2008 Woodie Awards
Act may better inform, educate students
By: Meredith Mayberry
Issue date: 2/25/08 Section: News
Paying for college is hard enough without any hidden fees and loan rates.
The Higher Education Act, if signed into law, would allow students to have access to more information about where their money is going.
The U.S. House of Representatives reauthorized and overhauled the primary law governing federal support Feb. 7 for college students.
The Senate already approved its own overhaul of the Higher Education Act, according to the article, "Higher Education Overhaul Headed to House Floor," on cqpolitics.com.
"The change will definitely help students," said Michael Boulus, executive director of the Presidents Council, State Universities of Michigan. "It provides more safeguards to students."
The act would increase the amount of information available to students concerning loans and school costs. It would also block lenders from giving schools perks in order to get on "preferred lender" lists.
Diane Fleming, CMU's associate director for client services, said the university is a direct lending school and does not deal with bank loans.
"The government is our lender," Fleming said.
President George W. Bush and his administration may not support the bill because it would "end the Department of Education's authority over the agency responsible for reviewing the performance of college accreditors," according to The Chronicle of Higher Education.
The act also would create a "Higher Education Price Index," which would provide students and parents the opportunity to view and compare schools' tuition increases over time.
In the original legislation, the act called for a "Watch List," which would be a policing system against institutions that raise tuition sharply, according to the article.
Boulus said that wording has changed.
"They're taking the words 'Watch List' out for sure," Boulus said.
The concept remains, however.
Boulus said the act would call for monitoring of school tuition increases over three-year periods. Only 5 percent of the institutions in each sector that raised their tuition by the highest percent over three years would be penalized.
Those institutions would have to report to the Education Secretary on the factors contributing to the price increases.
"I don't think you'll find that 5 percent in Michigan," Boulus said.
He said university tuition in Michigan is rising because state support has been dropping.
"Central, for instance, received less money this year than a year ago," Boulus said. "The Higher Education Act will make a statement. Maybe the state will think twice."
If approved, the act would not take effect until 2010. A temporary authorization expires March 31. The House and the Senate will attempt to present a final bill to Bush by that date.
news@cm-life.com
The Higher Education Act, if signed into law, would allow students to have access to more information about where their money is going.
The U.S. House of Representatives reauthorized and overhauled the primary law governing federal support Feb. 7 for college students.
The Senate already approved its own overhaul of the Higher Education Act, according to the article, "Higher Education Overhaul Headed to House Floor," on cqpolitics.com.
"The change will definitely help students," said Michael Boulus, executive director of the Presidents Council, State Universities of Michigan. "It provides more safeguards to students."
The act would increase the amount of information available to students concerning loans and school costs. It would also block lenders from giving schools perks in order to get on "preferred lender" lists.
Diane Fleming, CMU's associate director for client services, said the university is a direct lending school and does not deal with bank loans.
"The government is our lender," Fleming said.
President George W. Bush and his administration may not support the bill because it would "end the Department of Education's authority over the agency responsible for reviewing the performance of college accreditors," according to The Chronicle of Higher Education.
The act also would create a "Higher Education Price Index," which would provide students and parents the opportunity to view and compare schools' tuition increases over time.
In the original legislation, the act called for a "Watch List," which would be a policing system against institutions that raise tuition sharply, according to the article.
Boulus said that wording has changed.
"They're taking the words 'Watch List' out for sure," Boulus said.
The concept remains, however.
Boulus said the act would call for monitoring of school tuition increases over three-year periods. Only 5 percent of the institutions in each sector that raised their tuition by the highest percent over three years would be penalized.
Those institutions would have to report to the Education Secretary on the factors contributing to the price increases.
"I don't think you'll find that 5 percent in Michigan," Boulus said.
He said university tuition in Michigan is rising because state support has been dropping.
"Central, for instance, received less money this year than a year ago," Boulus said. "The Higher Education Act will make a statement. Maybe the state will think twice."
If approved, the act would not take effect until 2010. A temporary authorization expires March 31. The House and the Senate will attempt to present a final bill to Bush by that date.
news@cm-life.com
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