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28/2/2007 - Pennsylvania Student Loan Agency Upset Over Grant Funding

Pennsylvania Gov. Ed Rendell is calling for the Pennsylvania Higher Education Assistance Agency to contribute more to the agency's grant program.

PHEAA president Richard E. Willey was expecting to add a $60 million contribution to the state's $386 million appropriation to the grant program. Instead, Rendell's 2007-2008 budget calls for the PHEAA to up its contribution to $88.6 million while the state keeps its commitment unchanged.

The program currently provides grants as high as $4,500 to 166,000 students. Without an increase in funding form the state, Willey predicts 5,000 to 6,000 fewer students would receive grants next year.

Gov. Rendell cited more than $852,000 in bonuses that the agency's seven top executives received in August as reason to direct more of the PHEAA's money to the grant program

The wildly successful PHEAA has been the subject of controversy as of late for violating the state's Right-to-Know law in withholding information on travel and credit card expenses related to training and board meetings held at resorts in several states.

Student loan programs! (high deductible health insurance, pay day loans business)
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