WHEREAS:
American Education Services/Pennsylvania Higher Education Assistance Agency (AES/PHEAA) employs more than 1,500 bargaining unit members of Local 1224, AFSCME Council 13; and

WHEREAS:
AES/PHEAA is the largest, unionized student loan agency in the United States; and

WHEREAS:
AES/PHEAA is completely self-funded, requiring no operating funds from the General Fund and was reinvesting more than $100 million in annual profits to grants and loans for Pennsylvania’s students; and

WHEREAS:
Due to changes in the federal student funding laws in early 2007 (implemented in late 2007), AES/PHEAA student funding programs face significant financial difficulties which will result in loss of student loans and loss of jobs; and

WHEREAS:
On February 21, 2008, more than 50 leaders in higher education, policymakers, financial institutions and Council 13 AFSCME leadership attended an emergency “Student Loan Financing Summit” in Harrisburg to express concern over disruptions in the global financial market and its consequences for students seeking to obtain federal student loans for the 2008-2009 academic years; and

WHEREAS:
The disruption of student loan funding will impact the schools, students, families, workers and economy of the Commonwealth of Pennsylvania.

THEREFORE BE IT RESOLVED:
That AFSCME members contact the U.S. Secretary of the Treasury, the U.S. Secretary of Education, the Chairman of the Federal Reserve Board, and the President of the Federal Home Loan Bank of Pittsburgh and urge them to use all means and authorities available to them to provide needed short- and long-term financial assistance to assure the availability of student loans to Pennsylvania’s students and families; and

BE IT FURTHER RESOLVED:
That AFSCME members call upon members of Congress to urge the above-named officials to address this problem as soon as possible; and

BE IT FINALLY RESOLVED:
That AFSCME members respond immediately to this call for action to prevent further layoffs of the members of Local 1224, AFSCME Council 13 (Pennsylvania).
 
 
SUBMITTED BY: Todd Singer, President
Phyllis Wingate, Secretary
AFSCME Council 13
Pennsylvania