Encampments or Endowments Act

This bill (S 4295) creates two key provisions affecting colleges. First, it makes colleges ineligible for federal student aid funds (Title IV programs) if they fail to remove permanent campus encampments (existing 7+ days) that interfere with classes, research, or student access. Second, it imposes a 50% tax on the endowment assets of colleges that lose eligibility under the first provision, unless they provide full federal aid to affected students. The bill directly impacts colleges that maintain or fail to disestablish such encampments, with funding loss taking effect after July 1, 2025. It does not change student eligibility but ties institutional funding to campus disorder management.