Budget Axe Spares Higher Education

Higher education survived relatively unscathed in the Clinton administration's budget for the 1995 fiscal year, which was otherwise notable for efforts to cut spending and streamline the federal work force.

The Department of Education received a seven percent increase in its "discretionary" budget over last year. The discretionary budget, which covers all programs that are not entitlements (and, therefore, are available to all who qualify), rose to $26.1 billion, according to reports in the Chronicle of Higher Education.

"This is one of the largest increases provided to any agency in the President's 1995 budget, and we believe it is a sound investment in America's future," Education Security Richard W. Riley said in a press conference after the announcement.

In his budget, Clinton pledged to increase the Maximum award under the Pell Grant program to $2,400. For the past two years, the upper limit on Pell Grants, the primary federal source of scholarships for low-income students, has been $2,300.

While some programs that have survived scrutiny in the past--like the State Student Incentive Grants (SSIG)--are scheduled to be axed, college students will be eligible for $1.2 billion more in federal aid under the administration's plan. This includes an increase of $936 million in loans, $476 million in Pell Grants and $100 million in work-study funding.

The budget attributes the increase in funds for the work-study program to a new federal requirement that at least five percent of all work-study expenditures be used to support students working in community service.

The administration's budget also proposes that the $158 million outlay to the Perkins Loan Program be eliminated. Perkins is the only federal loan program based on college campuses and is financed by a combination of government and college funds.

David Evans, staff director of the Senate education subcommittee, told The Chronicle that "given the tight budgetary constraints overall, this is a superb, budget."

"If you balance [the cutbacks in SSIG and Perkins] against the gains for Pelland college work-study, this is still a very goodbudget for education," he said.

Several smaller programs, however, suffered asa result of fiscal stringency.

The $14.9 million Law School ClinicalExperience Program, the $4 million EisenhowerLeadership Program and the $13.7 millionCooperative Education Program were among thoseeliminated under the new budget

Several smaller programs, however, suffered asa result of fiscal stringency.

The $14.9 million Law School ClinicalExperience Program, the $4 million EisenhowerLeadership Program and the $13.7 millionCooperative Education Program were among thoseeliminated under the new budget