Trump's Fiscal Year 2018 Budget Eliminates SEOG, Reduces FWS, and Raids Pell Surplus

Early Thursday morning the Trump administration released its fiscal year (FY) 2018 budget request, which included significant cuts to certain federal student aid programs, and decreased the Pell Grant Program surplus.

The administration’s first budget request is light on details and known as a “skinny budget,” providing a high-level fiscal blueprint for the administration’s priorities. Overall, President Donald Trump proposed a 13 percent decrease to education spending. The budget also proposed eliminating the Supplemental Educational Opportunity Grant (SEOG) program, removing $4 billion from the Pell Grant surplus – which would not immediately result in a Pell Grant decrease – and significantly decreasing funding for the Federal Work-Study program. The proposal also suggested reforming the FWS program to redirect funds to “undergraduate students who would benefit most.”

All of these reductions would be done in an effort to “focus on streamlining and simplifying funding for college,” according to the budget document. This budget proposal would affect student aid funding for the 2018-19 year.

This budget blueprint only outlines budget priorities for discretionary funding programs, which include SEOG, FWS, and most of Pell Grant funding. Any modifications to student loan programs and the mandatory component of Pell Grant funding will come in a full budget proposal later, perhaps in May or June.

For more information on the federal budget and appropriations process, check out NASFAA's Federal Budget and Appropriations page, which features a flowchart that explains the process and also includes recent news.

NASFAA will be examining the budget more closely and providing details as they become available.

*Original Article is available here: https://www.nasfaa.org/news-item/11556/Trump_s_Fiscal_Year_18_Budget_Eliminates_SEOG_Reduces_FWS_and_Raids_Pell_Surplus