Throughout the debt-ceiling negotiations, funding for the Federal Pell Grant Program, which gives low-income students access to higher education through need-based grants that don't have to be repaid, has been tossed around as a bargaining chip. Though the bulk of Pell spending is discretionary, the program has entitlement status in that each student eligible to receive a grant is guaranteed one. Rising college tuition prices and a tough economy have fueled demand, making the program increasingly necessary and, inevitably, a target for Republican lawmakers trying to cut the budget. Though the program's costs have risen in recent years, an annual budget of around $35 billion represents a negligible contribution to the deficit.
Earlier this week, there was hope the program wouldn't suffer dramatic cuts because plans from both Speaker Boehner and Senate Majority Leader Reid increased Pell Grant spending by $17 billion and $18 billion respectively. Such funding would mean that Congress could “maintain the maximum Pell Grant at $5,550 in fiscal year 2012 and the projected $5,620 in fiscal year 2013.”
But after opposition from Republicans Thursday night caused Boehner to delay a vote on his bill and return to the drawing board, his scramble to pull his party into line puts Pell on the chopping block. House Republicans took particular issue with the House bill’s extra $17 billion in Pell Grant spending, and it’s likely Boehner will make cuts to the program in his next version in order to get the votes he needs.
As the debt deadline nears, Pell Grant funding seems frighteningly reminiscent of the battle over the Stupak Amendment in the final hours before health-care reform passed -- lawmakers risk reaching a legislative stalemate based on a social issue that's entirely irrelevant to the project at hand. This time, rather than abortion services, the 9.4 million students who rely on the program could be affected if Congress slashes funding.
