Washington, D.C. – U.S. Senators Russ Feingold (D-WI) and Susan Collins (R-ME) are leading an effort to increase the maximum Pell grant award to $4,500. In a letter to Senate Budget Committee leadership, Feingold and Collins led a bipartisan group of 43 senators in pushing for a $450 increase to be included in the fiscal year 2007 budget resolution. The maximum Pell grant award has not been increased in five years and stands today at $4,050.
“While the costs of a college education continue to rise, the maximum Pell grant award has not, forcing more and more low-income students to borrow more and more money to pay for higher education,” Feingold said. “We must not let economic barriers stop those who deserve a higher education from receiving one. An increase in the Pell grant award is an investment in the country’s future.”
“Our system of higher education is in many ways the envy of the world, but its benefits have not been equally available. Unfortunately, it is still the case that one of the most determinative factors of whether students pursue higher education is their family income,” said Senator Collins. “Pell Grants are the cornerstone of our federal need-based student aid program and for low-income students, these grants often make the difference in whether they can afford to go to college. Pell Grants help to ensure greater access to quality higher education for all students, regardless of their financial means.”
In 1975, the amount of the maximum Pell grant award was equivalent to approximately 80 percent of the average costs of attending a public, four-year institution, but today it covers less than 40 percent of these costs. A recent study found that students from low-income families were significantly less willing to finance college through borrowed money than wealthier students.
A copy of the letter is available upon request.