NCSL - National Conference of State Legislatures
04/01/2026 | Press release | Distributed by Public on 04/01/2026 12:40
State Legislative Responses to Education Provisions in H.R.1 The One, Big, Beautiful Bill Act
Legislatures are responding to education provisions in the One Big Beautiful Bill Act, also known as HR 1. This legislative tracker provides a summary of each bill and identifies common themes across state legislation. The tracker was last updated on March 31, 2026.
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Scholarship Tax Credit
Scholarship Tax Credit
Brief description of federal program:
The OBBBA enacted a new federal tax credit allowing taxpayers to receive up to $1,700 for donations made to eligible scholarship granting organizations, or SGOs. Those organizations will then provide scholarships to students and families, who in turn will choose how to spend the funds. State participation is optional.
High-level state legislative trend summary:
Half of states have introduced legislation related to the federal tax credit scholarship, and three states have enacted such legislation. Most bills direct or allow the state to opt into the federal program, while two bills include conditions preventing the state from opting in. Some bills task one agency with electing into the program and another agency with submitting the list of qualified SGOs to the U.S. Treasury. Bills give responsibility for the election, submission of the SGO list, and/or regulating authority to a range of agencies, such as those overseeing education, revenue, or other administrative functions for the state.
The Department of Education and Department of Treasury announced that 23 states had opted into the program as of Jan. 27, 2026.
| State | Bill | Status | Summary | Opt In/Out | Regulating/Opt-In Agency | Additional Requirements |
|
WI |
Enrolled; to Governor [3/26/26] |
Directs the governor to elect into the program. Directs the Department of Administration to submit a list of qualifying SGOs to the Treasury and publish the list online. |
In |
Governor (opt-in); Department of Administration (SGO list) |
||
|
OK |
Passed House; to Senate [3/23/26] |
Directs the governor to elect into the program and designate the Oklahoma Tax Commission as the state agency responsible for specified duties, including providing a list of qualifying SGOs to the Treasury. Requires the tax commission to promulgate rules, including as necessary to inform taxpayers and SGOs of the interaction between the federal credit and any state-level income tax credit. |
In |
Governor (opt-in); State Tax Commission (list of SGOs) |
Requires the tax commission to promulgate rules, including as necessary to inform taxpayers and SGOs of the interaction between the federal credit and any state-level income tax credit. |
|
|
GA |
Passed Senate; Favorably reported as substituted [3/20/26] |
Directs the State Revenue Commissioner to opt into the program, submit a list of eligible SGOs to the Treasury and publish the list online annually. |
In |
State Revenue Commissioner |
||
|
ID |
Enacted [3/19/26] |
Directs the Department of Education to elect into the program, submit a list of eligible SGOs to the Treasury and publish the list online annually. |
In |
Department of Education |
||
|
TN |
Passed Senate; to House [3/19/26] |
Directs the Commissioner of Education to elect into the program. Requires the Department of Education to submit a list of qualifying SGOs to the Treasury and publish the list online. Provides that the department may establish rules and enter into an agreement with other departments or agencies. |
In |
Commissioner of Education (opt in); Department of Education (list of SGOs) |
||
|
MN |
Introduced; Referred to Senate Committee on Ed Policy [3/18/26] |
Directs the Commissioner of Revenue to elect into the program, submit a list of qualifying list of SGOs to the Treasury and publish the list online annually. Provides that the commissioner may establish rules. |
In |
Commissioner of Revenue |
||
|
NY |
Introduced; Referred to Senate Committee on Investigations and Gov Operations [3/18/26] |
Directs the Commissioner of Taxation and Finance to submit a list of qualifying SGOs to the Treasury and publish the list online annually. Requires the commissioner to establish rules or regulations. |
In |
Commissioner of Taxation and Finance |
||
|
TN |
In Senate Committee on Education [3/18/26] |
Directs the Department of Education to elect to participate in the program, submit a list of qualifying SGOs to the Treasury and publish the list online annually. |
In |
Department of Education |
||
|
KS |
Enrolled; To Governor [3/17/26] |
Elects the state into the program. Directs the State Treasurer to annually submit a list of qualifying SGOs to the Treasury. Amends the state's existing tax credit program and requires annual reports to the legislature on aggregate amounts. |
In |
State Treasurer |
Amends the state's existing tax credit program and requires annual reports to the legislature on aggregate amounts. |
|
|
KY |
Enacted; Governor's veto overridden [3/17/26] |
Directs the Secretary of State to elect into the program and submit a list of qualifying SGOs to the Treasury. Provides that the secretary may promulgate regulations for implementation and must collect a fee from SGOs or accept private contributions to pay necessary costs of administration. |
In |
Secretary of State |
Requires the Secretary of State to collect a fee from SGOs or accept private contributions to pay necessary costs of administration. |
|
|
TN |
In House Committee on Finance, Ways and Means [3/17/26] |
Directs the governor to elect into the program and comply with requirements to maintain state participation. |
In |
Governor |
||
|
AZ |
Passed Senate; Placed on House Consent Calendar [3/16/26] |
Directs the Department of Revenue to opt into the program annually. Requires the department to submit a list of qualifying SGOs to the Treasury and post the list online. Requires the department to adopt regulations for implementation. |
In |
Department of Revenue |
||
|
WV |
To Conference Committee [3/14/26] |
Directs the State Treasurer to elect into the program, submit a list of qualifying SGOs to the Treasury and publish the list online. Requires the treasurer to establish policies. |
In |
State Treasurer |
||
|
IN |
Enacted [3/12/26] |
Directs the Department of Education to elect into the program. Requires the department to submit a list of qualifying SGOs to the Treasury and publish the list online annually. Requires the Department of Education to submit list of qualifying SGOs to Department of State Revenue. |
In |
Department of Education |
||
|
NH |
Passed House; to Senate [3/12/26] |
Directs the Department of Revenue Administration to elect into the program annually. Directs the Department of Education to create list of qualifying SGOs in collaboration with Department of Revenue Administration. Requires the Department of Education to annually submit a list of qualifying SGOs to the Treasury and publish the list online. |
In |
Department of Revenue Administration (opt-in); Department of Education (list of SGOs) |
||
|
IA |
In House Committee on Ways and Means [3/10/26] |
Directs the governor to elect into the program. Requires the Department of Revenue and Department of Education to annually submit required information to the Treasury. |
In |
Governor (opt-in); Department of Revenue and Department of Education |
||
|
NC |
Enrolled; Vetoed by Governor 8/6/25; Placed on calendar for reconsideration [3/9/26] |
Directs the State Education Assistance Authority (NCSEAA) to elect into the program, submit list of eligible SGOs to the Treasury, and post the list online. Allows NCSEAA establish rules and to enter into agreements with other state agencies to meet requirements. |
In |
North Carolina State Education Assistance Authority (NCSEAA): Political subdivision of the State, governed by a nine-member Board of Directors, with administrative support provided by the University of North Carolina. |
||
|
AL |
Passed House; Favorably reported from Senate committee [3/5/26] |
Elects the state into the program. Directs the Department of Revenue to submit a list of qualifying SGOs to the Treasury and publish the list online annually. |
In |
Department of Revenue |
||
|
WV |
Passed Senate; To House Committee on Education [3/3/26] |
Directs the Secretary of Commerce, or their appointee, to elect into the program. Requires the secretary to submit a list of qualifying SGOs to the Treasury and publish the list online annually and establish rules. |
In |
Secretary of Commerce |
||
|
GA |
From House Committee on Ways and Means; Favorably reported as substituted [3/3/26] |
Directs the State Revenue Commissioner to opt into the program, submit a list of eligible SGOs to the Treasury and publish the list online annually. |
In |
State Revenue Commissioner |
||
|
MN |
Hearing scheduled in House Committee on Education Finance [2/26/26] |
Elects the state into the program. Requires the Department of Education to publish a list of qualifying SGOs online. |
In |
Department of Education |
||
|
AK |
Introduced; to House Committee on Community and Regional Affairs and Labor and Commerce [2/23/26] |
Directs the Department of Commerce, Community, and Economic Development to participate in the federal tax credit program, including identifying qualifying SGOs. |
In |
Department of Commerce, Community, and Economic Development |
||
|
CO |
Introduced; to House Committee on Education [2/23/26] |
Provides that if the state elects to participate in the program, the state must include all qualifying SGOs on the list it provides to the Treasury. Establishes requirements for schools that enroll students with expenses paid by SGOs. |
Allows and provides conditions relating to opting in |
Establishes requirements for schools that enroll students with expenses paid by SGOs. |
||
|
MD |
Hearing scheduled in Senate Education, Energy and Environment Committee [2/19/26] |
Directs the Department of Education to annually submit a list of qualifying SGOs to the Treasury. Requires The Department of Education to release an annual report with number of scholarships awarded by each SGO, average and median scholarship amounts, and schools attended by scholarship recipients. Requires SGOs to annually submit financial statement and program report to Department of Education. Directs the comptroller to release guidance for taxpayers on claiming the credit. Allows the Department of Education, in consultation with comptroller, to adopt regulations. |
In |
Department of Education (list of SGOs); Department of Education in consultation with comptroller (regulations) |
Requires the Department of Education to release an annual report with number of scholarships awarded by each SGO, average and median scholarship amounts, and schools attended by scholarship recipients. Requires SGOs to annually submit financial statement and program report to Department of Education. |
|
|
IN |
Passed Senate; Amended in House [2/12/26] |
Directs the Department of Education to elect into the program. Requires the department to submit list of SGOs to the Treasury and publish list online annually. Requires the Department of Education to submit list of qualifying SGOs to Department of State Revenue. |
In |
Department of Education |
||
|
IL |
Introduced; to House Committee on Rules [2/6/26] |
Elects the state into the program. Directs the State Board of Education to submit list of qualifying SGOs to the Treasury and publish list online. Authorizes the state board to adopt rules. |
In |
State Board of Education |
||
|
IL |
Introduced; to Senate Committee on Assignments [2/5/26] |
Requires the State Board of Education to submit list of qualifying SGOs to Treasury and publish list online. Authorizes the state board to establish rules and enter into agreements with other departments and agencies. |
In |
State Board of Education |
||
|
MD |
Hearing scheduled in House Committee on Ways and Means [2/5/26] |
Directs the Department of Education to annually submit a list of qualifying SGOs to the Treasury. Requires the Department of Education to release an annual report with number of scholarships awarded by each SGO, average and median scholarship amounts, and schools attended by scholarship recipients. Requires SGOs to annually submit financial statement and program report to Department of Education. Directs the comptroller to release guidance for taxpayers on claiming the credit. Allows Department of Education, in consultation with comptroller, to adopt regulations. |
In |
Department of Education (list of SGOs); Department of Education in consultation with comptroller (regulations) |
Requires the Department of Education to release an annual report with number of scholarships awarded by each SGO, average and median scholarship amounts, and schools attended by scholarship recipients. Requires SGOs to annually submit financial statement and program report to Department of Education. |
|
|
OR |
Introduced; to House Committee on Education [2/2/26] |
Directs the Department of Education to elect into the program, submit a list of qualifying SGOs to the Treasury and publish the list online annually. |
In |
Department of Education |
||
|
VT |
Hearing scheduled in Senate Committee on Finance [1/30/26] |
Allows the governor or designee to provide Treasury with list of eligible SGOs. To be included, SGOs must meet requirements under federal statute, be a nonprofit with a core mission of providing educational opportunities to economically underprivileged students through afterschool, summer tutoring, and similar programs, and only provide scholarships to students attending public schools, independent schools that are capable of receiving public tuition. Allows governor to audit SGOs seeking inclusion in list. |
Allows but does not require Gov. to opt in |
SGOs must meet requirements under federal statute, be a nonprofit with a core mission of providing educational opportunities to economically underprivileged students through afterschool, summer tutoring, and similar programs, and only provide scholarships to students attending public schools, independent schools that are capable of receiving public tuition. |
||
|
KS |
Introduced; to Senate Education Committee [1/26/26] |
Elects the state into the program. Requires the state treasurer to annually submit a list of qualifying SGOs and other required information to the Treasury. |
In |
State Treasurer |
||
|
VT |
Introduced; to House Committee on Ways and Means [1/23/26] |
Designates the General Assembly as sole entity to make election into the program. Prevents the state from participating in the program, voids election by another state agency or official. |
Out |
General Assembly (opt-in authority) |
||
|
AZ |
Referred to House Committee on Education and Rules [1/22/26] |
Directs the Department of Revenue to opt into the program annually. Requires the department to submit a list of qualified SGOs to the Treasury and post the list online annually. Requires the Department of Revenue to adopt regulations for implementation. |
In |
Department of Revenue |
||
|
RI |
Introduced; to House Committee on Finance [1/16/26] |
Prohibits participation in the federal school voucher tax credit for contributions to scholarship-granting organizations unless both the general assembly and the governor approve such participation. |
Out |
General Assembly and Governor |
||
|
AZ |
Vetoed by Governor [1/16/26] |
Directs the Department of Revenue to elect into the program, submit a list of qualifying SGOs to the Treasury and publish the list online annually. Requires the department to adopt rules and procedures. |
In |
Department of Revenue |
||
|
IL |
Introduced; To House Committee on Rules [1/14/26] |
Directs the State Board of Education to elect into the program. Requires the state board to submit a list of qualifying SGOs to the Treasury and publish the list online annually. |
In |
State Board of Education |
||
|
WA |
Introduced; to House Education Committee [1/13/2026] |
Requires the Director of Revenue to annually provide notice of participation in the program and transmit copies of such notice to the governor, the appropriate committees of the legislature, the superintendent of public instruction, and the chair of the state board of education. Requires the adoption of rules. |
In |
Director of Revenue |
||
|
WI |
From Senate Education Committee; Recommended passage [1/9/2026] |
Directs the governor to elect into the program. Directs the Department of Administration to submit a list of SGOs to the Treasury and publish the list online. |
In |
Governor (opt-in); Department of Administration (SGO list) |
||
|
IL |
Introduced [11/10/25] |
Directs the State Board of Education, in coordination with the Department of Revenue, to submit a list of qualifying SGOs to the Treasury and publish the list online. |
In |
State Board of Education, in coordination with the Department of Revenue |
||
|
IL |
Introduced [10/9/25] |
Directs the State Board of Education to elect into the program. Requires the state board to submit a list of SGOs to the Treasury and publish the list online. Directs the State Board and Department of Revenue to publish annual reports on use and impact of the list of SGOs and authorizes the adoption of rules necessary for implementation. |
In |
State Board of Education and Department of Revenue |
Directs State Board and Department of Revenue to publish annual reports on use and impact of the list of SGOs |
|
|
PA |
Introduced [7/24/2025] |
Directs the Department of Community and Economic Development to opt into the program and submit a list of qualifying SGOs to the Treasury annually. Authorizes the department to perform random audits and requires the department to issue guidelines necessary for implementation. |
In |
Department of Community and Economic Development |
Workforce Pell
Workforce Pell
Brief description of federal program:
The OBBBA established the Workforce Pell program, expanding federal Pell Grant eligibility to certain short-term workforce training programs offered by accredited institutions that participate in federal student aid. Beginning July 1, 2026, eligible students may use Pell Grant for approved nondegree programs lasting between eight and 14 weeks and 150 to 600 clock hours, consistent with federal criteria. Programs must align with high-skill, high-wage, or in-demand occupations and meet federal performance and accountability requirements related to completion and post-training outcomes. States play a central role in program certification and approval processes under the federal framework, while the U.S. Department of Education retains oversight of Title IV eligibility and performance requirements.
High-level state legislative trend summary:
Most bills codify the gubernatorial process for Workforce Pell and direct consultation with the SWDB or a similar entity. Several bills assign responsibility for establishing application procedures, eligibility determinations, and coordination with WIOA and Perkins programs to workforce agencies or boards. Some bills include additional state-level reporting, reapproval, or rulemaking provisions beyond federal requirements. A subset of states incorporate Workforce Pell implementation into broader workforce governance or accreditation reforms rather than enacting a standalone approval measure.
| State | Bill | Status | Summary | Governance | Notes |
|
KY |
2nd Reading to House Committee on Rules [3/27/26] |
Creates a new section of KRS 151B to grant the governor, in consultation with the Kentucky Workforce Innovation Board, the authority to approve all eligible workforce training programs for federal Workforce Pell Grants and coordinate approval of eligible workforce training programs to avoid duplicative payments; requires the board to establishes an internal procedure to determine that a program meets applicable federal requirements and ensure that the implementation of this procedure does not impose. |
Governor approval required for WP eligibility; Kentucky Workforce Innovation Board establishes internal compliance procedures and coordinates approvals; statute prohibits requirements more restrictive than federal law. |
Standalone WP bill |
|
|
MD |
House hearing 3/31 [3/26/26] |
Implements the federal Workforce Pell Grant Program in the state through which Pell Grants may be awarded to students enrolled in a certain short-term program, requires the governor, after consultation with certain entities, to determine whether to approve short-term programs as eligible for Pell Grant funds subject to certain requirements, prohibits institutions of postsecondary education from using certain funds subject to a certain exclusion. |
Governor approval required for Workforce Pell program eligibility; governor certifies programs in consultation with the Maryland Higher Education Commission and the Governor's Workforce Development Board. MHEC collects data, reports to the legislature and holds rulemaking authority. |
Standalone WP |
|
|
MN |
Introduced [3/25/26] |
Establishes a state approval process for Workforce Pell-eligible programs, authorizing the governor, in consolation with the Governor's Workforce Development Board, to approve programs that meet federal eligibility requirements. |
Governor approves eligible programs, WDB verifies qualifications |
Standalone WP bill |
|
|
MO |
From Senate Committee on Economic and Workforce Development [3/25/26] |
Establishes criteria for programs that prepare students for high-skill, high-wage, or in-demand industry sectors or occupations in accordance with Workforce Pell requirements. Provides the Missouri Workforce Development Board shall establish rules for the approval of Workforce Pell programs. |
Governor approves eligible programs in consultation with the MO WDB; Board establishes application and appeals process by rule, coordinates with other workforce programs, and sets outcome data requirements. |
Standalone WP bill HB 2585 companion bill |
|
|
TN |
To House Committee on Finance, Ways and Means [3/25/26] |
Requires the governor to approve all eligible workforce training programs for the purposes of federal workforce Pell grants and coordinate approval of eligible workforce training programs with other state and federal workforce programs to avoid duplicative payments for the same student costs that are covered by federal workforce Pell grants. |
Governor approval required for Workforce Pell eligibility; SWDB administers procedures and funding alignment; no rulemaking authority. |
Standalone WP bill Companion SB 2193 |
|
|
NH |
Hearing 3/31/26 [3/24/26] |
Directs the governor to approve workforce training programs, in consultation with the state workforce innovation board, for federal Workforce Pell Grants. Creates a prohibition on state aid to programs of low-earning outcomes. |
Governor approval required for WP eligibility; workforce authority administers certification and aligns accountability standards with state funding framework. |
Component of broader bill |
|
|
UT |
Enacted [3/24/26] |
Establishes a statewide youth apprenticeship governance council and authorizes participation in the federal Workforce Pell Grant program, modifies definitions, authorizes the governor to delegate approval authority for eligible workforce programs to the Utah Board of Higher Education, authorizes the Department of Workforce Services to provide wage record data to the Utah Board of Higher Education. |
Governor may delegate WP approval to the Utah Board of Higher Education. The Board administers program approval, certification, monitoring, rulemaking, interstate agreements, and data governance in consultation with the SWDB. |
Component of broader bill |
|
|
CA |
In Assembly [3/19/26] |
Prohibits a campus of the University of California, the California State University, or the California Community Colleges, a private postsecondary educational institution, or an independent institution of higher education that receives state financial assistance from disbursing federal Workforce Pell Grant program funds to students enrolled in the institution's short-term programs, and advertising, marketing, or informing students about the availability of those funds, as specified. |
State authorization required for Workforce Pell program eligibility; authorized entity certifies programs with advisory board input and sets standards, with rulemaking authority. |
Standalone WP bill |
|
|
GA |
Eligible for Governor's desk [3/18/26] |
Integrates Workforce Pell implementation into broader workforce governance reforms; authorizes governor approval of eligible programs and aligns certification with statewide workforce planning structures. |
Governor approval required for WP eligibility; certification integrated into broader workforce governance structure; workforce entities coordinate implementation and strategic alignment. |
Component of broader bill |
|
|
KS |
House Committee on Education (recommended as amended) [3/17/26] |
Directs the governor to approve eligible programs for workforce Pell grants and providing requirements for the state workforce development board with regard to eligibility, approval and financing of such programs. |
Governor approval required for WP eligibility; State Workforce Development Board supports eligibility determinations and implementation requirements. |
Standalone WP bill |
|
|
IN |
Enacted [3/12/26] |
Establishes a state approval process for Workforce Pell-eligible training programs, authorizing the governor and workforce development system to certify programs that meet federal eligibility requirements. |
The governor approves Workforce Pell-eligible programs within the state workforce governance framework, aligning certification with existing workforce development structures. |
Components of a broader bill |
|
|
MO |
From H Committee on Higher Education and Workforce Development [3/11/2026] |
Establishes provisions for alignment with federal Workforce Pell grants. |
Governor approval required for WP eligibility; Missouri WDB establishes application and appeals process by rule, coordinates approvals with other workforce programs, and oversees outcome reporting requirements. |
Standalone WP bill Companion SB 1196 |
|
|
GA |
To Senate Committee on Higher Education [3/9/26] |
Relates to the State Workforce Development Board, so as to provide for the approval of certain eligible workforce training programs relative to implementing the federal Workforce Pell Grant program, provides a definition, provides for related matters, provides for an effective date and applicability, repeals conflicting laws. |
Governor approves programs in consultation with the SWDB; SWDB establishes eligibility procedures; no other state agency may promulgate rules. |
Standalone WP bill |
|
|
MO |
Introduced [2/26/26] |
Modifies provisions relating to grants for certain workforce training programs. No department, agency, or board of state government has authority to adopt or promulgate any rule that is more restrictive than applicable federal rules to implement this section. |
Establishes gubernatorial approval and WDB review for WP-eligible programs, coordinates funding to avoid duplication, and limits state rulemaking to federal requirements. |
Component of broader bill |
|
|
HI |
Referred to House Finance Committee (do pass from higher ed) [2/18/26] |
Establishes a statewide framework for Workforce Pell grant program implementation including a formal authorization process for eligible Workforce Pell programs, defining key terms, requiring stackable credentials, privacy-protected data sharing, student and consumer protections, and establishes a Workforce Pell grant program approval committee within the Workforce Development Council. Includes provisions to require the department of labor and industrial relations to provide wage record data to the university of Hawaii for workforce Pell grant program compliance and evaluation. |
Workforce Development Council (through a Workforce Pell Grant Program Approval Committee) serves as authorized state entity; committee reviews programs and recommends to the governor for submission; WDC has rulemaking authority; Department of Labor and Industrial Relations provides wage data. |
Standalone WP bill Companion SB 3282 |
|
|
HI |
Referred to Senate Ways & Means (Do Pass As Amended) [2/13/26] |
Establishes a statewide framework for Workforce Pell grant program implementation including a formal authorization process for eligible Workforce Pell programs, defining key terms, requiring stackable credentials, privacy-protected data sharing, student and consumer protections, and establishes a Workforce Pell grant program approval committee within the Workforce Development Council. |
Governor approval required for WP eligibility; Workforce Development Council, through a Workforce Pell Grant Program Approval Committee, reviews and recommends programs for authorization; Council holds rulemaking authority and oversees ongoing monitoring and reporting. |
Standalone WP bill Companion HB 2383 |
|
|
IN |
Failed - adjourned [2/12/26] |
Requires the Department of Workforce Development to establish processes to identify, approve, and coordinate eligible workforce training programs while maintaining alignment with federal Workforce Pell grant rules. |
Governor approval required for WP eligibility; Department of Workforce Development administers certification and coordinates federal compliance |
Standalone WP bill |
|
|
VA |
Continued to 2027 session in Senate Committee [2/11/26] |
Authorizes accredited programs approved by the governor to participate in WP, subject to federal requirements. Creates a state accreditation pathway for nondegree workforce training programs, including minimum standards, admissions criteria, and performance reporting requirements. Aligns state workforce grants and WIOA eligibility to accredited programs. |
Governor approval required for WP eligibility; Department of Workforce Development and Advancement establishes and oversees accreditation |
Component of broader bill HB 551 companion |
|
|
VA |
Continued to 2027 Session in House Committee [2/10/26] |
Includes minimum standards, admissions requirements, and reporting requirements for such programs. Additionally, the bill includes provisions related to the eligibility of accredited programs for state and federal workforce funding, including the federal Workforce Pell Grant. |
Governor approval required for WP eligibility; Department of Workforce Development and Advancement establishes and oversees nondegree accreditation pathway and administers certification and monitoring. |
Component of broader bill SB 737 companion |
|
|
WV |
To Governor [3/18/26] |
Approves short term training programs for eligibility for federal Workforce Pell Grants. Directs the board to establish an application process, coordinate approvals with WIOA and Perkins programs, conduct annual reviews, and ensure compliance with federal requirements. |
Governor approves programs; WDB administers application review, outcome reporting, coordination and annual oversight in collaboration with Workforce West Virginia; rulemaking required for implementation |
Standalone WP bill |
|
|
TN |
Referred to Senate Commerce and Labor Committee [2/5/26] |
Requires the governor to approve all eligible workforce training programs for the purposes of federal workforce Pell grants and coordinate approval of eligible workforce training programs with other state and federal workforce programs to avoid duplicative payments for the same student costs that are covered by federal workforce Pell grants. |
Governor approval required for WP eligibility; SWDB establishes internal approval procedures and coordinates with other state and federal workforce programs to prevent duplicative payments. No formal rulemaking authority granted. |
Standalone WP bill Companion HB 2617 |
|
|
OR |
Failed - Adjourned [2/2/26] |
Provides directives to the governor and state agencies to ensure compliance with the federal Workforce Pell Grant program. |
Governor approval required for WP eligibility (in consultation with the State Workforce and Talent Development Board); Board coordinates approvals and aligns state/federal funds. |
Standalone WP bill |
|
|
WV |
Failed - Adjourned [1/20/26] |
Authorizes the governor, in consultation with the West Virginia Workforce Development Board, to approve programs for Workforce Pell. Directs the WDB to propose implementing rules and requires compliance with federal Workforce Pell regulations. |
Governor approves programs in consultation with the WDB; Board responsible for rulemaking. |
Standalone WP bill |
Earnings Premium Measure / "Do No Harm" Accountability Standard
Earnings Premium Measure / "Do No Harm" Accountability Standard
Brief description of federal program:
The OBBBA introduced a student loan accountability measure that requires the majority of students who complete an undergraduate program to earn more than a comparable high school graduate. Similarly, the majority of students who complete a graduate program must earn more than a comparable bachelor's degree holder. Any program that fails this "earnings premium test" two out of three consecutive years would be considered a "low-earning outcomes program" and would lose access to student loans.
High-level state legislative trend summary:
All states with legislation under active consideration propose to prohibit state funding for any program that is deemed a "low-earnings outcomes program" by federal standards. Some bills would similarly prohibit local funding as well.
| State | Bill | Status | Summary | Restricts program access to state student financial aid | Restricts program access to state institutional aid | Notes |
|
New Hampshire |
Provision Removed [3/11/2026] Introduced [01/07/2026] |
Prohibits state financial aid for any academic program at any higher education institution in the state that is identified as a "low-earning outcome program" under federal law. Instructs the University System of New Hampshire and Higher Education Commission to ensure no state funds are provided to same programs. |
Yes |
Yes |
||
|
Indiana |
Enacted [3/5/2026] |
Requires institutions to seek approval from the Commission of Higher Education to continue any program identified as a "low earning outcome program" under federal law. If not approved, program is eliminated. |
Yes, if program is not approved to continue. |
Yes, if program is not approved to continue. |
||
|
Kentucky |
Pending [2/26/2026] |
Requires the Council on Postsecondary Education to promulgate administrative regulations to prohibit the use of public funds towards a degree in a low-earning outcome program; requires the council to provide an annual report on the implementation of the prohibition to the Legislative Research Commission. |
Yes |
Yes |
||
|
Missouri |
First Reading [2/3/2026] |
Requires the Coordinating Board for Higher Education to adopt rules prohibiting state funds from being allocated or expended for academic degree programs that satisfy the definition of a low-earning outcome program under federal law. |
Yes |
Yes |
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Nebraska |
Introduced [1/21/2026] |
The Coordinating Commission for Postsecondary Education is instructed to prohibit state or local funds from being allocated expended, either directly or indirectly, for any "low-earning outcome program" identified under federal law. |
Yes |
Yes |
Restricts local aid to "low-earning degree" programs. |
|
|
West Virginia |
Introduced [1/20/2026] |
The Higher Education Policy Council is instructed to adopt rules to prohibit state funds from being allocated or expended, either directly or indirectly, for "low-earning degree program" identified under federal law. |
Yes |
Yes |
Restricts local aid to "low-earning degree" programs. |
|
|
Kansas |
Introduced [1/20/2026] |
The state board of regents is instructed to adopt rules and regulations prohibiting state money from being allocated or expended, either directly or indirectly, for any "low-earning outcome program" identified under federal law. |
Yes |
Yes |
Restricts local aid to "low-earning degree" programs. |
Graduate Lending Programs
Graduate Lending Programs
Brief description of federal program:
The OBBBA introduced borrowing limits for federal graduate loan programs of $50,000 per year ($200,000 lifetime) for "professional programs" and $20,500 ($100,000 lifetime) for all other graduate degree programs. Previously, students could borrow up to the cost of attendance as determined by each university for any graduate level program.
| State | Bill | Status | Summary |
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Minnesota |
Introduced [3/18/2026 |
Creates a Higher Education Loan Program (HELP) to provide low-interest loans to eligible students attending eligible Minnesota postsecondary institutions. Appropriates $17,500,000 in fiscal year 2026. |
|
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Utah |
Introduced [3/2/2026] |
Establishes the Graduate Student Supplemental Revolving Loan Account to provide supplemental financial aid to certain graduate students for whom the cost of graduate programs exceeds new federal financial aid limits; requires the Utah Board of Higher Education to administer the fund. |
|
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Connecticut |
Introduced [2/4/2026] |
Establishes Supplemental Graduate Loan Program and provides up to $10 million in state bonds to support program. Allocates at least $60 million in annual private activity bonds for CT Higher Education Supplemental Loan Authority. |
|
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Virginia |
Introduced [1/16/2026] |
Requires the State Council of Higher Education for Virginia to evaluate the effects of federal graduate loan borrowing limits. |
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