This paper outlines a proposal for restructuring student aid for higher education based on the book "Keeping College Affordable: Government and Educational Opportunity" by Michael S. McPherson and Morton Owen Schapiro. The paper argues that transferring costs to federal government programs will ensure that equal opportunity and human capital development are national concerns whose cost should be paid for by the government. Under this plan the federal aid programs would be restructured so that the maximum federal aid grant for undergraduate students would be at a level approximating the actual annual cost of a year's education at a typical, public 2-year college. In addition, reform of loan programs would mean unsubsidized loans. Grants would be made to those who need subsidies and loans to those who need credit and some of each to those who need both. The increased cost of federal programs could be offset by higher state tuition revenues and thus could reduce the total taxpayer-borne cost of higher education by about 12 billion dollars. Further sections discuss how the plan would increase access to private colleges, the impact for non-traditional students, and budgetary and enrollment implications. (JB)