Well, the Senate approved their version of the 2009 Stimulus Plan last Tuesday. Their version approved $838 billion dollars. Even though lawmakers tried to cut funding for Pell Grants, the Stimulus Plan was approved including a $14 billion increase in Pell Grants.
On Wednesday, House and Senate leaders struck at deal, after 24 hours of frenzied discussion, to agree on a trimmed $739 billion package. Everything I have read talks about tax breaks and bailouts. I've been having a tough time finding information about the proposed financial aid changes in the Plan. I found through a New Orleans Louisiana website that Congress approved a final Plan of $737 billion. However, no mention was given to financial aid results. I can tell you that nothing worthwhile has to come to my inbox at work, which makes it very frustrating to try and report on the Stimulus Plan status for financial aid purposes.
I found a news article from News.com that says President Obama is ready to hit the road to tout a nearly $790 billion dollar stimulus plan before he is expected to sign into law this coming week. However, the main focus in this article is the housing market. Does no one care about higher education?
Ah, I went to my trusty national financial aid adminstrators website to get the information I was looking for. The final bill covers the following:
- Increase in Pell Grant to $5350 for 2009-10, and $5550 in 2010-12.
- $200 million allocated for Federal Work Study.
- $13.5 billion for a $2,500 education tax credit.
- Computers as a qualified expense for 529 Savings Plan
- No $2,000 Unsubsidized Stafford loan increase proposed by the House.
- No increase in Perkins Loan as proposed by the Senate.
Over $507 billion, out of the nearly $790 billion, is being allocated for spending programs, but only about $17.2 billion is directly related to increasing financial aid for students through Pell Grant and Federal Work Study. Not much help.