Miller, McKeon Introduce Bipartisan Pell Grant Fairness Legislation

Tuesday, February 13, 2007

WASHINGTON, DC -- Rep. George Miller (D-CA), the Chairman of the House Education and Labor Committee, and Rep. Howard P. "Buck" McKeon (R-CA), the Committee's Senior Republican, today introduced the Pell Grant Equity Act (H.R. 990), legislation to repeal a federal rule that needlessly limits Pell Grant aid for tens of thousands of college students.  Known as "tuition sensitivity," the rule reduces the annual maximum Pell Grant for students attending institutions with very low tuition charges.

"Pell Grant scholarships are a key part of our federal student aid system - helping millions of students in the most financial need get a college education," said Miller.  "With tuition costs at colleges around the country soaring, we must continue to expand Pell Grant scholarships - and college access - for low- and middle-income students and their families.  Students should not be financially penalized for attending a low-cost school, and colleges and universities should not be punished for reducing their tuition costs.  Making college more affordable for all qualified students is a top priority for the new Congress, and it is critical that we ensure that all students and institutions are treated fairly as we work toward this goal."

"A student should not be forced to sacrifice grant aid because of their choice of one institution over another," said McKeon, who also sponsored this repeal in legislation passed by the House a year ago.  "As Congress and the President work to continue improving student aid programs, it's illogical that certain students who may otherwise be eligible for a maximum Pell Grant won't get it simply because of where they go to school.  Moreover, repealing this rule takes away an incentive for some low-cost institutions to raise their tuition in order for their students to become eligible for the maximum Pell award."

The tuition sensitivity rule is estimated to impact between 90,000 and 100,000 students each year, with the Congressional Research Service estimating that these students are losing hundreds of dollars in grant aid each year.  With many California community colleges reducing their cost of attendance beginning with the current semester, the tuition sensitivity rule is expected to have an even more substantial impact for students in that state if not corrected.

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FOR IMMEDIATE RELEASE
Contact: Tom Kiley / Rachel Racusen
2181 Rayburn House Office Building
Washington, DC 20515
202-226-0853