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As the FY25 appropriations process moves forward and Congress continues to consider potential expansion of Pell Grant eligibility to very short-term career programs, TICAS is concerned about the long-term funding health of the Pell program. Pell provides critical, well-targeted support for low- and middle-income students pursuing postsecondary opportunities and must be protected.
Although the Pell Grant program has experienced budget surpluses in recent years, the current surplus is expected to shrink in the coming years — potentially as soon as fiscal year 2026. This shifting budget situation results from the implementation of bipartisan, student-friendly policies, including increases in the maximum grant and increased Pell grant eligibility due to changes in the FAFSA formula. Enrollment recovery from the Covid-19 pandemic has also led to increased Pell use.
In a new brief, TICAS examines the potential impact of short-term Pell expansion without adequate student protections, especially if for-profit institutions have access to the program. We urge Congress to take steps to maintain the fiscal health of Pell and protect students from high-cost, low-quality short-term programs.
