Office ofAlumni and Constituent Relations

Federal and State student aid funding is threatened by budget deficits.

In Washington DC: The “Super-committee” is deliberating right now on addressing the nation’s budget deficit. They must make budget recommendations to Congress by November 23, 2011 and Congress must adopt those recommendations, unaltered, by Dec. 23, 2011. Failure to do so will result in an automatic across the board cut to the federal budget, including funds for the Federal student aid programs.

This means funding for the Federal Pell Grant, the Federal Supplemental Educational Opportunity Grant (SEOG), the Federal student loan programs (Direct, Perkins and Nursing), and the Federal Work Study programs are all in jeopardy of reduction, elimination, or transferring some of the program costs to students. Graduate students have already lost their Subsidized Direct Loan program for the 2012-13 academic year. Are Subsidized loans for undergraduates next? Eliminating the subsidized loan program will cost PLU students $628,000 a year in accrued interest. Elimination of the Federal SEOG program would eliminate close to $1 million in grants to over 1,000 low income students at PLU.

Find out more about proposed budget cuts and make your voices heard. Add your voice to the conversation. Find contact information for your elected representatives.

In Olympia: State legislators are staring at a budget shortfall of over $2 billion for the next two year biennium. Funding for the State Work Study program has already been cut from over $890,000 in 2009-10 to $373,000 in 2011-12. The state’s “flagship” need-based program has been well supported by the state legislators in the past. However, the size of the current budget deficit makes the WA State Need Grant a much more prominent target for cuts.

Let your legislators know how much your state aid programs mean to you. Find contact information for your elected representatives.