Debt-Free College Act of 2023

The Debt-Free College Act of 2023 establishes a Federal-State partnership program to provide debt-free college for eligible students attending in-state public institutions of higher education. Participating states would cover students' unmet financial need (the difference between cost of attendance and available aid) by maintaining or increasing state investment in higher education, capping tuition and fees (with limited annual increases), and developing 5-year plans to achieve debt-free college for all eligible students. The program would be funded with $84 billion over 10 years, requiring states to maintain or increase net State operating support for higher education while providing student success programs to support low-income and underserved students. The bill also creates a separate $3 billion grant program for Historically Black Colleges and Minority Serving Institutions to provide similar debt-free college options for eligible students.