Welch Backs Passage Of Largest Student Aid Increase Since 1944 GI Bill, No New Cost To Taxpayers

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Welch Backs Passage Of Largest Student Aid Increase Since 1944 GI Bill, No New Cost To Taxpayers

Rep. Peter Welch today voted in favor of the largest student aid increase since the GI Bill passed in 1944.

The legislation is expected to benefit over 10,000 Vermont students, providing an estimated $44 million in financial aid and cutting interest rates for an average savings of $4,370.

The College Cost Reduction Act of 2007, H.R. 2669, passed 273 to 149, and provides nearly $18 billion in financial aid over the next five years, cuts interest rates on student loans, and provides college cost containment incentives. The bill adds no new cost to taxpayers.

"This bill will make college more affordable for Vermonters and open the doors of higher education to new generations of college-bound students," said Welch. "Providing badly needed aid to our students, containing college costs, and doing so at no new cost to taxpayers is a real reflection of how priorities can change in Washington."

The legislation pays for itself by reducing excessive federal subsidies paid to large lenders in the college loan industry by $19 billion. It also includes nearly $1 billion in federal budget deficit reduction.

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