Senator Klobuchar Votes In Support of Higher Education Act

Statement

Today, Senator Amy Klobuchar (D-MN) voted in favor of increasing access to higher education through a reallocation of federal education money and a reauthorization of programs under the Higher Education Act of 1965. The Higher Education Access Act, S. 1642, sponsored by Senators Edward Kennedy (D-MA) and Mike Enzi (R-WY), will provide more than $17 billion to help students and families pay for college. In addition to increasing access to higher education for Americans, the legislation aims to improve our K-12 schools by promoting effective teacher preparation programs.

"Today's passage of the Higher Education Act is a victory for all Americans. We are providing important federal money to ensure the next generation of American leaders has the necessary preparation to succeed in a global world. This legislation clears a path for hardworking, determined American students," said Klobuchar.

The cost of college has nearly tripled in the past 20 years, but federal financial aid has not kept up. Today's bill will make college more affordable by:

- Increasing access for low-income students by raising the maximum Pell Grant to $5,100 and $5,400 by 2011 and implementing the Promise Grant program.

- Protecting borrowers by capping monthly loan payments at 15% of discretionary income

- Protecting working students and ensuring they are not penalized by increasing the amount of student income that is sheltered from the financial aid process

- Encouraging public service by providing loan forgiveness for public service employees

In addition, reforms will be made to the student loan system, through protecting students and cleaning up the student loan industry so it works to benefit students, not lenders.

This year, nearly 80,000 Minnesotans received Pell Grants, at a maximum of $4,310, next year they will be able to receive $5,100. By the 2008-2009 year, Minnesota students will have the opportunity to receive nearly $300 million in federal funding under the passage of today's bill, an increase of nearly $120 million from the upcoming year.

"The costs of higher education are soaring. These costs are blocking many qualified students from attending college and forcing many others to end their education prematurely. Student loan debt has also gotten out of control and become a crippling financial burden to so many young people and their families. The passage of today's legislation will provide real help for students and their families to make college more affordable," said Klobuchar.

In addition to supporting today's bill, Senator Klobuchar is a sponsor of the Middle Class Opportunity Act, which aims to expand access to college by consolidating three major tax deductions and credits into a single $2,500 annual credit to cover tuition, fees and textbooks.

Congress first passed the Higher Education Act more than 40 years ago, guided by the principle that no qualified student should be denied the opportunity to attend college because of the cost. The amendments to the reauthorization of the Higher Education Act not only ensure that all qualified students have the opportunity for higher education but it also holds colleges accountable for rising tuition costs by creating a nationwide watch list, simplifies the financial aid process by reforming the Free Application for Federal Student Aid (FAFSA) and makes certain that lenders and colleges follow high ethical standards.

The bill passed the Senate today with a vote of 95 to 0. The budget reconciliation bill, which includes the reallocation of funding, has passed the House of Representatives. The House has not yet voted on the reauthorization of the Higher Education Act of 1965.

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