Arlen Specter: “I want to address my vote on the Kennedy-Dodd amendment regarding savings to be generated from direct and guaranteed…”

“I want to address my vote on the Kennedy-Dodd amendment regarding savings to be generated from direct and guaranteed loan programs. Although, I have ardently supported efforts to increase Pell grants and improve the ability of millions of American families to afford a college education for their children, the Kennedy-Dodd amendment would have disrupted the guaranteed student loan program substantially. It would have upset the balanced approach in the budget agreement to derive savings equitably from both direct and guaranteed loan programs. I am advised that the Kennedy-Dodd amendment would create undue hardship on student borrowers by adversely impacting guaranteed lenders, which would lose part of their loan origination fees. I look forward to working with Chairman Jeffords, Senator Kennedy, and Senator Dodd as the Senate considers these issues in the context of the Higher Education Act reauthorization later in the 105th Congress.”