Topeka ? Congressional officials and educators Wednesday touted passage of a historic increase in student aid, saying it will help a generation of Americans access higher education.

The increase in Pell Grants, reduction in interest rates for federal loans, and breaks for students who become public employees are part of the largest increase in student aid since the GI Bill of 1944, officials said.

Kansas University officials praised the bipartisan legislation, which was finalized last week by Congress and is expected to be signed into law by President Bush.

The assistance comes as students across the nation, including KU, have been hit in recent years with annual tuition increases in the double-digit range.

Approximately 3,300 students at KU receive Pell Grants, and nearly 7,800 received subsidized federal loans, according to Stephanie Covington, associate director of KU’s Office of Student Financial Aid.

The act will increase the maximum Pell Grant by $490 next year and $1,350 over the next five years. It also expands eligibility for the grants.

Federal student loan interest rates will be cut in half from 6.8 percent to 3.4 percent over the next four years. This will save the average Kansas student $4,420 over the life of a loan, said U.S. Rep. Nancy Boyda, D-Topeka.

Boyda said the combined benefit of the Pell Grants and reduction in interest rates will total $282.4 million over five years for Kansans.

The program also will provide tuition assistance for teachers who commit to working in poor areas.

The act is funded by a reduction in subsidies to private lenders that make college loans. The Federal Family Education Loan Program, which represents commercial loan companies, said the new act would increase use of the federal Direct-Loan program and add to the federal debt.

Boyda said the act will help more students attend higher education, reduce their debt from student loans, and increase their lifetime earnings.

“Instead of graduating with hope for their future, today’s college students graduate with loan payments as far as the eye can see,” she said.