Press Release - Durbin Meets wiith OMB Director Rob Portman to Discuss Illinois Priorities

DURBIN MEETS WITH OMB DIRECTOR ROB PORTMAN TO DISCUSS ILLINOIS PRIORITIES

U.S. Senator Dick Durbin (D-IL) today met with Office of Management and Budget (OMB) Director, Rob Portman, to urge him to embrace bipartisan cooperation in the effort to provide full funding for Amtrak and cut student loan interest rates.

"Unfortunately, the President has consistently cut Amtrak funding and has even advocated complete privatization of passenger rail," said Durbin. "Today, I stressed to Director Portman that it is time for the Bush Administration to realize that if federal support is important enough for our nation's highways and airports, then an investment in passenger rail should be a priority. And we shouldn't depend on cash-strapped states like Illinois to pick up more of the burden. The State of Illinois, despite a significant budget deficit, has recently doubled their commitment to Amtrak funding resulting in the first Midwest Amtrak expansion in almost 20 years."

Durbin recently helped secure a commitment from Amtrak to supply four new trains for additional round - trip service on the three Illinois routes. The 2007 Illinois budget committed to finance the service for these trains by doubling their Amtrak funding to $24.3 million. As result of this state and federal cooperation, new service has begun on the Carbondale, Quincy and St. Louis lines.

In today's meeting, Durbin also discussed the need for cooperation and bipartisanship in the new Congress in order to make college more affordable. Durbin stressed that cutting student loan debt by lowering interest rates should be a top priority of the 110th Congress.

"New interest rates on student loans could make the price of higher education unaffordable and cost students the opportunity to get a college education," said Durbin. "Raising interest rates shortchanges our children's futures while threatening our country's ability to remain competitive in the global marketplace."

Durbin has introduced legislation, the "Reverse the Raid on Student Aid" bill, which cuts interest rates in half, from 6.8 percent to 3.4 percent, for students with subsidized loans - which go to students with the most financial need - and from 8.5 percent to 4.25 percent for parent-cosigned loans, starting in July 2006. Under this new legislation, the typical undergraduate student borrower with $17,500 in student loan debt would save $5,600 over the life of his or her loan. Recent reports indicate that, from 2001 through 2006, the price of tuition, fees, and room and board at four-year public institutions has increased by 44 percent. According to the U.S. Department of Education, the average student debt has increased by more than 50% over the last decade.

http://durbin.senate.gov/record.cfm?id=265997&&