Give college students a little help

Daily Bulletin 1/21/07

This year, tuition at the 109 California community colleges dropped by $6 a unit, a rare event indeed. Meanwhile, tuition at four-year universities - both private and public - have skyrocketed by about 5 percent to 10 percent a year for the last decade, well outpacing inflation.

Last year, 5.5 million students took out subsidized federal student loans to finance the escalating costs of a college degree. Often, student debt burdens have risen in proportion with profits of private lending institutions.

This week, Congress began a long overdue reversal of a trend that is weighing down middle class families of college students and scaring away potential freshmen. The new, Democratic Congress on Wednesday overwhelmingly passed a five-year, phased-in reduction of the Stafford student loan rate from 6.8 percent to 3.4 percent that would result in about $4,000 in savings for a student who would normally graduate $20,000 in debt. We urge the Senate to approve it and the president to sign it.

Under the bill, Congress would pay for the $6 billion reduction by upping lender fees paid to the government and lowering the rate of return, which in the past was higher than the interest rate charged.

While lending institutions are crying foul, we believe the middle class families who take out Stafford loans can use some relief.

Too often, the middle class takes the brunt of inflation lying down. Families recently began paying a lot more for gasoline, electricity and natural gas - just to get to and from work and keep the lights and heat on at home.

One regret is that the House version does not go as far as promised by Democrats. The bill offers no relief for parents who take out extra loans (often seconds and thirds on home mortgages) for studious sons and daughters. Perhaps a version being drafted in the Senate could be broadened - as long as it doesn't jeopardize passage. Some senators want to see amounts increased for Pell Grants, which are given to low-income college students.

However, Democrats, busy in their self-described "100 hours" agenda, need to go slow. We like the focus on helping the middle class - a group Democrats have been accused of abandoning in their recent lean to the left.

Still, even the modest reduction in college loan rates won't be enough to help high school seniors from middle class Inland Valley neighborhoods attend local private schools. Many, including the Claremont Colleges, are among the most expensive in the nation. Cal Poly Pomona and Cal State San Bernardino are bargains, but still cost thousands of dollars a year in tuition, books and fees.

Even with this measure passing, we agree with the Republicans' call for restraint on the part of private and public colleges in holding down tuition and fees. Both actions are needed to help send our students off to college and adequately train our future work force.