Wednesday, May 6, 2009

Will College Students Be Hurt By Change In Ohio Financial Aid?

Under a proposed state budget for education, Ohio students attending lower-cost community colleges would not receive state aid. State money would only be allotted to those whose federal Pell Grants did not cover their educational expenses, cutting out funding for students attending lower priced community colleges.

Governor Ted Strickland argues that because of an increase in Pell grant awards (the cap will be increased $500, or from $4,850 to $5,350), and tuition freezes, community college students, whose tuition rates are an average of $5,100 cheaper than four-year schools, should be able to afford attendance without extra aid. One student says she uses the state aid money for books and living expenses, and would have to take a loan if it was cut. Many students attending community college already take out loans.

The governor’s proposal also includes a provision to give state need-based aid according to the type of school a student attends. Tuition for public schools in Ohio averages $10,000 while private school tuition averages $22,461 a year. This would give more flexibility in helping needy students, but would come at the expense of cutting the $34.5 million dollar Ohio Student Choice Grants program, which gives $660 to any Ohioan attending a private college in Ohio this would cut total state student aid by 46% and cost the 70,000 students attending private school in Ohio about 46 million dollars in financial aid. On average, private school students in Ohio receive about $5,000 in combined state and federal aid, but still have about $6000 of debt.

All the more reason to help your children prepare well for applying to college so that they can either qualify for merit-based aid, aid directly from the school. Visit the College Funding Relief website for guidance on the FAFSA, EFC and College Financial Aid.