1/ *States that have two agencies--general and blind.

2/ Upon adoption of the Compact of Free Association, amounts allocated for the Trust Territories will no longer be available, except amounts for the Republic of Palau.

1/ Upon adoption of the Compact of Free Association, amounts allocated for the Trust Territories will no longer be available, except amounts for the Republic of Palau.

THURSDAY, APRIL 25, 1985.

STUDENT FINANCIAL ASSISTANCE

WITNESSES

EDWARD M. ELMENDORF, ASSISTANT SECRETARY FOR POSTSECONDARY EDUCATION

SALLY K. KIRKGASLER, DIRECTOR, OFFICE OF POLICY DEVELOPMENT WILLIAM DINGELDEIN, DEPUTY DIRECTOR, BUDGET SERVICE, OFFICE OF PLANNING, BUDGET AND EVALUATION

JOHN S. HAINES, DIRECTOR, POSTSECONDARY ANALYSIS DIVISION, OFFICE OF PLANNING, BUDGET AND EVALUATION

Mr. NATCHER. At this time, we take up the budget request for fiscal year 1986 for Student Financial Assistance. We have before the committee Mr. Edward M. Elmendorf, the Assistant Secretary for Postsecondary Education.

It is a pleasure to have you back before our committee. Before you proceed with your statement, tell us who you have there at the table with you.

Dr. ELMENDORF. On my left, I have Ms. Sally Kirkgasler; Director of the Office of Policy Development, Mr. William Dingeldein, Deputy Director of the Budget Service for the Office of Planning, Budget and Evaluation; and John Haines, Director, Postsecondary Analysis Division, Office of Planning, Budget and Evaluation.

Mr. NATCHER. We are delighted to have all of you before the committee at this time. We will be pleased to hear from you.

BUDGET REQUEST

Dr. Elmendorf. I would like to submit my statement for the record and try to summarize it in less than five minutes.

Mr. NATCHER. That is good.

Dr. ELMENDORF. Our request for the Student Financial Assistance account before you this afternoon comes to a total of $3.569 billion. We are attempting with this amount of money to assure access to postsecondary education for students in higher education, to restore the proper role of the parent and student, and to define more clearly the Federal Government role.

There has been a dramatic growth in the appropriations for student aid since 1978, when the amount was $3.7 billion. It has now grown to over $8.6 billion in 1985.

The principles we are attempting to restore are that the parent and student have the joint responsibility for financing postsecondary education. We are attempting to reduce excessive reliance on Federal student aid programs and we are trying to reduce subsidies