President Bush's budget for the next fiscal year offers good and bad news for college communities, proposing increases in some types of aid but cutting funds for other programs and failing to offer increases in student grants.
Significant increases were given to funds for educational research, and aid to historically black and Hispanic-serving institutions was raised by three percent.
The Leveraging Educational Assistance Partnership (LEAP) funds -- which matches state scholarship funds with federal money -- were completely eliminated in Bush's budget plan, however, and no move was made to raise the maximum Pell Grant available to students.
Pell Grants are federal funds available to students who qualify as financially needy. Roughly 15 percent of Dartmouth students in a given class receive the grants, the maximum award per student being set at $4,000.
Many schools, including Dartmouth, have had to raise tuition costs, and lobbyists had hoped to see an increase in the maximum Pell Grant award to address the rising cost of education.
According to Director of Financial Aid Virginia Hazen, it is difficult to predict how a lack of increase in the grants would impact the Dartmouth community.
"We never know from year to year how many students will be eligible for grants," Hazen said.
Because Dartmouth will make up the difference between the grant amount and a student's needs, any changes in the Pell Grants would not result in a student being unable to afford Dartmouth.
However, if more of the College's funds are required to cover the difference between federal grant money and cost, it could result in an increase in what are termed "self-help" awards.
"We could see an increase in loans compared to grants," Hazen said.
According to Hazen, LEAP funds make up a very small percentage of Dartmouth students' aid receipts, since few states allow the money to be used for out of state colleges. With no more matching funds, though, students who do receive them could see drastic decreases in their aid.
"States won't have the resources to make up the funds," Hazen said.
On the positive side, Hazen still predicts a slight rise in the amount of Pell Grants next year's students will receive. Bush's budget also includes plans to increase the amount of loan forgiveness for students who agree to teach math, science or special education in disadvantaged schools.
In the same vein, the budget calls for a 56 percent increase in funding for AmeriCorps, which provides money for college tuition in exchange for domestic community service.
Dartmouth is currently involved with two AmeriCorps programs, Serve New Hampshire and America Reads. Recent graduates also participate in Teach for America and Vista programs.
"The increased funding will hopefully open up more opportunities to get involved in these programs," Tucker Foundation employee Josh Lozman said. "The aim of the expansion is to get as many people involved as possible."
The possibility of more spaces for applicants is good news for Kate Moran '05, who wants to participate in Teach for America after graduation.
"It's so selective, so more money will mean that more people will be accepted," Moran said.
Bush's budget still faces approval by Congress, which could make significant changes to the proposals.
