[Congressional Record (Bound Edition), Volume 161 (2015), Part 12]
[Senate]
[Page 16252]
[From the U.S. Government Publishing Office, www.gpo.gov]




                          PERKINS LOAN PROGRAM

  Mrs. BOXER. Mr. President, I come to the floor today to urge my 
colleagues to act to reauthorize the Perkins Loan Program--the Nation's 
oldest Federal student loan program and a critical lifeline for 
thousands of low-income students with exceptional need.
  This crucial program has the support of many higher education groups, 
including the Association of American Universities, the National 
Association of Independent Colleges and Universities, the American 
Association of Jesuit Colleges and Universities, the National 
Association of Financial Aid Administrators, the Coalition of Higher 
Education Assistance Organizations and many others--as well as dozens 
of individual colleges and universities across the country. Despite 
this broad support, funding for Perkins Loans expired on October 1.
  While our colleagues in the House unanimously approved the Higher 
Education Extension Act--which would extend the Perkins Loan Program 
for 1 year--the Senate has yet to act. And that inaction has left 
thousands of current and future students scrambling to figure out how 
to pay for school and institutions struggling to find another way to 
help students afford their education.
  This program has existed with broad bipartisan support since 1958 and 
has provided more than $28 billion in loans to students in all 50 
States. In the 2013-2014 academic year alone, more than 539,000 new and 
returning students benefited from the Perkins Loans Program--including 
46,065 students in California.
  Unlike the Federal direct lending programs, Federal Perkins loans are 
made and then repaid to the individual university. They are offered at 
a low, fixed rate of 5 percent--and repayment doesn't begin for 9 
months after a student graduates, giving them enough time to get on 
their feet. The program also includes important loan forgiveness 
opportunities for those who decide to enter public service after 
graduating.
  This program particularly helps students who have tapped out all 
other Federal student aid options and still face a gap in paying for 
school or other expenses. It helps students bridge that funding hole so 
they don't have to turn to expensive private loans--which don't have 
the same protections as Federal student loans.
  But without this program, the California State Student Association 
estimates that more than 3,400 students in the California State 
university system alone could be forced to take out private loans or 
delay graduation.
  Student loan debt now exceeds $1 trillion. That's more than credit 
card debt. It's more than auto loans. In fact, it is second only to 
mortgage debt in this country. We owe it to current and future students 
to make sure college is as affordable as possible. That is what the 
Higher Education Extension Act and the Perkins Loan Program do.
  We have no time to spare now. Let's get back on track and take up the 
extension bill that the House already passed and ensure our students 
are not left in the lurch. Thank you.

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