College Access Challenge Grants
The College Cost Reduction and Access Act of 2007 seeks to increase access to higher education by increasing grant amounts to students, improving access to student loans, and cutting interest rates on student loans.
Sec. 801 of the legislation establishes the College Access Challenge Grants program, a matching grant program to support states’ efforts to help underserved students and parents learn about, prepare for, and finance postsecondary education. The Federal Department of Education sees this as an opportunity for states to create a comprehensive and unified intervention strategy to ensure that all students are receiving a consistent message about preparing for and applying to college.
The legislation authorizes $66 million to be appropriated for FY 2008 and another $66 million for FY 2009. Funds will be awarded based on a formula that looks at the relative numbers of people living below the poverty level. SREB states are projected to receive an average annual award of 1.5 million, with a range of 330,000 to 6.3 million per year. (See tentative allocation table for each state’s projected annual award.)
States must secure a matching grant from non-federal sources (private contributions or state appropriations) that is 1/3 of total federal award.
Funds will be directed to each state’s governor’s office, which is then given the responsibility to decide which agencies and programs will drive college access work in the state.
Generally grant recipients must use the funds to:
- provide information about the benefits of a college education, college opportunities, college planning, and career planning;
- inform students and families about financing options for college, financial literacy, and debt management;
- perform outreach activities for students at risk of not continuing their education;
- assist families in completing the FAFSA;
- provide need-based grants to students;
- provide professional development for guidance counselors at middle and high schools and financial aid administrators and college admissions counselors; and
- student loan forgiveness, loan repayment, or interest rate reductions for graduates working in high-need geographic regions or career fields.
Useful Links and Resources:
Go Alliance Collaborative Counselor Training Initiative
Information and supporting resources for the multi-state counselor professional development effort funded by the CACG.