March 31, 2010 2:47 pm
CNSNews, “Obama’s Student Loan Takeover Adds $52 Billion to Deficit According to ‘Fair Value’ Accounting, Says CBO”
by Edwin Mora
The student loan overhaul legislation signed into law by President Barack Obama on Tuesday could add $52 billion to the deficit between 2010 and 2020 when the cost of the market risks and administrative expenses of the loans are taken into consideration, the non-partisan Congressional Budget Office (CBO) reported.
“CBO recently estimated that whereas loans issued in the direct loan program between 2010 and 2020 would reduce the deficit by a total of $68 billion under FCRA accounting, those loans would increase the deficit by $52 billion on a fair value basis,” reads the March 2010 CBO study, Policy Options for Federal Student Loan Programs.
CNSNews article continues here.
January 20, 2010 11:28 pm
CNSNews, “Obama to Nationalize Student Lending with Pending Budget Bill”
by Matt Cover
A bill currently before the Senate would empower the Obama administration to nationalize the student lending industry, eliminating the federally subsidized private loans millions of university students rely on to finance their educations.
The Student Aid and Fiscal Responsibility Act – currently being considered by the Senate Health, Education, Labor, and Pensions (HELP) Committee – would eliminate the Federal Family Education Loan (FFEL) program. FFEL loans are federally subsidized and make up approximately 80 percent of the student lending industry.
According to the Department of Education, 14.3 million of the 17.5 million student loans were federally subsidized for the 2009-2010 fiscal year. Under Obama’s plan, the government would consume the entirety of this industry – a total of $103 billion in 2009-2010.
CNSNews article continues here.
January 12, 2010 11:31 pm
CNSNews, “U.S. Secretary of Education Has No Professional Classroom Teaching Experience”
by Edwin Mora
U.S. Education Secretary Arne Duncan, who oversees a federal agency that spent $134.8 billion in fiscal 2009, tutored kids as a young student but has never professionally taught inside a classroom.
Duncan’s experience in education includes time as the administrator of a nonprofit school and as head of the Chicago public school system, according to Education Department press secretary Justin Hamilton.
“Arne Duncan has experience running a nonprofit school for the Ariel Foundation and then moved into administration at the Chicago public school system and was the longest serving head of the Chicago public school system for seven years before he became secretary of education,” Hamilton told CNSNews.com.
CNSNews article continues here.
