by Glenn Blaine, The Journal News
September 5, 2007

NEW ROCHELLE - With college students already engaged in the fall semester, two members of the Lower Hudson Valley's congressional delegation turned their attention yesterday to helping parents pay the bills.

Rep. John Hall, D-Dover Plains, journeyed outside his congressional district to appear with Rep. Nita Lowey, D-Harrison, at Iona College and announce his support for a Lowey-authored bill that would provide tax credits for middle-class families who struggle to pay tuition and other college-related costs.

Those costs have risen by as much as 20 percent in the past seven years, Hall said.

"What that does is slam the door in the face of middle-class families," Hall said of the rising costs.

Lowey's bill, the Deductibility and Incentives to Promote Learning Opportunities and Maximize Assistance or DIPLOMA Act, would give couples making up to $160,000 and individuals making up to $80,000 a tax deduction for all college-related expenses, including tuition and fees, room and board, and books.

Families who exceed those income levels could still qualify for a tax credit for all college-related expenses up to $1,500 and half of all expenses up to an additional $2,500.

The act is also intended to help recent graduates by allowing them to fully deduct both the principal and interest of their student loan payments for the first five years after graduation.

Lowey, who welcomed Hall's support, said she hoped to make the DIPLOMA Act part of a larger effort in Congress to make higher education costs more affordable for middle-class families. Part of that initiative is the reauthorization of the Higher Education Act, which provides key financial aid programs, including Pell Grants. Congress is expected to approve the reauthorization in the coming weeks.

"It's the middle class that is constantly getting squeezed," Lowey said yesterday.

Iona College President Brother James A. Liguori agreed and said passage of Lowey's bill would be welcomed at the school. He noted that 80 percent of the school's student population needs some sort of loan to fund their education.

"If there's one thing that keep me up at night, it's how to keep Iona College affordable," Liguori said. "So, to say that that is an important bill would be an understatement. ... Anything that can help, is welcome."

But Rebecca Thompson, legislative director at United States Student Association, which represents college students around the country, said Lowey's bill would do little to help low-income families who need the most help.

"We are supportive of any way that makes college more affordable and accessible," Thompson said. "However, our emphasis is on the families that can least afford it."