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Higher Education Act (HEA) - Title IV
The Higher Education Act of 1965 was a legislative document that was signed by President Johnson on November 8, 1965 to
strengthen the educational resources of colleges and universities and to provide financial assistance for students in postsecondary and higher education (McCants, 2003). The HEA created grants, loans and other programs to help students acquire education beyond secondary school. The "financial assistance for students" is covered in Title IV of the HEA. -
Reauthorizations of the Higher Education Act of 1965
The Higher Education Act of 1965 must be reauthorized periodically, typically every 4 to 6 years. During reauthorization Congress often makes changes and improvements in the legislation, such as adding new programs, streamlining existing programs and increasing authorized funding levels. Although changes can and do occur between reauthorizations of the HEA, the majority of important changes occur during reauthorization (Kantrowitz, n.d.). -
TRIO Programs...
TRIO services support the federal policy goals of secondary school completion, college preparation, college enrollment, undergraduate completion, and graduate school preparation. Six main TRIO programs:
-TRIO Upward Bound (UB) Program
-TRIO Student Support Services (SSS) Program
-TRIO Talent Search (TS) Program
-TRIO Educational Opportunity Centers (EOC) Program
-TRIO Ronald E. McNair Postbaccalaureate Achievement (McNair) Program
-TRIO Staff Development (Training) Program
(Dortch, 2016) -
Reauthorization of Higher Education Act
The TRIO programs are the primary federal programs providing support services to disadvantaged students to promote achievement in postsecondary education. The TRIO programs were named by the 1968 Higher Education Act (HEA) amendments, which consolidated a trio of programs under one title (Dortch, 2016). -
Middle Income Student Assistance Act
A bill signed by President Jimmy Carter to amend title IV of the 1965 Higher Education Act to increase the availability of assistance to middle-income students. This act reduces the portion of a student's total income from 70 percent to 50 percent, which is the required student contribution toward higher education expenses, for purposes of student assistance determinations (Congressional Research Service, 1990). -
U.S. Department of Education Created
In 1980, Congress established the Department of Education as a Cabinet level agency. Today, ED operates programs that touch on every area and level of education.The higher education amendments of 1980 created Parent Loans for Undergraduate Students and the the Basic Educational Opportunity Grant was renamed the Pell Grant program in honor of the sponsor, Senator Claiborne Pell. In 2013, the Pell Grant provided aid for 9million student with aid at a cost of $33 billion (McCann, n.d.). -
Consolidated Omnibus Reconciliation Act (COBRA)
The Consolidated Omnibus Budget Reconciliation Act of 1985 was signed by President Ronald Reagan and it provided major changes in the Title IV programs, such as:
-All undergraduate Guaranteed Student Loan (GSL) applicants must have eligibility or ineligibility for a Pell Grant determined prior to their receipt of GSL
-Students who were eligible for financial aid are ineligibility for other Title IV funds
-GSL and PLUS loans are disbursed in multiple payments
(Rostenkowski, n.d.) -
Reauthorization of Higher Education Act
Changes to the Title IV student aid programs included:
- Authorized the Secretary to use annual interest grants to institutions of higher education and agencies to reduce the cost of borrowing from other sources for construction, reconstruction, and renovations
- Provisions to reduce and better focus student loan subsidies
- Process to improve student loan collections and reduce defaults
- Authorize appropriations for an income contingent direct loan demonstration project
(CRS, 1986) -
Higher Education Amendments of 1988
Changes to the Higher Education Amendments of 1988 included:
-Guaranteed Student Loan (GSL) was renamed the Stafford Loan
-For the Supplemental Loans to Students (SLS) certified after August 17, 1988, the student must have received a determination of eligibility for the Pell Grant and a determination of need for a Stafford Loan
-Requires that SLS loans be disbursed in a specified manner to reduce student interest costs
(Coleman, 1988) -
FAFSA Higher Education Amendments of 1992
Major changes for Title IV funds:
-Free Application for Federal Student Aid or FAFSA was introduced
-Annual loan limits were increased while PLUS loans limits were eliminated
-Federal Unsubsidized Stafford Loan Program was introduced to borrow additional funds for those that did not qualify for the subsidized loan, or whose eligibility was limited
- Federal Work-Study program implemented a requirement for community service
(Lewis, L., & Westat, E.,1995) -
Student Loan Reform Act of 1993
The Student Loan Reform Act made adjustments to certain areas of the Federal Family Education Loan Program (FFEL) to comply with the Direct Loan Program.
-In 1993 Legislation repealed the Supplemental Loans to Student programs and increased limits on unsubsidized loans
-Reaffirmation by Congress to use professional judgment in the Federal Pell Grant Program
-Amends HEA to provide for access to FFEL program student and parent loans during the transition to the FDSL program
(Andrews, 1993) -
Direct Loan Program
In 1994 the Direct Loan Program was introduced. The program started as a pilot with about 100 schools. The program now serves over 1200 schools in the U.S..The Direct Loan Program is intended to remedy many of the problems that have developed in the past
25 years with the existing Federal Family Education Loan Program, primarily its complexity for schools and borrowers and its cost to the taxpayer.
(Federal Direct Student Loan Program, n.d.) -
Higher Education Amendments of 1998
In 1998, President Bill Clinton signed into law the Higher Education Amendments of 1998. These amendments were significant in Title IV funds. Changes included:
-Funding levels for the Federal Pell Grant were raised to the maximum authorized
-Extended Pell Grants to certain post-baccalaureate students who were preparing to teach
-Expanded eligibility by increasing the income protection allowances in the formulas used to determine a student's eligibility
(McKeon, 1997) -
Higher Education Reconciliation Act
On February 8, 2006, President Bush singed the Higher Education Reconciliation Act of 2005. Some significant changes included:
-Pell Grant was kept at $4,050 for fourth year in a row
-Increased annual loan limits without increasing cumulative loan limits
-Allowed graduate and professional students to borrow PLUS loans
-Established SMART Grants (National Science and Mathematics Access to Retain Talent) and Academic Competitiveness Grant (The Higher Education Reconciliation Act of 2005, n.d) -
Title IV Programs Today
Today, the programs authorized under the Title IV of the Higher Education Act are the major source of federal student aid. The programs include:
-Loans: Federal Family Education (FFEL), Direct Loan, Federal Perkins Loan
-Grants: Federal Pell Grant, Academic Competitiveness Grant (ACG), National SMART Grants, Federal Supplemental Educational Opportunity Grant (FSEOG)
-Federal Work-Study (FWS)
(Picture above shows the Title IV program volume as of 2005)
(What are Title IV Programs?, n.d) -
The Future of Title IV Programs
Today’s economy is different than it was 52 years ago when the Higher Education Act was first passed. Society, education, and our economy will continue to change. In the future, the hope is for these programs to continue to grow and the students to play a huge part in the development. As our communities continue to benefit from financial aid, the outcomes are what matter. The hope for the future is to increase access, quality, affordability, and educational opportunities for all Americans. -
References
-Andrews, R. (1993, May 11). Student Loan Reform Act of 1993. Retrieved September 14, 2017, from https://www.congress.gov/bill/103rd-congress/house-bill/2055
-Coleman, T. E. (1988, June 15). A bill to amend the Higher Education Act of 1965 to prevent abuses in the Supplemental Loans for Students program under part B of title IV of the Higher Education Act of 1965, and for other purposes. Retrieved September 14, 2017,
from https://www.congress.gov/bill/100th-congress/house-bill/4639 -
References
-Congressional Research Service. (1990, October 15). S. 3202 (101st): Middle Income Student
Assistance Act. Retrieved September 13, 2017, from https://www.govtrack.us/congress/bills/101/s3202/summary
-Congressional Research Service. (1986, September 22). Higher Education Amendments of 1986.
Retrieved September 14, 2017, from https://www.govtrack.us/congress/bills/99/s1965/summary -
References
-Dortch, C. (2016, January 11). The TRIO Programs: A Primer. Retrieved September 13, 2017, from https://fas.org/sgp/crs/misc/R42724.pdf
-Federal Direct Student Loan Program. (n.d.). Retrieved September 14, 2017, from https://www2.ed.gov/pubs/Biennial/95-96/eval/503-97.pdf
-Kantrowitz, M. (n.d.). Reauthorization of the Higher Education Act of 1965. Retrieved September 13, 2017, from http://www.finaid.org/educators/reauthorization.phtml -
References
-Lewis, L., & Westat, E. (1995, November). Outcomes of Recent Changes in Federal Student Financial Aid. Retrieved September 14, 2017, from https://nces.ed.gov/pubs/96231.pdf -McCann, C. (n.d.). Pell Grants. Retrieved September 13, 2017, from
http://www.edcentral.org/edcyclopedia/federal-pell-grant-program/ -
References
-McCants, J. (2003, February 2). The Early History of the Higher Education Act of 1965. Retrieved September 16, 2017, from http://www.pellinstitute.org/downloads/trio_clearinghouse-The_Early_History_of_the_HEA_of_1965.pdf -McKeon, H. P. (1997, January 7). Higher Education Amendments of 1998. Retrieved September 15, 2017, from https://www.congress.gov/bill/105th-congress/house-bill/6 -
References
-Rostenkowski, D. (n.d.). Consolidated Omnibus Budget Reconciliation Act of 1985. Retrieved September 13, 2017, from https://www.congress.gov/bill/99th-congress/house-bill/3128 -The Higher Education Reconciliation Act of 2005 (HERA). (n.d.). Retrieved September 15, 2017, from http://www.aessuccess.org/manage/your_account/hera.shtml -What are Title IV Programs? (n.d.). Retrieved September 15, 2017, from http://federalstudentaid.ed.gov/site/front2back/programs/programs/fb_03_01_0030.htm
