As a member of the powerful Rules Committee, U.S. Representative Kathy Castor joined with Chair Louise Slaughter today to quickly move the bill to lower interest rates on student loans out of committee and into the floor. The bill would make college more affordable for working class families in Tampa Bay.

H.R. 5 would cut the interest rate on subsidized loans for undergraduates in half over the next five years, from 6.8 percent to 3.4 percent.

According to estimates from the Department of Education, 200,000 would be students from working class and poor families nationwide are forced to delay or forgo attending college due to the high cost. Those who are able to attend college, end up with an average federal student loan debt of $17,500 by the time they graduate.

“I promised my neighbors in Tampa Bay to work everyday to support greater access to higher education for our working class and poor families,” said Castor. “We need to amend the Higher Education Act of 1965 to reduce interest rates for student borrowers, and make college more affordable for families in need in our neighborhoods at no new cost to taxpayers.”

Up until now, the Republican Congress has made it harder for families to afford college. In February 2006, Congress cut $12.7 billion from federal student-loan programs raising the cost of attending college for many future students and crushing the dream of working class families across America.

“I heard the voices of my neighbors in Tampa Bay and spoke out against the cut,” said Castor. “I’m glad to be able to work with Speaker Nancy Pelosi and U.S. Rep. George Miller, chairman of the House Education and Labor Committee, to change the priorities in Congress and make access to a college degree more affordable for working class families and their children.”

The bill would save 5.5 million undergraduate students and their working class families an average of $4,400 each, a significant amount considering that tuition and fees at four-year public colleges and universities have risen 41 percent in the last six years. Subsidized loans go to students and families with the most financial need.

“The health of our economy rests on having a highly-skilled and well-educated workforce,” said Castor. “The health of our democracy rests on improving opportunities for our working class families in the areas of health and education.”

H.R. 5 was introduced by Rep. George Miller and has been cosponsored by Castor.