The Congressional Ways and Means Committee have released a tax reform bill that will raise the cost of attending college.
If the bill is passed, it will be particularly harmful to private colleges and universities. The bill proposes the elimination of many benefits and new tax penalties in the tax sector. Leaders in higher education in Ohio and across the country are speaking out against certain provisions in the proposed legislation.
According to the National Association of College and University Business Officers, the proposed bill will result in less money for scholarships, student services, research, and college and university operating expenses. The bill will also affect employer contributions for continuing education and tuition remission, which will result in driving out talented employees.
President Michael Frandsen shared his concerns with Congressman Warren Davidson’s office.
“Provisions to eliminate private activity bonds, historic tax credits and new market tax credits will raise the cost of maintaining and improving our facilities,” Frandsen said.
Students like Seneca Neal, ’20, and Aacha Gregg, ’20, shared their thoughts about the proposed bill.
“It will probably discourage even more people from going to school; I just don’t think it’s fair,” Neal said. “We need it to become less, not more.”
“I think the bill is going to make things worse for people who can’t pay their student loans back,” Gregg said. “It’s just going to make the U.S. have more debt, so it doesn’t make sense to pass this bill.”
Frandsen also said that it will be difficult to evolve university programs and meet the future needs of students, the state of Ohio and the nation.
He has also urged Congressman Davidson to reject the bill. Frandsen discussed that tax reforms are needed, but harming higher education is not.
The bill has already been finalized by the committee and it will be brought to the House floor for approval during the week of Nov. 13.