Budget

Harvard Vice President for Government and Public Affairs John Shattuck said the University will lobby against the $8000 cap because it "involves all the problems of access and choice" for low and middl income students who might not be able to afford private college.

However, Congressmen and educators alik are confused about just how the $8000 cap would affect aid programs at various schools, lobbyists said. Harvard and other schools and educational lobbying groups are currently investgating the effects of the cap in order to persuade Senators to oppose the measure.

"Som schools say they'd lose 70 percent [of their federal subsidy for financial aid]. Others say they wouldn't lose any, Miller said.

But Miller said that Harvard could probably replace most or all of lost federal loans. Currently, the University gives about $12 million in federal grants and loans to students in average awards of $4500, he said.

This weekend, the University with go through individual financial aid packages and determine which students would still be eligibl for the amont of federal aid they receive now, Miller said. Harvard might be able to reshuffle institutional and allotted federal aid so that the University would not have to lose any government subsidy, he said.

Senators expect a vigorous fight on the matter. "Much of the degree of opposition will be determined by the data the institutions will provide about the effects," said an aide to Sen. John H. Chafee (R-R-I). an opponent of the cap.

Sen. Robert T. Stafford (R-Vl.), chairman of the Labor and Human Resources subcommittee on education and a leading opponent of Reagan's proposals to reduce financial aid, has also described the compromise plan as unacceptable.

Shattuck said the opposition of Stafford and the others was "crucial" in the attempt to prevent the cap from being included in the final budget.

"It's very difficulty to get a him [on what will happen], but it's beginning to appear that the whole compromise may be in serious jeopardy," said Charles Saunders, vice president for government relations of the American Council on Education, a lobbying group. "Nobody's going to oppose the compromise on the issue of education."