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New Federalism and Education

Federal Student Aid Cutbacks Force Massachusetts to Respond

By Jacob M. Schlesinger

In his opening address at a School of Education conference Sunday. Terrell H. Bell, secretary of Education, talked about New Federalism in the field of learning. The message, as it has been with public welfare, civil rights and environmentalism, was that government at the national level had taken on too much, and that states must now shoulder a greater burden.

Bell's remarks surprised no one the federal government has already acted on its share of the plan. All levels of schooling have been affected from hot lunches at elementary schools to research programs at universities.

One of the areas that has been most seriously slashed is student grant and loans program. In Fiscal Year 1981, more than $3.5 billion in federal funds went to and college students. President Reagan's 1983 budget allows for less than $1.8 billion.

The challenge now is formulating a state response. During the past decade when federal and rose rapidly most legislators and students neglected other government options. Now, they are asking for help In Massachusetts, where colleges and universities generate $3 billion a year, the pressure is perhaps greatest.

Next year the Commonwealth will lose $67 million in federal aid--a loss that will be exacerbated because the state has never been a generous provider

The Commonwealth ranks 47th in the nation in appropriations per capita for higher education a study sponsored by the Massachusetts Higher Education Action Council and the state Board of Higher Education shows. The report released this week after two years of preparation, concludes that at a time when the Reagan Administration is proposing unprecedented reductions in federal support for education, it is crucial that Massachusetts provide funding for its students."

The study projects that contrary to widespread belief, enrollment in state schools will level off and that even without federal cuts, the need for state and will grow. Despite inflation and rising overhead costs, the set number for state grants has remained at $900. In the early '70s Massachusetts money covered total tuition for some of the lower-priced colleges in the state but now it goes towards no more than 40 percent.

The state has already responded to the increased need Gov. Edward I King last January authorized the Commonwealth to float bonds increasing money for student loans. An official for the Association for Independent Colleges and Universities in Massachusetts (AICUM), a higher education lobbying group said yesterday that while they support the plan, which will start raising funds this summer, "it is only part of the solution."

Another source of concern highlighted by Dan Perlman president of Suffolk University at the press conference where the report was released is the amount of money the state provides for grants in relation to loans. Noting that students are expected to pay back $15 in aid for every $1 they are given he portrayed the "dire economic burden of debt" Some graduate students have a $20,000 debt along with their degrees.

The panel which also included Kenneth G. Ryder, president of Northeastern University and Barbara Turnow, incoming president of the state association of financial aid directors endorsed a bill currently before the legislature that would increase state aid by boosting excise taxes on cigarettes. The legislation provides $28 million for student grants and loans, and would make 7000 more students eligible for the money.

King has not yet taken a stand on the bill and an aide said this week that he may have problems with the portion that would increase taxes. But despite the governor's reservations and opposition from the tobacco industry, the measure has a good chance of passing. The Senate passed the bill with case yesterday and the House chairmen of the three key committees taxation, education and ways and means--have all strongly endorsed the legislation. They appeared at a press conference two weeks ago with several university presidents, including President Bok. Bok said at the time that the federal government "in a certain sense has declared war on student and programs. "He added, "I can't imagine any year when a state initiative like this would be more important."

Bok's appearance raises the question of how much the University may benefit from the proposed program Unlike other schools, such as Emerson College where 70 percent of the students come from the Commonwealth, only a quarter of Harvard undergraduates come from Massachusetts. While no school is heavily dependent on state and, less than $500,000 of the $12.3 million in and the College receives is state money, said Martha C. Lyman, director of financial aid.

Officials say they have not determined how much Harvard stands to gain from the bill and James King associate dean for government and community affairs, says that the University's support stems more from an interest in bolstering the state's higher education in general, and because "we want to create an environment where students can apply to schools like Harvard.

King says that Harvard continues to follow the legislation and is doing what ever the legislators want to aid in its passage. But Richard W. Black, associate director of financial aid and the financial and office's main contact on the bill, said he has not been contacted not has he done any work on it since the initial expression of support.

College officials as well as members of the Coalition for Student Aid which organized a rally against federal and cuts two months ago said they were unaware of the "day of lobbying" for the cigarette tax bill, which took place last Tuesday. But financial aid directors from Brandeis. Emerson, Wellesley and Boston University and students from Salem State. Boston College and Brandeis came to the event, sponsored by the Massachusetts Public Interest Research Group (MASSPIRG). In the morning, the group of about 30 talked strategy, and in the afternoon they discussed the bill with aides to more than 40 legislators. The response, they said, was from almost all sides, positive

To follow up on their efforts, student representatives from each of the campuses say they will begin letter-writing campaigns, and MASSPIRG officials talk about starting a media blitz, including meeting with editorial boards on several newspapers. An AICUM official said last week that a television and radio ad campaign will begin in the next couple of weeks.

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