Subscribe

A Strong Middle Class Blog

  • Vice President Highlights New College Affordability Proposals at Florida State

    Posted by Brian Levine on February 8, 2012 at 5:56 PM EST

    Vice President Joe Biden speaks to FSU students (February 8, 2012)

    Vice President Joe Biden speaks to Florida State University students about college affordability, February 6, 2012. (Official White House Photo by David Lienemann)

    The Vice President visited Florida State University on Monday to talk with students about our comprehensive plan to address rising college costs. The Vice President began by calling on Congress to permanently extend the $2,500 per year American Opportunity Tax Credit for tuition and other expenses, double the number of work-study jobs over the next five years, and help 7.4 million borrowers by stopping the interest rates on federal student loans from doubling later this year.

    These proposals are important, but increasing federal aid is only part of the solution. States and universities also share some responsibility for reining in costs. The Vice President detailed our plan to steer federal campus-based aid to schools that keep tuition affordable – and away from schools that don’t.   While we plan to significantly increase the availability of campus-based aid by offering more Perkins loans to needy students and creating more work-study slots, the additional dollars will only flow to colleges that are providing good value to their students.

    We are also proposing to create a new “Race to the Top” for college affordability and completion. This competitive grant program will encourage states to reform their higher education systems in ways that lower costs and increase completion rates. And because state funding cuts are one of the primary drivers of tuition increases at public universities, any state that wants a grant will have to promise not to slash funding for higher education.

    You can learn more about our plan here.

    Learn more about Economy, Education

  • Higher Education and the Middle Class Bargain

    Posted by Brian Levine on January 13, 2012 at 6:45 PM EST

    The Vice President visited high schools in Columbus, Ohio and Doylestown, Pennsylvania this week to highlight our Administration’s efforts to make college more affordable for all Americans. He was joined by Secretary of Education Arne Duncan and Senator Sherrod Brown in Ohio, and by Deputy Secretary of Education Tony Miller in Pennsylvania. 

    Speaking at Lincoln High School in Columbus, Ohio on Thursday, the Vice President called for the “bargain with the middle class” to be restored: “There was a bargain in place for last 50 years that if you worked hard, you played by the rules, you helped increase productivity in America, you got a piece of the action.  You benefited.”               

    President Obama and Vice President Biden believe that making college affordable is an essential part of restoring that bargain. Our Administration has increased the maximum Pell Grant award by more than $800 and created the $2,500 per year American Opportunity Tax Credit. Even with more generous grants and tax credits, most college students borrow money to pay for school, so we are also limiting federal student loan payments to 10% of discretionary income. 

    Includes Video
    read the rest
    Learn more about Economy, Education

  • The Vice President Talks College Affordability in Florida

    Posted by Brian Levine on December 9, 2011 at 12:16 PM EST

    20111209 VPOTUS FL Education

    Vice President Joe Biden and Secretary of Education Arne Duncan hold town hall on college affordability at Fletcher High School in Neptune Beach, Florida, December 8, 2011. (Official White House Photo by David Lienemann)

    This week, Vice President Biden and Secretary of Education Arne Duncan visited Fletcher High School in Neptune Beach, Florida to talk to students and their parents about college.  President Obama and Vice President Biden have focused on making college affordable for middle-class families since the day they took office. We increased the value of the maximum Pell Grant award by more than $800 and created the American Opportunity Tax Credit, which is worth up to $10,000 over four years for tuition and other expenses. Even after grants and tax credits, most students still need to borrow money for school. That’s why we are allowing borrowers to cap federal student loan payments at 10 percent of their discretionary income.

    The Vice President reminded the audience of all these accomplishments, but he didn’t stop there. As proud as we are of this Administration’s record, increasing student aid is just one part of keeping college affordable. State higher education leaders and individual schools must also do their part. On Monday, the President gathered a group of college presidents at the White House to talk about rising college costs and strategies they can pursue to reduce these costs. In Florida, the Vice President argued that colleges "can cut cost and limit student debt without in any way compromising the quality of an education." He acknowledged that "it won’t be easy" but forcefully concluded that "there is no excuse for complacency."

    Finally, the Vice President assured students who might be concerned about rising tuitions and debt loads that going to college is an excellent investment. College graduates earn more money and have a significantly lower unemployment rate than high school graduates with no post-secondary degree. And as the Vice President told the audience, "having a college degree is about a lot more than how much money you make. It’s about the independence it bestows upon you, the significantly broader range of choices it gives you…it’s about your sense of self-worth…it’s about being able to fulfill your potential."

    Brian Levine is Deputy Domestic Policy Advisor to the Vice President

    read the rest
    Learn more about Economy, Education

  • "A Victory for the Middle Class" in Ohio

    Posted by Matt Compton on November 9, 2011 at 1:35 PM EST

    Yesterday was Election Day across the country, and last night, once the results were known, Vice President Joe Biden issued a statement congratulating the people of Ohio for rejecting Issue 2 -- a law that would have stripped public employees of their collective bargaining rights.

    The Vice President said:

    Tonight the people of Ohio delivered a gigantic victory for the middle class with their overwhelming rejection of a Republican attempt to strip away collective bargaining rights. Fundamental fairness has prevailed. By standing with teachers and firefighters and cops, Ohio has sent a loud and clear message that will be heard all across the country: The middle class will no longer be trampled on. The people of Ohio are to be congratulated.

    Press Secretary Jay Carney echoed those thoughts:

    The President congratulates the people of Ohio for standing up for workers and defeating efforts to strip away collective bargaining rights, and commends the teachers, firefighters, nurses, police officers, and other workers who took a stand to defend those rights.

    In his joint address to Congress to introduce the American Jobs Act, President Obama touched on the importance of collective bargaining -- and why doing away with those rights is not the way to get people back to work:

    I reject the idea that we have to strip away collective bargaining rights to compete in a global economy. We shouldn’t be in a race to the bottom, where we try to offer the cheapest labor and the worst pollution standards. America should be in a race to the top. And I believe we can win that race.

    The Ohio measure lost in a landslide, with 62 percent of voters choosing to reject the law.

    Learn more about Civil Rights, Economy

  • Vice President Biden Talks College Affordability in Pennsylvania

    Posted by Brian Levine on November 4, 2011 at 5:29 PM EST

    Vice President Biden in Pittsburgh Speaking About College Affordability

    Vice President Joe Biden answers questions after giving a speech on jobs and education at the University of Pittsburgh, in Pittsburgh, Pennsylvania, November 4, 2011.
    (Official White House Photo by David Lienemann)

    On Friday, Vice President Biden spoke to a group of students at the University of Pittsburgh. Making it easier to pay for college has been a top priority of the Middle Class Task Force and our entire Administration since the President and Vice President came into office. We stopped paying private lenders to act as middlemen for federal student loans, and invested the savings in student aid. We increased the maximum Pell Grant award by more than $800. And we created the American Opportunity Tax Credit to give students up to $10,000 over four years to help with tuition and other expenses.

    Today, the Vice President focused on our latest initiative – capping student loan payments. Current law allows borrowers to limit their federal loan payments to 15 percent of their discretionary income and forgives all remaining debt after 25 years, or 10 years for graduates working in public service jobs. Last year, following a recommendation from the Middle Class Task Force, the President proposed, and Congress enacted, a plan to lower payments even further starting in 2014. But many students can’t wait until 2014 for relief. So last Wednesday, the President announced an executive action that will cap federal loan payments at 10% of discretionary income and shorten the forgiveness timeline to 20 years starting next year. 

    We estimate that this new cap lower payments for 1.6 million borrowers, including 60,000 Pennsylvanians. Many of these borrowers will save hundreds of dollars every month. For example, a teacher with $25,000 in debt and a $30,000 salary would see her monthly payments drop from $287 under the standard repayment plan to $114 under the new cap. You can learn more about our plan to help students here.

    Learn more about Economy, Education

  • We Can't Wait to Help America's Graduates

    Posted by Arne Duncan and Melody Barnes on October 26, 2011 at 12:27 PM EST

    President Obama talks students loans at University of Colorado Denver

    President Barack Obama waves to the crowd after arriving at the University of Colorado Denver campus, in Denver, Colo., Oct. 26, 2011. The President delivered remarks on the steps the Administration is taking to increase college affordability by making it easier to manage student loan debt. (Official White House Photo by Pete Souza)

    In this globally competitive, knowledge-based economy, higher education has never been more important. Simply put, America cannot lead in the 21st century without the best educated, most competitive workforce in the world. Nations that out-educate us today will out-compete us tomorrow, which is why some form of higher education is an absolute must.

    We also know that college costs have never been higher -- or more difficult to manage. The Administration has already provided aid to millions of students with historic investments in programs like Pell Grants and the American Opportunity Tax Credit. But we realize that many borrowers are struggling to both pay off their loans and make ends meet every month. And fear of being saddled with debt in the long run may deter many potential students from enrolling in college. They need help now.

    That’s why today, President Obama announced new efforts to make college more affordable by helping millions of borrowers better manage their federal student loan debt. We’re taking executive action with two measures that will bring relief to borrowers by lowering their monthly loan payments -- at no cost to taxpayers.

    read the rest
    Learn more about Economy, Education