Sec. 30031. Eligibility
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Section 401(a)(2)(A) of the Higher Education Act of 1965 ( 20 U.S.C. 1070a(a)(2)(A) ) is amended to read as follows: the term adjusted gross income means— in the case of a dependent student, for the second tax year preceding the academic year— the adjusted gross income (as defined in section 62 of the Internal Revenue Code of 1986) of the student’s parents; plus the foreign income (as described in section 480(b)(5)) of the student’s parents; and in the case of an independent student, for the second tax year preceding the academic year— the adjusted gross income (as defined in section 62 of the Internal Revenue Code of 1986) of the student (and the student’s spouse, if applicable); plus the foreign income (as described in section 480(b)(5)) of the student (and the student’s spouse, if applicable); .
Section 401(b)(1)(D) of the Higher Education Act of 1965 ( 20 U.S.C. 1070a(b)(1)(D) ) is amended by striking A student and inserting For each academic year beginning before July 1, 2026, a student . Section 479A(b)(1)(B) of the Higher Education Act of 1965 ( 20 U.S.C. 1087tt(b)(1)(B) ) is amended— by striking clause (v); and by redesignating clauses
(vi)and
(vii)as clauses
(v)and (vi), respectively. Section 401(a)(2) of the Higher Education Act of 1965 ( 20 U.S.C. 1070a(a)(2) ) is further amended— in subparagraph (E), by striking and after the semicolon; in subparagraph (F), by striking the period and inserting ; and ; and by adding at the end the following new subparagraph: notwithstanding section 481(a)(2)(A)(iii), the terms full time and full-time (except with respect to subsection (d)(4) when used as part of the term normal full-time workload ) mean, with respect to a student enrolled in an undergraduate course of study, the student is expected to complete at least 30 semester or trimester hours or 45 quarter credit hours (or the clock hour equivalent) in each award year a student is enrolled in the course of study. . Section 401(b)(1) of the Higher Education Act of 1965 ( 20 U.S.C. 1070a–1(b)(1) ) is amended by adding at the end the following: Notwithstanding subparagraphs
(A)through (E), a student shall not be eligible for a Federal Pell Grant under this subsection for an academic year in which the student has a student aid index that equals or exceeds twice the amount of the total maximum Federal Pell Grant for such academic year. . Section 401 of the Higher Education Act of 1965 ( 20 U.S.C. 1070a ) is further amended— in subsection (b)— by striking
(2)and inserting Less (2)(A) ; and Less by inserting after subparagraph
(A)(as so designated by subparagraph
(A)of this subsection) the following new subparagraph: Notwithstanding subparagraph (A), a student who first receives a Federal Pell Grant on or after July 1, 2026, shall not be eligible for an award under this subsection for any award year beginning after such date in which the student is enrolled in an eligible program of an institution of higher education on less than a half-time basis. The Secretary shall update the schedule of reductions described in subparagraph
(A)in accordance with this subparagraph, including for students receiving the minimum Federal Pell Grant. ; in subsection (c)(6)(A), by inserting , and the eligibility requirement of enrollment on at least a half-time basis under subsection (b)(2), after (b)(1) ; and in subsection (d)(5)(A), by inserting (and at least half time, in the case of a student who first receives a Federal Pell Grant under subsection
(b)on or after July 1, 2026) after full time . The amendments made by this section shall take effect on July 1, 2026, and shall apply with respect to award year 2026–2027 and each subsequent award year.
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- 20 USC 1070a–1(b)(1)
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