at Bethany Lutheran College, Concordia College, College of Saint Benedict, Saint John’s University, Bethel University, Macalester College and Augsburg College can still sign up to take part.
And if you aren’t able to make it to the Capitol, consider spreading the word about our Facebook group. More than 300 students and supporters have become a member of “Expand Aid for Minnesota College Students,” voicing their support for need-based aid. Join the group if you haven’t — or share the idea with your friends.
STUDENT VOICE
Mary Gleich
Mary Gleich at Saint Mary’s University of Minnesota is busy in student government, social issues and choir. Along with at least two jobs in the summer, she works during the school year in food service and as a resident assistant. She hopes to do graduate work in public policy.
“Being able to receive that extra money that I can put towards my tuition is vital to my ability to stay in school and thrive as I have. . . . The State Grant Program allows me to focus on achieving in school and not on how to make my next tuition payment. This program is the best investment you can make in Minnesota’s future.”