Students Call for Strategic Investments in the 2009 Federal Budget

Education also was a focus at the national level today. The Canadian Alliance of Student Associations (CASA) has been working on their pre-budget submission to advocate to government and it was released today. The following is their press release:

Ottawa, ON – With the 2009 federal budget only three weeks away students across Canada are demanding that the federal government make funding for education, knowledge and innovation a priority for the year ahead.

The economic downturn is leaving a significant impression on Canada’s post-secondary institutions – CASA believes that endowments that universities rely on for scholarships and bursaries have, on average, lost between 12% and 15% nationally. These short term losses are dramatic but do not compare to the potential reduction in revenues a recession will impose on the provinces’ ability to sustain spending for post-secondary education.

Without government intervention, these and other shortfalls in operating capital must be made up by the institutions themselves, typically through curtailing class offerings, freezes in hiring, and downloading of higher tuition and ancillary fees to students.

Moreover, Canadian families are now finding themselves face-to-face with layoffs, pay freezes, decreased value of homes, loss of businesses, declining savings and so forth. Confronted by these issues, many students will find themselves suddenly without the necessary resources to pursue higher education during this year, and into the next.

“The current economic uncertainty has created new, unexpected demands upon both post-secondary institutions and students,” said Zach Churchill, National Director of the Canadian Alliance of Student Associations. “As a result, the Canadian post-secondary education system is expected to take a crippling hit if the federal government does not invest in higher education.”

On behalf of its 300,000 members, the CASA is recommending that the following actions be taken as a part of the 2009 federal budget. CASA believes that if adopted, these actions will produce reinforcing effects of stimulating the economy, while easing the burden that Canadian education institutions and their students face given the current economic circumstances.

1. Invest $1.5 billion in Accumulated Deferred Maintenance (ADM) at post-secondary institutions across the country

2. Provide a one-time, earmarked transfer to the provinces for PSE to offset freezes or claw-backs in provincial PSE funding

3. Provide temporary targeted grants to counterbalance the difficulties students and their families may face in finding the means to afford post-secondary education

4. Extend the Interest Relief period for Canada Student Loans from the current 6 months, to 9 months.

“If adopted, these actions will produce reinforcing effects of stimulating the economy, in addition to reinforcing the federal government’s strong commitment to building a knowledge advantage for Canada,” concluded Churchill.