Supporting the goals and ideals of College Savings Month.

Mr. Speaker, I thank the chairman for yielding me time, and I thank the gentleman from Massachusetts (Mr. Tierney) for cosponsoring this legislation, working in a bipartisan way to recognize a very powerful tool that many do not know even exists.

Mr. Speaker, one of the reasons for this resolution is to remind many Americans that there is a possibility that you can save and compound and fight the rising costs of getting your children a quality education.

I remember in Michigan we started something like this where it is tax-free in and tax-free out in a 529. You do not pay Michigan income tax if you get into one of these education funds. At the announcement, a woman brought a jar full of pennies. She was so excited, she said, ``You know, no longer do I have to fill this jar with pennies. I can put it somewhere where these pennies will become dollars and hundreds of dollars for my child to have and get a chance at a quality education in America.'' How true that was, and how inspiring it was for that woman to recognize that this is such a powerful instrument for parents all across this great country, to have the benefits of a tax-free way to save and compound for offsetting these rising costs of getting that education.

Mr. Speaker, 86,000 people since the introduction of this bill, in Michigan alone, have signed up and are putting $25, $15, $10 or $100, as much as $5,000, away in these funds and watching it grow, tax-free, certainly at the State level, and tax-free at the Federal level, thanks to all the Members of this Chamber, when you withdraw it for your child's education. You can start to fight back the cost of books and computers and room and board, and, certainly, that cost of tuition through these funds.

I want to, again, thank my colleagues on the other side of the aisle for working in such a great, bipartisan spirit to reach a very laudable goal, and that is quality, accessible, higher education and vocational training for every American. This certainly empowers hundreds of thousands of them to do that right here at home.

Mr. Speaker, as the sponsor of H. Con. Res. 270, I rise in support and wish to thank Chairman Davis for bringing it to the floor today and to thank Congressman John Tierney for joining me in sponsoring this resolution. H. Con. Res. 270 recognizes September as College Savings Month in conjunction with the National Association of State Treasurers and the College Savings Plan Network in order to raise public awareness about the need to save for educational expenses.

Since 1980, the rate of increase of the cost of postsecondary education has exceeded the rate of increase of inflation, public assistance to students and family income. This rapid rate of increase poses serious threats to the ability of parents to save for and individuals to access postsecondary education.

Given that it is in our Nation's best interest to have a highly educated population and to encourage parents to save for their educational expenses, many States, like Michigan, offer tax incentives to encourage their citizens to save for educational expenses. As a State senator, I sponsored legislation to develop a 529 plan that provides tax-free contributions and withdrawals made to an education savings account. Soon after becoming a Congressman, I introduced legislation to make distributions from State-sponsored prepaid tuition or college savings plans tax free. I was pleased when this provision was included in the 2001 Economic Stimulus legislation that was signed by the President. Education savings accounts are one way that we can ensure that individuals at every income level have the ability to contribute to their child's or a relative's or even their own postsecondary education.

I realize many working families are trying to save for college and it would be ideal if no student had to take out a student loan. But for those who do incur debt, we need to make sure every student loan borrower has a real opportunity to borrow at the lowest rate possible. In order for borrowers to reach the lowest rates possible, there must be competition in all aspects of the student loan program, including consolidation loans.

In order to ensure that we instill such competition, we will need to make sure that we repeal the single holder rule during the reauthorization of the Higher Education Act, which is currently moving through the Education and the Workforce Committee. I want to thank my colleagues, Chairman Boehner and Congressman McKeon, for their efforts to keep college costs under control. It will be part of my commitment to them as well as students and families everywhere that they can have the benefit of competition from the more than one thousand qualified lenders in the program when they consolidate their loans and, thus, allow them to further reduce their debt burden by taking advantage of historically low fixed interest rates, just as other borrowers are able to do every day.

In conclusion, I encourage my colleagues to support H. Con. Res. 270 and the goals and ideals of College Savings Month.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, College Education Month focuses our attention on a question Americans with children are asking themselves: How will I be able to afford a college education for my children?

Rising tuition rates force families to borrow thousands of dollars to fund their children's college education. The debt that these families and new graduates face after graduation is daunting. The majority of college students today will have borrowed over $20,000 by the time they graduate.

As Federal and State governments reduce student financial aid because of budgetary constraints, families have to bear more of the financial responsibility for college costs, and they need to plan accordingly.

To encourage families to save for their children's college education well before college, the College Savings Plans Network was formed in 1999 as an affiliate to the National Association of State Treasurers. To make higher education more attainable, the Network serves as a clearinghouse for information about existing college savings programs.

Tuition rates have risen well past the rates of inflation. During any 17-year period from 1958 to 2001, the average annual tuition inflation was between 6 percent and 9 percent, ranging from 1.2 times general inflation to 2.1 times general inflation. On average, tuition tends to increase about 8 percent per year. An 8 percent college inflation rate means that the cost of college doubles every 9 years. For a baby born today, this means that college costs will be more than three times the current rate when the child matriculates college.

College savings plans allow participants to save money in a special college savings account for college applicants' education expenses. Contributions can vary, depending on individual saving goals. Savings account funds can be used nationwide at eligible institutions.

To raise awareness about these programs, the Network has designated September ``College Education Month.'' This resolution supports the Network and its efforts to help families plan, prepare and save for college education without relying heavily on student loans and financial aid.

The steadily increasing costs of college education should not stop America's youth from reaching their goals and aspirations.

I urge passage of this important resolution.

Mr. Speaker, I reserve the balance of my time.

Mr. Speaker, I yield such time as he may consume to the gentleman from Texas (Mr. Bell).

Mr. Speaker, I move to suspend the rules and agree to the concurrent resolution (H. Con. Res. 270) supporting the goals and ideals of College Savings Month.

Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days within which to revise and extend their remarks and include extraneous material on H. Con. Res. 270.

Mr. Speaker, I yield myself such time as I may consume.

Mr. Speaker, H. Con. Res. 270, introduced by the gentleman from Michigan (Mr. Rogers), aims to raise awareness about the need to save for higher education expenses.

It is increasingly imperative for today's young people to possess college degrees in order to compete in our Nation's workforce. At the same time, the cost of undergraduate college educations continues to rise at a faster rate than inflation.

Behind only their own retirements plans and mortgages, parents will probably put more money into their children's college educations than anything else in their lifetimes. This reality can severely limit options for those students and families who have not set aside funds to pay for college.

Mr. Speaker, there is hope for parents and students who seek to defray the high costs of higher education. Many tax-deferred investment opportunities, low-interest loans and scholarships can assist with paying for college, and they are available for those who look hard enough. Hopefully, the House's consideration of this resolution will encourage all future college students, and parents of future college students, to fully explore all such options.

Mr. Speaker, few things are more valuable to one's career, financial security or happiness than their college education. Unfortunately, few things are more expensive than a college education. It is important that all Americans interested in going to college take the necessary steps to ensure that college is something they can afford.

Mr. Speaker, I urge all Members to support H. Con. Res. 270. I want to thank the gentleman from Michigan (Mr. Rogers), and urge passage of the bill.

Mr. Speaker, I reserve the balance of my time.

Mr. Speaker, it is my pleasure to yield such time as he may consume to the gentleman from Michigan (Mr. Rogers), the sponsor of the resolution.

Mr. Speaker, it is my pleasure to yield such time as he may consume to the gentleman from Nevada (Mr. Porter).

Mr. Speaker, I urge passage of the resolution, and I yield back the balance of my time.

Mr. Speaker, I rise in support of H. Con. Res. 270, supporting the goals and ideals of College Savings Month.

For many students, attending college following high school graduation is just the next phase in their lives before joining the workforce. But, for some, the choice to attain a postsecondary education is not as easy as just getting accepted into a program of their choice.

With the growing cost of postsecondary education, many students are

forced to take out student loans, loans that can often exceed $30,000 a year. Entering the workforce with these kinds of commitments can often be intimidating for a newly-graduated student.

Having had two children in college at one time, I understand how saving for our children's postsecondary education has become increasingly important, as we continue to see the costs of the postsecondary education steadily rising.

Currently, the United States Tax Code offers options for families to do just that, save money, to set aside for the value of that education. Two such options are the 529 College Savings Plan and the Coverdell Accounts. Both of these plans have benefited thousands of students and helped their families meet the rapidly escalating costs associated with obtaining a college degree.

Mr. Speaker, I plan on introducing the Education Savings Act of 2003 tomorrow that will clarify the law to make it clear that employers can make tax deductible contributions to employees in their 529 and 530 education accounts, available to all employees at every income level. The Education Savings Act will clarify that any amounts contributed to these educational accounts will not count toward an employee's gross income.

Planning for our children's postsecondary education by setting up savings accounts is essential, now more than ever.

I would like to take this opportunity to thank my colleagues, the gentleman from Michigan (Mr. Rogers) and the gentleman from Massachusetts (Mr. Tierney) for their efforts to give this important issue the recognition it deserves.

Mr. Speaker, I thank the gentlewoman for yielding me time.

Mr. Speaker, I rise today to join with the gentlewoman from California (Ms. Watson) as well as the gentleman from Ohio (Mr. LaTourette) in support of H. Con. Res. 270. Certainly, nothing could be more important in this day and age to recognize than saving for college.