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student should be allowed to study in any filed of his choice. Any delineation of subject matter by the Government would be an undesirable Federal control in higher education. Hence a policy of "open selection" can be viewed as an indispensable element in Federal scholarship aid.

USNSA also believes that scholarships should allow a student to select any institution to assure both private and public institutions of gaining needed financial support. The Veterans' Readjustment Act of 1944 the GI bill of rights-will illustrate the operation we suggest here.

USNSA believes that allowances to institutions for every scholarship student enrolled are consistent with the need to assist institutions in meeting the whole cost of that student's education.

USNSA, therefore, heartily endorses and supports the recommendation of President Kennedy that Congress establish a 5-year program with an initial authorization of $26,250,000.

USNSA firmly supports the stipulation of President Kennedy that these Federal scholarships be made available without regard to the race, creed, color, religion, national origin, or political belief of the applicant.

USNSA considers this last condition to be of no minor importance. From statistics quoted in the Harvard Educational Review, Summer 1960, it can be seen that the minority 10th of the American population comprising its lowest socioeconomic group supplied but 5 percent of the Nation's students in college, with four out of five of that 5 percent financially compelled to segregated colleges. USNSA considers that the increased availability of financial aid, if equitably distributed, will greatly alleviate this unfortunate condition. For this reason as well as those of the democratic imperative of a government for all the people, USNSA would have all funds withheld from those States which did not accept this principle in their allocations. (See "App. 3: Financial Assistance to Students.")

The national interest presently demands that all "natural resources" are fully utilized by our free society. Our intellectual "natural resources" are constantly being replenished and increased as higher education is made available to an increasing number of students. At this critical time in history it becomes imperative that no intellectual ability be lost to the service of the Nation.

In the United States, therefore, we have tried to develop an educational system based on the premise that every capable individual should be educated to his maximum capacity for development. This system can be regarded as a pragmatic response to the development of our country.

But two assumptions are basic to our educational philosophy. First, it is assumed that the primary purpose of our system of education is the maximum development of the creative and critical abilities of each individual. This is required in our democratic society's respect for the dignity of each human being.

Secondly, our system of education is based on the assumption that a free society can and must sustain itself only through a strong and healthy system of education. As Jefferson observed:

If a nation desires to be both free and ignorant, in a state of civilization, it expects what never has been and what never will be.

Dael Wolfle summarizes our concern for increased Federal aid to higher education when he wrote:

The brains of its citizens constitute a nation's greatest asset. From the minds of men will come future scientific discoveries, future works of art and literature, future advances in statesmanship, technology, and social organization, in short, all future progress. Since there can be no argument over this proposition, the practical problem becomes one of devising the best means of nurturing the talent which exists in the population. A nation which has had the ingenuity to conquer the air, eradicate age-old diseases, to send radio messages around the world, to achieve a higher standards of living than has ever been seen elsewhere in the world can surely overcome the barriers of doubt, of unequal opportunity, of financial handicap, and of inadequate motivation in education which interfere with the fullest development of the industrial, educational, intellectual, and moral leadership which our kind of society increasingly requires.

(The appendixes follow :)

APPENDIX 1-FEDERAL AID TO HIGHER EDUCATION

FACT

(1) The cost of higher education has greatly increased, and as a result the costs for students have increased and will continue to increase since educational institutions find themselves in financial difficulty.

(2) American higher education faces a continual crisis; it must not only alleviate our present shortage of scientists and technicians, but must supply the country with an ever-increasing number of citizens, educated in all fields, if our Nation is to perpetuate itself and its goals.

(3) Well-qualified students are not able to enter college or continue their education because of financial need.

(4) Enrollment is expected to rise sharply within the next decade, resulting in a strain upon facilities and a need for more and better faculty. It is well known that lack of financial incentive has driven many teachers out of the education field.

(5) The Federal Government affects and aids higher education by many separate acts and through many channels. However, it lacks a single body to coordinate and define its efforts in education.

PRINCIPLE

USNSA affirms belief in the following principles:

(1) That there is a need for Federal aid to higher education:

(a) That education is the keystone of a free and democratic society.

(b) That private and State aid in some locations are inadequate to meet the problems presented and that the Federal Government must supplement private and State aid to met the needs of American education. (2) That there is a need for aid to individuals seeking higher education and that a program of scholarships, graduate fellowships, and low-interest loans to students would aid greatly in overcoming financial barriers to higher education. (a) That such a program should provide aid for as many qualified students as possible.

(b) That grants be contingent upon no other basis than intellectual ability and financial need.

(c) That those grants should not be awarded for any specific field of study.

(d) That each recipient shall be entitled to use his grant at any accredited institution of higher education in the Nation, subject to his admission.

(e) That no person be denied the opportunity to grants because of race, religion, creed, national origin, political beliefs, or sex.

(3) That there is a need for Federal aid to institutions of higher learning, except those that require the teaching of a certain religious belief to all of their students.

(a) That the Federal Government shall allot funds to each State on the basis of the State's public universities and colleges.

(b) That the allotment to any State shall be reduced by the percentage the State's tax effort index is less than the national average State's tax effort index.

(c) That provisions should be made to insure that each year a State increase its effort to provide State funds for higher education.

(d) That provisions should be considered to provide direct Federal aid to private institutions on the basis of students enrolled and financial need. (e) That such aid would be for student loans or scholarships, faculty salaries, construction of facilities, and other institutional demands.

(f) That the decision for the specific use of such aid would be reserved for the individual States and the individual private institutions-thus preventing any Federal control tending to operate against the principles of university autonomy and academic freedom.

(g) That such aid, however, would not be made available to an institution of higher learning which discriminates on the basis of race, creed, color, religion, national origin, or political beliefs.

(4) That there is a need for a national advisory board on Federal aid to education, to be available for consultation with National, State, and local authorities whenever they are planning an act that would affect higher education.

(5) In order that educators and administrators have a significant voice in the shaping of future aid programs, they should become more aware of the importance of Federal aid and should express their views more clearly and frequently to Members of Congress and the Department of Health, Education, and Welfare.

DECLARATION

USNSA urges that new legislation and policy for future Federal aid to higher education be directed to benefits to society in general and not shortsightedly directed to the benefit of our Defense Establishment.

APPENDIX 2-FEDERAL AID FOR CONSTRUCTION IN INSTITUTIONS OF HIGHER

LEARNING

FACT

USNSA fully recognizes the growing necessity for the expansion of facilities in institutions of higher education. We further are aware that this need will become extremely critical in the near future as a result of rapid increases in enrollment.

PRINCIPLE

USNSA believes that this extreme demand upon the physical facilities of public institutions of higher learning should be alleviated in the most rapid manner possible. We believe that State and local government should aid in the provision of such facilities. We further believe, however, that because of the large appropriations needed for such a program, the Federal Government should institute a project of construction for public institutions of higher education, the program to include the following:

(a) The Federal Government would provide the appropriations for the physical plants and equipment only and would not in any manner control policy, employ instructors, or have other similar power now exercised by the public institution. Enacting legislation must not include provisions which extend beyond construction.

(b) The Federal Government would administer the program in such a manner that those institutions which are more in need of facilities to provide their institution and students with educational opportunity equal to the rest of the Nation would receive an amount greater in proportion to those schools now providing such opportunities.

(c) The Federal Government would provide finances to States in accordance with the desire of the State to maintain education. Thus any curtailment of present expenditures because of Federal building programs would automatically suspend Federal appropriations. Increased expenditures would entitle the State to further consideration for building capital from the Federal Government on a regulated scale provided in the legislation.

APPENDIX 3-FINANCIAL ASSISTANCE TO STUDENTS

FACT

Financial obstacles often prevent the attainment of the educational goals of intellectually qualified students. Indeed, according to the findings of President Truman's Committee on Higher Education, half of the top 10 percent of high school graduates do not attend college, many of them for economic reasons. Increasing enrollments will intensify the need of financial aid for these students. Scholarships and loans, originating with individuals, businesses, the State government, and/or the Federal Government, and Federal income tax relief are means by which student economic problems may be alleviate.

PRINCIPLE

It is in the best interest of a society that those members possessing adequate intellectual capacity pursue their education in an institution of higher learning. In a democracy such as ours the responsibility of such attainment lies with both the society and its individual members.

If an intellectually qualified member is prevented from realizing his educational ambitions because of economic pressures, it is the duty of organized society, represented in individuals, foundations, the business world, the State government and/or the Federal Government, to aid its members.

DECLARATION

USNSA strongly urges that more extensive scholarship programs be developed in and administered by the business world, the State governments and/or the Federal Government.

USNSA advocates that the field of business initiate more scholarship programs or enlarge programs already established.

USNSA urges the adoption by States of scholarship programs similar to the one maintained by the New York State regents scholarship program in which 5 percent of all high school graduates receive scholarships.

USNSA encourages States to allow graduate students who receive State financial aid to pursue courses of study not available in his State.

USNSA urges the initiation of a Federal scholarship program by which stipends would be awarded on the basis of need and on the basis of the results of national competitive examinations. This national scholarship competition will be open to all studetns regardless of sex, religion, race, color, national origin, creed, or legitimate political belief, desiring to enter or to continue courses of study at any accredited institutions in any field.

USNSA shall encourage additional programs fostering partial Federal income tax relief to students or to the person who incurs a major portion of the student's educational expenses.

USNSA favors loans to institutions of higher learning for the sole purposes of providing housing or other educational facilities for students as prescribed in title IV of the Housing Act of 1950 (Public Law 475, 81st Cong.).

Moreover, USNSA strongly recommends further amendments to title IV of the housing bill to provide for loans to cooperative student housing associations which have been recognized by institutions of higher learning, but which are now ineligible, having been established and being owned by the students, rather than the institution.

Mr. JENKINS. Thank you very much for this opportunity to present our basic statement of testimony.

Mrs. GREEN. Thank you very much, Mr. Jenkins. What I heard of it was most excellent. I will read the rest of it with interest.

I will turn to the gentleman from Connecticut for questions. Mr. GIAIMO. I have no questions but I would like to congratulate you on what I think was a very fine presentation.

Mr. JENKINS. There was one question which I had and it developed out of my reading of the letter of the bill and the section to which I am referring is entitled "1" and it occurs on page 13. That is line 17 marked with a bracketed "A.” And it delineates the method or

the methods that can be used for the allocation of funds which are given for housing or building programs.

It says:

Established by an institution of higher education for the sole purpose of providing academic facilities for the use of such institutions or for such purpose and the additional purpose of providing housing or other educational facilities as defined in section 404 of the Housing Act of 1950 as amended, for students or students and faculty of such institutions without regard to their membership in or affiliation with any social, fraternal, honorary society or organization.

Now the question I want to raise is does this in fact endorse allocation of Federal funds, as administered in this previous act, to fraternal organizations and takes no account of the responsibility or the complement of their fraternities?

Mrs. GREEN. As I interpret this, the answer would be "No." This would be the agency that would be responsible for administering the funds. I would think not and I know what your concern is, and I think it would have nothing to do with that.

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Mr. JENKINS. In the background of my concern, it grows out of a recent study that I have had at Yale Law School, and from the Review, the Law Review from Stanford, which has specifically taken the issue of Federal allocations to building programs of various fraternity houses, where this is a substantial part of the housing facility. The condition, then, which is presented is that many times you have discriminatory fraternities, receiving funds from the Federal Government and, in fact, a subsidiary to perpetuate their system of discriminatory practices. I wonder if this is in fact the section which is allowing for this to happen again in this act, when it says that without regard to any membership in or affiliation with any social or fraternal organization?

Mrs. GREEN. Do any of my colleagues have a comment on that? In the absence of any definite information, let me say this, Mr. Jenkins, that we will make this a point to look up and clarify in our own minds. I think I am sympathetic to your viewpoint.

Mr. BRADEMAS. I should like only to add to what the chairman and Mr. Giaimo have said and express to you, Mr. Jenkins, our deep appreciation for your lucid and very well prepared statement.

Mr. GOODELL. I certainly think it is a very fine statement, and one with which probably all of us can agree. I note your statement on page 3 that without a scholarship program, many of the financially disadvantaged students, as you call them, would have little incentive for obtaining a higher education. You use the word "incentive," and it would appear to raise a great many ramifications that are not dealt with in this bill at all, problems of motivation and so on. We are trying to deal here primarily with making the education available to those who have not got the money to do it and who have the ability to do it. I agree with you, I think we should focus on motivation where we can, and I think that we should not waste our money on those who are not motivated, and who have no incentive. This is a great difficulty in trying to allocate scholarships to those who will really go ahead and use them to the benefit of themselves and society.

I wonder if you heard the testimony of the previous witness.
Mr. JENKINS. Yes.

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