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Published - Monday, August 27, 2007

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College students await state budget for news on financial aid


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MADISON — With about a week to go before classes start at UW System schools, nearly 3,800 college students around the state are still waiting to hear what kind of financial aid they will — or will not — receive for the upcoming school year.

The ongoing wrangling over the state budget has meant an unprecedented number of students have been put on a wait list for financial aid through the need-based Wisconsin Higher Education Grant program.
And it could get worse.

“We expect that if there aren’t any changes in the budget that the Assembly passed — which is a little over $39 million (for the WHEG program) — we’ll have more than 6,000 students by the end of the year who would be eligible for awards but wouldn’t receive them,” said Connie Hutchison, executive secretary for the Higher Educational Aids Board, which oversees the state’s financial aid system for Wisconsin residents.

The board already has awarded about 22,400 student grants for the coming year, ranging from $674 to $2,730. That has effectively tapped out the currently available resources.

WHEG funds are awarded on a first-come, first-served basis. As it now stands, anyone who applied after June 26 was put on the wait list.

Gov. Jim Doyle and other Democrats who control the state Senate had proposed spending $50 million on the program, up from $43 million last year.

Under the budget proposed by the Republican-controlled Assembly, however, that funding could be trimmed to as low as $39 million.

Until a budget is finalized, Hutchison said the board must operate on the assumption of the lower figure.

“We can’t promise money if we don’t have any inkling of whether or not it’s going to be there,” Hutchison said.

The average family income of WHEG recipients is about $27,000. Students are automatically considered for the state grants when they submit their Free Application for Federal Student Aid, or FAFSA.

About 75 students at the University of Wisconsin in Madison who have completed financial aid applications are on the WHEG wait list, according to Susan Fischer, director of Student Financial Services.

The average grant for UW-Madison students is about $2,018 per year, she said.

“We have no other grant funds with which to replace WHEG that might not come through,” Fischer said. “At the student’s request, we will see what other funds — loans, most likely — might be available and offer them that.

“But some students will be fully awarded to the max in their annual loan allocation and then we are not able to assist.”

Many are concerned that uncertainty over funding might deter lower-income students from pursuing higher education at this time.

“Their choices are pretty limited. Either they put college on hold or they borrow more. Both of those are rather tragic options,” said UW System spokesman David Giroux.

Hutchison said she remains optimistic the necessary funding will become available.

Heather LaRoi is a reporter for the Wisconsin State Journal in Madison.
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Cut the WRS contribution....... wrote on Aug 27, 2007 11:49 PM:

" for government employee retirement back to the originally intended employee/employer split. They would still have ,much more put away than the average private sector worker. The County could build several new jails and Admin buildings, and the UW System could give financial help to many students in the future, and the Mayor and Czar Kirch could just plain give it away to the businessman flavor of the month, or another office building rental operator? "


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