by Andrew Nusca
Washington Square News
NEW YORK (U-WIRE) - The U.S. Senate passed a $2.57 trillion budget resolution Thursday that includes a provision to increase the maximum Pell Grant award by $450 to $4,500.
The resolution, passed in a 51-49 vote, will also preserve many federal student aid programs President Bush has proposed eliminating.
But even though the Senate voted to increase the maximum grant, the House of Representatives' budget proposal does not include any provisions for more Pell Grant funding. The two houses must compromise for further advancement and passage of the bill.
"None of this is binding," Alicia Hurley, director of the office of federal policy at NYU, said. "So we still have our work cut out for us before we see these increases in the Pell program and the restoration of the program cuts called for in the president's budget."
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The Federal Pell Grant Program provides federal grants to about 3,500 NYU students from low-income families. Eligibility is determined by the Free Application for Federal Student Aid.
"I get more free money - I don't care where it comes from," said GSP sophomore Larisa Grollemond, who receives a Pell Grant in her NYU financial aid package.
The House budget resolution calls for about $69 billion to be cut from the budget. About $21 billion of those funds would come from cuts in "mandatory" education and labor programs - those that the government is committed to paying for each year, regardless of whether money is appropriated for them, including student loan programs.
"It's another example of the current administration's mishandling of funds," said CAS sophomore Zack Barangan, who receives a Pell Grant. "I think this shows that the government does not hold education up there among the most important priorities."
In the Senate, Democrats and moderate Republicans approved a budget resolution that would cut about $18 billion less from mandatory programs than the House resolution.
The purchasing power of Pell Grant awards has been steadily declining since 2003 and will cover slightly more than 25 percent of the proposed cost of attending a four-year public university by 2010-11, according to a recent study by the Center for American Progress.
Pell grants provide for 35.7 percent of average college expenses in 2004-05, down from 41.5 percent in 2001-02, according to the study.
