As the nation watches President Barack Obama’s economic recovery plan being passed in the U.S. Senate Tuesday and making its way to the House of Representatives, universities kept a wary eye on the legislation that could potentially send millions of dollars into school improvement programs and the financial aid system. The financial crisis affecting our nation seemed to hit home this semester as Nicholls joined other universities in making necessary budget cuts to the 2008-2009 school year. The University’s library hours were cut and several energy-saving measures were taken to curb spending during the school year.
Rachel Babin, assistant director of financial aid in charge of student employment, reported a hiring freeze on all student employment for the immediate future.
“All students currently employed will continue in their jobs,” she said.
More budget cuts are planned for next school year. In a recent press release, Stephen Hulbert, University president, said that two scenarios were submitted to the Louisiana Division of Administration that, if implemented, would result in a major reduction of state funds for the University.
“Clearly, a budget cut of either magnitude would be incredibly damaging to our university, students, faculty, staff and the region we serve,” said Hulbert in the release.
With the possibility of more cuts, students are viewing fall with apprehension, worried over the future of higher education.
However, Casie Triche, interim director of financial aid at Nicholls, said it is far too early to predict outcomes of this year’s cuts and to speculate on the future.
“Nothing will be decided until the end of the legislative session,” she said.
Triche admitted that while she has seen economic hardships in form of lost jobs, future and returning students will still have financial aid available. She encourages all students to complete the Free Application For Federal Student Aid by the April 15.
“We encourage students that may have difficulties due to lost jobs to come in and talk to us,” said Triche.
Students may have nothing to worry about if Obama’s economic recovery plan passes the House. In a news release, the plan claims to “keep the doors of college open” for students by creating a new “American Opportunity” tax credit. The credit would actually be an increase of the current tax credit from $1,800 to $2,500. Plus the credit will be partially refundable, making it more accessible to students who were not eligible to receive it in the past.
The economic recovery legislation would also increase the Pell Grant by $500 and would increase the limit on unsubsidized Stafford loans by $2,000. It would also add $490 million to the college work-study program that supports undergraduate and graduate students who work, allowing an additional 200,000 students to participate.
“Together these proposals mean that low-income students and families on the brink of stopping or dropping out of their higher education plans can stay in, and that unemployed workers can choose retraining for a new job,” said the National Association of Independent Colleges and Universities in a press release.
While all state universities tighten their financial belts, officials at Nicholls encourage students to remain positive of the coming school year.
“Now, more than ever, we need the citizens of the Bayou Region to voice their support for Nicholls and the future of higher education in Louisiana,” said Hulbert.
