California Student Aid Commission Announces $62.25 Million from ECMC for Cal Grants

SACRAMENTO, Calif., June 2, 2011 /PRNewswire-USNewswire/ -- The California Student Aid Commission (Commission) is pleased to announce that the ECMC Board of Directors has committed to funding an additional $20 million for the 2011-12 Cal Grant Program, bringing the total commitment to $62.25 million.

On September 23, 2010, the Commission appealed the United States Department of Education's decision to terminate the Commission's student loan guarantee program agreement and to transfer the program to Educational Credit Management Corporation (ECMC).  The Commission withdrew its appeal after the U.S. Department of Education and the Commission negotiated an agreement that addressed concerns that the Cal Grants, financial aid and financial aid services to over 330,000 California students, had been placed at risk.  

The Commission's negotiations with the U.S. Department of Education resulted in $100 million for the 2010-11 Cal Grant awards.  With this announcement, the Commission's successful partnership with ECMC in the transition of the student loan program has resulted in the additional $62.25 million for the 2011-12 Cal Grant awards.

Commission Chair Barry Keene issued the following statement:  "The Commission's appeal of the U.S. Department of Education's decision was to ensure that the Cal Grant Program and the services provided to students and California's schools and colleges were not eliminated.  This funding commitment to California students is critical to the development of California's future workforce."  

"ECMC is pleased to partner with the State of California in providing funding for the Cal Grant Program," said Richard Boyle, ECMC Group president and CEO.  "Expanding access to higher education is at the core of our mission of helping students realize their education goals.  The management, board of directors and employees of ECMC are proud to have the opportunity to support California students and families."

The Commission anticipates that its continued partnership with ECMC will continue to the benefit of California's students for many years to come.  ECMC's recent appointment of Jack O'Connell, former California Superintendent of Public Instruction, and Maurice M. Salter, chair of the UCLA Foundation, to the ECMC Board of Directors will greatly enhance the ECMC and California partnership.

The California Student Aid Commission is the principal state agency responsible for administering financial aid programs for students attending public and private universities, colleges, and vocational schools in California. The Commission distributed over $1.3 billion to California's college students during the 2010-11 academic year through its Cal Grant, specialized and loan forgiveness programs. The Commission also administers financial aid awareness and outreach programs, such as Cal-SOAP and Cash for College, in collaboration with business, private industry and community-based organizations.

SOURCE California Student Aid Commission

WANT YOUR COMPANY'S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Digital Media
Outlets

270k+
Journalists
Opted In

GET STARTED