What This Bill Does
This bill creates a new grant program called Workforce Pell Grants that helps students pay for short-term job training programs. Students who qualify for regular Pell Grants (a type of federal financial aid for low-income students) can now use this money for workforce training programs that last between 8 and 15 weeks instead of just traditional college degree programs.
##
Who It Affects
- Students enrolled in approved short-term workforce training programs
- College and university institutions offering these training programs
- Accrediting agencies (organizations that evaluate and approve schools)
- The U.S. Department of Education and Department of Labor
- State workforce boards and local workforce areas
##
Key Provisions
- Students can receive Workforce Pell Grants starting in the 2025-2026 school year if they meet regular Pell Grant eligibility rules and are enrolled in an approved workforce training program (Sec. 2)
- Eligible workforce programs must be between 150 and 600 clock hours of instruction, lasting 8 to 15 weeks, and teach skills in high-skill or in-demand industries (Sec. 3)
- Programs must show that students who complete them earn at least 20 percent more money than before enrollment, and earn more than high school graduates in their state (Sec. 3)
- Programs must share publicly available information including costs, completion rates, employment rates at 6 months and 1 year after completion, and earnings data (Sec. 3)
- Schools and the federal government must collect and publish detailed data about students in these programs broken down by sex, race, income level, military status, and other categories (Sec. 4)
##
What Changes
If this bill becomes law, students will be able to use federal Pell Grants to attend shorter job training programs (as short as 8 weeks) instead of only traditional degree programs. Schools offering these approved programs will need to track detailed information about student outcomes, including employment and earnings. Accrediting agencies will need to evaluate whether workforce programs meet new standards. The federal government will stop approving a different type of short-term program for loans within 60 days of approving the first Workforce Pell Grant program.
##
Important Definitions
- **Workforce Pell Grants**: Federal grants given to eligible students enrolled in approved short-term workforce training programs (Sec. 2)
- **Eligible workforce program**: A career and technical education program between 150-600 clock hours (or equivalent credit hours) lasting 8-15 weeks that teaches skills for high-skill or in-demand occupations, with verified completion and employment rates of at least 70 percent (Sec. 3)
- **Educational spending**: Money spent on instruction, academic support, and student support services, not including recruiting, advertising, or pre-enrollment costs (Sec. 3)
- **Median earnings**: The middle-point earnings amount calculated using pay periods the Secretary determines appropriate (Sec. 3)
- **Career and technical education**: Not defined in this bill; refers to the definition in the Carl D. Perkins Career and Technical Education Act of 2006 (Sec. 3)
- **Recognized postsecondary credential**: A certificate or credential that can be stacked (combined with other credentials) and used across different employers and locations (Sec. 3)
##
Effective Date
Workforce Pell Grants become available starting in the 2025-2026 school year (Sec. 2). The interim authority for accrediting agencies to evaluate workforce programs expires on the earlier of 5 years after enactment or when the Secretary makes a final determination about whether they meet the criteria (Sec. 5).
I
118TH CONGRESS
1ST SESSION H. R. 1655
To amend the Higher Education Act of 1965 to extend Federal Pell Grant
eligibility to certain short-term workforce programs.
IN THE HOUSE OF REPRESENTATIVES
MARCH 17, 2023
Mr. SCOTT of Virginia (for himself, Ms. BLUNT ROCHESTER, and Ms. NOR-
TON) introduced the following bill; which was referred to the Committee
on Education and the Workforce
A BILL
To amend the Higher Education Act of 1965 to extend
Federal Pell Grant eligibility to certain short-term work-
force programs.
Be it enacted by the Senate and House of Representa-
1
tives of the United States of America in Congress assembled,
2
SECTION 1. SHORT TITLE.
3
This Act may be cited as the ‘‘Jobs to Compete Act’’.
4
SEC. 2. WORKFORCE PELL GRANTS.
5
Section 401 of the Higher Education Act of 1965 (20
6
U.S.C. 1070a), as amended by section 703 of the FAFSA
7
Simplification Act (title VII of division FF of Public Law
8
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•HR 1655 IH
116–260), is further amended by adding at the end the
1
following:
2
‘‘(k) WORKFORCE PELL GRANTS PROGRAM.—
3
‘‘(1) IN GENERAL.—For award year 2025–2026
4
and each succeeding award year, the Secretary shall
5
award grants (referred to as a ‘Workforce Pell
6
Grants’) to eligible students under paragraph (2) in
7
accordance with this subsection.
8
‘‘(2) ELIGIBLE STUDENTS.—To be eligible to
9
receive a Workforce Pell Grant under this subsection
10
for any period of enrollment, a student shall meet
11
the eligibility requirements for a Federal Pell Grant
12
under this section, except that the student—
13
‘‘(A) notwithstanding the eligibility re-
14
quirements with respect to the program of
15
study, shall be enrolled, or accepted for enroll-
16
ment, in an eligible workforce program de-
17
scribed in section 481(b)(3), offered by an eligi-
18
ble institution of higher education (as defined
19
in section 481(b)(3)(F)); and
20
‘‘(B) notwithstanding the eligibility re-
21
quirements with respect to the first under-
22
graduate baccalaureate course of study under
23
subsection (d)(1) may have completed such first
24
undergraduate baccalaureate course of study,
25
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•HR 1655 IH
but shall not have received a postbaccalaureate
1
degree.
2
‘‘(3) TERMS AND CONDITIONS OF AWARDS.—
3
The Secretary shall award Workforce Pell Grants
4
under this subsection in the same manner and with
5
the same terms and conditions as the Secretary
6
awards Federal Pell Grants under subsection (b), ex-
7
cept that a student who is eligible for a grant equal
8
to less than the amount of the minimum Federal
9
Pell Grant because the eligible workforce program in
10
which the student is enrolled or accepted for enroll-
11
ment is less than an academic year (in hours of in-
12
struction or weeks of duration) may still be eligible
13
for a Workforce Pell Grant.
14
‘‘(4) PREVENTION OF DOUBLE BENEFITS.—No
15
eligible student described in paragraph (2) may, for
16
the same period of enrollment, receive both a grant
17
under this subsection and a Federal Pell Grant
18
under subsection (b) or (c).
19
‘‘(5) INCLUSION
IN
TOTAL
ELIGIBILITY
PE-
20
RIOD.—Any period during which a student receives
21
a Workforce Federal Pell Grant under this sub-
22
section shall be included in calculating the student’s
23
period of eligibility for Federal Pell Grants under
24
subsection (d), and the eligibility requirements re-
25
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•HR 1655 IH
garding students who are enrolled in an under-
1
graduate program on less than a full-time basis shall
2
similarly apply to students who are enrolled in an el-
3
igible workforce program at an eligible institution of
4
higher education on less than a full-time basis.’’.
5
SEC. 3. PROGRAM ELIGIBILITY FOR WORKFORCE PELL
6
GRANTS.
7
(a) ELIGIBLE
WORKFORCE
PROGRAMS.—Section
8
481(b) of the Higher Education Act of 1965 (20 U.S.C.
9
1088(b)) is amended—
10
(1) by redesignating paragraphs (3) and (4) as
11
paragraphs (4) and (5), respectively; and
12
(2) by inserting after paragraph (2) the fol-
13
lowing:
14
‘‘(3) ELIGIBLE
PROGRAM
FOR
PURPOSES
OF
15
WORKFORCE PELL GRANTS.—
16
‘‘(A) IN GENERAL.—A program is an eligi-
17
ble program for purposes of the Workforce Pell
18
Grants program under section 401(k) (referred
19
to in this paragraph as an ‘eligible workforce
20
program’) only if the program—
21
‘‘(i) is at least 150 clock hours of in-
22
struction, but less than 600 clock hours of
23
instruction (or an equivalent number of
24
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•HR 1655 IH
credit hours) offered during a minimum of
1
8 weeks, but less than 15 weeks;
2
‘‘(ii) in a case in which the State in
3
which the program is located, or a Federal
4
agency, has established the minimum num-
5
ber of clock hours (or an equivalent num-
6
ber of credit hours) required for the train-
7
ing provided by such program, does not ex-
8
ceed by more than 50 percent such min-
9
imum number of clock hours (or credit
10
hours);
11
‘‘(iii) is a career and technical edu-
12
cation program at an eligible institution of
13
higher education;
14
‘‘(iv) provides an education aligned
15
with the requirements of high-skill, high-
16
wage, or in-demand industry sectors or oc-
17
cupations
(including
in
nontraditional
18
fields) in the State or local area in which
19
the program is provided, as determined by
20
an accrediting agency or association recog-
21
nized by the Secretary pursuant to section
22
496(a)(4)(C), after validation of such de-
23
termination by—
24
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•HR 1655 IH
‘‘(I) the State board or local
1
board that serves such State or local
2
area;
3
‘‘(II) the eligible agency for such
4
State, on the basis of the sectors or
5
occupations in such State that such
6
eligible agency identifies under section
7
122(d)(13)(C) of the Carl D. Perkins
8
Career and Technical Education Act
9
of 2006;
10
‘‘(III) the eligible agency for such
11
State, on the basis of the results of
12
the comprehensive needs assessment
13
submitted to the agency under section
14
134(b)(1) of the Carl D. Perkins Ca-
15
reer and Technical Education Act of
16
2006 with respect to the local area in
17
which the program is provided; or
18
‘‘(IV) an industry or sector part-
19
nership convened by or acting in part-
20
nership with the State board or local
21
board that serves such State or local
22
area;
23
‘‘(v) is a program—
24
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•HR 1655 IH
‘‘(I) provided through an eligible
1
training provider, as described under
2
section 122(d) of the Workforce Inno-
3
vation and Opportunity Act; and
4
‘‘(II) subject to the reporting re-
5
quirements of section 116(d)(4) of the
6
Workforce Innovation and Oppor-
7
tunity Act, or would be subject to
8
such requirements except for a waiver
9
issued to a State under section 189(i)
10
of the Workforce Innovation and Op-
11
portunity Act;
12
‘‘(vi) has been determined by the eligi-
13
ble institution of higher education pro-
14
viding such program (after validation of
15
that determination by at least one of the
16
entities described in subclauses (I) through
17
(IV) of clause (iv)) to provide academic
18
content, an amount of instructional time,
19
competencies, and a recognized postsec-
20
ondary credential that are sufficient to—
21
‘‘(I) meet the hiring requirements
22
of potential employers in the sectors
23
or occupations described in clause
24
(iv); and
25
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•HR 1655 IH
‘‘(II) satisfy any applicable edu-
1
cational prerequisite requirement for
2
professional licensure or certification
3
in the State or States in which the
4
program is offered, so that a student
5
who completes the program and seeks
6
employment is qualified to practice or
7
find employment in such sectors or oc-
8
cupations that the program prepares
9
students to enter, including, if appli-
10
cable, being qualified to take any rel-
11
evant licensure or certification exami-
12
nations that may be needed to prac-
13
tice such employment;
14
‘‘(vii) subject to subparagraph (E),
15
provides a student, upon completion of the
16
program, with a recognized postsecondary
17
credential that is stackable and portable
18
across multiple employers and geographical
19
areas;
20
‘‘(viii) not later than 18 months after
21
the date the program has been approved as
22
an eligible workforce program under this
23
paragraph, has demonstrated that students
24
who complete the program receive a me-
25
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9
•HR 1655 IH
dian increase of 20 percent of median
1
earnings as compared to median earnings
2
of such students prior to enrolling in such
3
program, in accordance with subparagraph
4
(B);
5
‘‘(ix) not later than 18 months after
6
the date the program has been approved as
7
an eligible workforce program under this
8
paragraph, has demonstrated (on the basis
9
of the data collected under section 131(i)
10
and such other information as the Sec-
11
retary may require) that the median earn-
12
ings of students who complete such pro-
13
gram, as calculated in accordance with
14
subparagraph (B)(i)(II), exceed the median
15
earnings for adults who are at least 25
16
years old, but younger than 35 years old,
17
with only high school diploma (or a recog-
18
nized equivalent) in the State in which the
19
program is located, based on data from the
20
Bureau of the Census and approved by the
21
Secretary;
22
‘‘(x) publishes prominently on the
23
website of the institution, and provides a
24
written disclosure to each prospective stu-
25
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•HR 1655 IH
dent prior to entering into an enrollment
1
agreement for such program (which each
2
such
student
shall
confirm
receiving
3
through a written affirmation prior to en-
4
tering such enrollment agreement) con-
5
taining, at a minimum, the following infor-
6
mation calculated, as applicable, in accord-
7
ance with section 131(i), including—
8
‘‘(I) the required tuition and fees
9
of the program;
10
‘‘(II) the difference between re-
11
quired tuition and fees described in
12
subclause (I) and any grant aid
13
(which does not need to be repaid)
14
provided to the student;
15
‘‘(III) the completion rate of the
16
program;
17
‘‘(IV) the employment rates of
18
students who complete the program,
19
measured at approximately 6 months
20
and 1 year, respectively, after comple-
21
tion of the program;
22
‘‘(V) median earnings of students
23
who complete the program, as cal-
24
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•HR 1655 IH
culated in accordance with subpara-
1
graph (B)(i)(II));
2
‘‘(VI) median earnings of stu-
3
dents who do not complete the pro-
4
gram, calculated based on earnings
5
approximately 6 months after ceasing
6
enrollment in the program;
7
‘‘(VII) the ratio of the amount
8
that is the difference between required
9
tuition and fees and any grant aid
10
provided to the student described in
11
subclause (II) to the median earnings
12
of students described in subclause
13
(V);
14
‘‘(VIII) an explanation, in clear
15
and plain language that shall be speci-
16
fied by the Secretary, of the ratio de-
17
scribed in subclause (VII); and
18
‘‘(IX) in the case of a program
19
that prepares students for a profes-
20
sional licensure or certification exam-
21
ination, the share of such students
22
who pass such examinations;
23
‘‘(xi) prepares students to pursue one
24
or more related certificate or degree pro-
25
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•HR 1655 IH
grams at one or more institutions of higher
1
education (which may include the eligible
2
institution of higher education providing
3
the eligible workforce program), includ-
4
ing—
5
‘‘(I) by ensuring the acceptability
6
of the credits received under the work-
7
force program toward meeting such
8
certificate or degree program require-
9
ments (such as through an articula-
10
tion agreement as defined in section
11
486A); and
12
‘‘(II) subject to subparagraph
13
(B), by ensuring that a student who
14
completes noncredit coursework in the
15
workforce program, upon completion
16
of the workforce program and enroll-
17
ment in such a related certificate or
18
degree program, will receive academic
19
credit for such noncredit coursework
20
that will be accepted toward meeting
21
such certificate or degree program re-
22
quirements;
23
‘‘(xii)
is
not
offered
exclusively
24
through distance education or a cor-
25
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•HR 1655 IH
respondence course, except as determined
1
by the Secretary to be necessary, on a tem-
2
porary basis, in connection with a—
3
‘‘(I) major disaster or emergency
4
declared by the President under sec-
5
tion 401 or 501 of the Robert T. Staf-
6
ford Disaster Relief and Emergency
7
Assistance Act (42 U.S.C. 5170 and
8
5191); or
9
‘‘(II) national emergency de-
10
clared by the President under section
11
201 of the National Emergencies Act
12
(50 U.S.C. 1601 et seq.);
13
‘‘(xiii) includes counseling for students
14
to—
15
‘‘(I) support each such student in
16
achieving the student’s education and
17
career goals; and
18
‘‘(II) ensure that each such stu-
19
dent receives information on—
20
‘‘(aa) the sectors or occupa-
21
tions described in clause (iv) for
22
which the eligible workforce pro-
23
gram provides training (including
24
the median earnings of students
25
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[Text truncated for display. Full text available on Congress.gov.]