UW Osh Dems on Petri:

UW-Oshkosh Dems: Rep. Petri's Holiday Greeting to College Students:
Enjoy the Largest Cut to Student Loans in U.S. History

OSHKOSH – Last Friday, Representative Tom Petri cast one of two deciding votes in support of the budget reconciliation bill that includes the largest cuts to federal student loan programs in U.S. history. Last week’s budget reconciliation bill includes $14.3 billion in cuts to federal financial assistance to college students over
five years while paving the way for at least $70 billion in new tax cuts targeted at the wealthiest Americans. The budget bill passed including the future tax cuts will increase the federal deficit by $20 billion.

“At a time when tuition is going up, Rep. Petri shows his true colors and votes for the largest cut to federal student loans in U.S. history. If it wasn’t clear already, Rep. Petri is no friend of students or their families supporting them” said Dan Anderson, of UW-Oshkosh Campus Democrats.

The Petri-supported budget bill would overturn a previous law capping the interest rates for student loans at 6.8 percent, which increases the cap to 8.25 percent. It would also increase the cap on parent loans from 7.9 percent to 9 percent. According to the non-partisan Congressional Budget Office, a graduating college student with the average debt load of $17,500 would see an increase of $5,800 for his or her loans.

The bill also raises taxes on student loans, raises interest rates on consolidation loans and reduces subsidies paid to student lenders, totaling $20.5 billion in cuts over a 10-year period, according to estimates by the Congressional Budget Office.

“What is really disheartening, is that we continue to see cuts to programs that help people get ahead. Investing in the workers of tomorrow by ensuring they have access to and can afford a college education in order to compete in the global economy seems like common sense. It is inexcusable for Rep. Petri to turn his back on students at UWO and all Wisconsin schools.”