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President Obama: “Education is an economic issue”

Earlier this month, President Obama delivered a speech on the importance of higher education during tough economic times. With job losses and corporate bankruptcies dominating the headlines in recent years, many have questioned the value and importance of trying to save a financially struggling education system. The President gave the following response while speaking at the University of Texas at Austin:

                “In a single generation, we’ve fallen from 1st place to 12th place in college graduation rates for young adults…Now, that’s unacceptable, but it’s not irreversible. If we’re serious about making sure America’s workers—and America itself—succeeds in the 21st century, the single most important step we can take is make sure that every one of our young people has the best education that the world has to offer…education is an economic issue. Education is the economic issue of our time. It is an economic issue when the unemployment rate for folks who’ve never gone to college is almost double what it is for folks who have gone to college. It is an economic issue when almost 8 in 10 new jobs will require workforce training or higher education by the end of this decade. And it is an economic issue when we know, beyond a shadow of a doubt, that countries that out-educate us today will out-compete us tomorrow”.

The President went on to explain that the administration is trying to help the higher education community by shifting all federal student loans to Direct Loans and expanding Pell Grants; reinvesting in community colleges, Historically Black Colleges and Universities, and Hispanic-Serving Institutions; and focusing on college completion by identifying best models.

Department of Ed. Releases Secretary’s Proposed Priorities for FY11

The Department of Education last week released Secretary Duncan’s proposed priorities for discretionary grant programs in FY 11 and beyond. These priorities could be used as an absolute, competitive, or invitational priority for any discretionary grant solicitation. Grant programs of interest to the higher education community include:

Increasing Postsecondary Success, which includes “increasing the rates at which high-need students enroll in and complete graduate programs”

Promoting Science, Technology, Engineering, and Mathematics (STEM) Education, of which one area is “increasing the number of students prepared for advance postsecondary or graduate study and careers in STEM, with a specific focus on an increase in the proportion of students so prepared who are from groups traditionally under-represented in STEM careers, including minorities, individuals with disabilities, and women” and “increasing the opportunities for high-quality preparation of, or professional development for, teachers of STEM subjects”

Murray Amendment Advances Crucial State Funding

The Senate today passed a crucial amendment that will help states avoid education job losses, and provides desperately needed Federal Medical Assistance Percentage (FMAP) payments to states . The FMAP/Teacher Jobs Bill passed the senate on a vote of 61-39 and will now be sent to the House where most expect it to pass and then sent to the President for his signature. The Amendment, which was attached to the Aviation Safety and Investment Act of 2010, will send more than $26 billion in aid to states and its costs are fully offset, largely due to spending reductions made in other areas. Patty Murray, was a driving force behind this bill and worked to achieve a solution that would draw bipartisan support.

The legislation provides $16.1 billion for FMAP, and will keep the level of federal Medicaid assistance (which was increased by a minimum of 6.2% in the Recovery Act) consistent for the next 6 months and then gradually decrease the contribution level for the following 6 months. The amendment will also provide $10 billion for additional support to local school districts to prevent imminent layoffs. Nationwide it is estimated that this fund will help to save the jobs of nearly 140,000 educators.

If the legislation passes the House, the State of Washington would realize approximately $546.3 million in FMAP funds. The bill will also prevent the layoffs of up to 3,000 teachers within our state and allow the State legislature to avoid conducting a costly special session. In the words of Senator Murray, “This amendment will allow Washington State to avoid layoffs, service cuts, or tax increases—and it will make sure our children don’t walk through the schoolhouse doors this September to larger class sizes and fewer subjects”.

In an uncommon move, House Speaker Nancy Pelosi called the House back from its August recess to vote on the measure. They are expected to take up the issue next Tuesday the 10th.

COMPETES Act Heading for the Senate Floor

The Senate Commerce, Science and Transportation Committee has approved — with bi-partisan support — its portion of the America COMPETES Act (S. 3605). The bill provides for three-year authorizations for the National Science Foundation (NSF) and the National Institute of Standards and Technology (NIST). An authorization for the Department of Energy Office of Science is expected to be added in a manager’s amendment on the Senate floor.

During the mark-up, the committee adopted 20 amendments to the bill, including a substitute amendment that reduced the funding levels by 10% for NSF and NIST. The bill’s only new program would fall within NSF and enable a $10-million-a-year effort to prepare science and engineering majors to be elementary and secondary school teachers. It’s modeled after the successful UTeach program at the University of Texas, Austin. To ease the fiscal bite, the bill would require a significant contribution from each university grantee (up to 75% by the end of the 5-year grant).

The legislation would require Department of Commerce to study the U.S. economy and innovation infrastructure, including an assessment of the nation’s economic competitiveness. Within one year of completing the study, the Department would be required to develop a 10-year national innovation and competitiveness strategy. 

Given the packed Senate schedule, it is unclear whether the bill will make it to the Senate floor before the August recess.

Senate Commerce, Science and Transportation Committee

S. 3605, the America COMPETES Reauthorization Act of 2010 (Committee Overview)

The original COMPETES Act was a response to the National Academies’ Rising Above The Gathering Storm, which warned that America’s place as a global leader in science and technology was at risk. Urgent action is still needed to guarantee American prosperity in the face of increasing global competition, especially in the areas of K-12 science and math education and funding for basic research. The America COMPETES Act reauthorization focuses on three primary areas of importance to increase American innovation and competitiveness: (1) increasing science and research investments, (2) strengthening science, technology, engineering, and mathematics (STEM) education, and (3) developing an innovation infrastructure.

Increase Science and Research Investments

  • Authorizes funding increases for the National Science Foundation (NSF) and the National Institute of Standards and Technology for fiscal years 2011, 2012, and 2013.
  • Supports programs to assist American manufacturers, such as the Hollings Manufacturing Extension Partnership and the Technology Innovation Program, and creates a loan guarantee program to support innovation in manufacturing.

Strengthen Educational Opportunities in Science, Technology, Engineering, Mathematics

  • Coordinates STEM education across the Federal government, with the goal of reinforcing programs that demonstrate effectiveness.
  • Supports research and internship opportunities for high school and undergraduate students, and increases the number of graduate fellowships supported by the NSF.
  • Reinforces the role of NASA and the National Oceanic and Atmospheric Administration (NOAA) to inspire and educate the future science and technology workforce and encourages the agencies to transfer their technological advances into the private and public sectors.

Develop an Innovation Infrastructure

  • Promotes productivity and economic growth by forming an Office of Innovation and Entrepreneurship to foster innovation and the commercialization of new technologies, products, processes, and services.
  • Requires the development of a national innovation and competitiveness strategy for strengthening the innovative and competitive capacity of the Federal Government, State and local governments, institutions of higher education, and the private sector.
  • Supports the development of regional innovation strategies, including regional innovation clusters and research parks.

DREAM Act May be Pushed Before November

With it being an election year, many lawmakers have been avoiding the politically charged topic of comprehensive immigration reform, making it unlikely that it will advance before the end of the year. However, Senate Majority Leader Harry Reid (D-NV) may attempt to push through the DREAM Act as a stand-alone piece of legislation before the November elections if advocates of a comprehensive bill strongly believe that there is no chance for full reform.

The DREAM Act, which is sponsored by Majority Whip Dick Durbin (D-IL) and Senator Dick Lugar (R-IN) (co-sponsored by Washington Senators Patty Murray and Maria Cantwell) would provide a path to citizenship for young undocumented immigrants who choose to go to college or serve with the US armed forces. Approximately 65,000 undocumented immigrants graduate from American high schools every year. Many of these students are unable to attend college, largely because they can’t afford it and lack accessibility to student aid. This Act would allow them to be eligible for student loan and work-study programs.

The University of Washington and much of the higher education community has voiced support for the DREAM Act as it would result in several economic and societal benefits. Research shows that there is a million dollar difference, over a lifetime, between the earning capacity of a high school graduate and a college graduate. People who attend college are also more likely to be healthier than those that do not, volunteer and contribute to their community, and are less likely to be incarcerated or rely on public assistance. The DREAM Act would allow these capable students to contribute to the economic growth of the United States and to their own self-sufficiency while becoming active members of American society.

Full text of Senate bill                                                            Full text of House bill