On the 54th anniversary of the Pell Grant program, US Representatives Mark Pocan (D-WI) and Robert C. “Bobby” Scott (D-VA) and US Senators Mazie K. Hirono (D-HI), Patty Murray (D-WA), Jack Reed (D-RI), and Sheldon Whitehouse (D-RI) re-introduced the Pell Grant Preservation and Expansion Act of 2026. The earliest version of the bill was introduced in 2017, under the 115th Congress, and has been re-introduced several times since then.
The 2026 bill, which the National College Attainment Network (NCAN) endorsed, outlines an aspirational framework to protect and strengthen the Pell Grant program by increasing the maximum award over time, indexing the grant to inflation, and expanding access and increasing awards for various groups of students, including Dreamers and those receiving public means-tested benefits. The bicameral introduction of the Pell Grant Preservation Expansion Act underscores continued Congressional support for the Pell Grant at a time when policymakers are actively debating how to address the program's projected funding shortfall and ensure its long-term sustainability.
While Congress’s most urgent challenge is to address a Pell Grant shortfall of approximately $16 billion this fiscal year, the decrease in the purchasing power of the Pell Grant is also top of mind for policymakers. The maximum Pell Grant has been flat funded at $7,395 since fiscal year 2023, effectively eroding the value of the award as costs of living rise. Had the maximum award kept pace with inflation since its last increase, it would be $8,109 today – more than $700 higher.
The press release for the Pell Grant Preservation Act reflects both of these concerns: “[T]he purchasing power of the Pell Grant maximum award has significantly declined over the years—from covering more than three-quarters of the cost of attendance at a four-year, public institution when the program was first created, to now covering less than one-third of the cost of attendance today. At the same time, the Pell Grant program faces a substantial shortfall, putting it at severe risk of future cuts.”
Among its key provisions, the bill would:
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Set the maximum Pell Grant to $10,000 for academic year 2026-2027, increase the maximum to $15,000 over the next 5 years, and index future awards to inflation, to ensure the grant keeps pace with students' costs instead of losing purchasing power over time.
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Expand access to Pell by restoring Pell lifetime eligibility to18 semesters from 12, expanding eligibility to Dreamers, and undoing the provision enacted in the budget reconciliation bill last summer that capped Pell at the cost of attendance.
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Reform satisfactory academic progress (SAP) policies by creating clearer warning and appeals processes, strengthening communication with students, and making it easier for students who experience academic setbacks or stop out to regain federal financial aid eligibility.
In recent years, Congress has taken bipartisan action to expand eligibility for Pell through the FAFSA Simplification Act and the implementation of Workforce Pell. Earlier this month, the House Appropriations Committee approved their FY27 Labor, Health and Human Services, Education, and Related Agencies bill, which would add $16 billion in mandatory funding to address the program's projected shortfall and provide a $50 increase to the Pell maximum. These actions represent continued bipartisan support for strengthening the foundation of federal student aid.
With the Pell Grant at the forefront of federal higher education policy discussions, NCAN will continue to keep members up to date as bills move forward. For any questions, or to learn more about how you can engage in our Pell advocacy efforts, please contact Louisa Woodhouse, NCAN’s Senior Associate, Policy and Advocacy, at [email protected].