The U.S. Senate passed H.R. 2882 in the early Saturday morning after missing the deadline to fund three-quarters of the government before sending the bill to President Biden’s desk. Now that the continuing resolution has been signed into law, the Department of Education will receive $79.1 billion for the 2024 fiscal year and sustains the maximum Pell Grant at $7,395.
What’s in the bill?
As we discussed last week, the annual budget will include the following allocations:
- $24.6 billion for federal student aid programs
- Pell Grant award at $7,395 for the 2024-25 award year.
- $1.2 billion for Federal Work-Study (FWS) Programs
- The same funding as provided in the FY 2023 enacted level.
- $2.18 billion for career, technical, and adult education
- $10 million less than in FY 2023
- An additional $3.3 billion for higher education programs
- $15 million less than in FY 2023
- $910 million for the Federal Supplemental Educational Opportunity Grant (FSEOG) program
- $171 million for the Fund for the Improvement of Postsecondary Education.
What comes next?
Congress and the White House will starting negotiating the budget for the 2025 fiscal year, which they must decide by September 30, 2024. President Biden’s proposal includes eliminating origination fees for student loans, greater investment in student borrower services like FSA, and addressing the overall affordability of Higher Education.