As N.C. Families Struggle, College Aid Panel Meets

by Gary D. Robertson, Associated Press , November 17, 2009

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N.C. Gov. Beverly Perdue (right) sought a boost in need-based aid for UNC-system students, which the Legislature approved this year.

The program didn't get started in earnest until the 2008-09 school year, when 13,798 students were awarded $48 million in grants, according to N.C. State Education Assistance Authority data.

"It was a really good idea and a really good program (because) you didn't have to take on a ton of debt," said Julie Poorman, financial aid director at East Carolina, which had 575 EARN recipients last year. "Your parents could afford to send you to college."

The General Assembly earmarked escheats for more than half the grant money in part due to worsening budget numbers.

Faced with taking even more escheats or shifting tax money needed to close a huge budget gap, lawmakers decided to end the program after $2,000 grants were issued this fall.

The decision left thousands of students scrambling for replacement funds come January. Poorman said East Carolina was able to tap into university funds to pay an additional $2,000 in the spring to less than 300 students of the 891 who received money this fall.

"When EARN goes away, all that will replace it is debt," Poorman said.

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Comments posted here may be reprinted in Diverse: Issues In Higher Education magazine, and may be edited for purposes of clarity and/or space.

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