12/19/2025

When Congress passed H.R. 1, the One Big Beautiful Bill Act, in July they included a provision that would expand Pell Grant access to short-term training programs. According to the law, Workforce Pell will take effect on July 1, 2026. The Department of Education (ED) convened a negotiated rulemaking committee to discuss the issues at play, which will lead to guidance from ED on the implementation of Workforce Pell.

Between Dec. 8 and 12, the Accountability in Higher Education and Access through Demand-driven Workforce Pell (AHEAD) committee discussed a variety of issues. At the end of the week, the committee recommended the following rules to govern implementation:

  • Job Placement: Initially, placement rates will be based on the percentage of students employed during the second quarter after exiting the program. Under the proposed rule, starting in 2028-29, the rate will include only students employed in an occupation related to the program or a comparable high-skill, high-wage or in-demand occupation.
  • Limits on Outsourcing: Institutions cannot outsource more than 25% of programs to an ineligible institution or organization. This proposed rule would bar an institution from acting as a pass-through for an unaccredited provider.
  • State-by-State Agreements: This proposal allows for bilateral agreements between states to allow learners to access programs across jurisdictions. This will help learners who may need to cross state lines in order to complete their program.
  • Connection with Registered Apprenticeship: The proposed rule would enable instruction related to Registered Apprenticeships to count toward Workforce Pell.
  • Credit Transfer Policies: A student who has completed a Workforce Pell-eligible program and subsequently enrolled in a related certificate or degree program must receive academic credit for the Workforce Pell program. The committee proposed a clarification on the types of written policies that will govern this provision, including established articulation agreements, transfer-of-credit agreements, consortium or partnership agreements, or similar arrangements.
  • Loss of Eligibility: A school that loses eligibility may not reestablish the failing program or establish a “substantially similar” program for two years. The committee proposed that “substantially similar” include programs with the same 4-digit Classification of Instructional Program (CIP) code.

The AHEAD committee will reconvene the week of Jan. 5 to discuss additional regulations regarding Workforce Pell. ACTE will continue to monitor the negotiations and provide updates as they become available. If you have any questions, please contact ACTE’s Government Relations Manager Jimmy Koch (jkoch@acteonline.org).

Posted by jimmykoch on 12/19/2025 AT 18:38 pm in Executive Branch Postsecondary Issues Workforce Pell | Permalink

Search

# # # # # #