This bill amends the Higher Education Act of 1965 to restrict eligibility for Pell Grants to students who are citizens or nationals of the United States. It directly affects non-citizen and non-national students currently enrolled in or applying to institutions that receive federal financial aid, as they would no longer qualify for this specific grant program. The legislation achieves this by adding a new definition of "eligible student" that explicitly requires U.S. citizenship or nationality, overriding other provisions that might allow broader eligibility.
The TEAM USA Act would amend the Higher Education Act to limit the number of international student athletes on varsity sports teams at colleges that receive federal financial assistance. Under this bill, no more than 20 percent of a team's official roster could consist of international student athletes, or just one such athlete if the team has fewer than ten members. The legislation defines an international student athlete as someone who is not a U.S. national or permanent resident, or who receives athletic financial aid from a foreign Olympic or Paralympic committee. Institutions would be required to report their roster demographics annually to the Secretary of Education and relevant athletic associations, with these rules taking effect for the 2029-2030 academic year.
The TEAM USA Act would amend the Higher Education Act to require colleges and universities receiving federal financial assistance to limit international student athletes to no more than 20 percent of any varsity sports team roster, or a maximum of one player for teams with fewer than ten members. The bill defines an international student athlete as someone who is not a U.S. national or permanent resident, or who has received athletic financial support from a foreign Olympic or Paralympic committee. Institutions would be required to report their compliance annually to the Secretary of Education and relevant athletic associations. These new restrictions would take effect on July 1, 2029, applying to the 2029-2030 academic year and all subsequent years.
The NEAUX PROS Act prohibits colleges that receive federal student aid from allowing individuals who hold active professional sports contracts to compete in intercollegiate athletics in the same sport. To enforce this rule, the bill conditions continued eligibility for Title IV federal funding on institutions ensuring they do not permit such dual participation, with violations subject to standard financial aid enforcement actions like suspension or termination of funds. The legislation also creates a new federal criminal offense for athletics officials who knowingly recruit or sign professional athletes, carrying penalties of up to five years in prison, or ten years if the act was done for financial gain or as part of a pattern. Individuals may avoid being classified as professional athletes by rescinding their contracts in writing before receiving any compensation or providing athletic services under those agreements.
The Keep Public Funds in Public Schools Act of 2026 eliminates a federal tax credit that allowed parents to deduct contributions to scholarship granting organizations from their income. By removing these specific tax breaks, the bill prevents the use of public tax dollars to support private school vouchers and scholarship programs. This change directly affects families who currently rely on these tax incentives to fund education outside the public school system. The provisions take effect for taxable years beginning after December 31, 2026.
The Government Bailout Prevention Act prohibits the use of federal funds, Treasury resources, or Federal Reserve assistance to support state, local, or school district governments facing financial distress starting January 1, 2026. Specifically, the bill bars the government from purchasing or guaranteeing debt for entities that have filed for bankruptcy, defaulted on obligations, or are at risk of defaulting without such help. This restriction also covers debt restructuring activities but includes an exception for financial aid provided in response to declared disasters.
This joint resolution seeks to officially reject a final rule issued by the Department of Education regarding federal student loan programs. If passed, the measure would prevent the new regulations from taking effect, leaving the previous rules in place. The bill directly impacts borrowers, lenders, and the Department of Education by nullifying the specific changes outlined in the "Reimagining and Improving Student Education" proposal. It is a procedural action that uses the Congressional Review Act to disapprove the agency's policy without altering the underlying law.
The No Aid for Ghost Students Act of 2026 requires the Department of Education to use a new identity fraud detection system to review federal student aid applications starting October 1, 2026. If an application triggers a reasonable suspicion of identity fraud, the applicant will be notified and informed that their designated colleges must verify their identity before releasing any financial aid. To prevent payment, schools must confirm the applicant's identity through in-person meetings or live video calls unless the fraud suspicion is cleared. The Department of Education will also be required to report details about the system's design and its effectiveness to Congress annually.
The Student Loan Reform Act requires colleges to act as guarantors for student loans starting in July 2026, meaning schools would become directly responsible for repaying the debt if a student fails to pay. Under this program, institutions that agree to cosign loans would see their default rate thresholds raised from 30 percent to 40 percent, providing them with more flexibility regarding student repayment performance. If a borrower defaults and the loan remains unpaid for 90 days, the school must begin a ten-year repayment plan for the outstanding balance, though they can stop this obligation if the debt is rehabilitated or fully paid. Additionally, loans with institutional cosigners would receive a lower interest rate determined by the Secretary of Education based on the reduced risk to the lender.
This bill, titled the "Keep Public Funds in Public Schools Act," repeals two sections of the Internal Revenue Code. It eliminates Section 25F, which provides a tax credit for contributions made to scholarship granting organizations. Additionally, the bill repeals Section 139K, which allows certain educational assistance to be excluded from an individual's gross income. These changes primarily affect taxpayers who currently claim these credits or exclusions, and organizations involved in scholarship grants or providing educational assistance. The amendments generally take effect for taxable years ending after December 31, 2026.
