[News From Congressman Bart Stupak] 
For Immediate Release
February 7, 2008
Contact:  Nick Choate
(202) 225-4735

HOUSE PASSES STUPAK AMENDMENT TO PROVIDE LOAN RELIEF FOR ADMINISTRATORS IN LOW-INCOME SCHOOLS

Provision would benefit 241 schools in northern Michigan, 2,325 statewide

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WASHINGTON – The U.S. House of Representatives today adopted an amendment authored by Congressman Bart Stupak (D-Menominee) to provide federal student loan relief to principals and administrators in low-income schools.  The amendment to the College Opportunity and Affordability Act (H.R. 4137) would apply to any federal loan borrower who has been employed as a full-time school superintendent, principal or other administrator for five consecutive years in an eligible low-income school, including 241 schools in northern Michigan.

“Like teachers, qualified school administrators and principals are crucial to creating an effective learning environment,” Stupak said.  “But unlike teachers, school administrators and principals are not given access to the same loan forgiveness programs for their service in low-income schools.”

The U.S. Bureau of Labor Statistics (BLS) projects the demand for primary and secondary school principals to increase by 12 percent between 2006 and 2016.  At the same time, teachers are becoming less inclined to seek administrative positions, many believing the modest pay increase is not enough to compensate for the greater responsibilities.  BLS also notes that school administrators will remain in greater demand in rural and urban areas, where pay is generally lower than in the suburbs.  In the most recent study by Michigan State University’s Education Policy Center, 60 percent of Michigan superintendents said their district faces a shortage of qualified principal candidates.

“Low-income schools – which often offer lower salaries and more difficult professional challenges – have difficulty recruiting qualified principals and administrators,” Stupak said.  “Under current law, if a teacher is eligible for loan forgiveness, but is promoted to an administrative position in that same school, they lose access to the loan forgiveness program.  My amendment would address this problem, helping low-income schools recruit and retain the talented school administrators they need.”

For a school to be considered low income 30 percent or more of the students must come from low-income households.  In the 2007-2008 school year 2,325 primary and secondary schools in Michigan qualify as low-income, with 241 of those located in Stupak’s northern Michigan congressional district.

“We need to make sure low-income schools can compete for the best young talent,” Stupak said.  “As families are increasingly turning to student loans to finance a college education, loan repayment programs will be an even more valuable incentive.”

Stupak’s amendment has been endorsed by the National Education Association, the American Association of School Administrators and the National Association of Secondary School Principals.

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[NOTE: A list of low-income schools in Michigan’s First Congressional District is available by contacting Nick Choate at 202-225-4735 or nick.choate@mail.house.gov.]
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