The Higher Education Committee of 50 (HEC), convened by the National Association of Student Financial Aid Administrators (NASFAA), released recommendations to Congress on reauthorization of the Higher Education Act (HEA). The four categories of recommendations include: access, accountability, affordability and transparency. For access to the full HEC recommendations to Congress, use the links below.
Partial Government Shutdown Possible Later this Week
As February 15th approaches, individuals on and off of Capitol Hill remain uncertain as to whether there will be another partial federal government shutdown. President Trump recently stated that the odds of another partial shutdown are less than 50-50. Instead, he has focused on the possibility of declaring a national emergency to obtain funding for a southern border wall, further pressuring the already fragile negotiation on the Hill. In general, both sides want to avoid another partial shutdown if at all possible.
After the State of the Union address on Tuesday, Democrats and Republicans on the Hill continued work towards a compromise bill to fund impacted agencies for the remainder of FY 2019. However, late Friday, several press stories indicated that negotiators were at an impasse over funding of ICE detention facilities and some form of physical barrier at select spots along the southern border.
Another partial government shutdown would have drastic effects on the higher education community. From the first shutdown alone, there was more than $1.3B in funding for scientific research put on hold. Simultaneously, universities across the country advanced millions of their own dollars to keep labs and research facilities open. The effects of this funding turmoil will likely last for months.
Chairman Alexander's Priorities for a 2019 Reauthorization of the Higher Education Act
On Monday February 4th, Chairman Alexander laid out his priorities for the 2019 reauthorization of the Higher Education Act (HEA).
Chairman Alexander discussed FAFSA simplification and student loan program changes as targets for HEA reauthorization. He stated a desire to cut down the number of questions in the FAFSA from 108 to 15-20, deeming most of the questions as unnecessary. Additionally, Chairman Alexander wants to simplify the verification process so funds are not unnecessarily withheld from students when needed.
Aside from simplification of the FAFSA, Chairman Alexander wants to change the student loan program options from nine current options to two. The first option would allow students to partake in a payment plan that automatically deducts 10% of their discretionary income from their paycheck. A key component to this plan allows borrowers to stop payments if they become unemployed. This halt in payments would not affect their credit score. The proposed second option for a student’s repayment of loans would be a 10-year payment plan, similar to a mortgage. For more information regarding Chairman Alexander's priorities for the Higher Education Act, please use the link below.
An agenda for higher education reform: Remarks by Senate HELP Committee Chairman Lamar Alexander
