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Amendments to the Higher Education Act Made by P.L. 119-21, the FY2025 Budget Reconciliation Law. CRS Report R48727, Version 7. Updated

Title: Amendments to the Higher Education Act Made by P.L. 119-21, the FY2025 Budget Reconciliation Law. CRS Report R48727, Version 7. Updated
Language: English
Authors: Alexandra Hegji; Benjamin Collins; Cassandria Dortch; Kyle D. Shohfi; Rita R. Zota; Library of Congress, Congressional Research Service (CRS)
Source: Congressional Research Service. 2026.
Availability: Congressional Research Service. Web site: https://crsreports.congress.gov/
Peer Reviewed: N
Page Count: 35
Publication Date: 2026
Intended Audience: Policymakers
Document Type: Reports - Descriptive
Education Level: Higher Education; Postsecondary Education
Descriptors: Educational Legislation; Federal Legislation; Higher Education; Federal Aid; Grants; Student Loan Programs; Student Financial Aid; Budgets; Need Analysis (Student Financial Aid); Accountability
Laws, Policies and Program Identifiers: Higher Education Act Title IV; Higher Education Act 1965; Pell Grant Program; Federal Direct Student Loan Program
Abstract: Title IV of the Higher Education Act (HEA) authorizes the primary federal financial assistance programs to aid students and their families in gaining access to and financing a postsecondary education. These programs include the William D. Ford Federal Direct Loan (Direct Loan) program and the Pell Grant program. On July 4, 2025, P.L. 119-21, the FY2025 budget reconciliation law, was enacted. The law addresses a broad array of federal laws and programs, and Title VIII specifically amends several aspects of HEA Title IV. The Congressional Budget Office (CBO) estimates that P.L. 119-21's amendments to the HEA will result in net mandatory savings of about $284 billion over the FY2025-FY2034 period. The majority of these savings are primarily derived from changes to the Direct Loan program, with amendments to the student loan repayment plans accounting for the bulk of the savings. This report provides a brief legislative history of P.L. 119-21 and then describes and analyzes the provision in Title VIII that relates to the HEA Title IV programs.
Abstractor: ERIC
Entry Date: 2026
Accession Number: ED678628
Database: ERIC