National Budget update!- By Getachew!

Posted on April 16, 2011. Filed under: Uncategorized |

1.      FY 11 Continuing Resolution H.R. 1473.

a.       H.R. 1473 the continuing resolution that funds the government through September 30 2011, just passed both chambers of Congress.  In the House by a vote of 260-167. 179 Rs and 81 Dems voted Yes, while 59 R’s and 108 Dems including Congresswoman Pelosi voted no.  The Senate passed H.R. 1473 by a vote of 81-19.  The continuing resolution is expected to be signed by the president.

b.      H.R. 1473 maintains the max Pell grant award at $5,550.  Changes to the Higher Education Act concerning  Pell grant include elimination of year-round Pell starting with 2011-12 award year. Savings however go back to the Pell program in fiscal year 12.  The continuing resolution also provides mandatory appropriations of $3.183 billion for the Pell program in fiscal year 12. However the Pell program faces a projected $20 billion shortfall next year in fiscal year 12. Attached in this email is the final fiscal year 2011 spending bill.

c.       The overall cut in H.R. 1473 is $38 billion.  The following is a summary of cuts and elimination of Ed. programs as detailed by appropriations committee.  Note that all programs also are subject to a 0.2% across-the-board cut, not reflected in the numbers below.  The Department of Education will release its table showing the official interpretation of the continuing resolution.  The following maybe subject to change and may not be complete.

Program cuts and eliminations:

*many programs were cut, the following are specific to higher ed.

  • LEAP = -$63.9 million (eliminated)
  • Federal Supplemental Education Opportunity Grants = -$20 million
  • Strengthening Alaska Native and Native Hawaiian Serving Institutions = -$15.1 million (eliminated)
  • Higher Education Demonstration projects for persons with disabilities = -$6.8 million (eliminated)
  • Tribally Controlled Postsecondary Vocational Institutions  = -$8.2 million (eliminated)
  • TRIO  = -$25 million
  • GEAR UP = -$20 million
  • Thurgood Marshall Legal Scholarships = -$3 million (eliminated)

2.      FY 12 House Budget

a.       Chairman Ryan’s FY 12 House Budget was released earlier this month, House vote is expected by Friday.  The House Republican fiscal year 12 budget makes draconian cuts to many vital programs including education. The House Budget repeals many of the provisions in Student Aid Fiscal Responsibility Act as well as severe cuts to the Pell program in fiscal year 12 and beyond. The House budget reverts back to fiscal year 2008 level for Pell in FY 2012 which could cut the maximum award by more than 60% due to significant increase in the number of students the program currently serves as well as previous increases to the maximum award. Detail analysis of the House budget’s impact on higher education coming soon. Attached is the text of the House budget text.

b.      I  thought you all might find the press statement from Rep. Miller, ranking member of the Education and Workforce committee helpful.Attached is new data that  estimates aid available and recipients by congressional district. Find out how much your district receives in Pell grant aid. You can also right click the link to the website, found at the end of the press statement.

In Solidarity,

Getachew Kassa

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