HOPE cuts not as deep as feared

The Associated Press
Published on: 03/15/04

College students of Georgia, relax. The HOPE scholarship trims adopted by lawmakers Monday won't include the books and fees covered now by the lottery-funded program. In fact, the deepest cuts won't start until 2008 — when today's eighth graders head to college.
 
The House and Senate both approved HOPE cuts, a rare show of cooperation that underlies the political importance of the popular, but expensive, scholarships and technical college grants.
 
The biggest money-saver would be a shift in the way officials determine the "B" average required to get the scholarship. Starting in 2008, high school seniors would need a 3.0 grade point average, not an 80 numerical average.
 
The change would save money because thousands of students are thought to have an 80 or higher average but not a 3.0 GPA, because in many schools an 80 score is too low to earn a B.
 
"It will eliminate some students and allow us some savings, but we also think students will rise to that new standard," said Sen. Bill Hamrick, R-Carrollton, sponsor of the Senate bill.
 
Lawmakers are looking for ways to trim HOPE because the scholarship is growing faster than lottery revenues that fund it. If nothing is done, economists warn, the program would be bankrupt by the end of the decade. Legislators have called the HOPE reforms the most pressing issue of the term.
 
"This is most crucial piece of legislation you will vote on this session," said Rep. Louise McBee, D-Athens, sponsor of the House version. The House approved the bill 168-1. The Senate vote was closer, 33 to 23.
 
The House and Senate reforms were mostly similar, with slight differences in the way books and fees would be handled.
 
The House called for freezing fees at current levels, so if colleges raised fees in the future, students would have to pay the difference. And book payments could decrease if the year-end balance of the HOPE fund dips.
 
Senators called for similar triggers if the year-end balance dipped but did not freeze mandatory fees.
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