College for All Act of 2025
This bill establishes measures to expand access to higher education, including by eliminating tuition and required fees for eligible students, revising the Federal Pell Grant program, and reauthorizing certain programs to assist students from disadvantaged backgrounds.
Specifically, the bill provides funding to enable states and tribal colleges and universities, through a federal-state partnership, to eliminate tuition and required fees for (1) all students at community colleges and two-year tribal colleges and universities, and (2) working- and middle-class students at four-year public institutions of higher education and tribal colleges and universities.
The bill provides funding to enable private, nonprofit historically Black colleges and universities and minority-serving institutions to eliminate tuition and required fees for eligible students.
The bill permanently reauthorizes and otherwise revises the Federal Pell Grant program by
Further, the bill requires the Department of Education to award grants to eligible states and tribal colleges and universities for improving student outcomes.
The bill reauthorizes through FY2035 the Federal TRIO Programs and reauthorizes through FY2029 the Gaining Early Awareness and Readiness for Undergraduate Programs.
[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3543 Introduced in House (IH)]
<DOC>
119th CONGRESS
1st Session
H. R. 3543
To amend the Higher Education Act of 1965 to ensure College for the
Higher Education Act of 1965 to ensure College for All.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
May 21, 2025
Ms. Jayapal (for herself, Ms. Balint, Mr. Casar, Mr. Garcia of
Illinois, Ms. Clarke of New York, Ms. Dean of Pennsylvania, Mr. Fields,
Mrs. Foushee, Mr. Frost, Mr. Garamendi, Mr. Khanna, Ms. Lee of
Pennsylvania, Mr. Magaziner, Mr. McGarvey, Mr. Nadler, Ms. Norton, Ms.
Ocasio-Cortez, Mr. Pallone, Ms. Pingree, Mr. Pocan, Mrs. Ramirez, Mr.
Torres of New York, Mr. Takano, Mr. Thanedar, Ms. Tlaib, Mr. Vargas,
and Ms. Williams of Georgia) introduced the following bill; which was
referred to the Committee on Education and Workforce, and in addition
to the Committees on Ways and Means, and the Budget, for a period to be
subsequently determined by the Speaker, in each case for consideration
of such provisions as fall within the jurisdiction of the committee
concerned
_______________________________________________________________________
A BILL
To amend the Higher Education Act of 1965 to ensure College for the
Higher Education Act of 1965 to ensure College for All.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``College for All Act of 2025''.
SEC. 2. TABLE OF CONTENTS.
The table of contents for this Act is as follows:
Sec. 1. Short title.
Sec. 2. Table of contents.
TITLE I--FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND
REQUIRED FEES
Sec. 101. Federal-state partnership to fully eliminate tuition and
required fees.
TITLE II--GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE
STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES AND
UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS
Sec. 201. Grant program to eliminate tuition and fees for eligible
students at private nonprofit historically
Black colleges and universities and
minority-serving institutions.
Sec. 202. Northern Mariana Islands, American Samoa, United States
Virgin Islands, Guam, and Freely Associated
States college access.
TITLE III--FEDERAL PELL GRANT IMPROVEMENTS
Sec. 301. Federal Pell Grant improvements.
TITLE IV--INCLUSIVE STUDENT SUCCESS GRANTS
Sec. 401. Inclusive student success grants.
TITLE V--INCREASING SUPPORT FOR STUDENTS
Sec. 501. Increasing success for low-income and first generation
students.
TITLE VI--INVESTMENTS IN HISTORICALLY BLACK COLLEGES AND UNIVERSITIES,
TRIBAL COLLEGES OR UNIVERSITIES, AND OTHER MINORITY-SERVING
INSTITUTIONS
Sec. 601. Appropriations for historically Black colleges and
universities, Tribal colleges and
universities, and minority-serving
institutions.
TITLE VII--SNYDER ACT
Sec. 701. Rule of construction regarding the Snyder Act.
TITLE I--FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND
REQUIRED FEES
SEC. 101. FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND
REQUIRED FEES.
Title VII of the Higher Education Act of 1965 (20 U.S.C. 1133 et
seq.) is amended by adding at the end the following:
``PART F--COLLEGE FOR ALL
``Subpart 1--Grants for Tuition-Free Public College
``SEC. 783. PURPOSE.
``The purpose of this subpart is to establish a Federal-State
partnership with States and Tribal Colleges and Universities to provide
for the elimination of tuition and required fees for eligible students.
``SEC. 784. DEFINITIONS.
``In this subpart:
``(1) Award year.--The term `award year' has the meaning
given the term in section 481(a).
``(2) Community college.--
``(A) In general.--The term `community college'
means--
``(i) a public institution of higher
education at which--
``(I) the highest degree awarded is
an associate degree; or
``(II) an associate degree is the
most frequently awarded degree;
``(ii) a public postsecondary vocational
institution, as defined under section 102(c);
or
``(iii) at the designation of the
Secretary, in the case of a State in which
there is no community college operated or
controlled by the State that meets a definition
under clause (i) or (ii), a college or
similarly defined and structured academic
entity--
``(I) that was in existence on July
1, 2025;
``(II) within a public 4-year
institution of higher education; and
``(III) at which--
``(aa) the highest degree
awarded is an associate degree;
or
``(bb) an associate degree
is the most frequently awarded
degree.
``(B) Community colleges operated or controlled by
a state to include community colleges operated or
controlled by local governments within the state.--The
terms `community college operated or controlled by a
State' and `community college operated or controlled by
the State' includes a community college operated or
controlled by a local government within such State.
``(3) Cost of attendance.--The term `cost of attendance'
has the meaning given the term in section 472.
``(4) Dual or concurrent enrollment program.--The term
`dual or concurrent enrollment program' has the meaning given
the term in section 8101 of the Elementary and Secondary
Education Act of 1965.
``(5) Early college high school.--The term `early college
high school' has the meaning given the term in section 8101 of
the Elementary and Secondary Education Act of 1965.
``(6) Eligible student.--
``(A) In general.--The term `eligible student'
means an individual, regardless of age or immigration
status, who has not obtained a baccalaureate degree or
higher degree and--
``(i) in the case of a student enrolled in
a community college or a 2-year Tribal College
or University--
``(I) is enrolled, or plans to
enroll, as an undergraduate student in
an eligible program (as defined in
section 481(b)) at a community college
in the State in which the individual is
a resident or in a 2-year Tribal
College or University;
``(II) and who is enrolled in a
community college that charges
different tuition rates on the basis on
residency, either--
``(aa) qualifies for in-
State resident tuition at such
community college; or
``(bb) would qualify for
such in-State resident tuition
at such community college, but
for the student's immigration
status;
``(III) is not enrolled in a dual
or concurrent enrollment program or an
early college high school; and
``(IV) who is eligible to complete
the Free Application for Federal
Student Aid under section 483(a), has
filed such application for the
applicable award year for which the
student is enrolled; or
``(ii) in the case of a student enrolled in
an eligible 4-year institution of higher
education--
``(I) is enrolled, or plans to
enroll, as an undergraduate student in
an eligible program (as defined in
section 481(b)) at a public 4-year
institution of higher education or in a
4-year Tribal College or University;
``(II) is a working class or middle
class student, as described in section
787(a)(3);
``(III) who is enrolled in a public
4-year institution of higher education
that charges different tuition rates
based on residency, either--
``(aa) qualifies for in-
State resident tuition at such
institution; or
``(bb) would qualify for
such in-State resident tuition
at such institution, but for
the student's immigration
status;
``(IV) is not enrolled in a dual or
concurrent enrollment program or an
early college high school; and
``(V) who is eligible to complete
the Free Application for Federal
Student Aid under section 483(a), has
filed such application for the
applicable award year for which the
student is enrolled.
``(B) Rule of construction.--For purposes of
subparagraph (A), in-State resident tuition includes
in-district tuition and out-of-district in-State
tuition.
``(7) 4-year tribal college or university.--The term `4-
year Tribal College or University' means a Tribal College or
University that is not a 2-year Tribal College or University.
``(8) Full-time equivalent students.--The term `full-time
equivalent students' means the sum of the number of students
enrolled full time at an institution, plus the full-time
equivalent of the number of students enrolled part time
(determined on the basis of the quotient of the sum of the
credit hours of all part-time students divided by 12) at such
institution.
``(9) Institution of higher education.--The term
`institution of higher education' has the meaning given the
term in section 101(a).
``(10) Net price.--The term `net price' means the
difference between cost of attendance and the sum of only
grants and institutional and State scholarships.
``(11) Public 4-year institution of higher education.--The
term `public 4-year institution of higher education' means a
public institution of higher education that is not a community
college.
``(12) Reverse transfer policy.--The term `reverse transfer
policy' means a policy or program that allows an institution of
higher education to--
``(A) implement a process of retroactively granting
a certificate or associate degree to a student who had
not completed the requirements for such certificate or
degree before the student transferred; or
``(B) allow academic credits for coursework
completed at a 4-year institution of higher education
to be applied to a previously attended community
college for the purpose of obtaining an associate
degree or a certificate.
``(13) State fiscal support for higher education.--
``(A) Inclusions.--
``(i) In general.--Except as provided in
subparagraph (B), the term `State fiscal
support for higher education', used with
respect to a State for such State's fiscal
year, means an amount that is equal to--
``(I) the amount of applicable
State funds appropriated by the State,
including funds from lottery receipts,
in the fiscal year, that are used to
support institutions of higher
education and student financial aid for
higher education in the State; and
``(II) any funds described in
clause (ii), if applicable.
``(ii) Local funds.--In the case of a State
that includes, as part of the State share under
section 786(b)(2)(B) for an award year, funds
provided to community colleges by local
governments in such State for the purpose of
carrying out this subpart, local funds provided
to community colleges operated or controlled by
the State for operating expenses (excluding
capital expenses, research and development
costs, and local funds that are included in the
State share under section 786(b)(2)(B)) shall
be included in the calculation of the State
fiscal support for higher education under
clause (i).
``(B) Exclusions.--State fiscal support for higher
education for a State fiscal year does not include--
``(i) funds described in subparagraph (A)
that are returned to the State;
``(ii) State-appropriated funds derived
from Federal sources, including funds provided
under sections 786(a) and 801;
``(iii) funds that are included in the
State share under section 786(b), except as
provided in subparagraph (A)(ii), including
funds included in the State share in accordance
with paragraph (2)(A) of such section;
``(iv) amounts that are portions of
multiyear appropriations to be distributed over
multiple years that are not to be spent for the
year for which the calculation under this
paragraph is being made, subject to
subparagraph (C);
``(v) tuition, fees, or other educational
charges paid directly by a student to an
institution of higher education or to the
State;
``(vi) funds for--
``(I) financial aid to students
attending, or operating expenses of--
``(aa) out-of-State
institutions of higher
education (including for the
purpose of exclusive online
enrollment at an out-of-State
institution);
``(bb) proprietary
institutions of higher
education (as defined in
section 102(b)); or
``(cc) institutions of
higher education not accredited
by an agency or association
recognized by the Secretary
pursuant to section 496;
``(II) financial aid to students
awarded predominantly or significantly
on the basis of merit;
``(III) research and development;
or
``(IV) hospitals, athletics, or
other auxiliary enterprises;
``(vii) corporate or other private
donations directed to 1 or more institutions of
higher education permitted to be expended by
the State; and
``(viii) any other funds that the Secretary
determines shall not be included in the
calculation of State fiscal support for higher
education for such State.
``(C) Adjustments for biennial appropriations.--The
Secretary shall make adjustments to the calculations
under this paragraph to accurately reflect State fiscal
support for higher education in States with 2-year
appropriation cycles.
``(14) State fiscal support for higher education per full-
time equivalent student.--The term `State fiscal support for
higher education per full-time equivalent student', when used
with respect to a State for a fiscal year, means the amount
that is equal to--
``(A) the State fiscal support for higher education
for the applicable fiscal year; divided by
``(B) the number of full-time equivalent students
enrolled in public institutions of higher education in
such State for such fiscal year.
``(15) Tribal college or university.--The term `Tribal
College or University' has the meaning given the term in
section 316(b)(3).
``(16) 2-year tribal college or university.--The term `2-
year Tribal College or University' means--
``(A) a 2-year Tribal College or University; or
``(B) a degree-granting Tribal College or
University--
``(i) at which the highest degree awarded
is an associate degree; or
``(ii) at which an associate degree is the
most frequently awarded degree.
``SEC. 785. GRANT AWARDS.
``Beginning with award year 2026-2027, from amounts appropriated
under section 791 to carry out this subpart for any fiscal year, the
Secretary shall award grants to States and Tribal College and
Universities with applications approved under section 789, to enable
the States and Tribal Colleges and Universities, through a Federal-
State partnership, to fully eliminate tuition and required fees for all
eligible students.
``SEC. 786. FEDERAL SHARE; STATE SHARE.
``(a) Federal Share.--
``(1) In general.--
``(A) Amount.--Subject to paragraph (2), the amount
of the Federal share of a grant under this subpart
shall be based on a formula that provides, for each
eligible student enrolled in a community college
operated or controlled by a State, a Tribal College or
University, or a public 4-year institution of higher
education in a State, a per-student amount (based on
full-time equivalent enrollment) that is equal to the
applicable percentage described in subparagraph (B), or
the percentage described in paragraph (2) with respect
to a Tribal College or University, of--
``(i) for the 2026-2027 award year, not
less than the sum of the product of $5,110
multiplied by the number of eligible students
enrolled at such a community college or 2-year
Tribal College or University and the product of
$11,610 multiplied by the number of eligible
students enrolled at such a public 4-year
institution of higher education or 4-year
Tribal College or University; and
``(ii) for each subsequent award year, the
amount determined under this paragraph for the
preceding award year, increased by the lesser
of--
``(I) a percentage equal to the
estimated percentage increase in the
Consumer Price Index (as determined by
the Secretary) since the date of such
determination; or
``(II) 3 percent.
``(B) Applicable percent.--The applicable percent
for a State receiving a grant under this subpart shall
be--
``(i) for the 2026-2027 award year, 100
percent;
``(ii) for the 2027-2028 award year, 95
percent;
``(iii) for the 2028-2029 award year, 90
percent;
``(iv) for the 2029-2030 award year, 85
percent; and
``(v) for the 2030-2031 award year and each
subsequent award year, 80 percent.
``(2) Tribal colleges and universities.--The amount of the
Federal share for a Tribal College or University receiving a
grant under this subpart shall be the greater of--
``(A) 100 percent of the amount determined in
accordance with clause (i) or (ii) of subparagraph
(1)(A), as applicable, with respect to eligible
students enrolled in such Tribal College or University;
or
``(B) the amount that is 100 percent of the total
amount needed to fully eliminate tuition and fees for
all eligible students enrolled in such Tribal College
or University for the 2026-2027 award year, increased
by the percentage increase in the Consumer Price Index
(as determined by the Secretary) between July 1, 2026,
and the applicable award year, and adjusted to reflect
the enrollment in such Tribal College or University for
such applicable award year.
``(b) State Share.--
``(1) Formula.--
``(A) In general.--The amount of the State share of
a grant under this subpart for each award year shall be
equal to the applicable percent described in
subparagraph (B) of the total amount determined under
subsection (a)(1)(A) with respect to the State for the
award year.
``(B) Applicable percent.--The applicable
percentage shall be--
``(i) for the 2026-2027 award year, 0
percent;
``(ii) for the 2027-2028 award year, 5
percent;
``(iii) for the 2028-2029 award year, 10
percent;
``(iv) for the 2029-2030 award year, 15
percent; and
``(v) for the 2030-2031 award year and each
subsequent award year, 20 percent.
``(C) Obligation to provide share.--The State shall
provide the State share even if the State is able,
without such State share, to fully eliminate tuition
and required fees charged to eligible students
attending community colleges operated or controlled by
the State or public 4-year institutions of higher
education in the State.
``(D) No double counting funds.--States shall not
count any funds that count toward the maintenance of
effort requirement in section 787(b) to also count
toward the State share under this subsection.
``(E) Special rule for outlying areas and
territories.--
``(i) In general.--If the Secretary
determines that requiring an outlying area or
territory to provide a State share in
accordance with this subsection would represent
a substantial hardship for the outlying area or
territory, the Secretary shall reduce or waive
the State share for such area or territory. If
the Secretary so reduces or waives the amount
of the State share of an outlying area or
territory, the Secretary shall increase the
applicable percentage used to calculate the
Federal share under subsection (a) for such
area or territory, in proportion to the
reduction in the applicable percentage used to
calculate such State share.
``(ii) Definition.--In this subparagraph,
the term `outlying area or territory' means the
Commonwealth of Puerto Rico, the District of
Columbia, Guam, American Samoa, the United
States Virgin Islands, the Commonwealth of the
Northern Mariana Islands, and the Freely
Associated States.
``(2) Inclusion of state financial aid and local funds.--In
the case of a State that demonstrates to the satisfaction of
the Secretary that community colleges operated or controlled by
the State and 4-year public institutions of higher education in
the State will not experience a net reduction in total per-
student revenue (including revenue derived from tuition and
fees) as compared to that revenue for the preceding State
fiscal year in such State, a State may include, as part of the
State share--
``(A) any financial aid that is provided from State
funds to eligible students for such students' cost of
attendance at community colleges operated or controlled
by the State and 4-year public institutions of higher
education in the State that is not awarded
predominantly on the basis of merit; and
``(B) any funds provided to community colleges
operated or controlled by the State and 4-year public
institutions of higher education in the State by local
governments in such State for the purpose of carrying
out this subpart, including for the purpose of
eliminating tuition and fees for eligible students.
``(3) No in-kind contributions.--A State shall not include
in-kind contributions for purposes of the State share described
in paragraph (1).
``(c) Determination of Number of Eligible Students.--
``(1) In general.--
``(A) Determination.--For purposes of subsections
(a) and (b), the Secretary shall, in consultation with
the State or Tribal College or University concerned,
determine the estimated number of eligible students
enrolled in the community colleges operated or
controlled by the State and in the public 4-year
institutions of higher education in the State or in
such Tribal College or University for the applicable
award year.
``(B) Projected enrollment.--If the estimated
number of eligible students figure of a State or Tribal
College or University under subparagraph (A) is more
than 25 percent larger than the eligible students
figure for the preceding year, the Secretary shall use
an alternative enrollment estimate which shall be used
in the formula under subsection (a) for determining the
allotment.
``(2) Adjustment of grant amount.--For each year for which
a State or Tribal College or University receives a grant under
this subpart, the Secretary shall, once final enrollment data
for such year are available--
``(A) in consultation with the State or Tribal
College or University concerned, determine the actual
number of eligible students enrolled in the community
colleges operated or controlled by the State and the
public 4-year institutions of higher education in the
State or in such Tribal College or University for the
year covered by the grant; and
``(B) adjust the Federal share of the grant amount
received by the State or Tribal College or University
and the State share under subsection (b) to reflect the
actual number of eligible students by applying the
relevant adjustment to such Federal share or the State
share, or both, in the subsequent award year.
``(3) Additional funds.--If a State or Tribal College or
University provides additional funds toward reducing the cost
of attendance and improving instruction beyond the cost of
eliminating tuition and required fees as described in
paragraphs (2) and (3) of section 787(a) for any award year,
and, with respect to a State, such funds amount to more than
the State share requirement under subsection (b) and the
maintenance of effort requirements in section 787, the
Secretary shall provide the State or Tribal College or
University an amount equal to such additional funds provided by
the State or Tribal College or University, which amount
provided by the Secretary may be used for the activities
described in section 790.
``SEC. 787. PROGRAM REQUIREMENTS.
``(a) General Requirements.--In order to receive a grant under this
subpart in each award year, a State or Tribal College or University
shall comply with the following:
``(1) With respect to a State, ensure that public
institutions of higher education in the State maintain
expenditures on instruction per full-time equivalent student at
levels that are equal to or exceed the expenditures on
instruction per full-time equivalent student provided for the 3
most recent consecutive State fiscal years for which data are
available.
``(2) Ensure that the total amount of tuition and required
fees charged to an eligible student--
``(A) at community colleges in the State are fully
eliminated; or
``(B) if the Tribal College or University is a 2-
year Tribal College or University, at such Tribal
College or University are fully eliminated.
``(3) Ensure that the total amount of tuition and required
fees charged to an eligible student at public 4-year
institutions of higher education in the State, or, if the
Tribal College or University is a 4-year Tribal College or
University, at such Tribal College or University, are fully
eliminated as follows:
``(A) For award year 2026-2027, the State or Tribal
College or University shall fully eliminate tuition and
required fees for such students--
``(i) who are dependent students--
``(I) in a single parent household,
whose parent's adjusted gross income
for the taxable year that is 1 year
prior to the taxable year that ends
immediately prior to the beginning of
the award year is equal to or less than
$150,000; or
``(II) with married parents, whose
parents' adjusted gross income for the
taxable year that is 1 year prior to
the taxable year that ends immediately
prior to the beginning of the award
year is equal to or less than $300,000;
and
``(ii) who are--
``(I) single independent students,
whose adjusted gross income for the
taxable year that is 1 year prior to
the taxable year that ends immediately
prior to the beginning of the award
year is equal to or less than $150,000;
or
``(II) married independent
students, whose adjusted gross income
for the taxable year that is 1 year
prior to the taxable year that ends
immediately prior to the beginning of
the award year is equal to or less than
$300,000.
``(B) For each award year after award year 2026-
2027, the State or a 4-year Tribal College or
University shall fully eliminate tuition and required
fees for such students in accordance with clauses (i)
and (ii) of subparagraph (A), except the gross income
amount shall be adjusted for each subsequent year in
the same manner as income is adjusted under section
478(b).
``(4) Not apply financial assistance for which an eligible
student qualifies to tuition or required fees.
``(5) Not use any funds provided under this subpart for
administrative purposes.
``(b) State Maintenance of Effort.--In order to receive a grant
under this subpart in each award year, a State shall--
``(1) provide State fiscal support for higher education per
full-time equivalent student at a level equal to or exceeding
the average amount of State fiscal support for higher education
per full-time equivalent student provided for the 3 most recent
consecutive State fiscal years for which data are available;
``(2) maintain State operating expenditures per full-time
equivalent student for public 2- and 4-year institutions of
higher education in the State, excluding capital expenses and
research and development costs, at a level equal to or greater
than the average amount provided for the 3 most recent
consecutive State fiscal years for which data are available;
and
``(3) maintain State expenditures for need-based financial
aid programs for enrollment in institutions of higher education
(as defined in section 101) in the State at a level that is
equal to or greater than the average amount provided for the 3
most recent consecutive State fiscal years for which data are
available.
``(c) Requirements of States and Some Tribal Colleges and
Universities.--In order to receive a grant under this subpart in each
award year, a State or (when applicable) a Tribal College or University
shall--
``(1) provide an assurance that not later than 5 years
after the first award year for which the grant is awarded, not
less than 75 percent of instruction at public institutions of
higher education in the State is provided by tenure-track or
tenured faculty;
``(2) provide an assurance that public institutions of
higher education in the State make it a priority to hire from
the existing adjunct, contract, contingent, and non-tenure
track or tenured faculty pool for tenure-track or tenured
faculty positions or other full-time non-contingent
instructional positions;
``(3) require that public institutions of higher education
in the State provide, for each student enrolled at the
institution who receives the maximum Federal Pell Grant award
under subpart 1 of part A of title IV, institutional student
financial aid (excluding student loans) in an amount equal to
the net price owed by such student;
``(4) ensure that public institutions of higher education
in the State or the Tribal College or University not adopt
policies to reduce enrollment;
``(5) provide an assurance that public institutions of
higher education in the State will not charge out-of-State
students an amount that exceeds the marginal cost (as
determined by the Secretary) of attending institutions of
higher education in the State;
``(6) provide an assurance that public institutions of
higher education in the State that charge non-eligible in-State
students tuition and required fees, will not charge such
students a rate that is necessary to continue to fully
eliminate tuition and required fees for eligible students; and
``(7) provide an assurance that public institutions of
higher education in the State maintain a ratio of 1 to 150 of
disability services full-time employees to registered students
with disabilities, and that such employees be specifically
dedicated to serving students with disabilities.
``(d) Alignment of Secondary and Higher Education.--In order to
receive a grant under this subpart, a State shall--
``(1) submit and implement a plan to align the requirements
for receiving a regular high school diploma from public schools
in the State with the requirements for entering credit-bearing
coursework at community colleges in such State; and
``(2) not later than 3 years after the date on which the
State first receives a grant under this subpart, certify to the
Secretary that such alignment has been achieved.
``(e) Transfer Pathways.--In order to receive a grant under this
subpart, a State shall--
``(1) submit a plan to improve transfer pathways among
public institutions of higher education in the State, including
by--
``(A) ensuring that associate degrees awarded by
community colleges in the State are fully transferable
to, and credited as, the first 2 years of related
baccalaureate programs at public institutions of higher
education in such State; and
``(B) increasing the transferability of individual
courses within the certificate or associate programs
offered by community colleges in the State to related
baccalaureate programs offered by public institutions
of higher education in such State to maximize the
transferability of credits for students who transfer
before completing an associate degree and facilitate
reverse transfer policies; and
``(2) not later than 3 years after the date on which the
State first receives a grant under this subpart, certify to the
Secretary that the State is carrying out the plan submitted in
accordance with paragraph (1) and is meeting the requirements
of subparagraphs (A) and (B) of such paragraph.
``(f) No Additional Eligibility Requirements.--No individual shall
be determined by a State, a Tribal College or University, or the
Secretary, to be ineligible for benefits provided under this subpart
(including eliminating tuition and fees, and other aid provided under
this subpart), except on the basis of eligibility requirements under
this subpart.
``SEC. 788. AUTOMATIC STABILIZER.
``(a) Maintenance of Effort Relief.--A State that receives a grant
under this subpart may request a waiver of the requirements under
section 787(b). Upon request by such a State, the Secretary shall waive
the requirements of section 787(b) for the State as follows:
``(1) Tier i.--With respect to each State eligible for
relief under tier I, such requirements shall be waived for the
fiscal year succeeding the fiscal year for which the
determination of the State's eligibility for such relief is
made.
``(2) Tiers ii through v.--With respect to each State
eligible for relief under tier II, III, IV, or V, such
requirements shall be waived, in accordance with subsection
(c), for--
``(A) the fiscal year for which the determination
of the State's eligibility for such relief is made;
``(B) the fiscal year succeeding the fiscal year
described in subparagraph (A); or
``(C) both such fiscal years.
``(b) State Share Relief.--
``(1) State share relief.--A State that meets the
qualifying spending requirement and is eligible for relief
under tier II, III, IV, or V may request relief with respect to
the requirement of section 786(b)(1)(B). Upon request by such a
State, the Secretary shall provide relief from the requirements
of section 786(b)(1)(B), for the applicable award year or
years, for the State as follows:
``(A) Tier ii.--With respect to a State that is
eligible for relief under tier II, the Secretary shall
apply--
``(i) section 786(a)(1)(B)(v), by
substituting `85 percent' for `80 percent'; and
``(ii) section 786(b)(1)(B)(v), by
substituting `15 percent' for `20 percent'.
``(B) Tier iii.--With respect to a State that is
eligible for relief under tier III, the Secretary shall
apply--
``(i) section 786(a)(1)(B)(iv), by
substituting `90 percent' for `85 percent';
``(ii) section 786(a)(1)(B)(v), by
substituting `90 percent' for `80 percent';
``(iii) section 786(b)(1)(B)(iv), by
substituting `10 percent' for `15 percent'; and
``(iv) section 786(b)(1)(B)(v), by
substituting `10 percent' for `20 percent'.
``(C) Tier iv.--With respect to a State that is
eligible for relief under tier IV, the Secretary shall
apply--
``(i) section 786(a)(1)(B)(iii), by
substituting `95 percent' for `90 percent';
``(ii) section 786(a)(1)(B)(iv), by
substituting `95 percent' for `85 percent';
``(iii) section 786(a)(1)(B)(v), by
substituting `95 percent' for `80 percent';
``(iv) section 786(b)(1)(B)(iii), by
substituting `5 percent' for `10 percent';
``(v) section 786(b)(1)(B)(iv), by
substituting `5 percent' for `15 percent'; and
``(vi) section 786(b)(1)(B)(v), by
substituting `5 percent' for `20 percent'.
``(D) Tier v.--With respect to a State that is
eligible for relief under tier V, the Secretary shall
apply--
``(i) section 786(a)(1)(B)(ii), by
substituting `100 percent' for `95 percent';
``(ii) section 786(a)(1)(B)(iii), by
substituting `100 percent' for `90 percent';
``(iii) section 786(a)(1)(B)(iv), by
substituting `100 percent' for `85 percent';
``(iv) section 786(a)(1)(B)(v), by
substituting `100 percent' for `80 percent';
``(v) section 786(b)(1)(B)(ii), by
substituting `0 percent' for `5 percent';
``(vi) section 786(b)(1)(B)(iii), by
substituting `0 percent' for `10 percent';
``(vii) section 786(b)(1)(B)(iv), by
substituting `0 percent' for `15 percent'; and
``(viii) section 786(b)(1)(B)(v), by
substituting `0 percent' for `20 percent'.
``(2) Applicable award years.--With respect to each State
eligible for relief under tier II, III, IV, or V, the Secretary
shall provide the relief under paragraph (1) in accordance with
subsection (c) for--
``(A) the award year for which the determination of
the State's eligibility for such relief is made;
``(B) the award year succeeding the award year
described in subparagraph (A); or
``(C) both such award years.
``(3) State eligibility.--A State's eligibility for relief
under this section shall be determined as follows:
``(A) Tier i.--A State shall be eligible for relief
under tier I for a fiscal year for which--
``(i) the State is in an elevated
unemployment period at any point in the fiscal
year; and
``(ii) the State is not eligible for relief
under any other tier.
``(B) Tier ii.--A State shall be eligible for
relief under tier II for a fiscal or award year, as
applicable, for which--
``(i)(I) the State average unemployment
rate is equal to or greater than 6.5 percent,
but less than 7.5 percent, at any point in the
fiscal or award year; or
``(II) the national average unemployment
rate is equal to or greater than 6.5 percent,
but less than 7.5 percent, at any point in the
fiscal or award year; and
``(ii) the State is not eligible for relief
under tier III, IV, or V.
``(C) Tier iii.--A State shall be eligible for
relief under tier III for a fiscal or award year, as
applicable, for which--
``(i)(I) the State average unemployment
rate is equal to or greater than 7.5 percent,
but less than 8.5 percent, at any point in the
fiscal or award year; or
``(II) the national average unemployment
rate is equal to or greater than 7.5 percent,
but less than 8.5 percent, at any point in the
fiscal or award year; and
``(ii) the State is not eligible for relief
under tier IV or V.
``(D) Tier iv.--A State shall be eligible for
relief under tier IV for a fiscal or award year, as
applicable, for which--
``(i)(I) the State average unemployment
rate is equal to or greater than 8.5 percent,
but less than 9.5 percent, at any point in the
fiscal or award year; or
``(II) the national average unemployment
rate is equal to or greater than 8.5 percent,
but less than 9.5 percent, at any point in the
fiscal or award year; and
``(ii) the State is not eligible for relief
under tier V.
``(E) Tier v.--A State shall be eligible for relief
under tier V for a fiscal or award year, as applicable,
for which--
``(i) the State average unemployment rate
is equal to or greater than 9.5 percent at any
point in the fiscal or award year; or
``(ii) the national average unemployment
rate is equal to or greater than 9.5 percent at
any point in the fiscal or award year.
``(c) Discretion in the Provision of Relief.--In determining the
fiscal years for which to provide relief in accordance with subsection
(a)(2), or the award years for which to provide relief in accordance
with subsection (b), to a State that is eligible under tier II, III, IV
or V, the Secretary shall take into account the following:
``(1) In the case of a State that requests relief under
subsection (a)(2), the fiscal years for which the State
requests such relief, including--
``(A) if the State requests such relief for the
fiscal year for which the determination of the State's
eligibility for such relief is made, the amount by
which the State is unable to meet the requirements of
section 787(b) for such fiscal year; and
``(B) if the State requests such relief for the
fiscal year succeeding the year described in
subparagraph (A), the amount by which the State
anticipates being unable to meet such requirements for
such succeeding fiscal year.
``(2) In the case of a State that requests relief under
subsection (b), the award years for which the State requests
such relief, including--
``(A) if the State requests such relief for the
award year for which the determination of the State's
eligibility for such relief is made, the extent to
which the State is unable to meet the requirements of
section 786(b)(1)(B) for such award year; and
``(B) if the State requests such relief for the
award year succeeding the year described in
subparagraph (A), the extent to which the State
anticipates being unable to meet such requirements for
such succeeding award year.
``(3) The actual or anticipated timing, severity, and
duration of the unemployment rate increase during--
``(A) the fiscal or award year, as applicable, for
which the determination of the State's eligibility for
such relief is made;
``(B) the fiscal or award year, as applicable,
succeeding the fiscal or award year described in
subparagraph (A); and
``(C) the fiscal or award year, as applicable,
preceding the fiscal or award year described in
subparagraph (A).
``(4) Other factors determined to be relevant by the
Secretary.
``(d) Continued Payment to Employees.--A State that receives relief
under subsection (a) or subsection (b) shall, to the greatest extent
practicable, continue to pay its employees of, and contractors with,
public institutions of higher education in the State during the period
in which the State is receiving such relief.
``(e) Definitions.--In this section:
``(1) Elevated unemployment period.--The term `elevated
unemployment period' means a consecutive 3-month period in a
fiscal year in which the State average unemployment rate is not
less than 0.5 percentage points above the lowest State average
unemployment rate for the 12-month period preceding such 3-
month period.
``(2) National average unemployment rate.--The term
`national average unemployment rate' means the average
(seasonally adjusted) rate of total unemployment in all States
for a consecutive 3-month period in a fiscal year, based on
data from the Bureau of Labor Statistics of the Department of
Labor.
``(3) Qualifying spending requirement.--The term
`qualifying spending requirement' means the requirement that a
State not disproportionately decrease spending for any of the
categories described in subparagraphs (1) through (3) of
section 787(b) relative to such State's overall, average
decrease in spending for the 3 consecutive preceding fiscal
years.
``(4) State average unemployment rate.--The term `State
average unemployment rate' means the average (seasonally
adjusted) rate of total unemployment in a State for a
consecutive 3-month period in a fiscal year.
``SEC. 789. APPLICATIONS.
``In order to receive a grant under this subpart, a State or Tribal
College or University shall submit an application to the Secretary at
such time, in such manner, and containing such information as the
Secretary may require. In the case of a State, such application shall
be submitted by the State agency with jurisdiction over higher
education or another agency designated by the Governor or chief
executive of the State to administer the program under this subpart.
``SEC. 790. USE OF FUNDS.
``(a) In General.--A State or Tribal College or University that
receives a grant under this subpart shall use the grant funds and the
State share funds required under this subpart--
``(1) to fully eliminate tuition and required fees for all
eligible students at community colleges in the State or at the
Tribal College or University, if the Tribal College or
University is a 2-year Tribal College or University; and
``(2) to fully eliminate tuition and required fees for
eligible students, as described in section 787(a)(3), at public
4-year institutions of higher education in the State or at the
Tribal College or University, if the Tribal College or
University is a 4-year Tribal College or University.
``(b) Remaining Funds.--Once tuition and required fees have been
fully eliminated pursuant to subsection (a), a State or Tribal College
or University that receives a grant under this subpart shall use any
remaining grant funds to reduce the cost of attendance and increase the
quality of instruction and student support services at public
institutions of higher education in the State or at the Tribal College
or University by carrying out any of the following:
``(1) Providing additional non-loan financial aid to
students to help reduce unmet need, which may include need-
based student financial aid or emergency financial aid grants
to students attending a public institution of higher education
in such State, or such Tribal College or University, for any
component of such students' cost of attendance.
``(2) Implementing evidence-based reforms or practices at
public institutions of higher education in such State or at
such Tribal College or University that are described in section
804 or that meet evidence tier 1 or evidence tier 2 (as defined
in section 800) to improve the enrollment, retention, transfer,
or completion rates or labor market outcomes among the students
described in section 802(b).
``(3) Expanding academic course offerings and providing
high-quality occupational skills training programs to students.
``(4) Increasing the number and percentage of tenure or
tenure-track faculty.
``(5) Providing all faculty with professional supports to
help students succeed, such as professional development
opportunities, including providing--
``(A) culturally inclusive and identity-safe
learning environments;
``(B) work spaces; and
``(C) shared governance in the institution.
``(6) Compensating part-time faculty for work done outside
of the classroom relating to supporting student success, such
as holding office hours.
``(7) Strengthening, and ensuring all students have access
to, student support services, such as academic advising,
counseling, and tutoring.
``(8) Expanding access to dual or concurrent enrollment
programs and early college high school programs.
``(9) Establishing prison education programs in partnership
with local or State correctional facilities.
``(10) Carrying out any other additional activities that
improve instructional quality and academic outcomes for
students as approved by the Secretary through a peer review
process.
``(c) Prohibition.--A State or Tribal College or University that
receives a grant under this subpart may not use grant funds or State
share funds required under this subpart--
``(1) for the construction of a nonacademic facility, such
as a student center or stadium;
``(2) for merit-based student financial aid;
``(3) for need-based student financial aid (except to the
extent funds are available under section 786(c)(3));
``(4) to pay the salaries or benefits of school
administrators;
``(5) for capital outlays or deferred maintenance; or
``(6) for expenditures on athletics other than activities
open to all members of the campus community.
``(d) Supplement, Not Supplant.--Except as provided in section
786(b)(2)(A), funds made available under this subpart shall be used to
supplement, and not supplant, other Federal, State, Tribal, local, and
institutional funds that would otherwise be expended to carry out
activities described in this subpart.
``(e) Continuation of Funding.--
``(1) In general.--Except as provided in paragraph (2), a
State or a Tribal College or University receiving a grant under
this subpart for an award year may continue to receive funding
under this subpart for subsequent award years conditioned on
meeting the requirements of the grant, as determined by the
Secretary.
``(2) Discontinuation.--The Secretary shall discontinue or
reduce funding of the Federal share of a grant under this
subpart if the State or Tribal College or University has
violated the terms of the grant.
``(f) Rule of Construction Regarding BIE Funds.--Nothing in this
subpart shall be construed to impact the availability of funds from, or
uses of funds provided by, the Bureau of Indian Education for Tribal
Colleges and Universities.
``SEC. 791. AUTHORIZATION OF APPROPRIATIONS.
``(a) In General.--There are authorized to be appropriated, and
there are appropriated, to carry out this subpart--
``(1) such sums as may be necessary for the fourth quarter
of fiscal year 2026; and
``(2) such sums as may be necessary for each of the fiscal
years 2027 through 2035.
``(b) Supplemental Funds.--
``(1) In general.--In addition to amounts otherwise
available, there is appropriated for fiscal year 2026, out of
any money in the Treasury not otherwise appropriated, not more
than $9,844 per student enrolled at 4-year public institutions
of higher education and not more than $6,073 per student
enrolled at community colleges, to remain available until
September 30, 2031, for the Secretary to award grants to all
States that have resident tuition and fees at community
colleges or public 4-year institutions of higher education that
are higher than the national average tuition and fees at
community colleges or public 4-year institutions of higher
education in award year 2026-2027, for the purpose of
supporting such States' ability to participate in the program
under this subpart.
``(2) State share.--Notwithstanding any other provision of
this subpart, a State receiving grant funds under paragraph (1)
shall use such funds to meet the State share requirement under
section 786(b) and to fully eliminate tuition and fees for
eligible students as required under paragraphs (2) and (3) of
section 787(a).''.
TITLE II--GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE
STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES AND
UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS
SEC. 201. GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE
STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES
AND UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS.
Part F of title VII of the Higher Education Act of 1965, as added
by section 101, is further amended by adding at the end the following:
``Subpart 2--Grant Program To Eliminate Tuition and Fees for Eligible
Students at Private Nonprofit Historically Black Colleges and
Universities and Minority-Serving Institutions
``SEC. 795. DEFINITIONS.
``In this subpart:
``(1) Eligible institution.--
``(A) In general.--Except as provided in
subparagraph (E), the term `eligible institution' means
a private nonprofit 2-year institution or 4-year
institution that--
``(i) is--
``(I) a part B institution (as
defined in section 322);
``(II) a Hispanic-serving
institution (as defined in section
502);
``(III) an Alaska Native-serving
institution (as defined in section
317(b));
``(IV) a Native Hawaiian-serving
institution (as defined in section
317(b));
``(V) a Predominantly Black
institution (as defined in section
371(c));
``(VI) an Asian American and Native
American Pacific Islander-serving
institution (as defined in section
371(c)); or
``(VII) a Native American-serving
nontribal institution (as defined in
section 371(c)); and
``(ii) has not received funds under subpart
1.
``(B) Continuing eligibility.--The Secretary shall
determine whether an institution is an `eligible
institution' under subparagraph (A) based on the most
recent data available, and shall review such
determination annually to ensure that the institution
continues to meet the requirements for participation
under this subpart.
``(C) 2-year institution.--The term `2-year
institution' means an institution at which an associate
degree is the most frequently awarded degree.
``(D) 4-year institution.--The term `4-year
institution' means an institution of higher education
(as defined under section 101(a)) that is not a 2-year
institution.
``(E) Exception.--
``(i) In general.--An eligible institution
as described in subparagraph (A) shall not be
an eligible institution for purposes of this
section for the period described in clause (ii)
if such institution was a for-profit
institution at any time that converted to a
nonprofit institution.
``(ii) Period of ineligibility.--An
institution described under clause (i) shall
not be an eligible institution for purposes of
this section for a period of 25 years from the
date the institution converted from being a
for-profit institution to a nonprofit
institution or 25 years after the date of
enactment of this subpart, whichever period is
longer.
``(2) Eligible student.--
``(A) In general.--The term `eligible student'
means a student enrolled in an eligible institution who
has not obtained a baccalaureate degree or a higher
degree and--
``(i) for the first award year of the
program under this subpart, if the student--
``(I) is a dependent student--
``(aa) in a single parent
household, the student's
parent's adjusted gross income
for the taxable year that is 1
year prior to the taxable year
that ends immediately prior to
the beginning of the award year
is equal to or less than
$150,000; or
``(bb) with married
parents, the student's parents'
adjusted gross income for the
taxable year that is 1 year
prior to the taxable year that
ends immediately prior to the
beginning of the award year is
equal to or less than $300,000;
and
``(II) is a--
``(aa) single independent
student, the student's adjusted
gross income for the taxable
year that is 1 year prior to
the taxable year that ends
immediately prior to the
beginning of the award year is
equal to or less than $150,000;
or
``(bb) married independent
student, the student's adjusted
gross income for the taxable
year that is 1 year prior to
the taxable year that ends
immediately prior to the
beginning of the award year is
equal to or less than $300,000;
and
``(ii) for each award year after the first
award year of the program under this subpart,
if the student--
``(I) is a dependent student, the
student's parents' adjusted gross
income for the taxable year that is 1
year prior to the taxable year that
ends immediately prior to the beginning
of the award year is equal to or less
than the applicable amount; and
``(II) is an independent student,
the student's adjusted gross income for
the taxable year that is 1 year prior
to the taxable year that ends
immediately prior to the beginning of
the award year is equal to or less than
the applicable amount.
``(B) Applicable amount.--In this paragraph, the
term `applicable amount' means an amount equal to, for
any award year beginning after the first award year of
the program under this subpart, the income amount
determined under this paragraph for the preceding award
year adjusted in the same manner as income is adjusted
under section 478(b).
``(3) Full-time equivalent eligible students.--The term
`full-time equivalent eligible students' means the sum of the
number of eligible students projected to enroll full time at an
institution for an award year, plus the full-time equivalent of
the number of eligible students projected to be enrolled part
time (determined on the basis of the quotient of the sum of the
credit hours of all part-time eligible students divided by 12)
at such institution, for such award year.
``SEC. 796. AUTHORIZATION OF GRANT PROGRAM.
``Beginning with award year 2026-2027, from amounts appropriated to
carry out this subpart for any fiscal year, the Secretary shall award
grants to eligible institutions to enable the eligible institutions to
eliminate tuition and required fees for eligible students.
``SEC. 797. GRANT TERMS.
``(a) Grant Amount.--
``(1) In general.--For each year for which an eligible
institution participates in the grant program under this
subpart, such eligible institution shall receive a grant in an
amount equal to--
``(A) in the case of an eligible institution that
is a 2-year institution, the product of the number of
eligible students enrolled in such institution
multiplied by--
``(i) for the 2026-2027 award year, $5,110;
and
``(ii) for each subsequent award year, the
amount determined under this subparagraph for
the preceding award year, increased by the
lesser of--
``(I) a percentage equal to the
estimated percentage increase in the
Consumer Price Index (as determined by
the Secretary) since the date of such
determination; or
``(II) 3 percent; or
``(B) in the case of an eligible institution that
is a 4-year institution, the product of the number of
eligible students enrolled in such institution
multiplied by--
``(i) for the 2026-2027 award year,
$11,610; and
``(ii) for each subsequent award year, the
amount determined under this subparagraph for
the preceding award year, increased by the
lesser of--
``(I) a percentage equal to the
estimated percentage increase in the
Consumer Price Index (as determined by
the Secretary) since the date of such
determination; or
``(II) 3 percent.
``(2) Limitations on tuition hikes.--
``(A) First award year.--For the first award year
for which an eligible institution applies for a grant
under this subpart, such eligible institution shall not
increase tuition and required fees at a rate that is
greater than any annual increase in tuition and
required fees at the eligible institution for the 5
years preceding such first award year.
``(B) Succeeding award years.--
``(i) In general.--For each award year
after the first award year for which an
eligible institution receives a grant under
this subpart, such eligible institution shall
not increase tuition and required fees from the
preceding award year at a rate that is greater
than the percentage increase in the Employment
Cost Index for the award year for which the
grant is received, as compared to the
Employment Cost Index for the award year
preceding the award year for which the grant is
received.
``(ii) Employment cost index.--In this
subparagraph, the term `Employment Cost Index',
when used with respect to an award year, means
the Employment Cost Index for total
compensation for private industry workers by
bargaining status and census region and
division (not seasonally adjusted) of the
division in which the eligible institution is
located, as provided by the Bureau of Labor
Statistics of the Department of Labor, that is
provided for the December that immediately
precedes the start of the award year.
``(3) Data adjustments.--
``(A) In general.--The Secretary shall establish a
process through which each eligible institution that
participates in the program under this subpart--
``(i) provides the necessary eligible
student enrollment data at the start of the
award year; and
``(ii) initially receives grant funds, as
calculated under this subsection, based on such
data.
``(B) Adjustment of grant amount.--For each year
for which an eligible institution receives a grant
under this subpart, the Secretary shall, once final
enrollment data for such year are available--
``(i) in consultation with the eligible
institution concerned, determine the actual
number of full-time equivalent eligible
students for the year covered by the grant; and
``(ii) adjust the grant amount received by
the eligible institution to reflect the actual
number of full-time equivalent eligible
students by applying the relevant adjustment to
such grant amount in the subsequent award year
in accordance with subparagraph (C).
``(C) Calculation of adjustments.--If the actual
full-time equivalent eligible students figure for the
preceding award year reported under subparagraph (B)--
``(i) exceeds the projected enrollment that
was used for determining the allotment under
paragraph (1) for the preceding award year,
notwithstanding any other provision of this
Act, the grant amount for the subsequent award
year for the eligible institution shall be
increased to reflect such actual enrollment,
which figure shall be increased by the Gross
Domestic Product Price Index of the State in
which the eligible institution is located; or
``(ii) is below the projected enrollment
that was used for determining the allotment
under paragraph (1) for the preceding award
year, notwithstanding any other provision of
this Act, the grant amount for the subsequent
award year for the eligible institution shall
be decreased to reflect such actual enrollment,
which figure shall be increased by the average
interest rate on 5-year United States Treasury
securities issued during the preceding award
year.
``(b) Application.--An eligible institution that desires to receive
a grant under this subpart shall submit to the Secretary an application
at such time, in such manner, and containing such information as the
Secretary may require.
``(c) Transfer Requirement.--In the case of an eligible institution
that is a 4-year institution that receives a grant under this subpart
and enrolls students who transfer from another institution, the
institution shall--
``(1) commit to increasing the transferability of
individual courses within certificate or associate programs
offered by community colleges in the State to related
baccalaureate programs offered by such institution to maximize
the transferability of credits for students who transfer before
completing an associate degree; and
``(2) maintain a formal, statewide articulation agreement
with community colleges in the State in which such institution
operates that, at a minimum, ensures that associate degrees
awarded by community colleges in the State are fully
transferable to, and credited as the first 2 years of related
baccalaureate programs at, such institution.
``(d) Use of Funds.--
``(1) In general.--An eligible institution that receives a
grant under this subpart shall use the grant funds to--
``(A) except as provided in paragraph (3),
eliminate tuition and required fees for eligible
students enrolled in the eligible institution during
any period for which the institution receives a grant
under this subpart;
``(B) maintain expenditures on instruction per a
full-time equivalent eligible student at levels that
meet or exceed the expenditures on instruction per a
full-time equivalent eligible student for award year
2025-2026; and
``(C) maintain expenditures on need-based financial
aid programs for students enrolled in the institution
at a level that meets or exceeds the level of such
support for award year 2025-2026.
``(2) Prohibitions.--An eligible institution that receives
a grant under this subpart may not use grant funds--
``(A) for the construction of a nonacademic
facility, such as a student center or stadium;
``(B) for merit-based or need-based student
financial aid;
``(C) to pay the salaries or benefits of school
administrators;
``(D) for capital outlays or deferred maintenance;
or
``(E) for expenditures on athletics other than
activities open to all members of the campus community.
``(3) Exception.--An eligible institution that receives a
grant under this subpart and that does not have authority to
set the tuition and required fees for eligible students
enrolled in the eligible institution shall provide tuition
assistance to eligible students enrolled in the eligible
institution during any period for which the institution
receives a grant under this subpart in an amount equal to the
grant amount determined under subsection (a)(1).
``(e) Assurances.--An eligible institution that receives a grant
under this subpart shall provide an assurance to the Secretary that the
institution will--
``(1) increase, to the extent practicable, the amount of
instruction provided by tenured or tenure-track faculty; and
``(2) not adopt policies to reduce enrollment.
``(f) Supplement, Not Supplant.--Funds made available to carry out
this subpart shall be used to supplement, and not supplant, other
Federal, State, Tribal, local, and institutional funds that would
otherwise be expended to carry out activities under this subpart.
``(g) No Additional Eligibility Requirements.--No individual shall
be determined, by an eligible institution or the Secretary, to be
ineligible for benefits provided under this subpart except on the basis
of eligibility requirements under this subpart.
``SEC. 798. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated, and there are
appropriated, to carry out this subpart--
``(1) such sums as may be necessary for the fourth quarter
of fiscal year 2026; and
``(2) such sums as may be necessary for each of the fiscal
years 2027 through 2035.''.
SEC. 202. NORTHERN MARIANA ISLANDS, AMERICAN SAMOA, UNITED STATES
VIRGIN ISLANDS, GUAM, AND FREELY ASSOCIATED STATES
COLLEGE ACCESS.
Part F of title VII of the Higher Education Act of 1965, as added
by section 101 and amended by section 201, is further amended by adding
at the end the following:
``Subpart 3--College Access for Students in Outlying Areas
``SEC. 799. NORTHERN MARIANA ISLANDS, AMERICAN SAMOA, UNITED STATES
VIRGIN ISLANDS, GUAM, AND FREELY ASSOCIATED STATES
COLLEGE ACCESS.
``(a) Grants.--
``(1) Grant amounts.--
``(A) In general.--Beginning with award year 2026-
2027, from amounts appropriated to carry out this
section, the Secretary shall award grants to the
Governors of each outlying area for such Governors to
award grants to eligible institutions that enroll
eligible students to pay the difference between the
tuition and fees charged for in-State students and the
tuition and fees charged for out-of-State students on
behalf of each eligible student enrolled in the
eligible institution.
``(B) Maximum student amounts.--The amount paid on
behalf of an eligible student under this section shall
be--
``(i) not more than $15,950 for any one
award year (as defined in section 481(a)(1));
and
``(ii) not more than $79,750 in the
aggregate.
``(C) Proration.--The Governor shall prorate
payments under this section with respect to eligible
students who attend an eligible institution on less
than a full-time basis.
``(2) Agreement.--Each Governor desiring a grant under this
section shall enter into an agreement with the Secretary for
the purposes of administering the grant program.
``(b) No Additional Eligibility Requirements.--No individual shall
be determined, by a Governor, an eligible institution, or the
Secretary, to be ineligible for benefits provided under this section
except on the basis of eligibility requirements under this section.
``(c) Definitions.--In this section:
``(1) Eligible institution.--The term `eligible
institution' means an institution that--
``(A) is a public 4-year institution of higher
education located in 1 of the several States of the
United States, the District of Columbia, the
Commonwealth of Puerto Rico, or an outlying area;
``(B) enters into an agreement with the Governor of
an outlying area, or with 2 or more of such Governors
(except that such institution may not enter into an
agreement with the Governor of the outlying area in
which such institution is located), to carry out the
grant program under this section; and
``(C) submits an assurance to the Governor and to
the Secretary that the institution shall use funds made
available under this section to supplement, and not
supplant, assistance that otherwise would be provided
to eligible students from outlying areas.
``(2) Eligible student.--The term `eligible student' means
a student who--
``(A) was domiciled in an outlying area for not
less than 12 consecutive months preceding the
commencement of the freshman year at an institution of
higher education;
``(B) has not completed an undergraduate
baccalaureate course of study; and
``(C) is enrolled as an undergraduate student in an
eligible program (as defined in section 481(b)) on at
least a half-time basis.
``(3) Governor.--The term `Governor' means the chief
executive of an outlying area.
``(4) Outlying area.--The term `outlying area' means the
Northern Mariana Islands, American Samoa, the United States
Virgin Islands, Guam, and the Freely Associated States.''.
TITLE III--FEDERAL PELL GRANT IMPROVEMENTS
SEC. 301. FEDERAL PELL GRANT IMPROVEMENTS.
(a) Repeal of Scoring Requirement.--Section 406 of H. Con. Res. 95
(109th Congress) is amended--
(1) by striking subsection (b); and
(2) by striking ``(a) In General'' and inserting the
following: ``Upon''.
(b) Amendment to Federal Pell Grants.--Section 401 of the Higher
Education Act of 1965 (20 U.S.C. 1070a) is amended--
(1) in subsection (b), by striking paragraphs (5), (6), and
(7) and inserting the following:
``(5) Maximum federal pell grant.--
``(A) Award year 2026-2027.--For award year 2026-
2027, the total maximum Federal Pell Grant shall be--
``(i) in the case of an eligible student
who is in attendance at an institution of
higher education described in section 101 or a
Tribal College or University described in
section 316(b)(3), $14,790; or
``(ii) in the case of an eligible student
who is in attendance at an institution of
higher education not described in clause (i),
$7,395.
``(B) Subsequent award years.--For award year 2027-
2028, and each subsequent award year, the total maximum
Federal Pell Grant shall be equal to the total maximum
Federal Pell Grant for the preceding award year
(applicable to the institution at which the eligible
student is in attendance)--
``(i) increased by the annual adjustment
percentage for the award year for which the
amount under this subparagraph is being
determined; and
``(ii) rounded to the nearest $5.
``(C) Definition of annual adjustment percentage.--
In this paragraph, the term `annual adjustment
percentage,' as applied to an award year, is equal to
the estimated percentage increase in the Consumer Price
Index (as determined by the Secretary, using the
definition in section 478(f)) for the most recent
calendar year ending prior to the beginning of that
award year.
``(6) Appropriation of funds.--There are authorized to be
appropriated, and there are appropriated, out of any money in
the Treasury not otherwise appropriated, such sums as may be
necessary for fiscal year 2026 and each subsequent fiscal year
to provide the maximum Federal Pell Grant for which a student
shall be eligible under this section during an award year.
``(7) No effect on previous appropriations.--The amendments
made to this section by the FAFSA Simplification Act shall
not--
``(A) increase or decrease the amounts that have
been appropriated or are available to carry out this
section for fiscal year 2017, 2018, 2019, 2020, 2021,
2022, 2023, 2024, or 2025 as of the day before the
effective date of such Act; or
``(B) extend the period of availability for
obligation that applied to any such amount, as of the
day before such effective date.'';
(2) in subsection (d)(5)(A), by striking ``shall not exceed
12 semesters, or the equivalent of 12 semesters, as determined
by the Secretary by regulation'' and inserting ``shall not
exceed 7 years and 6 months'';
(3) in subsection (f), by striking ``Any disbursement
allowed to be made by crediting the student's account shall be
limited to tuition and fees, and food and housing if that food
and housing is institutionally owned or operated. The student
may elect to have the institution provide other such goods and
services by crediting the student's account.'' and inserting
``Payments under this section may be used by the student for
living and nontuition expenses.'';
(4) by striking subsections (g) and (h); and
(5) by redesignating subsections (i) and (j) as subsections
(g) and (h), respectively.
(c) Eligibility for Dreamer Students and Students With Other
Immigrations Statuses.--Section 484 of the Higher Education Act of 1965
(20 U.S.C. 1091) is amended--
(1) by striking subsection (a)(5) and inserting the
following:
``(5) be--
``(A) a citizen or national of the United States, a
permanent resident of the United States, or able to
provide evidence from the Immigration and
Naturalization Service that he or she is in the United
States for other than a temporary purpose with the
intention of becoming a citizen or permanent resident,
or be a Dreamer student, as defined in subsection (u);
or
``(B) in the case of eligibility to receive a
Federal Pell Grant, a citizen or national of the United
States, a permanent resident of the United States, able
to provide evidence from the Immigration and
Naturalization Service that he or she is in the United
States for other than a temporary purpose with the
intention of becoming a citizen or permanent resident,
a Dreamer student (as defined in subsection (u)), or
subject to a grant of deferred enforced departure, a
grant of deferred action pursuant to the Deferred
Action for Childhood Arrivals policy announced by the
Secretary of Homeland Security on June 15, 2012, or
temporary protected status under section 244 of the
Immigration and Nationality Act (8 U.S.C. 1254a);
and''; and
(2) by adding at the end the following:
``(u) Dreamer Students.--
``(1) In general.--In this section, the term `Dreamer
student' means an individual who--
``(A) was younger than 16 years of age on the date
on which the individual initially entered the United
States;
``(B) has provided a list of each secondary school
that the individual attended in the United States; and
``(C)(i) has earned a high school diploma, the
recognized equivalent of such diploma from a secondary
school, or a high school equivalency diploma in the
United States or is scheduled to complete the
requirements for such a diploma or equivalent before
the next academic year begins;
``(ii) has earned a degree from an institution of
higher education or has completed not less than 2 years
in a program for a baccalaureate degree or higher
degree at an institution of higher education in the
United States and has made satisfactory academic
progress, as defined in subsection (c), during such
time period;
``(iii) at any time was eligible for a grant of
deferred action under--
``(I) the June 15, 2012, memorandum from
the Secretary of Homeland Security entitled
`Exercising Prosecutorial Discretion with
Respect to Individuals Who Came to the United
States as Children'; or
``(II) the November 20, 2014, memorandum
from the Secretary of Homeland Security
entitled `Exercising Prosecutorial Discretion
with Respect to Individuals Who Came to the
United States as Children and with Respect to
Certain Individuals Who Are the Parents of U.S.
Citizens or Permanent Residents'; or
``(iv) has served in the uniformed services, as
defined in section 101 of title 10, United States Code,
for not less than 4 years and, if discharged, received
an honorable discharge.
``(2) Hardship exception.--The Secretary shall issue
regulations that direct when the Department shall waive the
requirement of subparagraph (A) or (B), or both, of paragraph
(1) for an individual to qualify as a Dreamer student under
such paragraph, if the individual--
``(A) demonstrates compelling circumstances for the
inability to satisfy the requirement of such
subparagraph (A) or (B), or both; and
``(B) satisfies the requirement of paragraph
(1)(C).''.
(d) Full Exclusion From Gross Income for Pell Grants.--
(1) In general.--Section 117(b) of the Internal Revenue
Code of 1986 is amended by adding at the end the following new
paragraph:
``(3) Special rule for pell grants.--Amounts received under
a Federal Pell Grant under subpart 1 of part A of title IV of
the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.)
shall be treated as an amount received as a qualified
scholarship notwithstanding whether such amount was used for
qualified tuition and related expenses.''.
(2) Effective date.--The amendment made by this subsection
shall apply to amounts received in taxable years beginning
after the date of the enactment of this Act.
TITLE IV--INCLUSIVE STUDENT SUCCESS GRANTS
SEC. 401. INCLUSIVE STUDENT SUCCESS GRANTS.
Part F of title VII of the Higher Education Act of 1965, as added
by section 101 and amended by sections 201 and 202, is further amended
by adding at the end the following:
``Subpart 4--Inclusive Student Success Grants
``SEC. 800. DEFINITIONS.
``In this subpart:
``(1) Eligible state.--The term `eligible State' means a
State that is a recipient of a grant under subpart 1.
``(2) Evidence tiers.--
``(A) Evidence tier 1.--The term `evidence tier 1',
when used with respect to a reform or practice, means a
reform or practice that meets the criteria for
receiving an expansion grant from the education
innovation and research program under section
4611(a)(2) of the Elementary and Secondary Education
Act of 1965, as determined by the Secretary in
accordance with such section.
``(B) Evidence tier 2.--The term `evidence tier 2',
when used with respect to a reform or practice, means a
reform or practice that meets the criteria for
receiving a mid-phase grant from the education
innovation and research program under section
4611(a)(2) of the Elementary and Secondary Education
Act of 1965, as determined by the Secretary in
accordance with such section.
``(3) First generation college student.--The term `first
generation college student' has the meaning given the term in
section 402A(h)(3).
``(4) Eligible institution.--The term `eligible
institution' means--
``(A) an underfunded institution; or
``(B) an institution that is--
``(i) a part B institution (as defined in
section 322);
``(ii) a Hispanic-serving institution (as
defined in section 502(a));
``(iii) an Alaska Native-serving
institution (as defined in section 317(b));
``(iv) a Native Hawaiian-serving
institution (as defined in section 317(b));
``(v) a Predominantly Black Institution (as
defined in section 318(b));
``(vi) an Asian American and Native
American Pacific Islander-serving institution
(as defined in section 320(b)); or
``(vii) a Native American-serving,
nontribal institution (as defined in section
319(b)).
``(5) Tribal college or university.--The term `Tribal
College or University' has the meaning given the term in
section 316.
``(6) Underfunded institution.--The term `underfunded
institution' means a public 2-year institution of higher
education or public 4-year institution of higher education that
receives less than the national average of State appropriations
per full-time equivalent student.
``SEC. 801. INCLUSIVE STUDENT SUCCESS GRANTS.
``(a) In General.--The Secretary shall award grants to eligible
States and Tribal Colleges and Universities to improve student outcomes
by carrying out or scaling the activities described in section 804.
``(b) Distribution of Funds.--From amounts appropriated to carry
out this subpart, the Secretary shall--
``(1) distribute 10 percent of the appropriated amount in
any fiscal year for grants to Tribal Colleges or Universities,
which shall be distributed according to the formula in section
316(d)(3)(B), to carry out the activities described in section
804 to implement reforms or practices that meet evidence tier 1
or evidence tier 2;
``(2) use 2 percent of the appropriated amount in any
fiscal year to evaluate the effectiveness of the activities
carried out under this subpart;
``(3) distribute 60 percent of the appropriated amount in
any fiscal year to award competitive grants to eligible States
to carry out activities described in section 804;
``(4) distribute 18 percent of the appropriated amount in
any fiscal year to supplement the competitive grant amounts
awarded to eligible States under paragraph (3) to implement
reforms or practices that meet evidence tier 1; and
``(5) distribute 10 percent of the appropriated amount in
any fiscal year to supplement the competitive grant amounts
awarded to eligible States under paragraph (3) to implement
reforms or practices that meet evidence tier 1 or evidence tier
2, or a combination of such reforms or practices.
``SEC. 802. APPLICATION.
``(a) In General.--An eligible State or Tribal College or
University that desires to receive a grant under this subpart shall
submit an application to the Secretary at such time, in such manner,
and accompanied by such information as the Secretary may require. The
application shall include, at a minimum, a description of--
``(1) in the case of an eligible State, how the eligible
State will--
``(A) prioritize spending for underfunded
institutions in the State and close gaps in State
appropriations per full-time equivalent student with
respect to institutions in the State described in
section 800(4)(B); and
``(B) sustain such reforms or practices; and
``(2) in the case of an eligible State or Tribal College or
University, how the eligible State or Tribal College or
University will use the funds to implement or expand evidence-
based reforms or practices funded by a grant under this subpart
to improve student outcomes at eligible institutions in such
State or the Tribal College or University.
``(b) Priority.--In awarding grants under this subpart, the
Secretary shall give priority to eligible States that propose to use a
significant share of grant funds to improve enrollment, retention,
transfer, or completion rates or labor market outcomes among students
with disparate outcomes, such as students of color, low-income
students, students with disabilities, students in need of remediation,
first generation college students, student parents, and other
underserved student populations in such State.
``SEC. 803. GRANT AMOUNTS.
``In awarding grants under this subpart to eligible States, the
Secretary shall determine grant amounts based on the number of students
enrolled at eligible institutions in the State who receive a Federal
Pell Grant.
``SEC. 804. USE OF GRANT FUNDS.
``An eligible State or Tribal College or University that receives a
grant under this subpart shall, directly or in collaboration with
institutions of higher education and other nonprofit organizations, use
the grant funds to implement evidence-based reforms or practices, which
may include one or more of the following:
``(1) Providing comprehensive academic, career, and student
support services, including mentoring, advising, or case
management services.
``(2) Providing assistance in applying for and accessing
direct support services, financial assistance, or means-tested
benefit programs to meet the basic needs of students.
``(3) Providing accelerated learning opportunities,
including dual or concurrent enrollment programs and early
college high school programs.
``(4) Reforming remedial or developmental education, course
scheduling, or credit awarding policies.
``(5) Improving transfer pathways between community
colleges and 4-year institutions of higher education in the
eligible State, or, in the case of a Tribal College or
University, between the Tribal College or University and other
institutions of higher education.
``(6) Making investments in academic advisors, mental
health counselors, trauma-informed care, and tutors.
``(7) Reducing class sizes.
``SEC. 805. PROGRAM REQUIREMENTS.
``(a) Goals.--The Secretary shall require eligible States or Tribal
Colleges or Universities that receive funds under this subpart to set
goals regarding student outcomes.
``(b) Progress.--
``(1) National progress.--The Secretary shall track
progress in improving student outcomes for eligible States that
receive grants under this subpart, including conducting
independent evaluations of support programs funded under this
subpart.
``(2) State progress.--As a condition of continuing to
receive funds under this subpart, for each year in which an
eligible State participates in the program under this subpart,
the eligible State shall demonstrate to the satisfaction of the
Secretary that the eligible State has made adequate progress in
implementing or expanding evidence-based reforms or practices,
and improving enrollment, retention, transfer, or completion
rates or labor market outcomes among students with disparate
outcomes, such as students of color, low-income students,
students with disabilities, students in need of remediation,
first generation college students, student parents, and other
underserved student populations in such State.
``(c) Supplement, Not Supplant.--Grant funds awarded under this
subpart shall be used to supplement, and not supplant, other Federal,
State, Tribal, local, and institutional funds that would otherwise be
expended to carry out activities assisted under this subpart.
``SEC. 806. AUTHORIZATION OF APPROPRIATIONS.
``There are authorized to be appropriated to carry out this
subpart--
``(1) such sums as may be necessary for the fourth quarter
of fiscal year 2025;
``(2) $10,000,000,000 for fiscal year 2026; and
``(3) such sums as may be necessary for each of the
following fiscal years.''.
TITLE V--INCREASING SUPPORT FOR STUDENTS
SEC. 501. INCREASING SUCCESS FOR LOW-INCOME AND FIRST GENERATION
STUDENTS.
(a) Authorization of Appropriations for Federal Trio Programs.--
Section 402A(g) of the Higher Education Act of 1965 (20 U.S.C. 1070a-
11(g)) is amended by striking ``$900,000,000 for fiscal year 2009 and
such sums as may be necessary for each of the five succeeding fiscal
years'' and inserting ``$3,000,000,000 for fiscal year 2026, and such
sums as may be necessary for each of fiscal years 2027 through 2035''.
(b) Authorization of Appropriations for Gear Up Programs.--Section
404H of the Higher Education Act of 1965 (20 U.S.C. 1070a-28) is
amended by striking ``$400,000,000'' and all that follows through the
period and inserting ``$736,000,000 for fiscal year 2026, and such sums
as may be necessary for each of fiscal years 2027 through 2029.''.
TITLE VI--INVESTMENTS IN HISTORICALLY BLACK COLLEGES AND UNIVERSITIES,
TRIBAL COLLEGES OR UNIVERSITIES, AND OTHER MINORITY-SERVING
INSTITUTIONS
SEC. 601. APPROPRIATIONS FOR HISTORICALLY BLACK COLLEGES AND
UNIVERSITIES, TRIBAL COLLEGES AND UNIVERSITIES, AND
MINORITY-SERVING INSTITUTIONS.
(a) In General.--Section 371(b)(1)(A) of the Higher Education Act
of 1965 (20 U.S.C. 1067q(b)(1)(A)) is amended by striking
``$255,000,000'' and all that follows through the period and inserting
``$510,000,000 for fiscal year 2026 and each fiscal year thereafter.''.
(b) Allocation and Allotment.--Section 371(b)(2)(A) of the Higher
Education Act of 1965 (20 U.S.C. 1067q(b)(2)(A)) is amended--
(1) in clause (i), by striking ``100,000,000'' and
inserting ``200,000,000'';
(2) in clause (ii), by striking ``100,000,000'' and
inserting ``200,000,000''; and
(3) in clause (iii), by striking ``55,000,000'' and
inserting ``110,000,000''.
TITLE VII--SNYDER ACT
SEC. 701. RULE OF CONSTRUCTION REGARDING THE SNYDER ACT.
Nothing in this Act, or an amendment made by this Act, shall be
construed to change or abrogate the Federal Government's
responsibilities under the Act of November 2, 1921 (25 U.S.C. 13),
(commonly known as the ``Snyder Act'').
<all>
Introduced in House
Introduced in House
Referred to the Committee on Education and Workforce, and in addition to the Committees on Ways and Means, and the Budget, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Education and Workforce, and in addition to the Committees on Ways and Means, and the Budget, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
Referred to the Committee on Education and Workforce, and in addition to the Committees on Ways and Means, and the Budget, for a period to be subsequently determined by the Speaker, in each case for consideration of such provisions as fall within the jurisdiction of the committee concerned.
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