Vol.19 - No.56 - Apri 16, 1981

Sep 29, 2026

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Campus news report on the federal financial aid processing deadlock and its resolution through congressional compromise, focusing on Pell Grants eligibility changes, revised contribution and income parameters, and the projected impact on 100,000 to 154,000 college students. Coverage outlines the administration’s earlier plan, the House subcommittee’s actions and refusal to reduce the maximum grant, and competing views of legality. It also details student groups’ contemplated lawsuits and related Senate actions affecting student aid.

LanguageEnglish

CategoryExam

FormatPDF

Pages13

Reading Time33 min

AccessFree to download

Index

A BREAK IN THE STUDENT AID DEADLOCK

RISE OF THE ANTI-WAR MOVEMENT?

PENN's STUDENT PAPER DROPS ITS'APPALLING′COLUMNIST

HOUSE GRUMBLES,COMPROMISES TO GET AID APPLICATIONS MOVING AGAIN

CAMPUS RALLIES Vs,U.S,AID TO EL SALVADOR MULTIPLY

SECOND CLASS POSTAGEPAID AT DENVER,COLORADO S581Seiials ProcessingUaiversty Mierofiia3300 North Zeeb RoeadAnn irtor,M48106 NewspaperPlease Rush Vol.19No.56 Apri 16,1981 Grophics College Press Service A margin is provided on the eft hand side of the copy for eding mars.Word counts are approximate.Body copy s set at a maximum 70 spaces per line. Newspaper subscribing to CPSare entite to thefuluseofth contentsintis acket Editors srencourageo to edithecopytofther neds.However,easkthat CPSbe creditedwhen credit is due. Index A BREAK IN THE STUDENT AID DEADLOCK,The administration raised the specter of chaoswhen it decided to hold T:2 million aid applications ransom for congressional agree-ment to cut aid funds.Last week the administration got its compromise --whichone congressman said "stinks"--and applications started rolling again(728 words)PG.1 RISE OF THE ANTI-WAR MOVEMENT?Many worry EI Salvador is the next Vietnam.An amazing--if quiet --outpouring of opposition to U.S.involvement there over the last fewweeks has some convinced this is the next anti-war movement.Like before,the protestsare spontaneous,have begun with gentlemanly teach-ins,and have very quickly begunto polarize campus groups.Now organizers head for what they hope will be their firstmass expression,in Washington in May(1270 words)PG.3 PENN's STUDENT PAPER DROPS ITS'APPALLING′COLUMNIST,(187 words)PG.7 HOUSE GRUMBLES,COMPROMI SES TO GET AID APPLICATIONS MOVING AGAIN ED,DEPT,SWAPS APPLICATIONS FOR PROMISE TO CUT 100.000 STUDENTS OFF PEL GRANTS'A COCKED GUN AT OUR HEAD' WASHINGTON,D.C.(CPS)--In what some called a compromise and others an approvalof "an illegal act,"the critical logjam of some federal financial aid applicationshas been broken. In late March,U.S.Department of Education Secretary Terrel Bell announced hewas halting the processing of aid applications for 45 days,or until Congressagreed to the Reagan Administration's plans to cut student aid. The halt came at the time most financial aid packages are normally assembledfor the next academic year.Students who would usually discover if they had enoughmoney in May or June wouldn't find out until August or early fall. The delay in awarding aid,many administrators warned,threatened to throw More on next page Continued from previous page everything from fall,1981 enrollment to academic year budgets into chaos. Now the House Subcommittee on Postsecondary Education,though as yet unwillingto agree to all the cuts,has agreed to stiffen eligibility requirements for PellGrants(formerly called Basic Educational Opportunity Grants).In response,theEducation Department has agreed to start once again processing Pell Grant applications. The Reagan administration wanted to make students from families that earn morethan $25,000 per year or that don't contribute much toward their children'seducation ineligible for Pell Grants. The House subcommittee,while failing to fix a strict income cutoff,did agreein principle to lower the amount a family can earn and increase the amount itmust contribute in order to qualify for Pell Grants. The Congressional Budget Office estimates the moves will disqualify 100,000-154,000 college students from the Pell Grants program. The subcommittee,however,refused to lower the maximum grant from $1750 to$1200,as the administration had requested. The subcommittee went as far as it did,says Rep.William Ford(D-Mi),becauseit had "a cocked gun pointing at its head."Further delay in processing the 1.5million aid applications already on file would "wreak havoc." Ford said the Education Dept."has us over a barrel."But he told an audienceat the subcommittee hearing that the compromise "stinks."Chairman Paul Simon(D-I1)added the move was "not completely satisfactory,"while Rep.Ted Weiss(D-NY)said it merely sanctioned Reagan's "illegal act." Two student groups,angered by what they also termed an "illegal act,"con-templated suing the administration in the wa

FAQs

What caused the delay in processing student aid applications in 1981?

The administration halted processing for 45 days while awaiting congressional agreement on plans to cut student aid. The logjam was tied to negotiations over Reagan’s proposed reductions.

What changes did the House subcommittee make to Pell Grant eligibility?

The House agreed to stiffen eligibility by lowering the amount a family can earn and increasing the contribution required to qualify. It also kept the maximum grant from being reduced to the lower amount requested by the administration.

Why did student groups consider legal action after the compromise?

The U.S. Student Association and COPUS asserted the revised schedule violated the Higher Education Reauthorization Act of 1980. MALDEF also considered filing suit, though they weighed the risk that an injunction could further disrupt aid processing.

Sep 29, 2026

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