Degrees Not Debt Act of 2022
This bill increases the maximum federal Pell Grant award. The bill also repeals the increased alternative minimum tax exemption for individuals and the increased estate and gift tax exemption.
To increase the total maximum Federal Pell Grant, and for other 
                               purposes.

    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 ``Degrees Not Debt Act of 2022''.

SEC. 2. INCREASE IN THE MAXIMUM AMOUNT OF A FEDERAL PELL GRANT.

    (a) Award Year 2022-2023.--Section 401(b)(7)(C) of the Higher 
Education Act of 1965 (20 U.S.C. 1070a(b)(7)(C)) is amended--
            (1) in clause (i)(I), by striking ``clause (iv)(II)'' and 
        inserting ``clause (v)(II)'';
            (2) in clause (ii)(I), by striking ``clause (iv)(II)'' and 
        inserting ``clause (v)(II)'';
            (3) by amending clause (iii) to read as follows:
                            ``(iii) Award years 2018-2019 through 2021-
                        2022.--For award years 2018-2019 through 2021-
                        2022, the amount determined under this 
                        subparagraph for purposes of subparagraph 
                        (B)(iii) shall be equal to the amount 
                        determined under clause (ii) for award year 
                        2017-2018.'';
            (4) by redesignating clause (iv) as clause (v); and
            (5) by inserting after clause (iii) (as amended by this 
        subsection) the following:
                            ``(iv) Award year 2022-2023.--For award 
                        year 2022-2023, the amount determined under 
                        this subparagraph for purposes of subparagraph 
                        (B)(iii) shall be equal to--
                                    ``(I) $13,800; reduced by
                                    ``(II) the maximum Federal Pell 
                                Grant for which a student was eligible 
                                for the preceding award year, as 
                                specified in the last enacted 
                                appropriation Act applicable to that 
                                year; and
                                    ``(III) rounded to the nearest 
                                $5.''.
    (b) Award Year 2023-2024 and Subsequent Award Years.--
            (1) Amendment to award amount.--Section 401(b)(5)(A)(i) of 
        the Higher Education Act of 1965 (20 U.S.C. 1070a(b)(5)(A)(i)), 
        as amended by section 703 of the FAFSA Simplification Act 
        (title VII of division FF of Public Law 116-260), is amended to 
        read as follows:
                            ``(i) $13,800 reduced by the amount 
                        specified as the maximum Federal Pell Grant in 
                        the last enacted appropriation Act applicable 
                        to that award year, except that for each award 
                        year subsequent to award year 2023-2024, this 
                        clause shall be applied by substituting `the 
                        amount that is equal to $13,800, increased by a 
                        percentage equal to the annual adjustment 
                        percentage for the award year for which the 
                        amount under this subparagraph is being 
                        determined, then' for `$13,800'; and''.
            (2) Definition.--Section 401(a)(2) of the Higher Education 
        Act of 1965 (20 U.S.C. 1070a(a)(2)), as amended by section 703 
        of the FAFSA Simplification Act (title VII of division FF of 
        Public Law 116-260), is amended--
                    (A) in subparagraph (E), by striking ``and'' after 
                the semicolon;
                    (B) in subparagraph (F), by striking the period and 
                inserting ``; and''; and
                    (C) by adding at the end the following:
                    ``(G) the term `annual adjustment percentage' as 
                applied to an award year, is equal to the estimated 
                percentage change 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.''.
            (3) Effective date.--The amendments made by this subsection 
        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 in accordance with section 701(b) of such Act.

SEC. 3. REPEAL OF INCREASED ALTERNATIVE MINIMUM TAX EXEMPTION AMOUNT 
              FOR INDIVIDUALS.

    (a) In General.--Section 55(d) of the Internal Revenue Code of 1986 
is amended by striking paragraph (4).
    (b) Effective Date.--The amendment made by this section shall apply 
to taxable years beginning after December 31, 2021.

SEC. 4. REPEAL OF INCREASED ESTATE AND GIFT TAX EXEMPTION.

    (a) In General.--Section 2010(c)(3)(C) of the Internal Revenue Code 
of 1986 is amended by striking ``January 1, 2026'' and inserting ``the 
date of the enactment of the Degrees Not Debt Act of 2022''.
    (b) Effective Date.--The amendment made by this section shall apply 
to estates of decedents dying and gifts made after the date of the 
enactment of this Act.
                                 <all>
Degrees Not Debt Act of 2022
To increase the total maximum Federal Pell Grant, and for other purposes.
Degrees Not Debt Act of 2022
Rep. Carbajal, Salud O.