Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SATURDAY, May 1, 1993 TAG: 9305010097
SECTION: NATIONAL/INTERNATIONAL PAGE: A1 EDITION: METRO
SOURCE: From The Associated Press and The Washington Post
DATELINE: NEW ORLEANS LENGTH: Medium
Clinton called his proposals "a revolution of opportunity for our hard- pressed families and for those who have been left out."
With an opening budget of $394 million, Clinton's national service program initially would put 25,000 young people to work in 1994 in the fields of education, the environment, public safety and human services.
The initiative, which was one of Clinton's major campaign promises, is envisioned to grow into a $3 billion program involving 150,000 youths by 1997.
During the campaign, Clinton envisioned payments of $20,000 to students in return for two years of community service in schools, nursing homes, environmental projects and other efforts.
In the past few weeks, the figure was scaled back to $13,000, but veterans' groups, outraged that it would provide more generous benefits than the GI bill, mounted an effort to have the benefits trimmed more.
National-service participants would receive $5,000 a year for up to two years to repay college loans or otherwise pay for education and training. They also would receive at least minimum-wage stipends, along with health care and child care assistance if needed.
David M. Gring, president of Roanoke College, found the plan attractive because it "acknowledges the strong interest in service being exhibited by our current generation of students." He said it addresses pressing social needs and permits students to contribute service while "guaranteeing the achievement of their educational dreams."
The challenge, Gring said, will be implementing the plan without compromising access to a college education for the most financially needy students and for a majority of college-age students "for whom there will not be a place in the Clinton plan."
Staff writer Leslie Taylor contributed to this report.
\ STUDENT LOAN PLAN'S HIGHLIGHTS
DIRECT LOANS for higher educations would be made by the government instead of by financial institutions. The administration estimates it could provide the loans at about half a percentage point below rates offered by most banks.
ONE-STOP BORROWING would let students get a variety of financial aid. Colleges could act as agents for the government to make loans available.
TWO WAYS TO REPAY LOANS: through up to two years of community service or regular payments based on a percentage of income; or a combination of both.
"NATIONAL SERVICE" either before, during, or after college to repay up to $10,000 in student loans; $5,000 for each of two years. Money would be paid by the government to the school.
by CNB