[WASHINGTON, DC] – Recent legislative proposals are showing support for key college
affordability provisions. President Barack Obama and Republican leadership reached a
compromise on extending tax cuts that will include the American Opportunity Tax Credit
(AOTC), a key priority in preserving college affordability. Also, a continuing resolution
put forth in the House will include an increase in Pell Grant funding. The increase will be
enough to cover the $5.7 billion shortfall in federal financial aid for the next academic
year, but would not address likely future shortfalls.