In a move to make higher education more affordable for working families and to honor the legacy of the late U.S. Senator Claiborne Pell (D-RI), U.S. Senators Jack Reed (D-RI), Sheldon Whitehouse (D-RI), and Mazie K. Hirono (D-HI) have spearheaded an initiative urging the Senate Appropriations Committee to significantly boost funding for the Pell Grant program for Fiscal Year 2025. Joined by 41 of their colleagues, the senators emphasized the urgent need for a discretionary increase to the grant, which is a critical financial aid resource for millions of students.
A recent federal analysis from 2024 projected a $1.3 billion shortfall in the Pell Grant program if Congress does not allocate additional funding. Created in 1972, the Pell Grant provides need-based financial assistance, currently offering up to $7,395 per student to help cover college costs. Despite this support, the grant now covers only about one-fifth of the average expenses at a four-year college, a significant drop from its initial value.
“We remain concerned that the value of the Pell Grant has steadily declined since it was first created – now covering the lowest share of the cost of attendance in its 50-year history,” the senators wrote. “Increasing the maximum award would provide a substantial investment toward reversing this decades-long decline.”
The letter to the Senate Appropriations Committee outlines three primary objectives for the increased discretionary allocation:
- Meeting the financial needs of students;
- Protecting all Pell Grant program reserves; and
- Expanding eligibility to historically excluded or previously ineligible students.
“The need for Congress to provide robust investment in the Pell Grant program is clear. In the wake of the COVID-19 pandemic, students are still struggling just to meet their basic needs as they pursue higher education,” the senators continued. “It is critically important that the Subcommittee continues to protect all Pell Grant reserves from any reallocation, raid, or rescission that would hasten any shortfalls in the program.”
The senators emphasized the essential role of the Pell Grant in federal student aid, which currently supports over 6 million students nationwide. They argue that continued investment will extend educational opportunities to more low- and moderate-income families, helping to cultivate a highly educated workforce essential for the country’s future.
The Pell Grant program’s funding is determined annually by Congress. For the 2024-2025 school year, Senators Reed and Whitehouse successfully increased the maximum Pell award to $7,395, a $500 increase from the previous year and $900 higher than in 2022. This marked the second increase during President Biden’s administration, following a long period of stagnation since 2009.
Students can determine their Pell Grant eligibility by completing the Free Application for Federal Student Aid (FAFSA). In the 2021-2022 academic year, Rhode Island students received over $89 million in Pell Grant funding, benefiting 21,422 recipients in the state.
This push for increased Pell Grant funding represents a crucial effort to make higher education more accessible and affordable for millions of American students, ensuring that financial barriers do not impede their academic and professional aspirations.
In addition to Senators Hirono, Reed, and Whitehouse, the letter is signed by Senators Angus King (I-ME), Tom Carper (D-DE), Tammy Duckworth (D-IL), Tim Kaine (D-VA), Raphael Warnock (D-GA), Alex Padilla (D-CA), Brian Schatz (D-HI), Kirsten Gillibrand (D-NY), Ben Cardin (D-MD), Richard Blumenthal (D-CT), Debbie Stabenow (D-MI), Maria Cantwell (D-WA), Amy Klobuchar (D-MN), Ed Markey (D-MA), Chris Murphy (D-CT), Bob Casey (D-PA), Gary Peters (D-MI), Michael Bennet (D-CO), Peter Welch (D-VT), Mark Kelly (D-AZ), Jon Ossoff (D-GA), Cory Booker (D-NJ), Chris Van Hollen (D-MD), Jeff Merkley (D-OR), Elizabeth Warren (D-MA), Catherine Cortez Masto (D-NV), Maggie Hassan (D-NH), Sherron Brown (D-OH), Jon Tester (D-MT), Ben Ray Lujan (D-NM), Tina Smith (D-MN), Jeanne Shaheen (D-NH), Dick Durbin (D-IL), Kyrsten Sinema (I-AZ), Ron Wyden (D-OR), Chris Coons (D-DE), Bernie Sanders (I-VT), John Hickenlooper (D-CO), Jacky Rosen (D-NV), Mark Warner (D-VA), and Laphonza Butler (D-CA).
The full text of the letter follows:
Dear Chair Baldwin and Ranking Member Capito:
As you begin your work on Fiscal Year 2025 (FY 2025) appropriations, we urge the Labor, Health and Human Services, Education, and Related Agencies (LHHS) Subcommittee to make sure the discretionary allocation for the Pell Grant effectively meets the needs of students, protects all Pell Grant program reserves, and expands eligibility to students who have been historically excluded or previously cut out from being eligible for the Pell Grant. We respectfully request you provide a discretionary increase to the award as Congress works toward doubling the Pell Grant for students.
We appreciate the LHHS Subcommittee’s work to increase the Pell Grant maximum award in recent years. But we remain concerned that the value of the Pell Grant has steadily declined since it was first created – now covering the lowest share of the cost of attendance in its 50-year history. Increasing the maximum award would provide a substantial investment toward reversing this decades-long decline.
The need for Congress to provide robust investment in the Pell Grant program is clear. In the wake of the COVID-19 pandemic, students are still struggling just to meet their basic needs as they pursue higher education. Recently, for example, the Center for Community College Student Engagement (CCCSE) reported that 29 percent of the students they surveyed were food insecure, and 14 percent were housing insecure. Especially at a time of expected shortfalls in the Pell Grant program, it is critically important that the Subcommittee continues to protect all Pell Grant reserves from any reallocation, raid, or rescission that would hasten any shortfalls in the program. Pell Grant funds should be retained in the program to increase the maximum award, reverse prior eligibility cuts, and provide new opportunities to provide higher education to historically underrepresented students.
The Pell Grant is the cornerstone of federal student aid, and currently helps over 6 million students pursue higher education in the United States. With a continued investment in the Pell Grant, we can better extend educational opportunity to more students from low- and moderate- income families, who will be critical to meeting the demand for a highly educated-workforce.
Thank you for your continued commitment to the Pell Grant. We appreciate your consideration of these requests.
Sincerely,
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