Reduce Child Poverty

• Expand eligibility for state financial aid to include students who are: enrolled part-time; without a high-school degree or GED; in developmental and non-credit training tied to certificates/degrees; in training providing fractional credit or short modules; and, need to combine state need-based aid and Pell Grants -- up to the full cost of attendance. Georgia’s Hope Grants provide aid to post-secondary students pursuing adult education, but not necessarily seeking a diploma.  These grants are available to students enrolled less than half time [ii] Washington State’s Opportunity Grants provide similar assistance, and are targeted toward training related to high-demand jobs.  These grants fund tuition, books, tools, and supplies, and includes an allocation for the educational institution to provide student support services [iii]
• Encourage use of federal tax assistance for higher education such as the tuition and fees deduction, the student loan interest deduction, and the Lifetime Learning Credit.  The new American Opportunity Credit is partially refundable (meaning a person without a income tax liability can receive it) and lower-income households without tax liability can receive up to $1,000.  One estimate is the American Opportunity Credit will make assistance available to 3.8 million students living in lower-income families [iv] Texas has engaged in targeted outreach, a media campaign and cross-agency collaboration. [v]

[ii] Amy Ellen Duke, Karin Martinson, and Julie Strawn. 2006. “Wising Up: How Government Can Partner with Business to Increase Skills and Advance Low-Wage Workers.” Washington, DC: Center for Law and Social Policy.