House FY 2026 Budget Proposal Flat Funds Pell Grants and Student Aid Administration, Eliminates FSEOG
By Maria Carrasco, NASFAA Staff Reporter
As the deadline for Congress to fund the federal government approaches at the end of the month, the House Appropriations Subcommittee on Monday released its appropriations bill for fiscal year (FY) 2026, flat-funding the Pell Grant program and student aid administration, and eliminating the Federal Supplemental Educational Opportunity Grant (FSEOG) program.
Notably, the Senate Appropriations Committee advanced its own legislation for FY 2026 in late July, and the White House put out its budget request in June.
The bill text released by the House Appropriations Labor, Health and Human Services, Education, and Related Agencies Subcommittee on Monday would impact the 2026-27 award year and has many similar education provisions as the Senate bill, along with some key differences that align more closely with the White House’s budget request.
For example, under the House subcommittee bill, the maximum Pell Grant award would be $7,395 for the 2026-27 award year, which is the same funding level as the 2025-26 award year and is also what the Senate bill proposes.
Overall, the Department of Education (ED) would be allocated $67 billion, which is a $12 billion decrease from the FY 2025 enacted level and aligned with the topline funding in the White House’s budget request. However, the Senate’s proposal would fund ED at $79 billion. Additionally, student aid administration would be allocated $2,058,943,000 in the House proposal, which was included in the Senate’s budget bill.
Notably, the House bill proposes that Workforce Pell Grants be renamed “Trump Grants,” in order to align with the “One Big Beautiful Bill Act,” which created a new Workforce Pell Grant program.
However, a document from House Appropriations Democrats noted that under the House’s legislation, $23.3 billion would be allocated for federal student aid programs, which is a $1.4 billion decrease from FY 2025. The Pell Grant program would be allocated $22.5 billion.
The document also highlighted that the House legislation seeks to eliminate the FSEOG program and fund the FWS program at $779 million, which is a $451 million decrease from FY 2025. It also proposes to flat-fund the TRIO program, consistent with the FY 2025 level.
Rep. Robert Aderholt (R-Ala.), chair of the House Appropriations Labor, Health and Human Services, Education, and Related Agencies Subcommittee, stated that the House subcommittee legislation ensures “taxpayer dollars are being spent responsibly.”
“I look forward to the continued progress this Committee can make in restoring trust with the American people as we responsibly allocate taxpayer dollars,” Aderholt said in a statement. “While we still have a ways to go, I believe this bill lays a strong foundation for transparency and fiscal accountability.”
Rep. Rosa DeLauro (D-Conn.), ranking member of the House Appropriations Labor, Health and Human Services, Education, and Related Agencies Subcommittee, criticized the budget bill, stating that it is an “assault on education and job training.”
“Republicans are continuing their full-scale attempt to eliminate public education, decimating support for children in K-12 elementary schools and threatening the future of an entire generation,” DeLauro said in a statement. “Instead of focusing on helping Americans deal with the high cost of living, this bill would hurt hardworking Americans trying to improve their lives through higher education or job training.”
The House Appropriations Labor, Health and Human Services, Education, and Related Agencies Subcommittee is expected to consider the bill on Tuesday. A full Appropriations Committee markup has not yet been scheduled for this bill.
Last month, NASFAA President and CEO Melanie Storey raised concerns over a third consecutive year of flat-funding student aid programs.
“In the face of rising inflation and a growing cost of living, maintaining level funding amounts to a cut in real terms. Each year that aid fails to keep pace with economic pressures, college becomes less accessible and affordable for millions of students and families,” Storey said in a previous statement on the Senate’s proposed FY 2026 budget. “At a time when higher education is critical to our nation’s workforce and economic future, we cannot afford to shortchange students by allowing this quiet erosion of support to continue.”
Publication Date: 9/3/2025
David S | 9/3/2025 12:47:49 PM
The most predictable piece of legislation in terms of financial aid appropriations and goals we've seen in a long time; this appears to be at least bits and pieces of the original and painfully draconian House version of the OBBBA, which, because Trump's burning desire to sign the bill on the 4th of July because, I don't know, it would make for good tv or something, got rushed through and downsized to the Senate's version. Eliminate SEOG, slash FWS...pretty obvious that Pell and subsidized loans - or even federal loans altogether - will be in their crosshairs next.
They're clearly on their way to the goal Virginia Foxx stated on a NASFAA podcast, fewer Americans attending college. And it's the students who need our profession's help the most that they want off campuses. Call your representatives in Washington's offices repeatedly...this should be met with outrage by everyone who supports college access and affordability.
You must be logged in to comment on this page.