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CRS87285EPWpage47
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CRS87285EPWpage47
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943.900; : 15.5 1 -9.6 1984 1,037,800 8 27.0 -6.1 1985 1,100,000 34.6 8 ' -6.3 1986 i l,l45.148 8 40.1 -7.1 1987 8 ' 1.281,000 56.7 0.2 1988 request 11.228,142 50.2 -7.2 3/ Funds for State agencies are available for obligation only during the indicated fiscal year. 2/ The introduction and appendix discuss adjustments for inflation.
CRS87285EPWpage50
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CRS87285EPWpage50
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.CRS-44 FY 1987 APPROPRIATIONS For FY 1987, the Congresss appropriated $1.281 billion for the basic State grant program, an increase of 56.7 percent over the FY 1980 amount. This amount is an increase of 0.2 percent over the FY 1980 amount when adjusted for inflation. The FY 1987 appropriation includes $3.2 million required to be set aside for grants to Indian tribes. FY 1988 BUDGET REQUEST
CRS87285EPWpage46
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CRS87285EPWpage46
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appropriation for the State grant program is $1.3 billion. The FY 1987 appropriation is expected to provide a Federal share of the aver- age per pupil expenditure of 9.25 percent during school year 1987-88; the per child expenditure would be approximately $325.9 The FY 1987 appropriation represents a 53.0 percent increase over the FY 1980 level, but a 3.2 percent increase when adjusted for inflation. FY 1988
CRS87285EPWpage49
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CRS87285EPWpage49
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or FEDERAL CHANGES ‘ Although the appropriation for vocational rehabilitation services in- creased each year since FY 1980, the percent change, when adjusted for infla- tion, did not regain the FY 1980 purchasing power until FY 1987. The number of persons rehabilitated decreased an average of 7.9 percent each year between FY 1980 and FY 1983, increased slightly in FY 1984 and FY 1985, and decreased again
CRS87285EPWpage70
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CRS87285EPWpage70
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CRS87285EPWpage66
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CRS87285EPWpage66
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CRS-60 million students participate in the Pell Grant program in academic year 1986-87, approximately 2,000 more than in academic year 1985-86. The average Pell Grant decreased very slightly from $1,278 in the 1985-86 award yearto $1,276 in 1986-87.4 The average cost of education for a public 4-year institution for the 1986-87 academic year is $5,604 of which a Pell Grant would pay approxi
CRS87285EPWpage65
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CRS87285EPWpage65
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in the 1985-86 academic year and approximately 5 percent of total revenues of these institutions. IMPACT or FEZDERAL CHANGES 6 The Pell Grant program is funded so that funds are appropriated by Con- gress for use during the following award period; therefore, the impact of the FY 1988 budget will not occur until the 1988-89 academic year. Budget re- quests and appropriations coupled with changes
CRS87285EPWpage67
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CRS87285EPWpage67
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.S. Department of Education has authority to institute a statutorily mandated reduction of awards called "linear reduction." In the 1986-87 award year an estimated funding shortfall of $400 million caused the Department of Education to issue a payment schedule based on "linear reduction." In theory, all awards are reduced propor- tionately except those at the highest level of eligibility, i
CRS87285EPWpage63
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CRS87285EPWpage63
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124.8 82.1 1986 3,579,716 5 108.4 63.9 1987 3,900,000 gy 127.0 72.4 1988 request 2,710,000 57.7 14.6 3/ /Funds for student grants are available for obligation beginning in the indicated fiscal year, and remain available through the following fiscal year. b/ Does not include obligations of funds appropriated in FY 1978, FY l979,_and FY 1981; total estimated budget authority was $2,lS7,363,000. c
CRS87285EPWpage64
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CRS87285EPWpage64
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$120 million in academic year 1973-74 (the first year of its operation) with an average award of $269, to a projected 2.802 mil- lion recipients in 1986-87 receiving $3.6 billion, with an average award of approximately $1,276. (A Pell Grant award cannot exceed 60 percent of the cost of attendance.) The total enrollment in postsecondary institutions in fall 1986 is estimated at 12.3 million students
CRS87285EPWpage68
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CRS87285EPWpage68
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Grant program is $3.8 bil- lion for academic year 1987-88 and $100 million earmarked to cover the FY 1986 \ \ funding shortfall. The FY 1987 appropriation represents an increase of 127 percent over the FY 1980 amount, and an increase of 72.4 percent when adjusted for inflation. FY 1988 BUDGET REQUEST The Administration's FY 1988 budget request recommends $2.71 billion for the Pell Grant program
CRS87285EPWpage62
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CRS87285EPWpage69
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CRS-63 1987 GSL program costs would be substantially lower than previously anticipated due to declining Treasury bill rates and related loan interest subsidy costs.) The Administration anticipates providing awards to all eligible Pell Grant applicants in award year 1987-88. 8 Legislative proposals (not yet introduced) to accompany the FY 1988 budget request would limit eligibility for the Pell
CRS87285EPWpage84
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for under- graduates and $18,000 for graduate and professional students. The amount of any student's Perkins Loan, however, is determined by the school that the stu- dent attends. After leaving school, a borrower may have up to 10 years to re- pay a Perkins Loan although qualifying deferments may further lengthen the re- payment period while certain types of public service (e.g., teaching
CRS87285EPWpage80
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CRS87285EPWpage80
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1987 appropriations level for the CWS program is $592.5 million. The FY 1987 amount represents an increase of 7.7 percent over the FY 1980 amount, but a decrease of 18.2 percent when adjusted for inflation. FY 1988 BUDGET REQUEST The Administration's FY 1988 budget request recommends no funding for the College Work-Study (CWS) program as well as other campus-based student aid. The Administration
CRS87285EPWpage85
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CRS87285EPWpage85
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maintained at participating institu- tions, in part with capital from previous Federal capital contributions. In the 1980-81 academic year, 914,000 NDSL recipients received an average award of $775, benefiting from a total of $710 million in available funds. Sixi years later, in 1986-87, an estimated 896,000 NDSL (Perkins Loan) recipients
CRS87285EPWpage86
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CRS87285EPWpage86
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) not included in this amount. The FY 1987 total represents a decrease of 30.2 percent from the FY 1980 amount, and a decrease of 45.8 percent when adjusted for inflation. FY 1988 BUDGET REQUEST . The Administration requests $26 million for Perkins loans for FY 1988, to provide funding for loan cancellation payments. No funds are requested for new Federal capital contributions, with new loans being made
CRS87285EPWpage83
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»CRS-77 PERKINS LOANS Title IV, part E of the Higher Education Act (P.L. 89-329), as amended. FUNDING Percentage change 8 9 « 1 , lfrom FY 1980, Fiscal Appropriation Percentage change adjusted for year 2/ 7(in thousands) from FY 1980 inflation 2/ 1980 6 $300,800 - -- -- 1981 200,800 -33.2 -37,2 ‘ l982 193,360 -35.7 -4251 1983 193,360 -35.7 -44.4 1984 180,860 -39.9 -49.9 1985 217,482 -27.7 -41
CRS87285EPWpage81
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CRS87285EPWpage81
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CRS-75 CRS ISSUE BRIEF U.S. Library of Congress. Congressional Research Service. Education and Public Welfare Division.a Student financial aid programs: FY87 budget [by] Charlotte Jones Fraas. [Washington] 1985. (Issue brief 86034) Archived. Susan Boreni Specialist in Education‘
CRS87285EPWpage87
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CRS87285EPWpage87
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cns-81 CRS ISSUE BRIEF U.S. Library of Congress. Congressional Research Service. Education funding issues for FY88 [by] Angela Evans [Washington] 1987. (Issue brief 87054) Regularly updated. i Charlotte Jones Fraas Specialist in Social Legislation

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