An economic argument for ED’s proposed budget

Rep. Robert Aderholt (R-Alabama) opens Tuesday's appropriations hearing on the Education Department's proposed budget for fiscal year 2024. (Images: Screenshots from streamed event)

During a House appropriations hearing on Tuesday, the Biden administration’s request to increase funding for U.S. Education Department (ED) programs by 13% clashed with House Republicans’ call to cut federal spending by about 22%.

During the hearing that included testimony from Education Secretary Miguel Cardona, Republicans largely targeted the president’s plan to cancel federal student loan debts, saying it’s unfair for Americans who opted not to go to college or to attend a less expensive college. Some members also took aim at the administration’s proposal to offer free community college.

Rep. Juan Ciscomani (R-Arizona), a graduate of Pima Community College who received a Pell Grant, questioned the need for the proposed free community college program when public two-year colleges are already quite affordable. And in many cases, Pell grants cover those expenses, he said.

“We have to be careful and not think that massive new spending is the answer,” he said.

ED’s proposed budget would include a new $500 million competitive grant program to provide two years of free community college for students enrolled in high-quality programs that lead to a four-year degree.

Focus on Pell

Rep. Robert Aderholt (R-Alabama), chair of the House education appropriations panel, also called out the free community college program, reiterating that it was not fair to those who opted not to attend college. He said he would rather continue to focus on programs such as Pell and Trio.

“Pell grants and participation in Trio help first-generation college students chart a course to a better future in the middle class,” he said. “We need to continue to help these students. Not only enroll but also to graduate and find good-paying jobs.”

ED’s budget plan seeks to increase the maximum Pell award next year by $820 to $8,215, with an ultimate goal of doubling the maximum award by 2029.

Cardona responded that it’s a question of affordability. Too many students opt not to attend college because it’s too expensive for them and they don’t want to put their families in debt. He noted that Pell hasn’t kept up with inflation, citing that 54% of students’ community college costs are covered by Pell.

U.S. Education Secretary Miguel Cardona makes the case for the department’s proposed budget.

Preparing for ‘tsunami of careers’

Cardona also pitched the free community college plan as an economic investment.

“We have an opportunity of a lifetime to prepare our students for the tsunami of careers that are coming,” he said, referring to new jobs that will be created through recent federal legislation, especially the Bipartisan Infrastructure Law and the CHIPS and Science Act. “To me, providing universal access to two-year schools will prepare our workforce (and) add to the economy, making sure folks get into these jobs making $60,000/$70,000 to start, without $150,000 in college debt.”

That includes not only younger students and traditional college-age students, but also adults who want to upskill to upgrade their jobs or pursue a new career, Cardona said.

Aderholt said Cardona’s argument has merit, but its costs have to be balanced with tackling the federal debt and not adding to it.

What if?

Democrats on the panel focused on Republicans’ circulated plan to cut federal funding back to fiscal year 2022 levels. Citing an ED estimate of implementing the decreases, Cardona said 6.6 million Pell recipients would be affected by such cuts, cutting about $1,000 from the awards. That could be the difference for some students whether they can afford to go to college, he said. Another 80,000 recipients could lose their total Pell award under such a plan.

Republicans on the subcommittee countered that any proposed cuts would not necessarily be across the board.

Much of Tuesday’s hearing focused on ED’s proposals for Title IX, with Republicans charging that the department’s proposed rule would hurt biological women’s participation in sports and counter the intent of Title IX. Several lawmakers on the panel noted that if the law needs to be changed, it’s the job of Congress to do so, not the executive branch.

About the Author

Matthew Dembicki
Matthew Dembicki edits Community College Daily and serves as associate vice president of communications for the American Association of Community Colleges.
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