House Committee Advances Bill Limiting Access to Financial Aid

The House Committee on Education and the Workforce on Dec. 12 advanced over the objections of higher education organizations legislation that would limit access to federal student loans. The Bipartisan Workforce Pell Act (HR 6585) is intended to expand eligibility for Pell Grants to undergraduate students enrolled in short-term programs, including those offered through distance education. A provision in the bill, however, would offset the cost of the expansion by prohibiting undergraduate and graduate students at institutions subject to the endowment tax (and their parents) from accessing federal student loans. 

The AAMC joined a Dec. 11 letter coordinated by the Federation of Associations of Schools of the Health Professions (FASHP) expressing concerns with the bill’s offset. “Although FASHP strong supports the committee’s bipartisan efforts to address the changing needs of the population and expand the types of degrees that receive Pell Grants, we believe that doing so by limiting the ability of students at certain institutions from accessing federal student loans would create a series of unintended consequences that harm our readiness to address the growing demands of the population, across many sectors. This is especially true for the healthcare fields where the need for a diverse and robust workforce only continues to increase,” the letter stated.