American Federation of Teachers - Oregon Endorses Jeff Merkley

Press Release

Sen. Jeff Merkley won a key endorsement today from the Oregon affiliate of the American Federation of Teachers, who represent over 15,000 Oregon workers in K-12, child care, community college, and higher education.

"Jeff Merkley has been a true champion for educational professionals, teachers, and students, which is why we're proud to endorse his reelection," said David Rives, President of AFT-Oregon. "While Jeff has been supporting our members and fighting to ensure that all Americans have a fair shot at affording college, Monica Wehby is not on the side of educational professionals or Oregon's working people. She would oppose legislation to make college more affordable, she says she wants to enact an extreme Tea Party budget that would constitutionally require cuts of up to 25 percent to programs like education, and she's singled out the Department of Education that administers direct student loans as something she would look at eliminating in its entirety. Rather than address the rising costs of higher education, Monica Wehby even said that if students can't afford college, they should just find an alternative path. That's the wrong approach for Oregon. We need Jeff to return to the Senate to keep fighting for Oregon's priorities."

As the first in his family to go to college, Jeff knows that access to higher education is critical to the success of the middle class and our nation's economy. Jeff has helped make college more affordable by supporting student loan reforms that ended the practice of subsidizing big banks for issuing loans to students. He's currently fighting to pass the Bank on Students Emergency Loan Refinancing Act, which he introduced with Senator Elizabeth Warren, that would give students the same low rates for student loans the big banks get when they borrow from the Federal Reserve. He also cosponsored legislation that would allow everyone facing massive student loan debt to refinance at today's lower rates.

"I'm the product of Oregon's public schools and I was the first in my family to go to college, so I understand first-hand how an affordable college education can change your life. Education is a major factor in determining whether our children and our nation succeed, and I'm grateful to have the endorsement of the Oregon chapter of the American Federation of Teachers," Sen. Merkley said. "I'll keep fighting to support our teachers, our schools, and to make sure that all students have a fair shot at affording a college education without crushing debt."

BACKGROUND

Merkley Helped Make College More Affordable By Ending Big Banks' Subsidies; Increasing Student Access To Grants

Merkley Voted For Legislation That Included Student Loan Reforms To Make College More Affordable.On March 25, 2010, Senator Merkley voted for the Health Care and Education Reconciliation Act of 2010. According to the Washington Post, "Thousands of schools that had relied on private lenders to issue federally guaranteed student loans must switch by July 1 to direct lending from the U.S. Education Department… More than half of the estimated $61 billion in savings over 10 years reaped from the lending overhaul would be channeled into student aid: $36 billion for Pell Grants for needy students. The maximum Pell award would rise from $5,550 in the next school year to a projected $5,975 by 2017, with the grants linked for the first time to the consumer price index in 2013." [Senate Vote 105, 3/25/10; Washington Post, 3/26/10]

Student Loan Reforms Ended Practice Of Subsidizing Banks And Other Financial Institutions For Issuing Loans To Students. According to ABC News, "The student lending overhaul ends the current program that subsidizes banks and other financial institutions for issuing loans, instead allowing students to borrow directly from the federal government. Interest rates for some borrowers will also be lowered. Now, instead of having banks use government money to loan tuition, the government will lend the funds directly… "By cutting out the middleman, we'll save American taxpayers $68 billion in the coming years,' the president said. "That's real money -- real savings that we'll reinvest to help improve the quality of higher education and make it more affordable.'" [ABC News, 3/30/10]

The Law Invested More Than $40 Billion In Pell Grants To Ensure Eligible Students Could Receive Aid. According to WhiteHouse.gov, "Pell Grant scholarships help more than 8 million Americans a year afford college, but the purchasing power of these grants has rapidly diminished over time. The Health Care and Education Reconciliation Act invests more than $40 billion in Pell Grants to ensure that all eligible students receive an award and that these awards are increased in future years to help keep pace with both inflation and the rising costs of college." [WhiteHouse.gov, 2/24/09]

Merkley Voted To Keep Student Interest Rates From Doubling

2013: Merkley Voted To Prevent Student Loan Rates From Doubling. According to the Washington Business Journal, "The House sent President Barack Obama legislation that prevents interest rates on new federal student loans from doubling. The bill, which already has been approved by the Senate, passed by a 392-31 voteWednesday evening in the House.. Under the bill, federal student loans rates will be tied to the yield on 10-year Treasury notes. That means undergraduates will pay an interest rate of 3.86 percent on loans taken out this year. Without action by Congress, undergraduates would face a 6.8 percent interest rate on federal student loans this year, double last year's rate." [Senate Vote 185, 7/24/13; Washington Business Journal, 8/1/13]

2012: Merkley Voted To Keep Student Interest Rates Low. According to CNN, "Congress voted Friday to extend low 3.4% interest rates on federally subsidized student loans for another year, barely beating a July 1deadline when the rates would double. The House voted 373 to 52 to pass the bill. The Senate voted 74 to 19 to follow suit, and President Barack Obama was expected to sign it into law." [Senate Vote 172, 6/29/12; CNN,6/29/12]

Merkley Is Fighting To Make College More Affordable

Headline: Merkley Bill Would Cut Student Loan Interest Rates [KTVZ, 5/14/13]

Merkley Cosponsored Legislation To Allow Students To Pay The Same Interest Rates On Their Federally Subsidized Loans That The Big Banks Get. According to KTVZ, "Sen. Jeff Merkley, D-Ore., cosponsored a bill Tuesday that would allow students to pay the same interest rate on their federally subsidized Stafford loans as big banks get when they borrow money from the Federal Reserve. On July 1st of this year, student loan interest rates are set to jump from 3.4 to 6.8 percent, while banks can borrow from the Fed's discount window at a rate of approximately .75 percent. "The strength and vitality of our economy depends on students having access to higher education,' Merkley said." [KTVZ, 5/14/13]

Newport News Times: "Folks Saddled With Paying High Interest Rates On Student Loans Should Be Rooting For Federal Legislation Backed By" Merkley. According to the Newport News Times, "Folks saddled with paying high interest rates on student loans should be rooting for federal legislation backed by an Oregon lawmaker. Sens. Jeff Merkley (D-Ore.) and Elizabeth Warren (D-Mass.) joined forces last week to introduce the Bank on Students Emergency Loans Refinancing Act. The proposed legislation would allow people paying high interest rates on student loans to refinance private and public federal loans at a fixed, lower interest rate." [Newport News Times, 5/11/14]

Monica Wehby's Education Priorities Are Out Of Touch With Oregon

Wehby Blamed Federal Funding For Education For Increasing The Cost Of College Tuition. According to The Statesman Journal, "The two Republican frontrunners hoping to unseat U.S. Sen. Jeff Merkley locked horns Friday night over who would be the stronger candidate in November… Conger and Wehby both positioned themselves against the Affordable Care Act, but questioned each other's stance on health care reform. Wehby called out Conger for his vote to create Oregon's state-run health care exchange known as Cover Oregon, while Conger said Wehby supported a previous iteration of Obamacare proposed by Oregon's other Democratic Sen. Ron Wyden. The candidates also agreed that federal funding for education is increasing the cost of college tuition." [The Statesman Journal, 3/8/14]

Wehby "Had No Specific Plan" To Help Students Pay For College. According to an interview published by the University of Oregon's journalism department, "[Wehby] offered no specific plan to help students pay the staggering costs of a university, however. Wehby said good jobs would help graduates to pay their college debts, but charged that "the policies of the current administration are stagnating job growth.'" [University of Oregon Newsroom, 5/14/14]

Tea Party Cut, Cap, Balance Budget Would Include "Unimaginably Deep Cuts To Education." According to the American Prospect, "As part of his ongoing struggle to gain support and credibility from the right wing, Tim Pawlenty has announced his plan to sign the "Cut, Cap, Balance' pledge. Sponsored by Let Freedom Ring and 49 other conservative groups, the pledge asks candidates to work for "substantial cuts in spending that will reduce the deficit next year and thereafter, enforceable spending caps that will put federal spending on a path to a balanced budget'… This would mimic the budget introduced by the House Republican Study Committee in April, which, according to the Center on Budget and Policy Priorities, would force Congress to slash funding by more than $3 trillion over the next ten years. This includes sharp cuts to Social Security, Medicare and Medicaid, as well as unimaginably deep cuts to education, environmental protection, food safety, nutrition assistance, and services for the elderly and people with disabilities." [American Prospect, 6/23/11]

Center For American Progress: Spending Cap Under Tea Party "Cut, Cap, & Balance" Budget Would Require A 25 Percent Cut To Everything In The Federal Budget. According to the Center for American Progress, "Capping federal spending at 18 percent of GDP--a level not seen in half a century--would actually require cuts that are even larger than those in the original House Republican budget plan… This would require a 25 percent cut to everything in the federal budget--from Social Security to veterans' benefits to the Pentagon to education. Congress could try to protect some programs from such severe reductions but then, of course, other areas would have to be slashed even more." [Center for American Progress, 7/18/11]

Tea Party Cut, Cap, Balance Budget Would Make "Drastic Spending Cuts In Areas That Democrats Have Prioritized As Opportunities For Investment: Clean Energy, Infrastructure, Education And Job Training."According to the Huffington Post, "Tuesday's vote comes after weeks of Republicans touting the bill as proof of their commitment to conservative principles. It includes three provisions: substantial spending cuts, statutory spending caps, and a constitutional amendment to require the government to balance its books each year. Republicans say the proposal is just the kind of shot in the arm needed to address the nation's staggering $14.4 trillion debt. Specifically, it calls for cutting more than $100 billion in fiscal 2012 and makes drastic spending cuts in areas that Democrats have prioritized as opportunities for investment: clean energy, infrastructure, education and job training." [Huffington Post, 7/19/11]

Wehby Would Not Rule Out Eliminating The Federal Department Of Education. During a GOP forum the following interaction occurred, "[Moderator:] "You didn't answer whether you wanted to keep the U.S. Department of education.' [Wehby:] "That's a tough call, that's the one that everyone always wants to eliminate when people ask. I think we certainly have to rein it in. whether or not we need to totally eliminate it, I just think we certainly have to rein it in, and a lot of our agencies have gotten out of control. They just continue to get larger, and larger, and larger. Just a duplicate of service of what we have at home." [Redmond Patriots, 4/28/14]

In The 2011-2012 Award Year, 11,410 Oregon Students Received $11,490,666 In Federal Work Study Program Aid. According to data from the Department of Education, 11,410 Oregon students received $11,490,666 in federal Work Study Program aid in the 2011-2012 award year. [Department of Education 2013 Databook, accessed 9/10/14]

In The 2011-2012 Award Year, 8,567 Oregon Students Received $13,857,756 In Federal Perkins Loan Aid. According to data from the Department of Education, 8,567 Oregon students received $13,857,756 in Federal Perkins Loans in the 2011-2012 award year. [Department of Education 2013 Databook, accessed 9/10/14]

In The 2012-2013 Award Year, 121,189 Oregon Students Received $429,093,630 In Federal Pell Grants. According to data from the Department of Education, 121,189 Oregon students received $429,093,630 in Federal Pell Grants in the 2012-2013 award year. [Department of Education Federal Pell Grant Program End-Of-Year Report, accessed 9/10/14]

Wehby Said Students Facing Crushing College Debt Should Instead Skip College And Become Plumbers Or Electricians And Claimed "Those Jobs Start At $100,000 A Year." During a senate candidate debate at the annual Dorchester Conference, Wehby was asked if she thought there was a role for the federal government to help manage the skyrocketing costs of higher education. She responded, "I think that we need to start looking at other opportunities like vocational schools. A lot of those jobs pay a whole lot better than coming out with a, you know, a job, a degree in philosophy or, you go out there, not that there's anything wrong with philosophy. But if you get out and you have trained to be a plumber, an electrician, those jobs start at 100 thousand dollars a year, and they're available, and our businesses are having a hard time finding people that are trained for those jobs." [Dorchester GOP Debate, 3/7/14]

2012 Median Wage For Plumbers, Pipefitters, And Steamfitters Was $49,140. According to the Bureau of Labor Statistics, "The median annual wage for plumbers, pipefitters, and steamfitters was $49,140 in May 2012. Employment of plumbers, pipefitters, and steamfitters is projected to grow 21 percent from 2012 to 2022, faster than the average for all occupations." [Bureau of Labor Statistics, accessed 3/14/14]

2012 Median Wage For Electricians Was $49,840. According to the Bureau of Labor Statistics, "The median annual wage for electricians was $49,840 in May 2012. The median wage is the wage at which half the workers in an occupation earned more than that amount and half earned less. The lowest 10 percent earned less than $30,420, and the top 10 percent earned more than $82,930." [Bureau of Labor Statistics, accessed 3/14/14]

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