| FOR
RELEASE: January 8, 2003 |
Contact:
Stephanie Babyak Jane Glickman (202) 401-1576 |
I am pleased to lend my support to the bipartisan legislation introduced yesterday that will improve access to higher education for disadvantaged students by reducing red tape in the federal student aid programs.
House Subcommittee on 21st Century Competitiveness Chairman Howard P. "Buck" McKeon deserves recognition for his perseverance and commitment to completing the work he started nearly two years ago when he launched the FED UP initiative to reduce regulatory burden in the student aid programs. House Education and the Workforce Committee Chairman John Boehner deserves our thanks as well. Additionally, we should recognize the late Rep. Patsy Mink who cosponsored the original legislation in the 107th Congress.
This legislation is based on recommendations submitted to the 21st Century Competitiveness Subcommittee by students, financial aid administrators, lenders, college officials and other interested parties in response to the FED UP project initiated by the Subcommittee in 2001.
As a result of the FED UP project, the department held negotiated rulemaking sessions this past spring with interested parties in order to address recommendations that did not require legislative action or result in increased program costs. For example, the final regulations published by the department reflect the recommendation made by many in the higher education community to eliminate the regulation known as the "12-hour rule," which restricted financial aid for students enrolled in distance education and other non-traditional term programs. The "12-hour rule" was identified as a regulatory barrier by the Web-based Education Commission in its December 2000 report.
This major deregulation effort is an example of the Bush administration's commitment to improving the department's administration of its federal student aid programs and increasing access to higher education. The effort also demonstrates what can be accomplished when the higher education community, Congress, and the department work together in the best interests of students.
Rep. McKeon's new and improved FED UP legislation makes common sense revisions to the student aid programs. For example, the legislation clarifies that scholarship aid may be awarded to low-income and minority students to prepare for and attend law school, and it makes it easier for Hispanic Serving Institutions to receive federal aid.
This version also includes a modification to the so-called "50% rule" as proposed by Rep. Johnny Isakson, which will allow more students to take classes via the Internet. In addition, the bill makes clear that home-schooled students are eligible for financial aid.
With the leadership of Representatives Boehner and McKeon, I am confident that the Congress will approve this critical legislation to improve student aid and increase access and opportunities for higher education.
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