Student Aid And Fiscal Responsibility Act Of 2009

Floor Speech

* Ms. MATSUI. Madam Chair. I rise today in support of the legislation before us today, H.R. 3221.

* A college degree is now deeply intertwined with the promise of the American dream, and it is our responsibility to provide equal opportunities to America's students. As the skill requirements of jobs continue to increase, so too should access to postsecondary education for all of our nation's students.

* The Student Aid and Fiscal Responsibility Act directs the government to originate all student loans and it also ensures that there is a role for private industry, guarantee agencies, and non-profits in providing their services. This truly is a public-private partnership.

* Moving all loans to the Direct Lending program will save the federal government and taxpayers almost $100 billion over the next 10 years as it eliminates tax-payer funded subsidies private lenders have been receiving to make student loans. Students in Sacramento will see a dramatic increase in their Pell grant awards over the next 10 years with total amounts going from $44 million to over $110 million in our community alone.

* The savings found through this proposal will help strengthen the Pell grant program, keep interest rates on student loans low, improve community colleges, and expand early childhood education.

* Given the recent economic downturn, more and more students are seeking aid, and additional Pell funds will allow them to achieve their goals.

* Elisa Piña is a fourth year student at California State University, Sacramento, which is located in my district. She is receiving the Cal Grant and the Pell Grant, and is also a participant in the Federal Work-Study Program. With the recent state budget cuts to the Cal Grant, the Pell Grant is crucial to her ability to stay in school.

* Elisa comes from a low-income family. Without the financial aid afforded to her through these programs, she would have never been able to afford college.

* Elisa's story, thanks to the federal loan program this Congress has supported, is one of millions in communities all across the country. The bill before us today will make her dream of going to college a reality for millions more.

* Madam Chair, for all of these reasons, I urge my colleagues to support the underlying bill.

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