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TUESDAY BUZZ: Maximum Pell Grant Maintained in FY 2011 Budget Compromise; Other Student Aid Programs Cut

April 12, 2011

 

​The maximum Pell Grant award of $5,500 will be preserved in the fiscal year 2011 budget compromise struck by lawmakers Friday night, but year-round Pell Grants, among other federal student aid programs, have been eliminated.

The compromise bill cuts $38.5 billion from the budget altogether and would fund the government through Sept. 30, 2011, if passed.

Funding levels were reduced for the following programs: Federal Supplemental Education Opportunity Grants (SEOG) ($20 million), TRIO ($25 million) and GEAR UP ($20 million). Thurgood Marshall Legal Scholarships, B.J. Stupak Olympic Scholarships, Robert C. Byrd Honors Scholarships and Teach for America appropriations were completely eliminated from the $1.049 trillion bill. An additional across-the-board cut of .02 percent to all but defense is expected.

House and Senate votes are slated for later this week.

For media coverage of the bill, see the following:

Democrats Allow Trims to Favored Programs
The New York Times (free reg. req.)

U.S. Lawmakers Reach Agreement on $38 Billion in Budget Cuts
Bloomberg

Budget Saves Many Programs From Painful Cuts
The Associated Press (NPR)

Budget Deal: Cuts of $38B Include Accounting Gimmicks, Target Obama Priorities
The Washington Post (free reg. req.)

Budget Deal That Averted a Federal Shutdown Largely Spares Education, Obama Says
The Chronicle of Higher Education (April 10, 2011)

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