The Daily Tar Heel
Printing news. Raising hell. Since 1893.
Saturday, Sept. 28, 2024 Newsletters Latest print issue

We keep you informed.

Help us keep going. Donate Today.
The Daily Tar Heel

Spending bill brings key cuts

Abortion provision also raises ire

U.S. legislators have attached two provisions to a $388 billion, must-pass spending bill that pits civil libertarians against social conservatives while hitting students in their pockets.

Congress passed the 11th-hour stopgap measure, which funds agencies such as the FBI and the Environmental Protection Agency, to avoid a partial shutdown - but not before a war of words broke out between differing groups.

Both sides are in disagreement on whether the bill is a payback for the social conservatives who turned out en masse on Election Day or democracy at its best.

"It's trying to spin the forces of democracy," said Eric Scheidler, communications director for Pro-Life Action League. "People should be glad that their representatives are responding."

Hidden clause

House and Senate negotiators attached to the bill an abortion provision that will ban federal, state and local agencies from withholding taxpayer funds from health care providers that refuse to provide or pay for abortions.

The bill also would allow doctors to decide if they want to offer abortion counseling or referrals to women.

Supporters say the bill is a welcome restriction to abortion rights.

"It's unjust to force people to pay for the destruction of human life," Scheidler said.

"At least half of Americans are opposed to abortion."

But opponents are concerned that the Bush administration is attempting to strip away a woman's right to choose and wipe out Roe v. Wade.

"This is bad public policy," said Brian Lewis, director of public policy for Planned Parenthood Health Systems in Raleigh. "This is just the beginning of this administration's compassionate conservatism."

Some politicians, including California Sen. Barbara Boxer, a Democrat, had threatened to block the bill's progress, but Congress' Republican majority drowned her out.

If Boxer had delayed the bill's passage, it would have resulted in what essentially would have been a partial government shutdown, idling thousands of federal workers.

"Washington is all about people in politics playing their best hand," said Mike Briggs, press secretary for Sen. John Edwards, D-N.C. "Senator Edwards does not support this provision."

Sen. Elizabeth Dole's office did not return phone calls by press time.

Dividing the pie

The other controversial provision in the bill is likely to significantly alter the formula that calculates funding for Pell Grants, the nation's primary federal scholarship program.

The cut will shave $300 million from a program that spends $12.5 billion a year and, many say, is already underfunded.

The cuts would go into effect July 1, 2005 - the beginning of the new academic year.

The U.S. Department of Education attempted to change the way it distributes financial aid last year, but Congress blocked the measure.

To get the day's news and headlines in your inbox each morning, sign up for our email newsletters.

In 2003, the department changed the formula on its own, which angered members of Congress who contended that it was a backdoor way of cutting funding without facing the public.

In response, Sen. John Corzine, D-N.J., introduced legislation that suspended the new formula for a year. He introduced similar legislation this year, but it did not survive the conference committee.

The education department is supposed to update yearly the tax tables that determine the payouts.

"It ought to be re-looked at every year, said Steven Brooks, executive director of the N.C. State Education Assistance Authority. "It should be sensitive to all income levels."

The Advisory Committee on Student Financial Assistance, an arm of Congress that advises it on student aid, estimated that $300 million will be saved by the recalculation.

About 1.2 million students will lose an estimated $200 to $300 a year. But nationwide, 85,000 to 90,000 will lose total eligibility.

The hardest hit students, who will lose their Pell Grants, will come from households that earn $35,500 to $40,000 a year.

"This is not the lowest income levels for dependent students," said Brian Fitzgerald, staff director of the ACSFA.

"But it does have a trickle-down effect on state and campus funding."

Higher education officials expected the legislation to be included in the reauthorization of the Higher Education Act, which is up for renewal when Congress reconvenes in January.

"We are not happy," said Melanie Corrigan, associate director of the American Council on Education's Center for Policy Analysis. "Quite frankly, it's a grave concern."

UNC officials say preliminary estimates determined that between 300 and 400 students will be affected by the cut to financial aid.

The University is running focus reports that will determine the exact amount, said Shirley Ort, associate provost and director of scholarships and student aid.

"I don't think it will be huge," she said. "But it will impact some. It's not a happy thought."

Ort said it is difficult for officials to plan for cuts when state budgets are being cut and resources are being rationed.

"We can probably weather this limited change," she said.

"But we have to watch our reserves that can be used as a contingency."

Contact the State & National Editor at stntdsk@unc.edu.

Special Print Edition
The Daily Tar Heel's 2024 DEI Special Edition