[Congressional Bills 118th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4117 Introduced in House (IH)]

<DOC>






118th CONGRESS
  1st Session
                                H. R. 4117

  To amend the Higher Education Act of 1965 to ensure College for All.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             June 14, 2023

 Ms. Jayapal (for herself, Mr. Thompson of Mississippi, Mr. Johnson of 
Georgia, Ms. Lee of California, Ms. Williams of Georgia, Mr. Payne, Mr. 
    Pocan, Mr. Bowman, Ms. Chu, Mrs. Watson Coleman, Mr. Gomez, Mr. 
Blumenauer, Ms. Bush, Ms. Stansbury, Ms. Schakowsky, Ms. Meng, Mr. Kim 
    of New Jersey, Ms. Omar, Ms. Velazquez, Ms. Ocasio-Cortez, Ms. 
Barragan, Mrs. Ramirez, Mr. Takano, Ms. Tlaib, Ms. Clarke of New York, 
   Ms. Norton, Ms. Jackson Lee, Mr. Frost, Mr. Lieu, Mr. Casar, Mr. 
   Nadler, Ms. Tokuda, Ms. Pingree, Mrs. Napolitano, Ms. Balint, Mr. 
 Evans, Ms. Wilson of Florida, Ms. Dean of Pennsylvania, Mr. Garcia of 
 Illinois, and Ms. Pressley) introduced the following bill; which was 
   referred to the Committee on Education and the Workforce, and in 
  addition to the Committees on the Budget, and Ways and Means, for a 
 period to be subsequently determined by the Speaker, in each case for 
consideration of such provisions as fall within the jurisdiction of the 
                          committee concerned

_______________________________________________________________________

                                 A BILL


 
  To amend the Higher Education Act of 1965 to ensure College for All.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``College for All Act of 2023''.

SEC. 2. TABLE OF CONTENTS.

    The table of contents for this Act is as follows:

Sec. 1. Short title.
Sec. 2. Table of contents.
   TITLE I--FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND 
                             REQUIRED FEES

Sec. 101. Federal-State partnership to fully eliminate tuition and 
                            required fees.
  TITLE II--GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE 
     STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES AND 
             UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS

Sec. 201. Grant program to eliminate tuition and fees for eligible 
                            students at private nonprofit historically 
                            Black colleges and universities and 
                            minority-serving institutions.
Sec. 202. Northern Mariana Islands, American Samoa, United States 
                            Virgin Islands, Guam, and Freely Associated 
                            States college access.
               TITLE III--FEDERAL PELL GRANT IMPROVEMENTS

Sec. 301. Federal Pell Grant improvements.
               TITLE IV--INCLUSIVE STUDENT SUCCESS GRANTS

Sec. 401. Inclusive student success grants.
                TITLE V--INCREASING SUPPORT FOR STUDENTS

Sec. 501. Increasing success for low-income and first generation 
                            students.
TITLE VI--INVESTMENTS IN HISTORICALLY BLACK COLLEGES AND UNIVERSITIES, 
      TRIBAL COLLEGES OR UNIVERSITIES, AND OTHER MINORITY-SERVING 
                              INSTITUTIONS

Sec. 601. Appropriations for historically Black colleges and 
                            universities, Tribal colleges and 
                            universities, and minority-serving 
                            institutions.
                         TITLE VII--SNYDER ACT

Sec. 701. Rule of construction regarding the Snyder Act.

   TITLE I--FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND 
                             REQUIRED FEES

SEC. 101. FEDERAL-STATE PARTNERSHIP TO FULLY ELIMINATE TUITION AND 
              REQUIRED FEES.

    Title VII of the Higher Education Act of 1965 (20 U.S.C. 1133 et 
seq.) is amended by adding at the end the following:

                       ``PART F--COLLEGE FOR ALL

          ``Subpart 1--Grants for Tuition-Free Public College

``SEC. 783. PURPOSE.

    ``The purpose of this subpart is to establish a Federal-State 
partnership with States and Tribal Colleges and Universities to provide 
for the elimination of tuition and required fees for eligible students.

``SEC. 784. DEFINITIONS.

    ``In this subpart:
            ``(1) Award year.--The term `award year' has the meaning 
        given the term in section 481(a).
            ``(2) Community college.--
                    ``(A) In general.--The term `community college' 
                means--
                            ``(i) a public institution of higher 
                        education at which--
                                    ``(I) the highest degree awarded is 
                                an associate degree; or
                                    ``(II) an associate degree is the 
                                most frequently awarded degree;
                            ``(ii) a public postsecondary vocational 
                        institution, as defined under section 102(c); 
                        or
                            ``(iii) at the designation of the 
                        Secretary, in the case of a State in which 
                        there is no community college operated or 
                        controlled by the State that meets a definition 
                        under clause (i) or (ii), a college or 
                        similarly defined and structured academic 
                        entity--
                                    ``(I) that was in existence on July 
                                1, 2023;
                                    ``(II) within a public 4-year 
                                institution of higher education; and
                                    ``(III) at which--
                                            ``(aa) the highest degree 
                                        awarded is an associate degree; 
                                        or
                                            ``(bb) an associate degree 
                                        is the most frequently awarded 
                                        degree.
                    ``(B) Community colleges operated or controlled by 
                a state to include community colleges operated or 
                controlled by local governments within the state.--The 
                terms `community college operated or controlled by a 
                State' and `community college operated or controlled by 
                the State' includes a community college operated or 
                controlled by a local government within such State.
            ``(3) Cost of attendance.--The term `cost of attendance' 
        has the meaning given the term in section 472.
            ``(4) Dual or concurrent enrollment program.--The term 
        `dual or concurrent enrollment program' has the meaning given 
        the term in section 8101 of the Elementary and Secondary 
        Education Act of 1965.
            ``(5) Early college high school.--The term `early college 
        high school' has the meaning given the term in section 8101 of 
        the Elementary and Secondary Education Act of 1965.
            ``(6) Eligible student.--
                    ``(A) In general.--The term `eligible student' 
                means an individual, regardless of age or immigration 
                status, who has not obtained a baccalaureate degree or 
                higher degree and--
                            ``(i) in the case of a student enrolled in 
                        a community college or a 2-year Tribal College 
                        or University--
                                    ``(I) is enrolled, or plans to 
                                enroll, as an undergraduate student in 
                                an eligible program (as defined in 
                                section 481(b)) at a community college 
                                in the State in which the individual is 
                                a resident or in a 2-year Tribal 
                                College or University;
                                    ``(II) and who is enrolled in a 
                                community college that charges 
                                different tuition rates on the basis on 
                                residency, either--
                                            ``(aa) qualifies for in-
                                        State resident tuition at such 
                                        community college; or
                                            ``(bb) would qualify for 
                                        such in-State resident tuition 
                                        at such community college, but 
                                        for the student's immigration 
                                        status;
                                    ``(III) is not enrolled in a dual 
                                or concurrent enrollment program or an 
                                early college high school; and
                                    ``(IV) who is eligible to complete 
                                the Free Application for Federal 
                                Student Aid under section 483(a), has 
                                filed such application for the 
                                applicable award year for which the 
                                student is enrolled; or
                            ``(ii) in the case of a student enrolled in 
                        an eligible 4-year institution of higher 
                        education--
                                    ``(I) is enrolled, or plans to 
                                enroll, as an undergraduate student in 
                                an eligible program (as defined in 
                                section 481(b)) at a public 4-year 
                                institution of higher education or in a 
                                4-year Tribal College or University;
                                    ``(II) is a working class or middle 
                                class student, as described in section 
                                787(a)(3);
                                    ``(III) who is enrolled in a public 
                                4-year institution of higher education 
                                that charges different tuition rates 
                                based on residency, either--
                                            ``(aa) qualifies for in-
                                        State resident tuition at such 
                                        institution; or
                                            ``(bb) would qualify for 
                                        such in-State resident tuition 
                                        at such institution, but for 
                                        the student's immigration 
                                        status;
                                    ``(IV) is not enrolled in a dual or 
                                concurrent enrollment program or an 
                                early college high school; and
                                    ``(V) who is eligible to complete 
                                the Free Application for Federal 
                                Student Aid under section 483(a), has 
                                filed such application for the 
                                applicable award year for which the 
                                student is enrolled.
                    ``(B) Rule of construction.--For purposes of 
                subparagraph (A), in-State resident tuition includes 
                in-district tuition and out-of-district in-State 
                tuition.
            ``(7) 4-year tribal college or university.--The term `4-
        year Tribal College or University' means a Tribal College or 
        University that is not a 2-year Tribal College or University.
            ``(8) Full-time equivalent students.--The term `full-time 
        equivalent students' means the sum of the number of students 
        enrolled full time at an institution, plus the full-time 
        equivalent of the number of students enrolled part time 
        (determined on the basis of the quotient of the sum of the 
        credit hours of all part-time students divided by 12) at such 
        institution.
            ``(9) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 101(a).
            ``(10) Net price.--The term `net price' means the 
        difference between cost of attendance and the sum of only 
        grants and institutional and State scholarships.
            ``(11) Public 4-year institution of higher education.--The 
        term `public 4-year institution of higher education' means a 
        public institution of higher education that is not a community 
        college.
            ``(12) Reverse transfer policy.--The term `reverse transfer 
        policy' means a policy or program that allows an institution of 
        higher education to--
                    ``(A) implement a process of retroactively granting 
                a certificate or associate degree to a student who had 
                not completed the requirements for such certificate or 
                degree before the student transferred; or
                    ``(B) allow academic credits for coursework 
                completed at a 4-year institution of higher education 
                to be applied to a previously attended community 
                college for the purpose of obtaining an associate 
                degree or a certificate.
            ``(13) State fiscal support for higher education.--
                    ``(A) Inclusions.--
                            ``(i) In general.--Except as provided in 
                        subparagraph (B), the term `State fiscal 
                        support for higher education', used with 
                        respect to a State for such State's fiscal 
                        year, means an amount that is equal to--
                                    ``(I) the amount of applicable 
                                State funds appropriated by the State, 
                                including funds from lottery receipts, 
                                in the fiscal year, that are used to 
                                support institutions of higher 
                                education and student financial aid for 
                                higher education in the State; and
                                    ``(II) any funds described in 
                                clause (ii), if applicable.
                            ``(ii) Local funds.--In the case of a State 
                        that includes, as part of the State share under 
                        section 786(b)(2)(B) for an award year, funds 
                        provided to community colleges by local 
                        governments in such State for the purpose of 
                        carrying out this subpart, local funds provided 
                        to community colleges operated or controlled by 
                        the State for operating expenses (excluding 
                        capital expenses, research and development 
                        costs, and local funds that are included in the 
                        State share under section 786(b)(2)(B)) shall 
                        be included in the calculation of the State 
                        fiscal support for higher education under 
                        clause (i).
                    ``(B) Exclusions.--State fiscal support for higher 
                education for a State fiscal year does not include--
                            ``(i) funds described in subparagraph (A) 
                        that are returned to the State;
                            ``(ii) State-appropriated funds derived 
                        from Federal sources, including funds provided 
                        under sections 786(a) and 801;
                            ``(iii) funds that are included in the 
                        State share under section 786(b), except as 
                        provided in subparagraph (A)(ii), including 
                        funds included in the State share in accordance 
                        with paragraph (2)(A) of such section;
                            ``(iv) amounts that are portions of 
                        multiyear appropriations to be distributed over 
                        multiple years that are not to be spent for the 
                        year for which the calculation under this 
                        paragraph is being made, subject to 
                        subparagraph (C);
                            ``(v) tuition, fees, or other educational 
                        charges paid directly by a student to an 
                        institution of higher education or to the 
                        State;
                            ``(vi) funds for--
                                    ``(I) financial aid to students 
                                attending, or operating expenses of--
                                            ``(aa) out-of-State 
                                        institutions of higher 
                                        education (including for the 
                                        purpose of exclusive online 
                                        enrollment at an out-of-State 
                                        institution);
                                            ``(bb) proprietary 
                                        institutions of higher 
                                        education (as defined in 
                                        section 102(b)); or
                                            ``(cc) institutions of 
                                        higher education not accredited 
                                        by an agency or association 
                                        recognized by the Secretary 
                                        pursuant to section 496;
                                    ``(II) financial aid to students 
                                awarded predominantly or significantly 
                                on the basis of merit;
                                    ``(III) research and development; 
                                or
                                    ``(IV) hospitals, athletics, or 
                                other auxiliary enterprises;
                            ``(vii) corporate or other private 
                        donations directed to 1 or more institutions of 
                        higher education permitted to be expended by 
                        the State; and
                            ``(viii) any other funds that the Secretary 
                        determines shall not be included in the 
                        calculation of State fiscal support for higher 
                        education for such State.
                    ``(C) Adjustments for biennial appropriations.--The 
                Secretary shall make adjustments to the calculations 
                under this paragraph to accurately reflect State fiscal 
                support for higher education in States with 2-year 
                appropriation cycles.
            ``(14) State fiscal support for higher education per full-
        time equivalent student.--The term `State fiscal support for 
        higher education per full-time equivalent student', when used 
        with respect to a State for a fiscal year, means the amount 
        that is equal to--
                    ``(A) the State fiscal support for higher education 
                for the applicable fiscal year; divided by
                    ``(B) the number of full-time equivalent students 
                enrolled in public institutions of higher education in 
                such State for such fiscal year.
            ``(15) Tribal college or university.--The term `Tribal 
        College or University' has the meaning given the term in 
        section 316(b)(3).
            ``(16) 2-year tribal college or university.--The term `2-
        year Tribal College or University' means--
                    ``(A) a 2-year Tribal College or University; or
                    ``(B) a degree-granting Tribal College or 
                University--
                            ``(i) at which the highest degree awarded 
                        is an associate degree; or
                            ``(ii) at which an associate degree is the 
                        most frequently awarded degree.

``SEC. 785. GRANT AWARDS.

    ``Beginning with award year 2024-2025, from amounts appropriated 
under section 791 to carry out this subpart for any fiscal year, the 
Secretary shall award grants to States and Tribal College and 
Universities with applications approved under section 789, to enable 
the States and Tribal Colleges and Universities, through a Federal-
State partnership, to fully eliminate tuition and required fees for all 
eligible students.

``SEC. 786. FEDERAL SHARE; STATE SHARE.

    ``(a) Federal Share.--
            ``(1) In general.--
                    ``(A) Amount.--Subject to paragraph (2), the amount 
                of the Federal share of a grant under this subpart 
                shall be based on a formula that provides, for each 
                eligible student enrolled in a community college 
                operated or controlled by a State, a Tribal College or 
                University, or a public 4-year institution of higher 
                education in a State, a per-student amount (based on 
                full-time equivalent enrollment) that is equal to the 
                applicable percentage described in subparagraph (B), or 
                the percentage described in paragraph (2) with respect 
                to a Tribal College or University, of--
                            ``(i) for the 2024-2025 award year, not 
                        less than the sum of the product of $4,880 
                        multiplied by the number of eligible students 
                        enrolled at such a community college or 2-year 
                        Tribal College or University and the product of 
                        $10,200 multiplied by the number of eligible 
                        students enrolled at such a public 4-year 
                        institution of higher education or 4-year 
                        Tribal College or University; and
                            ``(ii) for each subsequent award year, the 
                        amount determined under this paragraph for the 
                        preceding award year, increased by the lesser 
                        of--
                                    ``(I) a percentage equal to the 
                                estimated percentage increase in the 
                                Consumer Price Index (as determined by 
                                the Secretary) since the date of such 
                                determination; or
                                    ``(II) 3 percent.
                    ``(B) Applicable percent.--The applicable percent 
                for a State receiving a grant under this subpart shall 
                be--
                            ``(i) for the 2024-2025 award year, 100 
                        percent;
                            ``(ii) for the 2025-2026 award year, 95 
                        percent;
                            ``(iii) for the 2026-2027 award year, 90 
                        percent;
                            ``(iv) for the 2027-2028 award year, 85 
                        percent; and
                            ``(v) for the 2028-2029 award year and each 
                        subsequent award year, 80 percent.
            ``(2) Tribal colleges and universities.--The amount of the 
        Federal share for a Tribal College or University receiving a 
        grant under this subpart shall be the greater of--
                    ``(A) 100 percent of the amount determined in 
                accordance with clause (i) or (ii) of subparagraph 
                (1)(A), as applicable, with respect to eligible 
                students enrolled in such Tribal College or University; 
                or
                    ``(B) the amount that is 100 percent of the total 
                amount needed to fully eliminate tuition and fees for 
                all eligible students enrolled in such Tribal College 
                or University for the 2023-2024 award year, increased 
                by the percentage increase in the Consumer Price Index 
                (as determined by the Secretary) between July 1, 2023, 
                and the applicable award year, and adjusted to reflect 
                the enrollment in such Tribal College or University for 
                such applicable award year.
    ``(b) State Share.--
            ``(1) Formula.--
                    ``(A) In general.--The amount of the State share of 
                a grant under this subpart for each award year shall be 
                equal to the applicable percent described in 
                subparagraph (B) of the total amount determined under 
                subsection (a)(1)(A) with respect to the State for the 
                award year.
                    ``(B) Applicable percent.--The applicable 
                percentage shall be--
                            ``(i) for the 2024-2025 award year, 0 
                        percent;
                            ``(ii) for the 2025-2026 award year, 5 
                        percent;
                            ``(iii) for the 2026-2027 award year, 10 
                        percent;
                            ``(iv) for the 2027-2028 award year, 15 
                        percent; and
                            ``(v) for the 2028-2029 award year and each 
                        subsequent award year, 20 percent.
                    ``(C) Obligation to provide share.--The State shall 
                provide the State share even if the State is able, 
                without such State share, to fully eliminate tuition 
                and required fees charged to eligible students 
                attending community colleges operated or controlled by 
                the State or public 4-year institutions of higher 
                education in the State.
                    ``(D) No double counting funds.--States shall not 
                count any funds that count toward the maintenance of 
                effort requirement in section 787(b) to also count 
                toward the State share under this subsection.
                    ``(E) Special rule for outlying areas and 
                territories.--
                            ``(i) In general.--If the Secretary 
                        determines that requiring an outlying area or 
                        territory to provide a State share in 
                        accordance with this subsection would represent 
                        a substantial hardship for the outlying area or 
                        territory, the Secretary shall reduce or waive 
                        the State share for such area or territory. If 
                        the Secretary so reduces or waives the amount 
                        of the State share of an outlying area or 
                        territory, the Secretary shall increase the 
                        applicable percentage used to calculate the 
                        Federal share under subsection (a) for such 
                        area or territory, in proportion to the 
                        reduction in the applicable percentage used to 
                        calculate such State share.
                            ``(ii) Definition.--In this subparagraph, 
                        the term `outlying area or territory' means the 
                        Commonwealth of Puerto Rico, the District of 
                        Columbia, Guam, American Samoa, the United 
                        States Virgin Islands, the Commonwealth of the 
                        Northern Mariana Islands, and the Freely 
                        Associated States.
            ``(2) Inclusion of state financial aid and local funds.--In 
        the case of a State that demonstrates to the satisfaction of 
        the Secretary that community colleges operated or controlled by 
        the State and 4-year public institutions of higher education in 
        the State will not experience a net reduction in total per-
        student revenue (including revenue derived from tuition and 
        fees) as compared to that revenue for the preceding State 
        fiscal year in such State, a State may include, as part of the 
        State share--
                    ``(A) any financial aid that is provided from State 
                funds to eligible students for such students' cost of 
                attendance at community colleges operated or controlled 
                by the State and 4-year public institutions of higher 
                education in the State that is not awarded 
                predominantly on the basis of merit; and
                    ``(B) any funds provided to community colleges 
                operated or controlled by the State and 4-year public 
                institutions of higher education in the State by local 
                governments in such State for the purpose of carrying 
                out this subpart, including for the purpose of 
                eliminating tuition and fees for eligible students.
            ``(3) No in-kind contributions.--A State shall not include 
        in-kind contributions for purposes of the State share described 
        in paragraph (1).
    ``(c) Determination of Number of Eligible Students.--
            ``(1) In general.--
                    ``(A) Determination.--For purposes of subsections 
                (a) and (b), the Secretary shall, in consultation with 
                the State or Tribal College or University concerned, 
                determine the estimated number of eligible students 
                enrolled in the community colleges operated or 
                controlled by the State and in the public 4-year 
                institutions of higher education in the State or in 
                such Tribal College or University for the applicable 
                award year.
                    ``(B) Projected enrollment.--If the estimated 
                number of eligible students figure of a State or Tribal 
                College or University under subparagraph (A) is more 
                than 25 percent larger than the eligible students 
                figure for the preceding year, the Secretary shall use 
                an alternative enrollment estimate which shall be used 
                in the formula under subsection (a) for determining the 
                allotment.
            ``(2) Adjustment of grant amount.--For each year for which 
        a State or Tribal College or University receives a grant under 
        this subpart, the Secretary shall, once final enrollment data 
        for such year are available--
                    ``(A) in consultation with the State or Tribal 
                College or University concerned, determine the actual 
                number of eligible students enrolled in the community 
                colleges operated or controlled by the State and the 
                public 4-year institutions of higher education in the 
                State or in such Tribal College or University for the 
                year covered by the grant; and
                    ``(B) adjust the Federal share of the grant amount 
                received by the State or Tribal College or University 
                and the State share under subsection (b) to reflect the 
                actual number of eligible students by applying the 
                relevant adjustment to such Federal share or the State 
                share, or both, in the subsequent award year.
            ``(3) Additional funds.--If a State or Tribal College or 
        University provides additional funds toward reducing the cost 
        of attendance and improving instruction beyond the cost of 
        eliminating tuition and required fees as described in 
        paragraphs (2) and (3) of section 787(a) for any award year, 
        and, with respect to a State, such funds amount to more than 
        the State share requirement under subsection (b) and the 
        maintenance of effort requirements in section 787, the 
        Secretary shall provide the State or Tribal College or 
        University an amount equal to such additional funds provided by 
        the State or Tribal College or University, which amount 
        provided by the Secretary may be used for the activities 
        described in section 790.

``SEC. 787. PROGRAM REQUIREMENTS.

    ``(a) General Requirements.--In order to receive a grant under this 
subpart in each award year, a State or Tribal College or University 
shall comply with the following:
            ``(1) With respect to a State, ensure that public 
        institutions of higher education in the State maintain 
        expenditures on instruction per full-time equivalent student at 
        levels that are equal to or exceed the expenditures on 
        instruction per full-time equivalent student provided for the 3 
        most recent consecutive State fiscal years for which data are 
        available.
            ``(2) Ensure that the total amount of tuition and required 
        fees charged to an eligible student--
                    ``(A) at community colleges in the State are fully 
                eliminated; or
                    ``(B) if the Tribal College or University is a 2-
                year Tribal College or University, at such Tribal 
                College or University are fully eliminated.
            ``(3) Ensure that the total amount of tuition and required 
        fees charged to an eligible student at public 4-year 
        institutions of higher education in the State, or, if the 
        Tribal College or University is a 4-year Tribal College or 
        University, at such Tribal College or University, are fully 
        eliminated as follows:
                    ``(A) For award year 2024-2025, the State or Tribal 
                College or University shall fully eliminate tuition and 
                required fees for such students--
                            ``(i) who are dependent students--
                                    ``(I) in a single parent household, 
                                whose parent's adjusted gross income 
                                for the taxable year that is 1 year 
                                prior to the taxable year that ends 
                                immediately prior to the beginning of 
                                the award year is equal to or less than 
                                $125,000; or
                                    ``(II) with married parents, whose 
                                parents' adjusted gross income for the 
                                taxable year that is 1 year prior to 
                                the taxable year that ends immediately 
                                prior to the beginning of the award 
                                year is equal to or less than $250,000; 
                                and
                            ``(ii) who are--
                                    ``(I) single independent students, 
                                whose adjusted gross income for the 
                                taxable year that is 1 year prior to 
                                the taxable year that ends immediately 
                                prior to the beginning of the award 
                                year is equal to or less than $125,000; 
                                or
                                    ``(II) married independent 
                                students, whose adjusted gross income 
                                for the taxable year that is 1 year 
                                prior to the taxable year that ends 
                                immediately prior to the beginning of 
                                the award year is equal to or less than 
                                $250,000.
                    ``(B) For each award year after award year 2024-
                2025, the State or a 4-year Tribal College or 
                University shall fully eliminate tuition and required 
                fees for such students in accordance with clauses (i) 
                and (ii) of subparagraph (A), except the gross income 
                amount shall be adjusted for each subsequent year in 
                the same manner as income is adjusted under section 
                478(b).
            ``(4) Not apply financial assistance for which an eligible 
        student qualifies to tuition or required fees.
            ``(5) Not use any funds provided under this subpart for 
        administrative purposes.
    ``(b) State Maintenance of Effort.--In order to receive a grant 
under this subpart in each award year, a State shall--
            ``(1) provide State fiscal support for higher education per 
        full-time equivalent student at a level equal to or exceeding 
        the average amount of State fiscal support for higher education 
        per full-time equivalent student provided for the 3 most recent 
        consecutive State fiscal years for which data are available;
            ``(2) maintain State operating expenditures per full-time 
        equivalent student for public 2- and 4-year institutions of 
        higher education in the State, excluding capital expenses and 
        research and development costs, at a level equal to or greater 
        than the average amount provided for the 3 most recent 
        consecutive State fiscal years for which data are available; 
        and
            ``(3) maintain State expenditures for need-based financial 
        aid programs for enrollment in institutions of higher education 
        (as defined in section 101) in the State at a level that is 
        equal to or greater than the average amount provided for the 3 
        most recent consecutive State fiscal years for which data are 
        available.
    ``(c) Requirements of States and Some Tribal Colleges and 
Universities.--In order to receive a grant under this subpart in each 
award year, a State or (when applicable) a Tribal College or University 
shall--
            ``(1) provide an assurance that not later than 5 years 
        after the first award year for which the grant is awarded, not 
        less than 75 percent of instruction at public institutions of 
        higher education in the State is provided by tenure-track or 
        tenured faculty;
            ``(2) provide an assurance that public institutions of 
        higher education in the State make it a priority to hire from 
        the existing adjunct, contract, contingent, and non-tenure 
        track or tenured faculty pool for tenure-track or tenured 
        faculty positions or other full-time non-contingent 
        instructional positions;
            ``(3) require that public institutions of higher education 
        in the State provide, for each student enrolled at the 
        institution who receives the maximum Federal Pell Grant award 
        under subpart 1 of part A of title IV, institutional student 
        financial aid (excluding student loans) in an amount equal to 
        the net price owed by such student;
            ``(4) ensure that public institutions of higher education 
        in the State or the Tribal College or University not adopt 
        policies to reduce enrollment;
            ``(5) provide an assurance that public institutions of 
        higher education in the State will not charge out-of-State 
        students an amount that exceeds the marginal cost (as 
        determined by the Secretary) of attending institutions of 
        higher education in the State;
            ``(6) provide an assurance that public institutions of 
        higher education in the State that charge non-eligible in-State 
        students tuition and required fees, will not charge such 
        students a rate that is necessary to continue to fully 
        eliminate tuition and required fees for eligible students; and
            ``(7) provide an assurance that public institutions of 
        higher education in the State maintain a ratio of 1 to 150 of 
        disability services full-time employees to registered students 
        with disabilities, and that such employees be specifically 
        dedicated to serving students with disabilities.
    ``(d) Alignment of Secondary and Higher Education.--In order to 
receive a grant under this subpart, a State shall--
            ``(1) submit and implement a plan to align the requirements 
        for receiving a regular high school diploma from public schools 
        in the State with the requirements for entering credit-bearing 
        coursework at community colleges in such State; and
            ``(2) not later than 3 years after the date on which the 
        State first receives a grant under this subpart, certify to the 
        Secretary that such alignment has been achieved.
    ``(e) Transfer Pathways.--In order to receive a grant under this 
subpart, a State shall--
            ``(1) submit a plan to improve transfer pathways among 
        public institutions of higher education in the State, including 
        by--
                    ``(A) ensuring that associate degrees awarded by 
                community colleges in the State are fully transferable 
                to, and credited as, the first 2 years of related 
                baccalaureate programs at public institutions of higher 
                education in such State; and
                    ``(B) increasing the transferability of individual 
                courses within the certificate or associate programs 
                offered by community colleges in the State to related 
                baccalaureate programs offered by public institutions 
                of higher education in such State to maximize the 
                transferability of credits for students who transfer 
                before completing an associate degree and facilitate 
                reverse transfer policies; and
            ``(2) not later than 3 years after the date on which the 
        State first receives a grant under this subpart, certify to the 
        Secretary that the State is carrying out the plan submitted in 
        accordance with paragraph (1) and is meeting the requirements 
        of subparagraphs (A) and (B) of such paragraph.
    ``(f) No Additional Eligibility Requirements.--No individual shall 
be determined by a State, a Tribal College or University, or the 
Secretary, to be ineligible for benefits provided under this subpart 
(including eliminating tuition and fees, and other aid provided under 
this subpart), except on the basis of eligibility requirements under 
this subpart.

``SEC. 788. AUTOMATIC STABILIZER.

    ``(a) Maintenance of Effort Relief.--A State that receives a grant 
under this subpart may request a waiver of the requirements under 
section 787(b). Upon request by such a State, the Secretary shall waive 
the requirements of section 787(b) for the State as follows:
            ``(1) Tier i.--With respect to each State eligible for 
        relief under tier I, such requirements shall be waived for the 
        fiscal year succeeding the fiscal year for which the 
        determination of the State's eligibility for such relief is 
        made.
            ``(2) Tiers ii through v.--With respect to each State 
        eligible for relief under tier II, III, IV, or V, such 
        requirements shall be waived, in accordance with subsection 
        (c), for--
                    ``(A) the fiscal year for which the determination 
                of the State's eligibility for such relief is made;
                    ``(B) the fiscal year succeeding the fiscal year 
                described in subparagraph (A); or
                    ``(C) both such fiscal years.
    ``(b) State Share Relief.--
            ``(1) State share relief.--A State that meets the 
        qualifying spending requirement and is eligible for relief 
        under tier II, III, IV, or V may request relief with respect to 
        the requirement of section 786(b)(1)(B). Upon request by such a 
        State, the Secretary shall provide relief from the requirements 
        of section 786(b)(1)(B), for the applicable award year or 
        years, for the State as follows:
                    ``(A) Tier ii.--With respect to a State that is 
                eligible for relief under tier II, the Secretary shall 
                apply--
                            ``(i) section 786(a)(1)(B)(v), by 
                        substituting `85 percent' for `80 percent'; and
                            ``(ii) section 786(b)(1)(B)(v), by 
                        substituting `15 percent' for `20 percent'.
                    ``(B) Tier iii.--With respect to a State that is 
                eligible for relief under tier III, the Secretary shall 
                apply--
                            ``(i) section 786(a)(1)(B)(iv), by 
                        substituting `90 percent' for `85 percent';
                            ``(ii) section 786(a)(1)(B)(v), by 
                        substituting `90 percent' for `80 percent';
                            ``(iii) section 786(b)(1)(B)(iv), by 
                        substituting `10 percent' for `15 percent'; and
                            ``(iv) section 786(b)(1)(B)(v), by 
                        substituting `10 percent' for `20 percent'.
                    ``(C) Tier iv.--With respect to a State that is 
                eligible for relief under tier IV, the Secretary shall 
                apply--
                            ``(i) section 786(a)(1)(B)(iii), by 
                        substituting `95 percent' for `90 percent';
                            ``(ii) section 786(a)(1)(B)(iv), by 
                        substituting `95 percent' for `85 percent';
                            ``(iii) section 786(a)(1)(B)(v), by 
                        substituting `95 percent' for `80 percent';
                            ``(iv) section 786(b)(1)(B)(iii), by 
                        substituting `5 percent' for `10 percent';
                            ``(v) section 786(b)(1)(B)(iv), by 
                        substituting `5 percent' for `15 percent'; and
                            ``(vi) section 786(b)(1)(B)(v), by 
                        substituting `5 percent' for `20 percent'.
                    ``(D) Tier v.--With respect to a State that is 
                eligible for relief under tier V, the Secretary shall 
                apply--
                            ``(i) section 786(a)(1)(B)(ii), by 
                        substituting `100 percent' for `95 percent';
                            ``(ii) section 786(a)(1)(B)(iii), by 
                        substituting `100 percent' for `90 percent';
                            ``(iii) section 786(a)(1)(B)(iv), by 
                        substituting `100 percent' for `85 percent';
                            ``(iv) section 786(a)(1)(B)(v), by 
                        substituting `100 percent' for `80 percent';
                            ``(v) section 786(b)(1)(B)(ii), by 
                        substituting `0 percent' for `5 percent';
                            ``(vi) section 786(b)(1)(B)(iii), by 
                        substituting `0 percent' for `10 percent';
                            ``(vii) section 786(b)(1)(B)(iv), by 
                        substituting `0 percent' for `15 percent'; and
                            ``(viii) section 786(b)(1)(B)(v), by 
                        substituting `0 percent' for `20 percent'.
            ``(2) Applicable award years.--With respect to each State 
        eligible for relief under tier II, III, IV, or V, the Secretary 
        shall provide the relief under paragraph (1) in accordance with 
        subsection (c) for--
                    ``(A) the award year for which the determination of 
                the State's eligibility for such relief is made;
                    ``(B) the award year succeeding the award year 
                described in subparagraph (A); or
                    ``(C) both such award years.
            ``(3) State eligibility.--A State's eligibility for relief 
        under this section shall be determined as follows:
                    ``(A) Tier i.--A State shall be eligible for relief 
                under tier I for a fiscal year for which--
                            ``(i) the State is in an elevated 
                        unemployment period at any point in the fiscal 
                        year; and
                            ``(ii) the State is not eligible for relief 
                        under any other tier.
                    ``(B) Tier ii.--A State shall be eligible for 
                relief under tier II for a fiscal or award year, as 
                applicable, for which--
                            ``(i)(I) the State average unemployment 
                        rate is equal to or greater than 6.5 percent, 
                        but less than 7.5 percent, at any point in the 
                        fiscal or award year; or
                            ``(II) the national average unemployment 
                        rate is equal to or greater than 6.5 percent, 
                        but less than 7.5 percent, at any point in the 
                        fiscal or award year; and
                            ``(ii) the State is not eligible for relief 
                        under tier III, IV, or V.
                    ``(C) Tier iii.--A State shall be eligible for 
                relief under tier III for a fiscal or award year, as 
                applicable, for which--
                            ``(i)(I) the State average unemployment 
                        rate is equal to or greater than 7.5 percent, 
                        but less than 8.5 percent, at any point in the 
                        fiscal or award year; or
                            ``(II) the national average unemployment 
                        rate is equal to or greater than 7.5 percent, 
                        but less than 8.5 percent, at any point in the 
                        fiscal or award year; and
                            ``(ii) the State is not eligible for relief 
                        under tier IV or V.
                    ``(D) Tier iv.--A State shall be eligible for 
                relief under tier IV for a fiscal or award year, as 
                applicable, for which--
                            ``(i)(I) the State average unemployment 
                        rate is equal to or greater than 8.5 percent, 
                        but less than 9.5 percent, at any point in the 
                        fiscal or award year; or
                            ``(II) the national average unemployment 
                        rate is equal to or greater than 8.5 percent, 
                        but less than 9.5 percent, at any point in the 
                        fiscal or award year; and
                            ``(ii) the State is not eligible for relief 
                        under tier V.
                    ``(E) Tier v.--A State shall be eligible for relief 
                under tier V for a fiscal or award year, as applicable, 
                for which--
                            ``(i) the State average unemployment rate 
                        is equal to or greater than 9.5 percent at any 
                        point in the fiscal or award year; or
                            ``(ii) the national average unemployment 
                        rate is equal to or greater than 9.5 percent at 
                        any point in the fiscal or award year.
    ``(c) Discretion in the Provision of Relief.--In determining the 
fiscal years for which to provide relief in accordance with subsection 
(a)(2), or the award years for which to provide relief in accordance 
with subsection (b), to a State that is eligible under tier II, III, 
IV, or V, the Secretary shall take into account the following:
            ``(1) In the case of a State that requests relief under 
        subsection (a)(2), the fiscal years for which the State 
        requests such relief, including--
                    ``(A) if the State requests such relief for the 
                fiscal year for which the determination of the State's 
                eligibility for such relief is made, the amount by 
                which the State is unable to meet the requirements of 
                section 787(b) for such fiscal year; and
                    ``(B) if the State requests such relief for the 
                fiscal year succeeding the year described in 
                subparagraph (A), the amount by which the State 
                anticipates being unable to meet such requirements for 
                such succeeding fiscal year.
            ``(2) In the case of a State that requests relief under 
        subsection (b), the award years for which the State requests 
        such relief, including--
                    ``(A) if the State requests such relief for the 
                award year for which the determination of the State's 
                eligibility for such relief is made, the extent to 
                which the State is unable to meet the requirements of 
                section 786(b)(1)(B) for such award year; and
                    ``(B) if the State requests such relief for the 
                award year succeeding the year described in 
                subparagraph (A), the extent to which the State 
                anticipates being unable to meet such requirements for 
                such succeeding award year.
            ``(3) The actual or anticipated timing, severity, and 
        duration of the unemployment rate increase during--
                    ``(A) the fiscal or award year, as applicable, for 
                which the determination of the State's eligibility for 
                such relief is made;
                    ``(B) the fiscal or award year, as applicable, 
                succeeding the fiscal or award year described in 
                subparagraph (A); and
                    ``(C) the fiscal or award year, as applicable, 
                preceding the fiscal or award year described in 
                subparagraph (A).
            ``(4) Other factors determined to be relevant by the 
        Secretary.
    ``(d) Continued Payment to Employees.--A State that receives relief 
under subsection (a) or subsection (b) shall, to the greatest extent 
practicable, continue to pay its employees of, and contractors with, 
public institutions of higher education in the State during the period 
in which the State is receiving such relief.
    ``(e) Definitions.--In this section:
            ``(1) Elevated unemployment period.--The term `elevated 
        unemployment period' means a consecutive 3-month period in a 
        fiscal year in which the State average unemployment rate is not 
        less than 0.5 percentage points above the lowest State average 
        unemployment rate for the 12-month period preceding such 3-
        month period.
            ``(2) National average unemployment rate.--The term 
        `national average unemployment rate' means the average 
        (seasonally adjusted) rate of total unemployment in all States 
        for a consecutive 3-month period in a fiscal year, based on 
        data from the Bureau of Labor Statistics of the Department of 
        Labor.
            ``(3) Qualifying spending requirement.--The term 
        `qualifying spending requirement' means the requirement that a 
        State not disproportionately decrease spending for any of the 
        categories described in subparagraphs (1) through (3) of 
        section 787(b) relative to such State's overall, average 
        decrease in spending for the 3 consecutive preceding fiscal 
        years.
            ``(4) State average unemployment rate.--The term `State 
        average unemployment rate' means the average (seasonally 
        adjusted) rate of total unemployment in a State for a 
        consecutive 3-month period in a fiscal year.

``SEC. 789. APPLICATIONS.

    ``In order to receive a grant under this subpart, a State or Tribal 
College or University shall submit an application to the Secretary at 
such time, in such manner, and containing such information as the 
Secretary may require. In the case of a State, such application shall 
be submitted by the State agency with jurisdiction over higher 
education or another agency designated by the Governor or chief 
executive of the State to administer the program under this subpart.

``SEC. 790. USE OF FUNDS.

    ``(a) In General.--A State or Tribal College or University that 
receives a grant under this subpart shall use the grant funds and the 
State share funds required under this subpart--
            ``(1) to fully eliminate tuition and required fees for all 
        eligible students at community colleges in the State or at the 
        Tribal College or University, if the Tribal College or 
        University is a 2-year Tribal College or University; and
            ``(2) to fully eliminate tuition and required fees for 
        eligible students, as described in section 787(a)(3), at public 
        4-year institutions of higher education in the State or at the 
        Tribal College or University, if the Tribal College or 
        University is a 4-year Tribal College or University.
    ``(b) Remaining Funds.--Once tuition and required fees have been 
fully eliminated pursuant to subsection (a), a State or Tribal College 
or University that receives a grant under this subpart shall use any 
remaining grant funds to reduce the cost of attendance and increase the 
quality of instruction and student support services at public 
institutions of higher education in the State or at the Tribal College 
or University by carrying out any of the following:
            ``(1) Providing additional non-loan financial aid to 
        students to help reduce unmet need, which may include need-
        based student financial aid or emergency financial aid grants 
        to students attending a public institution of higher education 
        in such State, or such Tribal College or University, for any 
        component of such students' cost of attendance.
            ``(2) Implementing evidence-based reforms or practices at 
        public institutions of higher education in such State or at 
        such Tribal College or University that are described in section 
        804 or that meet evidence tier 1 or evidence tier 2 (as defined 
        in section 800) to improve the enrollment, retention, transfer, 
        or completion rates or labor market outcomes among the students 
        described in section 802(b).
            ``(3) Expanding academic course offerings and providing 
        high-quality occupational skills training programs to students.
            ``(4) Increasing the number and percentage of tenure or 
        tenure-track faculty.
            ``(5) Providing all faculty with professional supports to 
        help students succeed, such as professional development 
        opportunities, including providing--
                    ``(A) culturally inclusive and identity-safe 
                learning environments;
                    ``(B) work spaces; and
                    ``(C) shared governance in the institution.
            ``(6) Compensating part-time faculty for work done outside 
        of the classroom relating to supporting student success, such 
        as holding office hours.
            ``(7) Strengthening, and ensuring all students have access 
        to, student support services, such as academic advising, 
        counseling, and tutoring.
            ``(8) Expanding access to dual or concurrent enrollment 
        programs and early college high school programs.
            ``(9) Establishing prison education programs in partnership 
        with local or State correctional facilities.
            ``(10) Carrying out any other additional activities that 
        improve instructional quality and academic outcomes for 
        students as approved by the Secretary through a peer review 
        process.
    ``(c) Prohibition.--A State or Tribal College or University that 
receives a grant under this subpart may not use grant funds or State 
share funds required under this subpart--
            ``(1) for the construction of a nonacademic facility, such 
        as a student center or stadium;
            ``(2) for merit-based student financial aid;
            ``(3) for need-based student financial aid (except to the 
        extent funds are available under section 786(c)(3));
            ``(4) to pay the salaries or benefits of school 
        administrators;
            ``(5) for capital outlays or deferred maintenance; or
            ``(6) for expenditures on athletics other than activities 
        open to all members of the campus community.
    ``(d) Supplement Not Supplant.--Except as provided in section 
786(b)(2)(A), funds made available under this subpart shall be used to 
supplement, and not supplant, other Federal, State, Tribal, local, and 
institutional funds that would otherwise be expended to carry out 
activities described in this subpart.
    ``(e) Continuation of Funding.--
            ``(1) In general.--Except as provided in paragraph (2), a 
        State or a Tribal College or University receiving a grant under 
        this subpart for an award year may continue to receive funding 
        under this subpart for subsequent award years conditioned on 
        meeting the requirements of the grant, as determined by the 
        Secretary.
            ``(2) Discontinuation.--The Secretary shall discontinue or 
        reduce funding of the Federal share of a grant under this 
        subpart if the State or Tribal College or University has 
        violated the terms of the grant.
    ``(f) Rule of Construction Regarding BIE Funds.--Nothing in this 
subpart shall be construed to impact the availability of funds from, or 
uses of funds provided by, the Bureau of Indian Education for Tribal 
Colleges and Universities.

``SEC. 791. AUTHORIZATION OF APPROPRIATIONS.

    ``(a) In General.--There are authorized to be appropriated, and 
there are appropriated, to carry out this subpart--
            ``(1) such sums as may be necessary for the fourth quarter 
        of fiscal year 2024; and
            ``(2) such sums as may be necessary for each of the fiscal 
        years 2024 through 2033.
    ``(b) Supplemental Funds.--
            ``(1) In general.--In addition to amounts otherwise 
        available, there is appropriated for fiscal year 2024, out of 
        any money in the Treasury not otherwise appropriated, not more 
        than $9,400 per student enrolled at 4-year public institutions 
        of higher education and not more than $5,800 per student 
        enrolled at community colleges, to remain available until 
        September 30, 2029, for the Secretary to award grants to all 
        States that have resident tuition and fees at community 
        colleges or public 4-year institutions of higher education that 
        are higher than the national average tuition and fees at 
        community colleges or public 4-year institutions of higher 
        education in award year 2024-2025, for the purpose of 
        supporting such States' ability to participate in the program 
        under this subpart.
            ``(2) State share.--Notwithstanding any other provision of 
        this subpart, a State receiving grant funds under paragraph (1) 
        shall use such funds to meet the State share requirement under 
        section 786(b) and to fully eliminate tuition and fees for 
        eligible students as required under paragraphs (2) and (3) of 
        section 787(a).''.

  TITLE II--GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE 
     STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES AND 
             UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS

SEC. 201. GRANT PROGRAM TO ELIMINATE TUITION AND FEES FOR ELIGIBLE 
              STUDENTS AT PRIVATE NONPROFIT HISTORICALLY BLACK COLLEGES 
              AND UNIVERSITIES AND MINORITY-SERVING INSTITUTIONS.

    Part F of title VII of the Higher Education Act of 1965, as added 
by section 101, is further amended by adding at the end the following:

 ``Subpart 2--Grant Program To Eliminate Tuition and Fees for Eligible 
     Students at Private Nonprofit Historically Black Colleges and 
             Universities and Minority-Serving Institutions

``SEC. 795. DEFINITIONS.

    ``In this subpart:
            ``(1) Eligible institution.--
                    ``(A) In general.--Except as provided in 
                subparagraph (E), the term `eligible institution' means 
                a private nonprofit 2-year institution or 4-year 
                institution that--
                            ``(i) is--
                                    ``(I) a part B institution (as 
                                defined in section 322);
                                    ``(II) a Hispanic-serving 
                                institution (as defined in section 
                                502);
                                    ``(III) an Alaska Native-serving 
                                institution (as defined in section 
                                317(b));
                                    ``(IV) a Native Hawaiian-serving 
                                institution (as defined in section 
                                317(b));
                                    ``(V) a Predominantly Black 
                                institution (as defined in section 
                                371(c));
                                    ``(VI) an Asian American and Native 
                                American Pacific Islander-serving 
                                institution (as defined in section 
                                371(c)); or
                                    ``(VII) a Native American-serving 
                                nontribal institution (as defined in 
                                section 371(c)); and
                            ``(ii) has not received funds under subpart 
                        1.
                    ``(B) Continuing eligibility.--The Secretary shall 
                determine whether an institution is an `eligible 
                institution' under subparagraph (A) based on the most 
                recent data available, and shall review such 
                determination annually to ensure that the institution 
                continues to meet the requirements for participation 
                under this subpart.
                    ``(C) 2-year institution.--The term `2-year 
                institution' means an institution at which an associate 
                degree is the most frequently awarded degree.
                    ``(D) 4-year institution.--The term `4-year 
                institution' means an institution of higher education 
                (as defined under section 101(a)) that is not a 2-year 
                institution.
                    ``(E) Exception.--
                            ``(i) In general.--An eligible institution 
                        as described in subparagraph (A) shall not be 
                        an eligible institution for purposes of this 
                        section for the period described in clause (ii) 
                        if such institution was a for-profit 
                        institution at any time that converted to a 
                        nonprofit institution.
                            ``(ii) Period of ineligibility.--An 
                        institution described under clause (i) shall 
                        not be an eligible institution for purposes of 
                        this section for a period of 25 years from the 
                        date the institution converted from being a 
                        for-profit institution to a nonprofit 
                        institution or 25 years after the date of 
                        enactment of this subpart, whichever period is 
                        longer.
            ``(2) Eligible student.--
                    ``(A) In general.--The term `eligible student' 
                means a student enrolled in an eligible institution who 
                has not obtained a baccalaureate degree or a higher 
                degree and--
                            ``(i) for the first award year of the 
                        program under this subpart, if the student--
                                    ``(I) is a dependent student--
                                            ``(aa) in a single parent 
                                        household, the student's 
                                        parent's adjusted gross income 
                                        for the taxable year that is 1 
                                        year prior to the taxable year 
                                        that ends immediately prior to 
                                        the beginning of the award year 
                                        is equal to or less than 
                                        $125,000; or
                                            ``(bb) with married 
                                        parents, the student's parents' 
                                        adjusted gross income for the 
                                        taxable year that is 1 year 
                                        prior to the taxable year that 
                                        ends immediately prior to the 
                                        beginning of the award year is 
                                        equal to or less than $250,000; 
                                        and
                                    ``(II) is a--
                                            ``(aa) single independent 
                                        student, the student's adjusted 
                                        gross income for the taxable 
                                        year that is 1 year prior to 
                                        the taxable year that ends 
                                        immediately prior to the 
                                        beginning of the award year is 
                                        equal to or less than $125,000; 
                                        or
                                            ``(bb) married independent 
                                        student, the student's adjusted 
                                        gross income for the taxable 
                                        year that is 1 year prior to 
                                        the taxable year that ends 
                                        immediately prior to the 
                                        beginning of the award year is 
                                        equal to or less than $250,000; 
                                        and
                            ``(ii) for each award year after the first 
                        award year of the program under this subpart, 
                        if the student--
                                    ``(I) is a dependent student, the 
                                student's parents' adjusted gross 
                                income for the taxable year that is 1 
                                year prior to the taxable year that 
                                ends immediately prior to the beginning 
                                of the award year is equal to or less 
                                than the applicable amount; and
                                    ``(II) is an independent student, 
                                the student's adjusted gross income for 
                                the taxable year that is 1 year prior 
                                to the taxable year that ends 
                                immediately prior to the beginning of 
                                the award year is equal to or less than 
                                the applicable amount.
                    ``(B) Applicable amount.--In this paragraph, the 
                term `applicable amount' means an amount equal to, for 
                any award year beginning after the first award year of 
                the program under this subpart, the income amount 
                determined under this paragraph for the preceding award 
                year adjusted in the same manner as income is adjusted 
                under section 478(b).
            ``(3) Full-time equivalent eligible students.--The term 
        `full-time equivalent eligible students' means the sum of the 
        number of eligible students projected to enroll full time at an 
        institution for an award year, plus the full-time equivalent of 
        the number of eligible students projected to be enrolled part 
        time (determined on the basis of the quotient of the sum of the 
        credit hours of all part-time eligible students divided by 12) 
        at such institution, for such award year.

``SEC. 796. AUTHORIZATION OF GRANT PROGRAM.

    ``Beginning with award year 2024-2025, from amounts appropriated to 
carry out this subpart for any fiscal year, the Secretary shall award 
grants to eligible institutions to enable the eligible institutions to 
eliminate tuition and required fees for eligible students.

``SEC. 797. GRANT TERMS.

    ``(a) Grant Amount.--
            ``(1) In general.--For each year for which an eligible 
        institution participates in the grant program under this 
        subpart, such eligible institution shall receive a grant in an 
        amount equal to--
                    ``(A) in the case of an eligible institution that 
                is a 2-year institution, the product of the number of 
                eligible students enrolled in such institution 
                multiplied by--
                            ``(i) for the 2024-2025 award year, $4,880; 
                        and
                            ``(ii) for each subsequent award year, the 
                        amount determined under this subparagraph for 
                        the preceding award year, increased by the 
                        lesser of--
                                    ``(I) a percentage equal to the 
                                estimated percentage increase in the 
                                Consumer Price Index (as determined by 
                                the Secretary) since the date of such 
                                determination; or
                                    ``(II) 3 percent; or
                    ``(B) in the case of an eligible institution that 
                is a 4-year institution, the product of the number of 
                eligible students enrolled in such institution 
                multiplied by--
                            ``(i) for the 2024-2025 award year, 
                        $10,200; and
                            ``(ii) for each subsequent award year, the 
                        amount determined under this subparagraph for 
                        the preceding award year, increased by the 
                        lesser of--
                                    ``(I) a percentage equal to the 
                                estimated percentage increase in the 
                                Consumer Price Index (as determined by 
                                the Secretary) since the date of such 
                                determination; or
                                    ``(II) 3 percent.
            ``(2) Limitations on tuition hikes.--
                    ``(A) First award year.--For the first award year 
                for which an eligible institution applies for a grant 
                under this subpart, such eligible institution shall not 
                increase tuition and required fees at a rate that is 
                greater than any annual increase in tuition and 
                required fees at the eligible institution for the 5 
                years preceding such first award year.
                    ``(B) Succeeding award years.--
                            ``(i) In general.--For each award year 
                        after the first award year for which an 
                        eligible institution receives a grant under 
                        this subpart, such eligible institution shall 
                        not increase tuition and required fees from the 
                        preceding award year at a rate that is greater 
                        than the percentage increase in the Employment 
                        Cost Index for the award year for which the 
                        grant is received, as compared to the 
                        Employment Cost Index for the award year 
                        preceding the award year for which the grant is 
                        received.
                            ``(ii) Employment cost index.--In this 
                        subparagraph, the term `Employment Cost Index', 
                        when used with respect to an award year, means 
                        the Employment Cost Index for total 
                        compensation for private industry workers by 
                        bargaining status and census region and 
                        division (not seasonally adjusted) of the 
                        division in which the eligible institution is 
                        located, as provided by the Bureau of Labor 
                        Statistics of the Department of Labor, that is 
                        provided for the December that immediately 
                        precedes the start of the award year.
            ``(3) Data adjustments.--
                    ``(A) In general.--The Secretary shall establish a 
                process through which each eligible institution that 
                participates in the program under this subpart--
                            ``(i) provides the necessary eligible 
                        student enrollment data at the start of the 
                        award year; and
                            ``(ii) initially receives grant funds, as 
                        calculated under this subsection, based on such 
                        data.
                    ``(B) Adjustment of grant amount.--For each year 
                for which an eligible institution receives a grant 
                under this subpart, the Secretary shall, once final 
                enrollment data for such year are available--
                            ``(i) in consultation with the eligible 
                        institution concerned, determine the actual 
                        number of full-time equivalent eligible 
                        students for the year covered by the grant; and
                            ``(ii) adjust the grant amount received by 
                        the eligible institution to reflect the actual 
                        number of full-time equivalent eligible 
                        students by applying the relevant adjustment to 
                        such grant amount in the subsequent award year 
                        in accordance with subparagraph (C).
                    ``(C) Calculation of adjustments.--If the actual 
                full-time equivalent eligible students figure for the 
                preceding award year reported under subparagraph (B)--
                            ``(i) exceeds the projected enrollment that 
                        was used for determining the allotment under 
                        paragraph (1) for the preceding award year, 
                        notwithstanding any other provision of this 
                        Act, the grant amount for the subsequent award 
                        year for the eligible institution shall be 
                        increased to reflect such actual enrollment, 
                        which figure shall be increased by the Gross 
                        Domestic Product Price Index of the State in 
                        which the eligible institution is located; or
                            ``(ii) is below the projected enrollment 
                        that was used for determining the allotment 
                        under paragraph (1) for the preceding award 
                        year, notwithstanding any other provision of 
                        this Act, the grant amount for the subsequent 
                        award year for the eligible institution shall 
                        be decreased to reflect such actual enrollment, 
                        which figure shall be increased by the average 
                        interest rate on 5-year United States Treasury 
                        securities issued during the preceding award 
                        year.
    ``(b) Application.--An eligible institution that desires to receive 
a grant under this subpart shall submit to the Secretary an application 
at such time, in such manner, and containing such information as the 
Secretary may require.
    ``(c) Transfer Requirement.--In the case of an eligible institution 
that is a 4-year institution that receives a grant under this subpart 
and enrolls students who transfer from another institution, the 
institution shall--
            ``(1) commit to increasing the transferability of 
        individual courses within certificate or associate programs 
        offered by community colleges in the State to related 
        baccalaureate programs offered by such institution to maximize 
        the transferability of credits for students who transfer before 
        completing an associate degree; and
            ``(2) maintain a formal, statewide articulation agreement 
        with community colleges in the State in which such institution 
        operates that, at a minimum, ensures that associate degrees 
        awarded by community colleges in the State are fully 
        transferable to, and credited as the first 2 years of related 
        baccalaureate programs at, such institution.
    ``(d) Use of Funds.--
            ``(1) In general.--An eligible institution that receives a 
        grant under this subpart shall use the grant funds to--
                    ``(A) except as provided in paragraph (3), 
                eliminate tuition and required fees for eligible 
                students enrolled in the eligible institution during 
                any period for which the institution receives a grant 
                under this subpart;
                    ``(B) maintain expenditures on instruction per a 
                full-time equivalent eligible student at levels that 
                meet or exceed the expenditures on instruction per a 
                full-time equivalent eligible student for award year 
                2023-2024; and
                    ``(C) maintain expenditures on need-based financial 
                aid programs for students enrolled in the institution 
                at a level that meets or exceeds the level of such 
                support for award year 2023-2024.
            ``(2) Prohibitions.--An eligible institution that receives 
        a grant under this subpart may not use grant funds--
                    ``(A) for the construction of a nonacademic 
                facility, such as a student center or stadium;
                    ``(B) for merit-based or need-based student 
                financial aid;
                    ``(C) to pay the salaries or benefits of school 
                administrators;
                    ``(D) for capital outlays or deferred maintenance; 
                or
                    ``(E) for expenditures on athletics other than 
                activities open to all members of the campus community.
            ``(3) Exception.--An eligible institution that receives a 
        grant under this subpart and that does not have authority to 
        set the tuition and required fees for eligible students 
        enrolled in the eligible institution shall provide tuition 
        assistance to eligible students enrolled in the eligible 
        institution during any period for which the institution 
        receives a grant under this subpart in an amount equal to the 
        grant amount determined under subsection (a)(1).
    ``(e) Assurances.--An eligible institution that receives a grant 
under this subpart shall provide an assurance to the Secretary that the 
institution will--
            ``(1) increase, to the extent practicable, the amount of 
        instruction provided by tenured or tenure-track faculty; and
            ``(2) not adopt policies to reduce enrollment.
    ``(f) Supplement, Not Supplant.--Funds made available to carry out 
this subpart shall be used to supplement, and not supplant, other 
Federal, State, Tribal, local, and institutional funds that would 
otherwise be expended to carry out activities under this subpart.
    ``(g) No Additional Eligibility Requirements.--No individual shall 
be determined, by an eligible institution or the Secretary, to be 
ineligible for benefits provided under this subpart except on the basis 
of eligibility requirements under this subpart.

``SEC. 798. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated, and there are 
appropriated, to carry out this subpart--
            ``(1) such sums as may be necessary for the fourth quarter 
        of fiscal year 2024; and
            ``(2) such sums as may be necessary for each of the fiscal 
        years 2025 through 2033.''.

SEC. 202. NORTHERN MARIANA ISLANDS, AMERICAN SAMOA, UNITED STATES 
              VIRGIN ISLANDS, GUAM, AND FREELY ASSOCIATED STATES 
              COLLEGE ACCESS.

    Part F of title VII of the Higher Education Act of 1965, as added 
by section 101 and amended by section 201, is further amended by adding 
at the end the following:

       ``Subpart 3--College Access for Students in Outlying Areas

``SEC. 799. NORTHERN MARIANA ISLANDS, AMERICAN SAMOA, UNITED STATES 
              VIRGIN ISLANDS, GUAM, AND FREELY ASSOCIATED STATES 
              COLLEGE ACCESS.

    ``(a) Grants.--
            ``(1) Grant amounts.--
                    ``(A) In general.--Beginning with award year 2024-
                2025, from amounts appropriated to carry out this 
                section, the Secretary shall award grants to the 
                Governors of each outlying area for such Governors to 
                award grants to eligible institutions that enroll 
                eligible students to pay the difference between the 
                tuition and fees charged for in-State students and the 
                tuition and fees charged for out-of-State students on 
                behalf of each eligible student enrolled in the 
                eligible institution.
                    ``(B) Maximum student amounts.--The amount paid on 
                behalf of an eligible student under this section shall 
                be--
                            ``(i) not more than $15,000 for any one 
                        award year (as defined in section 481(a)(1)); 
                        and
                            ``(ii) not more than $75,000 in the 
                        aggregate.
                    ``(C) Proration.--The Governor shall prorate 
                payments under this section with respect to eligible 
                students who attend an eligible institution on less 
                than a full-time basis.
            ``(2) Agreement.--Each Governor desiring a grant under this 
        section shall enter into an agreement with the Secretary for 
        the purposes of administering the grant program.
    ``(b) No Additional Eligibility Requirements.--No individual shall 
be determined, by a Governor, an eligible institution, or the 
Secretary, to be ineligible for benefits provided under this section 
except on the basis of eligibility requirements under this section.
    ``(c) Definitions.--In this section:
            ``(1) Eligible institution.--The term `eligible 
        institution' means an institution that--
                    ``(A) is a public 4-year institution of higher 
                education located in 1 of the several States of the 
                United States, the District of Columbia, the 
                Commonwealth of Puerto Rico, or an outlying area;
                    ``(B) enters into an agreement with the Governor of 
                an outlying area, or with 2 or more of such Governors 
                (except that such institution may not enter into an 
                agreement with the Governor of the outlying area in 
                which such institution is located), to carry out the 
                grant program under this section; and
                    ``(C) submits an assurance to the Governor and to 
                the Secretary that the institution shall use funds made 
                available under this section to supplement, and not 
                supplant, assistance that otherwise would be provided 
                to eligible students from outlying areas.
            ``(2) Eligible student.--The term `eligible student' means 
        a student who--
                    ``(A) was domiciled in an outlying area for not 
                less than 12 consecutive months preceding the 
                commencement of the freshman year at an institution of 
                higher education;
                    ``(B) has not completed an undergraduate 
                baccalaureate course of study; and
                    ``(C) is enrolled as an undergraduate student in an 
                eligible program (as defined in section 481(b)) on at 
                least a half-time basis.
            ``(3) Governor.--The term `Governor' means the chief 
        executive of an outlying area.
            ``(4) Outlying area.--The term `outlying area' means the 
        Northern Mariana Islands, American Samoa, the United States 
        Virgin Islands, Guam, and the Freely Associated States.''.

               TITLE III--FEDERAL PELL GRANT IMPROVEMENTS

SEC. 301. FEDERAL PELL GRANT IMPROVEMENTS.

    (a) Amendments to Current Pell Grant Program.--Section 401 of the 
Higher Education Act of 1965 (20 U.S.C. 1070a) is amended--
            (1) in subsection (c)(5)--
                    (A) by striking ``shall not exceed 12 semesters, or 
                the equivalent of 12 semesters, as determined by the 
                Secretary by regulation'' and inserting ``shall not 
                exceed 7 years and 6 months''; and
                    (B) by striking ``only that same fraction of such 
                semester or equivalent'' and inserting ``only that same 
                fraction of such year'';
            (2) in subsection (e), by striking ``Any disbursement 
        allowed to be made by crediting the student's account shall be 
        limited to tuition and fees and, in the case of institutionally 
        owned housing, room, and board. The student may elect to have 
        the institution provide other such goods and services by 
        crediting the student's account.'' and inserting ``Payments 
        under this section may be used by the student for living and 
        nontuition expenses.''; and
            (3) in subsection (f)--
                    (A) in paragraph (1), by striking the matter 
                preceding subparagraph (A) and inserting the following: 
                ``After receiving an application for a Federal Pell 
                Grant under this subpart, the Secretary (including any 
                contractor of the Secretary processing applications for 
                Federal Pell Grants under this subpart) shall, in a 
                timely manner, furnish to the student financial aid 
                administrator at each institution of higher education 
                that a student awarded a Federal Pell Grant under this 
                subpart is attending, the expected family contribution 
                for each such student. Each such student financial 
                administrator shall--''; and
                    (B) in paragraph (3)--
                            (i) by striking ``after academic year 1986-
                        1987''; and
                            (ii) in paragraph (3), by striking ``the 
                        Committee on Appropriations of the Senate, the 
                        Committee on Appropriations of the House of 
                        Representatives, and''.
    (b) Repeal of Scoring Requirement.--Section 406 of H. Con. Res. 95 
(109th Congress) is amended--
            (1) by striking subsection (b); and
            (2) by striking ``(a) In General'' and inserting the 
        following: ``Upon''.
    (c) Amendment to the FAFSA Simplification Act.--
            (1) In general.--Section 401 of the Higher Education Act of 
        1965, as amended by section 703 of the FAFSA Simplification Act 
        (title VII of division FF of Public Law 116-260), is amended--
                    (A) in subsection (b), by striking paragraphs (5), 
                (6), and (7) and inserting the following:
            ``(5) Maximum federal pell grant.--
                    ``(A) Award year 2024-2025.--For award year 2024-
                2025, the total maximum Federal Pell Grant shall be--
                            ``(i) in the case of an eligible student 
                        who is in attendance at an institution of 
                        higher education described in section 101 or a 
                        Tribal College or University described in 
                        section 316(b)(3), $14,790; or
                            ``(ii) in the case of an eligible student 
                        who is in attendance at an institution of 
                        higher education not described in clause (i), 
                        $7,395.
                    ``(B) Subsequent award years.--For award year 2025-
                2026, and each subsequent award year, the total maximum 
                Federal Pell Grant shall be equal to the total maximum 
                Federal Pell Grant for the preceding award year 
                (applicable to the institution at which the eligible 
                student is in attendance)--
                            ``(i) increased by the annual adjustment 
                        percentage for the award year for which the 
                        amount under this subparagraph is being 
                        determined; and
                            ``(ii) rounded to the nearest $5.
                    ``(C) Definition of annual adjustment percentage.--
                In this paragraph, the term `annual adjustment 
                percentage,' as applied to an award year, is equal to 
                the estimated percentage increase in the Consumer Price 
                Index (as determined by the Secretary, using the 
                definition in section 478(f)) for the most recent 
                calendar year ending prior to the beginning of that 
                award year.
            ``(6) Appropriation of funds.--There are authorized to be 
        appropriated, and there are appropriated, out of any money in 
        the Treasury not otherwise appropriated, such sums as may be 
        necessary for fiscal year 2024 and each subsequent fiscal year 
        to provide the maximum Federal Pell Grant for which a student 
        shall be eligible under this section during an award year.
            ``(7) No effect on previous appropriations.--The amendments 
        made to this section by the FAFSA Simplification Act shall 
        not--
                    ``(A) increase or decrease the amounts that have 
                been appropriated or are available to carry out this 
                section for fiscal year 2017, 2018, 2019, 2020, 2021, 
                2022, or 2023 as of the day before the effective date 
                of such Act; or
                    ``(B) extend the period of availability for 
                obligation that applied to any such amount, as of the 
                day before such effective date.'';
                    (B) in subsection (d)(5)(A), by striking ``shall 
                not exceed 12 semesters, or the equivalent of 12 
                semesters, as determined by the Secretary by 
                regulation'' and inserting ``shall not exceed 7 years 
                and 6 months'';
                    (C) in subsection (f), by striking ``Any 
                disbursement allowed to be made by crediting the 
                student's account shall be limited to tuition and fees, 
                and food and housing if that food and housing is 
                institutionally owned or operated. The student may 
                elect to have the institution provide other such goods 
                and services by crediting the student's account.'' and 
                inserting ``Payments under this section may be used by 
                the student for living and nontuition expenses.'';
                    (D) by striking subsections (g) and (h); and
                    (E) by redesignating subsections (i) and (j) as 
                subsections (g) and (h), respectively.
            (2) Effective date.--The amendments made by paragraph (1) 
        shall take effect as if included in section 703 of the FAFSA 
        Simplification Act (title VII of division FF of Public Law 116-
        260) and subject to the effective date of section 701(b) of 
        such Act.
    (d) Eligibility for Dreamer Students and Students With Other 
Immigrations Statuses.--
            (1) In general.--Section 484 of the Higher Education Act of 
        1965 (20 U.S.C. 1091) is amended--
                    (A) by striking subsection (a)(5) and inserting the 
                following:
            ``(5) be--
                    ``(A) a citizen or national of the United States, a 
                permanent resident of the United States, or able to 
                provide evidence from the Immigration and 
                Naturalization Service that he or she is in the United 
                States for other than a temporary purpose with the 
                intention of becoming a citizen or permanent resident, 
                or be a Dreamer student, as defined in subsection (u); 
                or
                    ``(B) in the case of eligibility to receive a 
                Federal Pell Grant, a citizen or national of the United 
                States, a permanent resident of the United States, able 
                to provide evidence from the Immigration and 
                Naturalization Service that he or she is in the United 
                States for other than a temporary purpose with the 
                intention of becoming a citizen or permanent resident, 
                a Dreamer student (as defined in subsection (u)), or 
                subject to a grant of deferred enforced departure, a 
                grant of deferred action pursuant to the Deferred 
                Action for Childhood Arrivals policy announced by the 
                Secretary of Homeland Security on June 15, 2012, or 
                temporary protected status under section 244 of the 
                Immigration and Nationality Act (8 U.S.C. 1254a); 
                and''; and
                    (B) by adding at the end the following:
    ``(u) Dreamer Students.--
            ``(1) In general.--In this section, the term `Dreamer 
        student' means an individual who--
                    ``(A) was younger than 16 years of age on the date 
                on which the individual initially entered the United 
                States;
                    ``(B) has provided a list of each secondary school 
                that the individual attended in the United States; and
                    ``(C)(i) has earned a high school diploma, the 
                recognized equivalent of such diploma from a secondary 
                school, or a high school equivalency diploma in the 
                United States or is scheduled to complete the 
                requirements for such a diploma or equivalent before 
                the next academic year begins;
                    ``(ii) has earned a degree from an institution of 
                higher education or has completed not less than 2 years 
                in a program for a baccalaureate degree or higher 
                degree at an institution of higher education in the 
                United States and has made satisfactory academic 
                progress, as defined in subsection (c), during such 
                time period;
                    ``(iii) at any time was eligible for a grant of 
                deferred action under--
                            ``(I) the June 15, 2012, memorandum from 
                        the Secretary of Homeland Security entitled 
                        `Exercising Prosecutorial Discretion with 
                        Respect to Individuals Who Came to the United 
                        States as Children'; or
                            ``(II) the November 20, 2014, memorandum 
                        from the Secretary of Homeland Security 
                        entitled `Exercising Prosecutorial Discretion 
                        with Respect to Individuals Who Came to the 
                        United States as Children and with Respect to 
                        Certain Individuals Who Are the Parents of U.S. 
                        Citizens or Permanent Residents'; or
                    ``(iv) has served in the uniformed services, as 
                defined in section 101 of title 10, United States Code, 
                for not less than 4 years and, if discharged, received 
                an honorable discharge.
            ``(2) Hardship exception.--The Secretary shall issue 
        regulations that direct when the Department shall waive the 
        requirement of subparagraph (A) or (B), or both, of paragraph 
        (1) for an individual to qualify as a Dreamer student under 
        such paragraph, if the individual--
                    ``(A) demonstrates compelling circumstances for the 
                inability to satisfy the requirement of such 
                subparagraph (A) or (B), or both; and
                    ``(B) satisfies the requirement of paragraph 
                (1)(C).''.
            (2) Amendment to the fafsa simplification act.--
                    (A) In general.--Section 484 of the Higher 
                Education Act of 1965, as amended by section 
                702(n)(1)(A) of the FAFSA Simplification Act (title VII 
                of division FF of Public Law 116-260), is amended by 
                adding at the end the following:
    ``(u) Dreamer Students.--
            ``(1) In general.--In this section, the term `Dreamer 
        student' means an individual who--
                    ``(A) was younger than 16 years of age on the date 
                on which the individual initially entered the United 
                States;
                    ``(B) has provided a list of each secondary school 
                that the individual attended in the United States; and
                    ``(C)(i) has earned a high school diploma, the 
                recognized equivalent of such diploma from a secondary 
                school, or a high school equivalency diploma in the 
                United States or is scheduled to complete the 
                requirements for such a diploma or equivalent before 
                the next academic year begins;
                    ``(ii) has earned a degree from an institution of 
                higher education or has completed not less than 2 years 
                in a program for a baccalaureate degree or higher 
                degree at an institution of higher education in the 
                United States and has made satisfactory academic 
                progress, as defined in subsection (c), during such 
                time period;
                    ``(iii) at any time was eligible for a grant of 
                deferred action under--
                            ``(I) the June 15, 2012, memorandum from 
                        the Secretary of Homeland Security entitled 
                        `Exercising Prosecutorial Discretion with 
                        Respect to Individuals Who Came to the United 
                        States as Children'; or
                            ``(II) the November 20, 2014, memorandum 
                        from the Secretary of Homeland Security 
                        entitled `Exercising Prosecutorial Discretion 
                        with Respect to Individuals Who Came to the 
                        United States as Children and with Respect to 
                        Certain Individuals Who Are the Parents of U.S. 
                        Citizens or Permanent Residents'; or
                    ``(iv) has served in the uniformed services, as 
                defined in section 101 of title 10, United States Code, 
                for not less than 4 years and, if discharged, received 
                an honorable discharge.
            ``(2) Hardship exception.--The Secretary shall issue 
        regulations that direct when the Department shall waive the 
        requirement of subparagraph (A) or (B), or both, of paragraph 
        (1) for an individual to qualify as a Dreamer student under 
        such paragraph, if the individual--
                    ``(A) demonstrates compelling circumstances for the 
                inability to satisfy the requirement of such 
                subparagraph (A) or (B), or both; and
                    ``(B) satisfies the requirement of paragraph 
                (1)(C).''.
                    (B) Effective date.--The amendment made by 
                subparagraph (A) shall take effect as if included in 
                section 702(n)(1)(A) of the FAFSA Simplification Act 
                (title VII of division FF of Public Law 116-260) and 
                subject to the effective date of section 701(b) of such 
                Act.
    (e) Full Exclusion From Gross Income for Pell Grants.--
            (1) In general.--Section 117(b) of the Internal Revenue 
        Code of 1986 is amended by adding at the end the following new 
        paragraph:
            ``(3) Special rule for pell grants.--Amounts received under 
        a Federal Pell Grant under subpart 1 of part A of title IV of 
        the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.) 
        shall be treated as an amount received as a qualified 
        scholarship notwithstanding whether such amount was used for 
        qualified tuition and related expenses.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to amounts received in taxable years beginning 
        after the date of the enactment of this Act.

               TITLE IV--INCLUSIVE STUDENT SUCCESS GRANTS

SEC. 401. INCLUSIVE STUDENT SUCCESS GRANTS.

    Part F of title VII of the Higher Education Act of 1965, as added 
by section 101 and amended by sections 201 and 202, is further amended 
by adding at the end the following:

             ``Subpart 4--Inclusive Student Success Grants

``SEC. 800. DEFINITIONS.

    ``In this subpart:
            ``(1) Eligible state.--The term `eligible State' means a 
        State that is a recipient of a grant under subpart 1.
            ``(2) Evidence tiers.--
                    ``(A) Evidence tier 1.--The term `evidence tier 1', 
                when used with respect to a reform or practice, means a 
                reform or practice that meets the criteria for 
                receiving an expansion grant from the education 
                innovation and research program under section 
                4611(a)(2) of the Elementary and Secondary Education 
                Act of 1965, as determined by the Secretary in 
                accordance with such section.
                    ``(B) Evidence tier 2.--The term `evidence tier 2', 
                when used with respect to a reform or practice, means a 
                reform or practice that meets the criteria for 
                receiving a mid-phase grant from the education 
                innovation and research program under section 
                4611(a)(2) of the Elementary and Secondary Education 
                Act of 1965, as determined by the Secretary in 
                accordance with such section.
            ``(3) First generation college student.--The term `first 
        generation college student' has the meaning given the term in 
        section 402A(h)(3).
            ``(4) Eligible institution.--The term `eligible 
        institution' means--
                    ``(A) an under-funded institution; or
                    ``(B) an institution that is--
                            ``(i) a part B institution (as defined in 
                        section 322);
                            ``(ii) a Hispanic-serving institution (as 
                        defined in section 502(a));
                            ``(iii) an Alaska Native-serving 
                        institution (as defined in section 317(b));
                            ``(iv) a Native Hawaiian-serving 
                        institution (as defined in section 317(b));
                            ``(v) a Predominantly Black Institution (as 
                        defined in section 318(b));
                            ``(vi) an Asian American and Native 
                        American Pacific Islander-serving institution 
                        (as defined in section 320(b)); or
                            ``(vii) a Native American-serving, 
                        nontribal institution (as defined in section 
                        319(b)).
            ``(5) Tribal college or university.--The term `Tribal 
        College or University' has the meaning given the term in 
        section 316.
            ``(6) Underfunded institution.--The term `underfunded 
        institution' means a public 2-year institution of higher 
        education or public 4-year institution of higher education that 
        receives less than the national average of State appropriations 
        per full-time equivalent student.

``SEC. 801. INCLUSIVE STUDENT SUCCESS GRANTS.

    ``(a) In General.--The Secretary shall award grants to eligible 
States and Tribal Colleges and Universities to improve student outcomes 
by carrying out or scaling the activities described in section 804.
    ``(b) Distribution of Funds.--From amounts appropriated to carry 
out this subpart, the Secretary shall--
            ``(1) distribute 10 percent of the appropriated amount in 
        any fiscal year for grants to Tribal Colleges or Universities, 
        which shall be distributed according to the formula in section 
        316(d)(3)(B), to carry out the activities described in section 
        804 to implement reforms or practices that meet evidence tier 1 
        or evidence tier 2;
            ``(2) use 2 percent of the appropriated amount in any 
        fiscal year to evaluate the effectiveness of the activities 
        carried out under this subpart;
            ``(3) distribute 60 percent of the appropriated amount in 
        any fiscal year to award competitive grants to eligible States 
        to carry out activities described in section 804;
            ``(4) distribute 18 percent of the appropriated amount in 
        any fiscal year to supplement the competitive grant amounts 
        awarded to eligible States under paragraph (3) to implement 
        reforms or practices that meet evidence tier 1; and
            ``(5) distribute 10 percent of the appropriated amount in 
        any fiscal year to supplement the competitive grant amounts 
        awarded to eligible States under paragraph (3) to implement 
        reforms or practices that meet evidence tier 1 or evidence tier 
        2, or a combination of such reforms or practices.

``SEC. 802. APPLICATION.

    ``(a) In General.--An eligible State or Tribal College or 
University that desires to receive a grant under this subpart shall 
submit an application to the Secretary at such time, in such manner, 
and accompanied by such information as the Secretary may require. The 
application shall include, at a minimum, a description of--
            ``(1) in the case of an eligible State, how the eligible 
        State will--
                    ``(A) prioritize spending for underfunded 
                institutions in the State and close gaps in State 
                appropriations per full-time equivalent student with 
                respect to institutions in the State described in 
                section 800(4)(B); and
                    ``(B) sustain such reforms or practices; and
            ``(2) in the case of an eligible State or Tribal College or 
        University, how the eligible State or Tribal College or 
        University will use the funds to implement or expand evidence-
        based reforms or practices funded by a grant under this subpart 
        to improve student outcomes at eligible institutions in such 
        State or the Tribal College or University.
    ``(b) Priority.--In awarding grants under this subpart, the 
Secretary shall give priority to eligible States that propose to use a 
significant share of grant funds to improve enrollment, retention, 
transfer, or completion rates or labor market outcomes among students 
with disparate outcomes, such as students of color, low-income 
students, students with disabilities, students in need of remediation, 
first generation college students, student parents, and other 
underserved student populations in such State.

``SEC. 803. GRANT AMOUNTS.

    ``In awarding grants under this subpart to eligible States, the 
Secretary shall determine grant amounts based on the number of students 
enrolled at eligible institutions in the State who receive a Federal 
Pell Grant.

``SEC. 804. USE OF GRANT FUNDS.

    ``An eligible State or Tribal College or University that receives a 
grant under this subpart shall, directly or in collaboration with 
institutions of higher education and other nonprofit organizations, use 
the grant funds to implement evidence-based reforms or practices, which 
may include one or more of the following:
            ``(1) Providing comprehensive academic, career, and student 
        support services, including mentoring, advising, or case 
        management services.
            ``(2) Providing assistance in applying for and accessing 
        direct support services, financial assistance, or means-tested 
        benefit programs to meet the basic needs of students.
            ``(3) Providing accelerated learning opportunities, 
        including dual or concurrent enrollment programs and early 
        college high school programs.
            ``(4) Reforming remedial or developmental education, course 
        scheduling, or credit awarding policies.
            ``(5) Improving transfer pathways between community 
        colleges and 4-year institutions of higher education in the 
        eligible State, or, in the case of a Tribal College or 
        University, between the Tribal College or University and other 
        institutions of higher education.
            ``(6) Making investments in academic advisors, mental 
        health counselors, trauma-informed care, and tutors.
            ``(7) Reducing class sizes.

``SEC. 805. PROGRAM REQUIREMENTS.

    ``(a) Goals.--The Secretary shall require eligible States or Tribal 
Colleges or Universities that receive funds under this subpart to set 
goals regarding student outcomes.
    ``(b) Progress.--
            ``(1) National progress.--The Secretary shall track 
        progress in improving student outcomes for eligible States that 
        receive grants under this subpart, including conducting 
        independent evaluations of support programs funded under this 
        subpart.
            ``(2) State progress.--As a condition of continuing to 
        receive funds under this subpart, for each year in which an 
        eligible State participates in the program under this subpart, 
        the eligible State shall demonstrate to the satisfaction of the 
        Secretary that the eligible State has made adequate progress in 
        implementing or expanding evidence-based reforms or practices, 
        and improving enrollment, retention, transfer, or completion 
        rates or labor market outcomes among students with disparate 
        outcomes, such as students of color, low-income students, 
        students with disabilities, students in need of remediation, 
        first generation college students, student parents, and other 
        underserved student populations in such State.
    ``(c) Supplement, Not Supplant.--Grant funds awarded under this 
subpart shall be used to supplement, and not supplant, other Federal, 
State, Tribal, local, and institutional funds that would otherwise be 
expended to carry out activities assisted under this subpart.

``SEC. 806. AUTHORIZATION OF APPROPRIATIONS.

    ``There are authorized to be appropriated to carry out this 
subpart--
            ``(1) such sums as may be necessary for the fourth quarter 
        of fiscal year 2023;
            ``(2) $10,000,000,000 for fiscal year 2024; and
            ``(3) such sums as may be necessary for each of the 
        following fiscal years.''.

                TITLE V--INCREASING SUPPORT FOR STUDENTS

SEC. 501. INCREASING SUCCESS FOR LOW-INCOME AND FIRST GENERATION 
              STUDENTS.

    (a) Authorization of Appropriations for Federal Trio Programs.--
Section 402A(g) of the Higher Education Act of 1965 (20 U.S.C. 1070a-
11(g)) is amended by striking ``$900,000,000 for fiscal year 2009 and 
such sums as may be necessary for each of the five succeeding fiscal 
years'' and inserting ``$3,000,000,000 for fiscal year 2024, and such 
sums as may be necessary for each of fiscal years 2025 through 2033''.
    (b) Authorization of Appropriations for Gear up Programs.--Section 
404H of the Higher Education Act of 1965 (20 U.S.C. 1070a-28) is 
amended by striking ``$400,000,000'' and all that follows through the 
period and inserting ``$736,000,000 for fiscal year 2024, and such sums 
as may be necessary for each of fiscal years 2025 through 2027.''.

TITLE VI--INVESTMENTS IN HISTORICALLY BLACK COLLEGES AND UNIVERSITIES, 
      TRIBAL COLLEGES OR UNIVERSITIES, AND OTHER MINORITY-SERVING 
                              INSTITUTIONS

SEC. 601. APPROPRIATIONS FOR HISTORICALLY BLACK COLLEGES AND 
              UNIVERSITIES, TRIBAL COLLEGES AND UNIVERSITIES, AND 
              MINORITY-SERVING INSTITUTIONS.

    (a) In General.--Section 371(b)(1)(A) of the Higher Education Act 
of 1965 (20 U.S.C. 1067q(b)(1)(A)) is amended by striking 
``$255,000,000'' and all that follows through the period and inserting 
``$510,000,000 for fiscal year 2024 and each fiscal year thereafter.''.
    (b) Allocation and Allotment.--Section 371(b)(2)(A) of the Higher 
Education Act of 1965 (20 U.S.C. 1067q(b)(2)(A)) is amended--
            (1) in clause (i), by striking ``100,000,000'' and 
        inserting ``200,000,000'';
            (2) in clause (ii), by striking ``100,000,000'' and 
        inserting ``200,000,000''; and
            (3) in clause (iii), by striking ``55,000,000'' and 
        inserting ``110,000,000''.

                         TITLE VII--SNYDER ACT

SEC. 701. RULE OF CONSTRUCTION REGARDING THE SNYDER ACT.

    Nothing in this Act, or an amendment made by this Act, shall be 
construed to change or abrogate the Federal Government's 
responsibilities under the Act of November 2, 1921 (25 U.S.C. 13) 
(commonly known as the ``Snyder Act'').
                                 <all>