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Public Policy & Advocacy
As the national advocate for graduate education, CGS serves as a resource for policymakers and others on issues concerning graduate education, research, and scholarship. CGS collaborates with other national stakeholders to advance the graduate education community in the policy and advocacy arenas.
Washington, DC — Council of Graduate Schools (CGS) President Debra W. Stewart today released the following statement in response to President Barack Obama’s State of the Union address on January 28, 2014. CGS is the only national organization dedicated solely to the advancement of graduate education and research. The organization draws its institutional members from colleges and universities significantly engaged in graduate education, research, and scholarship culminating in the award of the master's or doctoral degree.
In his 2014 State of the Union message, President Obama expressed his support for strategic investments to spur economic growth and secure the nation’s continued position as a leader in global innovation. The Council of Graduate Schools (CGS) is encouraged by the president’s call for policies to increase job opportunities, expand our skilled workforce, support basic research, reform immigration, and increase access to education.
We appreciate the president’s recognition that our nation’s prosperity depends on expanded access to educational opportunity. And the evidence suggests that opportunities need to span kindergarten through graduate school. Today access to and support for graduate education is a national imperative. We know that the payoff from graduate education is undeniable in terms of economic growth, innovation and job creation
Many of the skills that U.S. employers are seeking are only gained through advanced learning. Our economy depends on this highly trained talent to compete with other nations, which are investing heavily in graduate education. The Bureau of Labor Statistics estimates that by 2022 the U.S. will see an 18.4% increase in jobs requiring a master’s degree and a 16% increase for people with doctoral degrees.
While the president’s remarks focused on the benefits of K-12 and undergraduate education for building the new economy, we urge the administration to give equal attention in his future agenda to policies that support the pipeline of talented U.S. students enrolling in graduate programs. There are immediate and consequential risks if this pipeline falters.
One of these immediate risks is that the U.S. will fall behind in technological innovation. As President Obama emphasized, innovation will play a critical role in economic growth: “The nation that goes all-in on innovation today will own the global economy tomorrow.” We commend the president’s acknowledgment that federally-funded research is critical to the “ideas and inventions behind Google and smartphones,” and his call for Congress to “undo the damage done by last year’s cuts to basic research so we can unleash the next great American discovery[…]”Graduate degree holders create start-up companies, patents and jobs in every U.S. state.
At every level of education, it is vital that careers and the requisite skills needed to pursue those careers are clearly shared with students. A number of recent reports on graduate education reform, based on CGS’s Pathways through Graduate School and Into Careers report, have concrete recommendations for universities, business leaders, and policymakers designed to address these challenges and ensure that America grows the highly-skilled talent we need.
CGS also supports President Obama’s call for immigration reform. About 43% of international students studying at our colleges and universities are pursuing graduate degrees. International students who study in the U.S. often want to remain in the U.S. to work in jobs that utilize the knowledge and skills they gained through their graduate studies. Given the challenges and restrictions that international students now face upon receiving their master’s and doctoral degrees, it is in our collective best interest to permit those who want to stay and contribute to our economy following completion of their degrees to do so.
We look forward to working with the Obama Administration to ensure that U.S. graduate schools can continue their vital role in achieving the goal of a creative, innovative, knowledgeable and skilled workforce that is ready to meet the challenges of the 21st century global economy.
The Council of Graduate Schools (CGS) is an organization of over 500 institutions of higher education in the United States and Canada engaged in graduate education, research, and the preparation of candidates for advanced degrees. Among U.S. institutions, CGS members award 92% of the doctoral degrees and 78% of the master’s degrees.* The organization’s mission is to improve and advance graduate education, which it accomplishes through advocacy in the federal policy arena, research, and the development and dissemination of best practices.
* Based on data from the 2012 CGS/GRE Survey of Graduate Enrollment and Degrees
Student Aid
Advanced degrees are becoming a necessary entry-level requirement for many of the fastest growing occupations of the 21st century. America’s capacity to develop the talent required to meet national needs and to compete in the global economy depends on individuals having access to quality postsecondary education, both undergraduate and graduate. The reauthorization of the Higher Education Act provides the opportunity to include policy changes that address these challenges so that America has the educated and skilled workforce necessary to advance the U.S. economy. These changes may however, require different approaches for undergraduate and graduate students.
CGS recommends the following principles for HEA reauthorization:
Establish procedures that support master’s and doctoral students in making informed financial aid decisions to reduce their borrowing and debt.
Modify Annual and Aggregate Loan limits
Create incentives for innovative programs and programs that increase degree completion and respond to the demands of the workforce in areas of national need.
Please note the the specifics of our recommendations may change as the legislative process unfolds. The statement below represents CGS's original position submitted for committee hearings.
The Council of Graduate Schools recognizes that undergraduate education is important to the creation of a stable economy, providing students with foundational knowledge and work skills and offering college graduates a wide range of employment opportunities. Historically however, graduate education in the United States has played a critical role in the success of the U.S. workforce and economy. It contributes significantly to producing America’s most influential researchers, innovators, and leaders. U.S. graduate schools are environments in which students acquire the skills and knowledge needed to compete in the global economy, as well as to solve problems of national and global scope.
The Higher Education Act has had an inconsistent history of support for graduate education. Recent Congressional actions have reduced the financial support for graduate students, while other countries are strategically putting more resources into graduate education to grow their economy and compete in the global market.
The House Committee on Education and the Workforce is specifically interested in receiving recommendations that allow for examination of ways to:
Each topic is addressed separately. An effort was made to not duplicate recommendations across the six topics; however many of the recommendations are interrelated.
Empower students as consumers in higher education
Simplify and improve the student aid and loan programs
The federal student loan program has become increasingly complex and outdated. It does not recognize that needs of students have changed, that the average student pursuing postsecondary education is more likely to be non-traditional, and that many students are not aware of how much debt they are taking on and the impact of these decisions on their financial futures.
Actions over the past two years have changed the student loan landscape for graduate students and created doubts about their ability to pursue a graduate education. As of July, 2012, graduate students no longer qualify for in-school interest subsidies, a policy that makes them eligible only for unsubsidized loans and Grad PLUS loans, each with an interest rate higher than the rate of subsidized loans. Unlike with subsidized loans, these loans begin to accrue interest immediately. Because most graduate student delay repayment of their loans until graduation, the interest on their loans compounds throughout their graduate careers. The result is that for graduate students, debt grows faster and is significantly higher than undergraduates for every dollar borrowed.
Graduate students also carry the burden of accumulated debt in order to pursue their degrees. According to data drawn from the 2007-08 National Postsecondary Student Aid Study (NPSAS:08), 73% of master’s recipients had an average cumulative undergraduate and graduate debt of $41,000, while 67% of those who received doctoral degrees had an average cumulative debt of $60,000. However, it is worth noting that new debt acquired exclusively in graduate school is substantial and that graduate students must borrow to attend school. The rate of borrowing is highest for students from underrepresented populations and in those fields where underrepresented populations are most heavily enrolled. In the reauthorization of the Higher Education Act this unwarranted financial burden on graduate students must be alleviated:
Increase accessibility, affordability and completion
Encourage institutions to reduce costs
The Council of Graduate Schools understands that the House Committee on Education and the Workforce intends to have additional hearings on this issue. We encourage the Committee to include graduate school representation in these hearings. Because graduate schools are usually internal administrative and programmatic units within institutions of higher education, the perspective they provide would be informative as the Committee considers how to encourage institutions to reduce costs institutionally and for students.
Promote innovation to improve access to and delivery of higher education
Balance the need for accountability with the burden of Federal requirements
The higher education association community provided recommendations to the House Committee Education and the Workforce. In the document under section 2, Better Information for Consumers, is a detailed discussion of and recommendations for disclosures, consumer information, student outcome data, data system requirements, and college cost information. The Council of Graduate Schools is supportive of what is contained in the larger community set of recommendations and urges the Committee to also consider within those recommendations the impact on graduate schools and graduate students.
CGS has joined with a broad coalition of higher education groups to file an Amici Curiae or “friend of the court” brief in an affirmative action case to be heard before the U.S. Supreme Court on October 15th. The case, Schuette v. Coalition, involves a challenge to a constitutional amendment in the state of Michigan that prohibits public institutions of higher education in the state from using race or gender in admissions decisions. Through its inclusion in the brief, CGS is supporting the ability of universities to use student body diversity as a goal in admissions. A decision is expected to be issued by June 2014.
A POSITION STATEMENT
One of the key conclusions of the recently issued National Academy of Science report on Research Universities and the Future of America is that graduate education is critical to the country’s strength and prosperity. The authors of this landmark study recognized that our collective failure to see graduate education as a national priority is threatening the capacity for America to develop the talent required to meet national needs and to compete in the global economy. Rarely does the country have a better opportunity to reverse a dangerous trend than it does today, as we consider debates over the student loan interest rates in Washington, D.C. Policymakers must take this opportunity to put America back on the right track by restoring graduate students to the same status as undergraduate students, affording these groups the same benefits when borrowing money from the federal government to pursue an advanced education.
Recent actions have disproportionately disadvantaged graduate students
Historically, the interest rate for subsidized and unsubsidized student loans has been the same, whether fixed or variable. For PLUS loans, even with a higher interest rate and cap, the difference has been closer to 1.5%. Graduate students have long been a good investment since they are more likely to pay off their student loans and have had much lower default rates. For this reason, the Congressional Budget Office (CBO) scores any increase in the borrowing limits for PLUS loans as a “money saver.”
Actions over the past two years have changed the student loan landscape for graduate students and created doubts about their ability to pursue a graduate education. As of July 2012, graduate students no longer qualify for the in-school interest subsidies, a policy that makes them eligible only for unsubsidized loans and Grad PLUS loans, each with an interest rate higher than the 3.4% rate of subsidized loans. The savings that were generated from this policy change went to support a one-year extension of the 3.4% interest rate on subsidized loans and to sustain the $5,550 maximum Pell Grant award. Graduate students are not eligible for either.
CBO has also estimated that the savings to the Federal government from PLUS loans is 64 cents for every dollar loaned. For unsubsidized loans the savings is 40 cents and for subsidized loans it is 14 cents. From these numbers it is clear that the federal government is making a profit off of federal loans to graduate students and using the savings to pay for a lower interest rate on subsidized loans and sustain the escalating cost of the Pell Grant program.
The Pell program is critical to addressing clear inequities in opportunity in America and for building a rich pool of domestic talent to attend graduate schools in the future. It must be funded. But this strategy of borrowing from Peter to pay Paul will simply diminish opportunity for both Peter and Paul going forward. The graduate debt burden is especially heavy on students from underrepresented populations.
Graduate student debt is growing, particularly among underrepresented students
Many graduate students carry the burden of accumulated debt in order to pursue their degrees. According to data drawn from the 2007-08 National Postsecondary Student Aid Study (NPSAS:08), 73% of master’s recipients had an average cumulative undergraduate and graduate debt of $41,000, while 67% of those who received doctoral degrees had an average cumulative debt of $60,000. Among whites, 70% of master’s recipients had cumulative debt averaging $38,000, and 72% of doctoral recipients had cumulative debt averaging $60,000. Among African-Americans, 87% of master’s recipients and 85% of doctoral recipients had cumulative debts averaging $52,000 and $68,000, respectively. Additionally, among Hispanics, 82% of master’s recipients had cumulative debt averaging $46,000.*
However, it is worth noting that new debt acquired exclusively in graduate school is substantial as well. NPSAS data also show that underrepresented minority groups, the groups that should be a growing percentage of domestic students, carry a higher level of debt than their majority counterparts. Among all students, 46% of master’s students and 39% of doctoral students incurred graduate debt during the 2007-08 academic year. Among white students, 41% of master’s and 38% of doctoral students incurred debt, while these numbers for African-American students were 68% and 62% and for Hispanic students 58% and 41%, respectively. In part, this is because minority students are more likely to be enrolled in fields where students are typically entirely self-funded. This includes fields such as public administration, social and behavioral sciences, and education.
But borrowing is beginning to grow in STEM fields as well. In the past it was fair to assume that STEM students were able to secure full support through a combination of assistantships, fellowships, and employer aid. However, analysis of data drawn from the same data source show that for master’s and doctoral students in some STEM fields of study, loans are becoming an increasing part of the aid they need for graduate study. And as more data become available they are likely to show that minority students again are shouldering a heavier burden.
Where we stand now in the debate
The current debate in Congress over how to address immediate concerns about sky-rocketing student debt provides an opportunity to build a pipeline of domestic talent in America and to sustain the country’s capacity to secure its future through a robust system of graduate education. And yet as Congress considers a variety of proposals to address the matter of student debt, the disparity in graduate student treatment continues. All but one of the market-based interest rate proposals widen the gap between the interest rates for subsidized and unsubsidized Stafford loans and PLUS loans, as well as the caps for each.
Similarly, the proposals to extend the current 3.4% rate do not address the inequities already being experienced and could result in even greater disparities for graduate students as sources of funding are sought to pay for the extension. Sequestration has also resulted in higher fees on loans for graduate students.
The elimination of the Grad PLUS program has been proposed as one of the further cuts that could be made to meet additional sequestration targets. Eliminating the Grad PLUS program means that not only would graduate students continue to pay higher interest rates on federal loans, they would have to take out more costly private, direct-to-consumer loans.
Not just belt-tightening
Graduate students must borrow to attend school. The rate of borrowing is highest for students from underrepresented populations and in those fields where underrepresented populations are most heavily enrolled. But borrowing also happens across the board and students increasingly, even in STEM fields where historically institutional support has been stronger, now find borrowing is an essential component of attending graduate school. If we want American students to pursue graduate education we need to recognize graduate education as part of the educational pipeline in America.
Income-Based Loan Repayment is not the answer
Income based repayment (IBR) should not be considered the default option for all students when it comes to paying student loans. It certainly is not a justification for policies that will increase the discrepancy between undergraduate and graduate loan interest rates. IBR was established as a safety net for students who are taking on greater debt and facing a poor economy with fewer job options upon graduation. IBR provides for lower monthly payments over a longer period of time than the standard 10-year repayment plan.
With the IBR plan, however, the total amount that the student repays increases as does the unpaid principal and interest that will be forgiven, which under federal tax law is treated as one-time, taxable income. This tax provision substantially reduces the value of loan forgiveness, especially if the borrower is unable to pay the full tax liability in one year. For graduate students paying higher interest rates to begin with, this burden becomes even more significant over time. An example from the New America Foundation’s “Safety Net or Windfall?” report illustrates the tax burden nicely: “If the amount forgiven is $20,000, under IBR the borrower would have to pay $5,000 in additional income taxes that year. Borrowers who receive loan forgiveness would likely have to pay state income taxes on the amount as well. What that means in a state with a flat 7 percent income tax, is that same borrower would owe a combined $6,400 in state and federal income taxes.”
Declining graduate student enrollment
Between the fall of 2010 and 2011, first-time graduate enrollment fell 1.7%. This was the second consecutive decrease in such enrollment since the fall of 2003. This decline was not only in fields one would expect such as education, but also in engineering and other STEM fields. In the past international students could be counted on to fill the gap, but preliminary estimates from a CGS survey of international student applications for the fall of 2013 indicate that the numbers from key countries are trending down. For example, applications from China, which in the past has accounted for 29% of international graduate students at U.S. institutions, appear to be down 5% for fall 2013 following double-digit increases for the past several years. Given the global competition for graduate students it is essential that we find ways to not only reverse the declines in US graduate enrollment but significantly accelerate the flow of domestic students into our graduate programs. And in doing this we know from earlier research that financing is a strong factor in graduate student success. In a recent study of doctoral program completion, 80% of the respondents in an exit survey indicated that financial support was a key factor in their ability to complete the degree.
If the future of America is the future of graduate education, we must act now
The declining trend in US student enrollment in graduate programs suggests that America’s potential graduate students are already seeing advanced study as beyond their reach. The present situation is not sustainable if our nation is to meet the needs for a diverse workforce and a global knowledge economy. The good news is that we have an opportunity to address this challenge today. Any fix to address the student loan interest rate dilemma and growing student debt cannot be made only with an undergraduate student focus. It must equalize treatment of graduate students, in terms of interest rates, whether fixed or market-based, and the caps on maximum rates that can be charged.
* Reliable data for Hispanic doctoral graduates are unavailable
Contact:
Julia Kent
(202) 223-3791
jkent@cgs.nche.edu
Washington, DC — Council of Graduate Schools (CGS) President Debra W. Stewart today released the following statement in response to the ruling by the Supreme Court of the United States RE: Fisher v. University of Texas at Austin. The case questions whether the University of Texas at Austin is permitted to use race, along with other criteria, in making undergraduate admissions decisions.
On June 24th, the Supreme Court sent the Fisher v. UT Austin case back for review by the U.S. court of appeals for the 5th circuit. As the case continues to be analyzed, it is important to remember that the diversity of American colleges and universities is one of the greatest strengths of the U.S. higher education system. Diverse student populations provide experiences and perspectives that enhance the education of all students, preparing them to work, collaborate and thrive in a variety of contexts. The Council of Graduate Schools (CGS) supports the commitments of its U.S. member universities to meeting this 21st-century objective and to developing a broad base of highly educated U.S. talent that will support the health and prosperity of the nation as a whole.
How best to achieve inclusion in a student population is a complex question, and one that must be answered in individual university contexts. The Council of Graduate Schools believes that it is important to protect the autonomy of U.S. institutions to design admissions policies that are customized to their institutional missions.
The arguments in the Fisher v. UT Austin case are based on undergraduate admissions processes, which tend to be uniform and centralized in the Admissions Office of a university. By contrast, the graduate admissions process is decentralized, more nuanced and customized to the missions of individual graduate programs. Institutional autonomy in achieving diversity has far-reaching implications in the graduate education sector for that reason, especially in programs and disciplines that see less diversity than others.
As the Council of Graduate Schools works to help universities respond to this and future rulings, we will stand by our position that the United States must continue to support and develop the diversity of its talent.
The Council of Graduate Schools (CGS) is an organization of over 500 institutions of higher education in the United States and Canada engaged in graduate education, research, and the preparation of candidates for advanced degrees. Among U.S. institutions, CGS members award 92% of the doctoral degrees and 81% of the master’s degrees.* The organization’s mission is to improve and advance graduate education, which it accomplishes through advocacy in the federal policy arena, research, and the development and dissemination of best practices.
* Based on data from the 2011 CGS/GRE Survey of Graduate Enrollment and Degrees
A recently released CGS publication is available online:
Guide to Advocacy for Graduate Education Leaders
In today’s environment of constrained public resources and political flux, graduate leaders are actively communicating the value of graduate education and research with key stakeholders. This guide provides a variety of principles, practical strategies, and adaptable examples to use in advocating for graduate education on campus, in the local community, and at the state and federal levels. 54 pages. June 2013.
CGS provides free electronic access to all our publications at the Member Library. Any administrator, faculty, or staff member of a CGS member institution may view, download, or print copies of CGS titles in PDF format (login required).
Print copies of this publication are also available for purchase in the Online Store. CGS members receive discounted rates. To order, access the publication in the Member Library. For complete details on CGS publications, visit cgsnet.org/publications.
The U.S. is engaged in global competition for talent to meet the knowledge and skill demands required in the 21st century workplace. Many countries see graduate education as a key component to their economic growth and have established immigration policies that encourage rather than discourage, highly qualified international students to enroll in their graduate education programs. With this growing international competition for talented graduate students, immigration policies should not make it more difficult for international students to participate in U.S. graduate education programs. Further, these policies should increase the likelihood that they can remain in the U.S. upon graduation. We cannot afford to lose our place in the global marketplace as a producer of, and magnet for, the world’s top talent.
To maintain our competitive ability to attract talented international graduate students and retain them once they have completed their course of study, CGS recommends the following immigration policy principles:
Extend dual intent to include nonimmigrant foreign students studying at the bachelor’s level or higher, with no restrictions on the field of study.
Allow international students who obtain advanced degrees to qualify for immigrant visas so they may remain in the U.S. and work in jobs related to their fields of study. This would apply to:
Continue the use of Optional Practical Training (OPT) as a bridge between student visa status and H-1B visa status, for temporary employment directly related to the student’s major area of study, which gives the student work experience and training, and the employer an opportunity to assess the student’s abilities in the workforce.
Increase the number of H-1B visas available to graduate degree-holders and highly skilled workers to enhance U.S. leadership in an increasingly competitive global economy.
Explore ways to renew academic visas efficiently, particularly with respect to the interview requirements, to minimize the interruption to student’s academic progress.
Enact a permanent legislative solution that allows recipients of the Deferred Action for Childhood Arrivals (DACA) program to legally remain in the U.S. with a path to citizenship.
Contact:
Julia Kent
(202) 223-3791
jkent@cgs.nche.edu
Washington, DC — Debra W. Stewart, President of the Council of Graduate Schools (CGS), today announced that Beth Buehlmann has been named the Council’s Vice President for Public Policy and Government Affairs.
Buehlmann brings to CGS more than eight years of experience shaping the development of higher education policy in the U.S. Senate Health, Education, Labor and Pensions (HELP) Committee, and over 20 years of combined leadership experience in the fields of higher education and workforce development. From 2005 until her appointment at CGS, Buehlmann served as the education policy director for the HELP Committee under the leadership of Sen. Mike Enzi.
The announcement marks the successful outcome of a nationwide search for a chief government relations officer to advance the role of graduate education and research in federal policy. “CGS is delighted that Beth Buehlmann, a national expert on national higher education policy, will be leading our continued efforts to drive progress on the critical issues facing U.S. graduate education and the country,” Stewart said. “Beth has demonstrated an extraordinary ability to build consensus on Capitol Hill by guiding the development of bipartisan education bills and effectively leading change. CGS members will benefit both from her experience and knowledge as the organization continues to advance the graduate education agenda in Washington.”
In her new leadership role at CGS, Buehlmann will be responsible for designing and negotiating public policy strategies that maximize the impact of the Council’s agenda. Buehlmann will bring her deep knowledge of the America COMPETES Act and the Higher Education Opportunity Act to CGS’s future work in the current policy environment. In accepting the appointment, Buehlmann emphasized the role of graduate education in promoting economic development and innovation. “CGS has a remarkable record of high quality research on critical aspects of graduate education,” Buehlmann said. “I am challenged by the opportunity to work with the ‘think tank’ side of CGS to shape a graduate policy agenda that moves our country forward.”
Buehlmann holds a Ph.D. in Higher Education Administration from Illinois State University and a B.S. in Mathematics Education from Chicago State University. Prior to her work on the HELP Committee, she held the positions of Vice President and Director of the Center for Workforce Preparation at the U.S. Chamber of Commerce, and Director of Congressional Relations in the Washington office of the California State University System. Throughout the 1980s Buehlmann was the chief education staff person for all education and workforce issues for the ranking members on the House Committee on Education and Labor.
The Council of Graduate Schools is the only national organization dedicated to the advancement of graduate education and research. Council members are colleges and universities engaged in graduate education, research, and the preparation of candidates for advanced degrees. Over 500 institutions of higher education in the United States and Canada constitute CGS’s core membership.
The Council of Graduate Schools (CGS) is an organization of over 500 institutions of higher education in the United States and Canada engaged in graduate education, research, and the preparation of candidates for advanced degrees. Among U.S. institutions, CGS members award 92% of the doctoral degrees and 81% of the master’s degrees.* The organization’s mission is to improve and advance graduate education, which it accomplishes through advocacy in the federal policy arena, research, and the development and dissemination of best practices.
* Based on data from the 2011 CGS/GRE Survey of Graduate Enrollment and Degrees