May '08 Nevada Government—Shelley Berkley Column

House Passes Bill Safeguarding

Student Loans With Berkley Backing

Congresswoman Shelley Berkley praised today’s (May 1, 2008) House passage of legislation that ensures students and families have access to federal student loans. The Ensuring Continued Access to Federal Student Loans Act of 2008 (H.R. 5715), which carries no new cost for taxpayers, was passed on a vote of 388 to 21 and now heads to the President’s desk for final approval.

“As a Nevadan who attended UNLV and law school on student loans, I know first hand the importance of making sure that families and students have access to these financial resources,” said Berkley. “Affordable student loans provide millions of Americans with the chance to attend college when they might not otherwise have the financial resources necessary and that is why we must protect this system. The adjustments made by this bill will add stability to the student loan market and improve access to these funds so that more Americans can earn their college degrees” said Berkley, a former Nevada University Regent.

The Ensuring Continued Access to Student Loans Act of 2008 (H.R. 5715) provides new protections, in addition to those already in place under current law. The package will ensure that families continue to have timely, uninterrupted access to federal college loans in the event that the stress in the credit markets leads a significant number of lenders to substantially reduce their activity in the federally guaranteed student loan program.

Major Provisions of H.R. 5715:

Reduce borrowers’ reliance on costlier private college loans and encourage responsible borrowing. Over the course of their education, dependent undergraduate students can currently borrow up to $23,000 in total federal student loans (both subsidized and unsubsidized) and independent undergraduates can borrow up to $46,000 in total loans.
Increase the annual loan limits on federal unsubsidized student loans by $2,000 for undergraduate students, and increase the aggregate loan limits (the total loan limit over the course of a student’s education) to $31,000 for dependent undergraduates and to $57,500 for independent undergraduates.
Give parent borrowers more time to begin paying off their federal PLUS college loans. H.R. 5715 would give parents the option to defer repayment until up to six months after their children leave school, giving families more flexibility in hard economic times.
Help struggling families pay for college. Under current law, parents with an adverse credit history are ineligible to receive a parent PLUS loan, except under extenuating circumstances. H.R. 5715 would temporarily classify as an extenuating circumstance delinquencies of up to 180 days on home mortgages and medical debt, thereby making it possible for parents feeling strained by the current housing market and rising medical costs to secure loans for their children.
Provide the U.S. Secretary of Education additional tools to safeguard access to student loans. H.R. 5715 would clarify that existing law gives the U.S. Education Secretary the mandatory authority to advance federal funds to guaranty agencies operating as lenders of last resort in the event that they do not have sufficient capital to originate new loans. The bill would also allow guaranty agencies to carry out the functions of lender of last resort on a school-wide basis.

Bush Administration Wrong To Oppose New GI Bill

Congresswoman Shelley Berkley is urging President Bush to reverse his opposition to a new GI Bill that will provide full college scholarships to returning service members. As a member of the House Committee on Veterans’ Affairs, Berkley voted this week for legislation (H.R. 5684) that will enhance educational opportunities and resources for current vets and the men and women serving in America’s armed forces.

“We need to modernize the GI bill for the 21st century and give our troops the financial assistance they need to pay for college or advanced technical training. I am dismayed that President Bush and his allies in Congress would question the need to modernize benefits provided to our armed forces in exchange for their military service. There is no excuse for anyone to stand in the way of this effort and I would hope that the White House would change course and support our efforts to expand educational opportunities for those serving in the U.S. military, especially our National Guard and Reserve,” said Berkley.

According to The Army Times newspaper, Defense Secretary Gates recently outlined the President’s opposition in a letter that stated, “Serious” retention issues are expected if benefits exceed the average monthly cost for a four-year public college, including tuition, room, board and fees.”

President Bush also warned at a Rose Garden news conference that he would veto any additions to the Iraq Supplemental spending bill, even as Democratic leaders are seeking to include the GI Bill as an amendment to the upcoming supplemental request for 2008 war spending. "I will not accept a supplemental over [$108 billion] or a supplemental that micromanages the war," he said.

This is not the first time President Bush has opposed efforts to help U.S. veterans:

· Opposed A Bigger Military Pay Raise. Last year, the Bush Administration opposed the House-passed Defense Authorization bill – objecting to a range of provisions including those that increased military pay by 3.5 percent calling it “unnecessary.” (Ultimately, Congress enacted this increase into law.)

· Opposed Ending the Disabled Veterans Tax. In 2003, President Bush threatened to veto the National Defense Authorization Act over this provision. That year, the White House was forced to drop its opposition, as Congress passed legislation that took a first step in ending the disabled military retirees.

· Opposed TRICARE for Reservists. In 2003, Secretary Rumsfeld recommended that the President veto the defense bill if TRICARE for Reserve forces was included. In 2006, the Defense bill finally included TRICARE for Reservists.

Berkley Seeks Answers On Rise In Veterans’ Suicides

Will Press for Action at Hearing This Week in

House Committee on Veterans’ Affairs

Seeking answers to the question of what is being done to prevent suicides among America’s veterans and returning troops, Congresswoman Shelley Berkley will take part in a hearing on the issue held by the House Committee on Veterans’ Affairs. As a member of the Veterans’ Affairs Committee, Berkley will question VA Secretary Dr. James Peake about efforts to address the causes that are contributing to a rise in the number of veterans attempting suicide or taking their own lives. The hearing is being held this Tuesday beginning at 10:00 a.m. (eastern) in Washington, D.C., and will be webcast over the Internet at http://veterans.house.gov/

“We now know that more of our veterans are attempting to commit suicide and tragically, more are succeeding in taking their own lives,” said Berkley. “Hearing from experts who have studied this issue and who understand the causes will help Congress in determining the actions that must be taken in order to prevent more suicides from claiming the lives of veterans and our returning troops. I am also anxious to learn more about new figures showing that the number of suicide attempts recorded by the VA is far higher than previously disclosed. I will expect answers from the head of the VA, Dr. Peake, about what is being done in response to these findings. This is a national issue that involves protecting America’s veterans and if we fail to fully act, the result will be even more families losing a loved one to the tragedy of suicide,” said Berkley.

Witness List for Hearing

Panel 1

The Honorable James B. Peake, M.D., Secretary, U.S. Department of Veterans Affairs

Gerald Cross, M.D., Principal Deputy Under Secretary for Health, Veterans Health Administration

Ira Katz, M.D., Ph.D., Deputy Chief Patient Care Services Officer for Mental Health, Veterans Health Administration

Panel 2

Stephen L. Rathbun, Ph.D., Interim Head & Associate Professor of Biostatistics, University of Georgia

M. David Rudd, Ph.D., ABPP, Professor and Chair, Texas Tech University

Ronald William Maris, Ph.D., Distinguished Professor Emeritus, University of South Carolina

Panel 3

Michael Shepherd, M.D., Office of Healthcare Inspections, Office of the Inspector General, U.S. Department of Veterans Affairs.

Berkley Housing Help Package On House Floor Today -- Foreclosure Assistance For Families, Help For Vets, $7,500 Homebuyer Tax Credit

Congresswoman Shelley Berkley is urging passage of a legislative package that will address America’s mortgage crisis and the downturn in the housing market. The package of bills will help Americans facing foreclosure keep their homes, aid families in avoiding future foreclosures, and help the recovery of communities like Las Vegas harmed by empty homes resulting from tough economic times and the credit crunch.

“Our community has been on a housing rollercoaster that has left families facing foreclosure and homes vacant across the Las Vegas Valley. This package will help families stay in their own homes and will aid in preventing future foreclosures. And it provides incentives designed to get properties out of foreclosure by providing families new opportunities and resources to help them become homeowners. Congress should also act to approve a provision I worked to pass in the House Ways and Means Committee that will provide a $7,500 tax credit to first time homebuyers,” said Berkley. “America’s veterans will also receive special help so they can realize a piece of the American dream by owning a home of their own.”

KEY HOUSING HELP PROVISIONS

Provides mortgage refinancing assistance to keep families from losing their homes, protects neighboring home values, and helps stabilize the housing market.

Gives first-time homebuyers a refundable tax credit that works like an interest-free loan of up to $7,500 (to be paid back over 15 years) to spur home buying and stabilize the market.

Expands the FHA program so borrowers in danger of losing their home can refinance into lower-cost government-insured mortgages they can afford to repay.

Makes $15 billion in loans and grants to states to acquire foreclosed homes standing empty, to rehabilitate foreclosed property, and to restore home values in neighborhoods hit hard by the crisis.

Supplies states with $10 billion of additional tax-exempt bond authority in 2008 to refinance subprime loans, make loans to first-time homebuyers and to finance the building of affordable rental housing.

Provides taxpayers who claim the standard deduction with up to an additional $700 standard deduction for property taxes.

Increases VA Home Loan limit for high-cost housing areas so veterans have more homeownership opportunities.

Helps returning soldiers avoid foreclosure by lengthening the time a lender must wait before starting foreclosure, from three months to one year after a soldier returns from service.