H.R. 2669, Making College More Affordable, Strengthen the Middle Class

WASHINGTON D.C. — Congressman John Conyers, Jr., made the following statement today on H.R. 2669, The College Cost Reduction Act of 2007; legislation which will cut excess subsidies paid by the federal government to lenders in the student loan industry and reinvest those funds to allow for the single largest investment in higher education since the GI bill, at no new cost to taxpayers:

“Over the last few decades, the cost of a postsecondary education in our country has more than doubled for graduates with student loans, from $9,250 to $19,200 – a 108 percent increase (58 percent after accounting for inflation). As the richest nation in the world, we have a moral obligation to eliminate the barriers this de facto economic segregation erects. No child should be forced to forgo the dream of a college education due to fear of debt, and no child should have that potential debt dictate their future career choice.

The College Cost Reduction Act will provide us with a real chance, a $15.1 billion chance, to roll back the spiraling cost of higher education in this country. By cutting interest rates in half on subsidized student loans and increasing the maximum Pell Grant scholarship, this act makes College more affordable and moves more Americans into the middle class.”

“In the first 50 legislative hours of the 110th Congress, the Democratic majority in the House of Representatives took up and passed H.R. 5 the College Student Relief Act, which cut the interest rates in half on certain subsidized student loans over the next five years. In passing that legislation, we kept our promise of making college more affordable and accessible. Today, with H.R. 2669, the College Cost Reduction Act, we build on this effort and once again prove that the 110th Congress is on the job and fighting for a better America.”

When enacted into law H.R. 2669, will mean an average Michigan student will save $4,240 in a four year loan with lower interest rates. Additionally, the increase in Pell Grant funding will be beneficial to 200,534 Michigan students. This bill also improves college education by: