COTTON’S VOTE FOR RSC BUDGET MEANS ARKANSAS STUDENTS PAY MORE

Massive cuts to Pell Grants and federal student loans will increase college costs

The RSC budget illustrates Cotton’s vulnerabilities

LITTLE ROCK — Yesterday, Pryor for Senate highlighted how Rep. Tom Cotton’s votes for the reckless “Republican Study Committee” budget would be devastating for Arkansas seniors, but older Arkansans aren’t the only casualty of that irresponsible proposal. The RSC budget also includes deep and painful cuts for Arkansas students, slashing Pell Grants and immediately increasing the cost of student loans.

Political observers are starting to realize that the RSC budget is a major liability for Cotton in this campaign, and serves as a window into his my-way-or-the-highway politics that hurts Arkansas.

Cotton was the only member of the Arkansas delegation to vote for the RSC budget, which includes $106 billion in cuts to Pell Grants that more than 85,000 Arkansas student count on. Cotton’s plan also ends federal subsidies on student loan interest while they’re in college, making college more expensive and putting a quality education out of reach for many families.

“Congressman Cotton’s reckless votes to make college more expensive show that he isn’t listening to folks here in Arkansas,” said Pryor for Senate spokesman Erik Dorey. “Congressman Cotton’s plan means fewer kids able to go to college and more debt for those who do.”

Congressman Cotton used federal student loans to finance his Ivy League education, and now he wants to pull up the ladder behind him by denying the next generation of students access to a world-class education.

BACKGROUND:

Cotton Voted For $106 Billion In Pell Grant Cuts. Cotton voted for the Republican Study Committee Budget. According to the Republican Study Committee, “Recent laws like the stimulus bill have provided mandatory funding for the Pell Grant program to increase the maximum discretionary grant award. This mandatory add-on is a permanent funding item, and the amount of money provided for it each year is unspecified… [The Republican Study Committee] budget eliminates the mandatory add-on for Pell Grants, which helps curb the concerns that increases in Pell Grants lead to higher tuition and less opportunity for those most in need. This saves $106 billion over ten years.” [H Con Res 25, Vote #86, 3/20/13; FY14 Republican Study Committee Budget, 3/19/13]

Cotton Voted To Eliminate Pell Grants For Part Time Students. Cotton voted for the FY15 Ryan Budget. The budget would “eliminate [Pell Grant] eligibility for less-than-half-time students. Funding should be reserved for students with a larger commitment to their education.” [FY15 Budget Resolution, April 2014]

Over 85,000 Arkansas Students Relied On Pell Grants. “According to the U.S. Department of Education, 85,779 students in Arkansas received Pell grants in 2010-11, the most recent figures available.” [Arkansas Democrat-Gazette, 11/23/12]

FY14 Republican Study Committee Budget Would Increase Student Interest Payments By $54 Billion. A summary of FY14 Republican Study Committee Budget read “To truly improve postsecondary education, curb college costs, and relieve pressure on the federal budget, the federal government can reduce federal student aid resources… the RSC budget proposes a policy that would end in-school subsidies for undergraduate students. This would save $54 billion over ten years.” [Republican Study Committee Budget, FY 14]

Cotton Was One Of Only 31 House Members—The Only Arkansan—To Vote Against Reducing Student Loan Interest Rates. In July 2013, Cotton was the only member of the Arkansas congressional delegation to vote against Kline, R-Minn., motion to suspend the rules and concur in the Senate amendment to the bill that would set federal student loan interest rates issued after July 1, 2013 to the Treasury Department’s 10-year borrowing rate, plus 2.05 percent for subsidized and unsubsidized undergraduate loans, 3.6 percent for graduate loans and 4.6 percent for PLUS loans. The loan rates would be capped at 8.25 percent, 9.5 percent and 10.5 percent, respectively. It would require the Government Accountability Office to submit a report to Congress within four months detailing the federal government’s cost of administering the student loan program and recommendations to avoid generating additional revenue from the program. The motion was agreed to 392-31: R 221-6; D 171-25; I 0-0. [HR 1911, Vote426, 7/31/13]

Cotton Used Federal Stafford Loans To Finance His Ivy League Education. In a statement, Tom Cotton said, “My family saved for years and I worked throughout school to pay my way; like many students, it also took a combination of private and Stafford loans. Following law school, I postponed joining the Army for two years so I could repay all my loans.” [Press Release, Office of Rep. Cotton, 8/1/13]

Cotton Used A Combination Of Scholarships And Loans, Both Private And Stafford, To Finance His Harvard Education. At the Arkansas Independent Colleges and Universities Meeting, Cotton said: “First, I want to say though, access to affordable and quality education is not really a political issue. It’s something that all Arkansans and really all Americans support. Higher education certainly provided me with a lot of opportunities that I might not have otherwise had, as Rex mentioned. I knew that wouldn’t be easy. My family saved for many years and worked during school to pay my loans. Like many other students, I also used a combination of scholarships and loans, both private and Stafford.” [Independent Colleges and Universities Meeting, 11/1/13]