Reconciliation Bill Update

Today, Congress and the Administration continue to work on gathering support for a reconciliation bill that will contain the Student Aid and Fiscal Responsibility Act (SAFRA) and health-care reform legislation. The Congressional Budget Office (CBO) is expected to release its finding on the pending legislation soon, which will provide the funding and budget outlines within the bill. This aspect is critical to gathering additional support for the bill. House leaders have indicated that they would like a vote on a final bill by the end of the weekend.

On the SAFRA front, there have been indications that the funding for the American Graduation Initiative (AGI) may not be included within the reconciliation bill. AGI funding is in jeopardy because Congress is using a new CBO score of SAFRA, resulting in $67 billion in savings ($20 billion less than the House passed SAFRA). The SAFRA savings is generated through the conversion of the Federal Family Education Loan Program into the Direct Loan Program. The score, coupled with the rise in Pell Grant-eligible students, has reduced the amount of funding available for AGI. Additionally, some Senators object to creating new bills in the reconciliation process. The SAFRA funding will be primarily focused on funding a Pell Grant maximum increase and deficit reduction.

On the Jobs bill front, the Senate passed its first installment of the Jobs Bill, a $17.6 billion jobs bill, by a vote of 68-29. The bill includes a payroll tax break for new hires, a small-business expensing provision, surface-transportation funding, and bond financing for infrastructure projects. The House passed the bill earlier; the bill will now be forwarded to President Obama for his signature. President Obama is expected to sign the bill. Congress is continuing efforts to move other pieces of Jobs legislation.

GRANT NEWS

The Department of Labor’s Employment and Training Administration announced the Community-Based Job Training Grant competition for this year. The closing date for the competition will be April 29th. Funded at $125 million, the awards will be distributed to “support workforce training for high-growth/high-demand industries through the national system of community, technical, and Tribal colleges.”

For more information: http://www.doleta.gov/grants/pdf/SGA-DFA-PY-09-07.pdf Read more!

Education Proposals to be Part of the State of Union Address

Today, President Barack Obama will be giving his first State of Union address to the Joint Session of Congress. According to the White House, President Obama is expected to push for additional education dollars for higher education and K-12. The Administration is requesting that the Department of Education’s funding level grow by 6%. The President will likely press Congress to pass the FY2010 Education Reconciliation and the American Graduation Initiative. The Administration’s formal budget request will be released on Monday, February 1.

As for the jobs bill, Senate Democratic leaders are coalescing around a proposal that would provide over $80 billion for infrastructure, energy, and state aid. The House passed its $154 billion jobs bill in December. The Senate Democratic leaders may unveil their bill as early as tomorrow.

In other news, the Center for American Progress held an event on “Community Colleges and Competitiveness: Generating Economic Opportunity Through Innovation in Postsecondary Education” this morning in Washington, D.C. The event was keynoted by Second Lady Dr. Jill Biden, a professor at Northern Virginia Community College. Assistant Secretary of the Office of Vocational and Adult Education Brenda Dann Messier also keynoted the event.

The event had a number of other speakers including Gail Mellow, President of LaGuardia Community College and Keith Bird, Chancellor Emeritus of Kentucky Community and Technical College System. More information can be found at: http://www.americanprogress.org/events/2010/01/commcoll.html. The video for the event should be available online shortly. Read more!