College for All Act of 2021
This bill establishes measures to expand access to higher education, including by eliminating tuition and required fees for eligible students, revising the Federal Pell Grant program, and reauthorizing certain programs to assist students from disadvantaged backgrounds.
Specifically, the bill provides funding to eliminate tuition and required fees for (1) all students at community colleges and two-year tribal colleges and universities; (2) working- and middle-class students at four-year public institutions of higher education (IHEs) and tribal colleges and universities; and (3) eligible students at private, nonprofit historically Black colleges and universities (HBCUs) and minority-serving institutions.
The bill permanently reauthorizes and otherwise revises the Federal Pell Grant program by
Next, the bill makes Dreamer students (i.e., students who have been granted Deferred Action for Childhood Arrivals status) who entered the United States before the age of 16 and who meet certain educational criteria eligible for federal financial aid.
Further, the bill requires the Department of Education to award grants to underfunded IHEs, HBCUs, and minority-serving institutions for investing in support programs to improve student outcomes (e.g., graduation rates).
The bill also reauthorizes through FY2031 the Federal TRIO Programs and reauthorizes through FY2025 the Gaining Early Awareness and Readiness for Undergraduate Programs.
To amend the Higher Education Act of 1965 to ensure College for All.

    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 ``College for All Act of 2021''.

 TITLE I--FEDERAL-STATE PARTNERSHIP TO ELIMINATE TUITION AND REQUIRED 
                                  FEES

SEC. 101. FEDERAL-STATE PARTNERSHIP TO ELIMINATE TUITION AND REQUIRED 
              FEES.

    The Higher Education Act of 1965 (20 U.S.C. 1001 et seq.) is 
amended by adding at the end the following:

``TITLE IX--FEDERAL-STATE PARTNERSHIP TO ELIMINATE TUITION AND REQUIRED 
                                  FEES

``SEC. 901. GRANT PROGRAM TO ELIMINATE TUITION AND REQUIRED FEES AT 
              PUBLIC INSTITUTIONS OF HIGHER EDUCATION AND TRIBAL 
              COLLEGES AND UNIVERSITIES.

    ``(a) Definitions.--In this section:
            ``(1) Award year.--The term `award year' has the meaning 
        given the term in section 481(a).
            ``(2) Community college.--The term `community college' 
        means--
                    ``(A) a public institution of higher education at 
                which the credential that is predominantly awarded to 
                students is at the sub-baccalaureate level; or
                    ``(B) a public postsecondary vocational 
                institution, as defined under section 102(c).
            ``(3) Cost of attendance.--The term `cost of attendance' 
        has the meaning given the term in section 472.
            ``(4) Dual or concurrent enrollment program.--The term 
        `dual or concurrent enrollment program' has the meaning given 
        the term in section 8101 of the Elementary and Secondary 
        Education Act of 1965.
            ``(5) Early college high school.--The term `early college 
        high school' has the meaning given the term in section 8101 of 
        the Elementary and Secondary Education Act of 1965.
            ``(6) Eligible indian entity.--The term `eligible Indian 
        entity' means the entity responsible for the governance, 
        operation, or control of a Tribal College or University.
            ``(7) Eligible student.--The term `eligible student' means 
        an individual, regardless of age, who has not obtained a 
        baccalaureate degree or higher degree and--
                    ``(A) is enrolled, or plans to enroll, in a 
                community college in the State in which the individual 
                is a resident or in a 2-year Tribal College or 
                University; or
                    ``(B) is a working class or middle class student, 
                as described in subsection (d)(3), who is enrolled or 
                plans to enroll in a 4-year public institution of 
                higher education in the State in which the individual 
                is a resident or in a 4-year Tribal College or 
                University.
            ``(8) Full-time equivalent eligible students.--The term 
        `full-time equivalent eligible students', when used with 
        respect to an institution of higher education, has the meaning 
        given the term `full-time equivalent students', except that the 
        calculation shall be made based on the number of eligible 
        students enrolled at such institution.
            ``(9) Full-time equivalent students.--The term `full-time 
        equivalent students' means the sum of the number of students 
        enrolled full time at an institution, plus the full-time 
        equivalent of the number of students enrolled part time 
        (determined on the basis of the quotient of the sum of the 
        credit hours of all part-time students divided by 12) at such 
        institution.
            ``(10) Institution of higher education.--The term 
        `institution of higher education' has the meaning given the 
        term in section 101.
            ``(11) Public 4-year institution of higher education.--The 
        term `public 4-year institution of higher education' means a 
        public institution of higher education that is not a community 
        college.
            ``(12) Tribal college or university.--The term `Tribal 
        College or University' has the meaning given the term in 
        section 316(b)(3).
            ``(13) 2-year tribal college or university.--The term `2-
        year Tribal College or University' means a Tribal College or 
        University at which the credential that is predominantly 
        awarded to students is at the sub-baccalaureate level.
            ``(14) 4-year tribal college or university.--The term `4-
        year Tribal College or University' means a Tribal College or 
        University that is not a 2-year Tribal College or University.
    ``(b) Program Authorized.--
            ``(1) Grants authorized.--From amounts appropriated under 
        subsection (g), the Secretary shall award grants, from 
        allotments under subsection (c), to States and eligible Indian 
        entities having applications approved under subsection (e), to 
        enable the States and eligible Indian entities--
                    ``(A) to eliminate tuition and required fees for 
                all eligible students at community colleges in the 
                State or at 2-year Tribal Colleges and Universities of 
                the eligible Indian entity; and
                    ``(B) to eliminate tuition and required fees for 
                working class and middle class eligible students, as 
                described in subsection (d)(3), at public 4-year 
                institutions of higher education in the State or 4-year 
                Tribal Colleges and Universities of the eligible Indian 
                entity.
            ``(2) Non-federal share requirement.--
                    ``(A) In general.--Except as provided in 
                subparagraphs (B) and (C), each State or eligible 
                Indian entity that receives a grant under this section 
                shall provide a non-Federal share of funds for an award 
                year from non-Federal sources in an amount that is 
                equal to 25 percent of the amount required to eliminate 
                tuition and required fees--
                            ``(i) in the case of a State, at community 
                        colleges in the State for all eligible students 
                        and at public 4-year institutions of higher 
                        education in the State for working class and 
                        middle class eligible students, as described in 
                        subsection (d)(3), for the award year; and
                            ``(ii) in the case of an eligible Indian 
                        entity, at 2-year Tribal Colleges and 
                        Universities of the eligible Indian entity for 
                        all eligible students and at 4-year Tribal 
                        Colleges and Universities of the eligible 
                        Indian entity for working class and middle 
                        class eligible students, as described in 
                        subsection (d)(3), for the award year.
                    ``(B) Non-federal share requirement for certain 
                eligible indian entities.--
                            ``(i) In general.--In the case of an 
                        eligible Indian entity that receives a grant 
                        under this section for an award year for which 
                        not less than 75 percent of the students 
                        enrolled in the 2-year Tribal Colleges and 
                        Universities and 4-year Tribal Colleges and 
                        Universities of the eligible Indian entity are 
                        low-income students, such eligible Indian 
                        entity shall provide a non-Federal share of 
                        funds from non-Federal sources in an amount 
                        that is equal to not more than 5 percent of the 
                        amount necessary to eliminate tuition and 
                        required fees at 2-year Tribal Colleges and 
                        Universities of the eligible Indian entity for 
                        all eligible students and at 4-year Tribal 
                        Colleges and Universities of the eligible 
                        Indian entity for working class and middle 
                        class eligible students, as described in 
                        subsection (d)(3), for the award year.
                            ``(ii) Low-income student.--In this 
                        subparagraph, the term `low-income student' has 
                        the meaning given such term by the Secretary, 
                        except that such term shall not exclude any 
                        student eligible for a Federal Pell Grant under 
                        section 401.
                            ``(iii) Data.--In calculating the number of 
                        enrolled students and low-income students for 
                        purposes of clause (i), the Secretary shall 
                        use--
                                    ``(I) for the first award year of 
                                the program under this section, the 
                                number of students enrolled in award 
                                year 2019-2020; and
                                    ``(II) for each subsequent award 
                                year, the projected student enrollment 
                                numbers for the award year for which 
                                the allotment is made.
                    ``(C) Automatic stabilizer.--
                            ``(i) In general.--Notwithstanding 
                        subparagraph (A) and subsection (c)(1), in the 
                        case in which a trigger is turned on--
                                    ``(I) under clause (ii) with 
                                respect to a State, the Secretary 
                                shall--
                                            ``(aa) apply subparagraph 
                                        (A), by substituting `10 
                                        percent' for `25 percent'; and
                                            ``(bb) apply subsection 
                                        (c)(1), by substituting `90 
                                        percent' for `75 percent'; and
                                    ``(II) under clause (iii) with 
                                respect to an eligible Indian entity, 
                                the Secretary shall--
                                            ``(aa) in the case in which 
                                        subparagraph (B) is not 
                                        applicable--

                                                    ``(AA) apply 
                                                subparagraph (A), by 
                                                substituting `10 
                                                percent' for `25 
                                                percent'; and

                                                    ``(BB) apply 
                                                subsection (c)(1), by 
                                                substituting `90 
                                                percent' for `75 
                                                percent'; or

                                            ``(bb) in the case in which 
                                        subparagraph (B) is 
                                        applicable--

                                                    ``(AA) apply 
                                                subparagraph (B)(i), by 
                                                substituting `3 
                                                percent' for `5 
                                                percent'; and

                                                    ``(BB) apply 
                                                subsection (c)(1), by 
                                                substituting `97 
                                                percent' for `95 
                                                percent'.

                            ``(ii) Trigger for states.--A trigger shall 
                        be turned on under this clause with respect to 
                        a State if--
                                    ``(I) the 3-month moving average of 
                                the national prime-age employment-to-
                                population ratio (PAEPOP) is less than 
                                98 percent of the maximum in the 
                                previous 12 months, and such trigger 
                                shall stay on until the 3-month moving 
                                average of the national PAEPOP has 
                                improved for three consecutive months 
                                and is above 95 percent of the maximum 
                                in the 12 months before the trigger was 
                                turned on;
                                    ``(II) the 3-month moving average 
                                of the total unemployment rate (TUR) of 
                                the State is at or above 7.5 percent, 
                                and such trigger shall stay on until 
                                the 3-month moving average of the TUR 
                                of the State falls below 7.5 percent; 
                                or
                                    ``(III) the 3-month moving average 
                                of the total unemployment rate (TUR) of 
                                the State is at or above 108 percent of 
                                the maximum in the previous 12 months, 
                                and such trigger shall stay on until 
                                the 3-month moving average of the TUR 
                                of the State falls below 115 percent of 
                                the maximum in the 12 months before the 
                                trigger was turned on.
                            ``(iii) Trigger for eligible indian 
                        entity.--A trigger shall be turned on under 
                        this clause with respect to an eligible Indian 
                        entity if any Tribal College or University 
                        governed, operated, or controlled by the 
                        eligible Indian entity is located in a State 
                        for which a trigger is turned on under clause 
                        (ii).
                            ``(iv) Inclusion of determination in 
                        employment statistics reports.--Notwithstanding 
                        any other provision of law, the Commissioner of 
                        the Bureau of Labor Statistics shall include in 
                        each monthly employment situation report and 
                        each State unemployment and employment report 
                        published by the Commissioner a specific 
                        determination of whether any State or national 
                        trigger is turned on under this subparagraph.
            ``(3) No in-kind contributions.--No in-kind contribution 
        shall count toward the non-Federal share requirement under 
        paragraph (2).
            ``(4) Sustain and expand existing programs.--The Secretary 
        shall encourage States to sustain and expand tuition-free 
        `College Promise' programs that are in existence on the date of 
        enactment of the College for All Act of 2021, especially for 
        programs that cover the `last dollar' of tuition and fees after 
        exhausting Federal and State aid.
    ``(c) Determination of Allotment.--
            ``(1) First award year of program.--The Secretary shall 
        allot, to each eligible State or eligible Indian entity that 
        submits an application under this section for a grant under 
        subsection (b)(1) for the first award year of the program under 
        this section, an amount that is equal to 75 percent (or not 
        less than 95 percent in the case of an eligible Indian entity 
        described in subsection (b)(2)(B)) of the total revenue 
        received--
                    ``(A) in the case of a State, from all eligible 
                students at community colleges in the State and from 
                working class and middle class eligible students, as 
                described in subsection (d)(3), at public 4-year 
                institutions of higher education in the State in the 
                form of tuition and required fees for--
                            ``(i) with respect to a State that did not 
                        eliminate tuition and required fees as 
                        described in paragraphs (2) and (3) of 
                        subsection (d) for the preceding award year, 
                        award year 2019-2020; or
                            ``(ii) with respect to a State that has 
                        eliminated tuition and required fees as 
                        described in such paragraphs, the last award 
                        year that the State charged tuition and 
                        required fees; and
                    ``(B) in the case of an eligible Indian entity, 
                from all eligible students at 2-year Tribal Colleges 
                and Universities of the eligible Indian entity and from 
                working class and middle class eligible students, as 
                described in subsection (d)(3), at 4-year Tribal 
                Colleges and Universities of the eligible Indian 
                entity, in the form of tuition and required fees for--
                            ``(i) with respect to an eligible Indian 
                        entity that did not eliminate tuition and 
                        required fees as described in paragraphs (2) 
                        and (3) of subsection (d) for the preceding 
                        award year, award year 2019-2020; or
                            ``(ii) with respect to an eligible Indian 
                        entity that has eliminated tuition and required 
                        fees as described in such paragraphs, the last 
                        award year for which the eligible Indian entity 
                        charged tuition and required fees.
            ``(2) First award year allotment for states and eligible 
        indian entities applying after the first year of the program.--
                    ``(A) In general.--The Secretary shall allot to 
                each eligible State or eligible Indian entity that 
                submits its first application for a grant under 
                subsection (b)(1) for the second or a subsequent year 
                of the program under this section, an amount equal to--
                            ``(i) the product of--
                                    ``(I) the allotment the eligible 
                                State or eligible Indian entity would 
                                have received in the first award year 
                                of the program under this section if 
                                the State or eligible Indian entity had 
                                submitted an application for such year;
                                    ``(II) the projected full-time 
                                equivalent eligible students figure for 
                                all community colleges and public 4-
                                year institutions of higher education 
                                of the eligible State, or all 2-year 
                                Tribal Colleges and Universities and 4-
                                year Tribal Colleges and Universities 
                                of the eligible Indian entity, for the 
                                award year for which the allotment is 
                                made; and
                                    ``(III) the amount of additional 
                                expenditures per full-time equivalent 
                                eligible student by the eligible State 
                                or eligible Indian entity that will be 
                                necessary to eliminate tuition and 
                                required fees for each such student for 
                                the award year for which the allotment 
                                is made; divided by
                            ``(ii) the product of--
                                    ``(I) the full-time equivalent 
                                eligible students figure for all 
                                community colleges and public 4-year 
                                institutions of higher education of the 
                                eligible State, or all 2-year Tribal 
                                Colleges and Universities and 4-year 
                                Tribal Colleges and Universities of the 
                                eligible Indian entity, for the first 
                                award year of the program for which the 
                                eligible State or eligible Indian 
                                entity was eligible to submit an 
                                application under this section; and
                                    ``(II) the amount of expenditures 
                                per full-time equivalent eligible 
                                student by the eligible State or 
                                eligible Indian entity that would have 
                                been necessary to eliminate tuition and 
                                required fees for each such student for 
                                the first award year of the program for 
                                which the eligible State or eligible 
                                Indian entity was eligible to submit an 
                                application under this section.
                    ``(B) Projected enrollment.--If the projected full-
                time equivalent eligible students figure of the State 
                or eligible Indian entity under subparagraph (A) is 
                more than 25 percent larger than the full-time 
                equivalent eligible students figure for the preceding 
                year, the Secretary may challenge such enrollment 
                projection and offer an alternative enrollment 
                projection which shall be used in the formula under 
                subparagraph (A) for determining the allotment.
            ``(3) Subsequent award years.--
                    ``(A) In general.--The Secretary shall allot to an 
                eligible State or eligible Indian entity submitting an 
                application for a grant under subsection (b)(1) for a 
                second or subsequent year after receiving a grant under 
                paragraph (1) or (2), an amount equal to--
                            ``(i) the product of--
                                    ``(I) the allotment received for 
                                the first award year for which the 
                                eligible State or eligible Indian 
                                entity submitted an application;
                                    ``(II) the projected full-time 
                                equivalent eligible students figure for 
                                all community colleges and public 4-
                                year institutions of higher education 
                                of the eligible State, or all 2-year 
                                Tribal Colleges and Universities and 4-
                                year Tribal Colleges and Universities 
                                of the eligible Indian entity, for the 
                                award year for which the allotment is 
                                made; and
                                    ``(III) the amount of additional 
                                expenditures per full-time equivalent 
                                eligible student by the eligible State 
                                or eligible Indian entity that will be 
                                necessary to eliminate tuition and 
                                required fees for each such student for 
                                the award year for which the allotment 
                                is made; divided by
                            ``(ii) the product of--
                                    ``(I) the full-time equivalent 
                                eligible student figure for all 
                                community colleges and public 4-year 
                                institutions of higher education of the 
                                eligible State, or all 2-year Tribal 
                                Colleges and Universities and 4-year 
                                Tribal Colleges and Universities of the 
                                eligible Indian entity, for the first 
                                award year that the State or eligible 
                                Indian entity participates under 
                                paragraph (1) or (2), as the case may 
                                be; and
                                    ``(II) the amount of expenditures 
                                per full-time equivalent eligible 
                                student by the eligible State or 
                                eligible Indian entity that was 
                                necessary to eliminate tuition and 
                                required fees for each such student for 
                                the first award year that the State or 
                                eligible Indian entity participates 
                                under paragraph (1) or (2), as the case 
                                may be.
                    ``(B) Projected enrollment.--If the projected full-
                time equivalent eligible students figure of the State 
                or eligible Indian entity under subparagraph (A) is 
                more than 25 percent larger than the full-time 
                equivalent eligible students figure for the preceding 
                year, the Secretary may challenge such enrollment 
                projection and offer an alternative enrollment 
                projection which shall be used in the formula under 
                subparagraph (A) for determining the allotment.
            ``(4) Actual enrollment figures.--
                    ``(A) In general.--By not later than November 1 of 
                the second award year for which a State or eligible 
                Indian entity receives an allotment under this section, 
                and each succeeding November 1, such State or eligible 
                Indian entity shall report to the Secretary its actual 
                full-time equivalent eligible students figure for the 
                preceding award year.
                    ``(B) Adjustments.--If the actual full-time 
                equivalent eligible students figure for the preceding 
                award year reported under subparagraph (A)--
                            ``(i) exceeds the projected enrollment that 
                        was used for determining the allotment for the 
                        preceding award year, notwithstanding any other 
                        provision of this section, the allotment for 
                        the award year in which the November 1 date 
                        falls for the State or eligible Indian entity 
                        shall be increased to reflect such actual 
                        enrollment, which figure shall be increased by 
                        the State Gross Domestic Product Price Index, 
                        or the Gross Domestic Product Price Index of 
                        the State in which the eligible Indian entity 
                        operates; or
                            ``(ii) is below the projected enrollment 
                        that was used for determining the allotment for 
                        the preceding award year, notwithstanding any 
                        other provision of this section, the allotment 
                        for the award year in which the November 1 date 
                        falls for the State or eligible Indian entity 
                        shall be decreased to reflect such actual 
                        enrollment, which figure shall be increased by 
                        the average interest rate on 5-year United 
                        States Treasury securities issued during the 
                        preceding award year.
            ``(5) Additional funds.--If a State or eligible Indian 
        entity provides additional funds toward reducing the cost of 
        attendance and improving instruction at institutions of higher 
        education beyond the cost of eliminating tuition and required 
        fees as described in paragraphs (2) and (3) of subsection (d) 
        for any award year that is more than the non-Federal share 
        requirement under subsection (b)(2) and the maintenance of 
        expenditures requirement under paragraphs (4) and (5) of 
        subsection (d), the Secretary shall provide to the State or 
        eligible Indian entity an amount equal to such additional 
        funding provided by the State or eligible Indian entity, which 
        amount provided by the Secretary may be used for the activities 
        described in subsection (f)(2).
    ``(d) State and Eligible Indian Entity Eligibility Requirements.--
In order to be eligible to receive an allotment under this section for 
an award year, a State or eligible Indian entity shall comply with the 
following:
            ``(1) Ensure that public institutions of higher education 
        in the State or Tribal Colleges and Universities of the 
        eligible Indian entity maintain expenditures on instruction per 
        full-time equivalent student at levels that are equal to or 
        exceed the expenditures on instruction per full-time equivalent 
        student for award year 2019-2020.
            ``(2) Ensure that tuition and required fees for eligible 
        students in the State's community college system or eligible 
        students in the 2-year Tribal Colleges and Universities of the 
        eligible Indian entity are eliminated.
            ``(3)(A) Ensure that tuition and required fees for eligible 
        students attending the State's public 4-year institutions of 
        higher education or eligible students attending the 4-year 
        Tribal Colleges and Universities of the eligible Indian entity 
        are eliminated as follows:
                    ``(i) For the first award year of the program under 
                this section, the State or eligible Indian entity shall 
                eliminate tuition and required fees for such students--
                            ``(I) who are dependent students, whose 
                        parents' adjusted gross income for the taxable 
                        year that is 1 year prior to the taxable year 
                        that ends immediately prior to the beginning of 
                        the award year is equal to or less than 
                        $125,000; and
                            ``(II) who are independent students, whose 
                        adjusted gross income for the taxable year that 
                        is 1 year prior to the taxable year that ends 
                        immediately prior to the beginning of the award 
                        year is equal to or less than $125,000.
                    ``(ii) For each award year after the first award 
                year of the program under this section, the State or 
                eligible Indian entity shall eliminate tuition and 
                required fees for such students--
                            ``(I) who are dependent students, whose 
                        parents' adjusted gross income for the taxable 
                        year that is 1 year prior to the taxable year 
                        that ends immediately prior to the beginning of 
                        the award year is equal to or less than the 
                        applicable amount; and
                            ``(II) who are independent students, whose 
                        adjusted gross income for the taxable year that 
                        is 1 year prior to the taxable year that ends 
                        immediately prior to the beginning of the award 
                        year is equal to or less than the applicable 
                        amount.
            ``(B)(i) In this paragraph, the term `applicable amount' 
        means an amount equal to, for any award year beginning after 
        the calendar year that precedes the calendar year in which the 
        first award year of the program under this section begins, the 
        greater of--
                    ``(I) the amount determined under this subparagraph 
                for the preceding award year, or
                    ``(II) an amount equal to the product of--
                            ``(aa) $125,000, and
                            ``(bb) the ratio of--
                                    ``(AA) the national average wage 
                                index (as defined in section 209(k)(1) 
                                of the Social Security Act (42 U.S.C. 
                                409(k)(1))) for the calendar year 
                                preceding the calendar year in which 
                                the applicable award year begins, to
                                    ``(BB) the national average wage 
                                index (as so defined) for 2020.
            ``(ii) If any amount determined under clause (i) is not a 
        multiple of $100, such amount shall be rounded to the nearest 
        multiple of $100.
            ``(4) Maintain State operating expenditures per full-time 
        equivalent student for public institutions of higher education 
        in the State, or operating expenditures per full-time 
        equivalent student for Tribal Colleges and Universities of the 
        eligible Indian entity, excluding the amount of funds provided 
        under this section, at a level that is equal to or exceeds the 
        level of such support for award year 2019-2020.
            ``(5) Maintain State expenditures on need-based financial 
        aid programs for enrollment in public institutions of higher 
        education in the State or expenditures on need-based financial 
        aid programs for enrollment in Tribal Colleges and Universities 
        of the eligible Indian entity at a level that is equal to or 
        exceeds the level of such support for award year 2019-2020.
            ``(6) Ensure public institutions of higher education in the 
        State or Tribal Colleges and Universities of the eligible 
        Indian entity maintain funding for institutional need-based 
        student financial aid in an amount that is equal to or exceeds 
        the level of such support for award year 2019-2020.
            ``(7) Provide an assurance that not later than 5 years 
        after the first award year for which the grant is awarded, not 
        less than 75 percent of instruction at public institutions of 
        higher education in the State or Tribal Colleges and 
        Universities of the eligible Indian entity is provided by 
        tenure-track or tenured faculty.
            ``(8) Provide an assurance that public institutions of 
        higher education in the State or Tribal Colleges and 
        Universities of the eligible Indian entity make it a priority 
        to hire from the existing adjunct, contract, contingent, and 
        non-tenure track or tenured faculty pool for tenure-track or 
        tenured faculty positions.
            ``(9) Require that public institutions of higher education 
        in the State or Tribal Colleges and Universities of the 
        eligible Indian entity provide, for each student enrolled at 
        the institution who receives the maximum Federal Pell Grant 
        award under subpart 1 of part A of title IV, institutional 
        student financial aid (excluding student loans) in an amount 
        equal to 100 percent of the difference between--
                    ``(A) the cost of attendance at such institution; 
                and
                    ``(B) the sum of--
                            ``(i) the amount of the maximum Federal 
                        Pell Grant award; and
                            ``(ii) the student's expected family 
                        contribution.
            ``(10) Ensure that public institutions of higher education 
        in the State or Tribal Colleges and Universities of the 
        eligible Indian entity not adopt policies to reduce enrollment.
            ``(11) Provide an assurance that public institutions of 
        higher education in the State or Tribal Colleges and 
        Universities of the eligible Indian entity will not charge out 
        of State students an amount that exceeds the marginal cost of 
        attending institutions of higher education in the State or 
        Tribal Colleges and Universities of the eligible Indian entity.
            ``(12) Provide an assurance that public institutions of 
        higher education in the State or Tribal Colleges and 
        Universities of the eligible Indian entity that charge non-
        eligible in-State students tuition and required fees, will not 
        charge such students a rate that exceeds the rate for the last 
        year that tuition and required fees were charged to eligible 
        students, increased by the percentage change for subsequent 
        years in the expenditures per full-time equivalent eligible 
        student by the State or eligible entity that is necessary to 
        continue to eliminate tuition and required fees for eligible 
        students.
            ``(13) Provide an assurance that public institutions of 
        higher education in the State or Tribal Colleges and 
        Universities of the eligible Indian entity maintain a 
        disability services personnel to enrolled student ratio of 1 to 
        500, and that such full-time employees be specifically 
        dedicated to serving students with disabilities.
    ``(e) Submission and Contents of Application.--For each award year 
for which a State or eligible Indian entity desires a grant under this 
section, an application shall be submitted to the Secretary at such 
time, in such manner, and containing such information as the Secretary 
may require. Such application shall be submitted by--
            ``(1) in the case of a State, the State agency with 
        jurisdiction over higher education or another agency designated 
        by the Governor or chief executive of the State to administer 
        the program under this section; and
            ``(2) in the case of an eligible Indian entity, the 
        eligible Indian entity or a Tribal College or University of the 
        eligible Indian entity.
    ``(f) Use of Funds.--
            ``(1) In general.--A State or eligible Indian entity that 
        receives a grant under this section shall use the grant funds 
        and the non-Federal share funds required under this section--
                    ``(A) to eliminate tuition and required fees for 
                all eligible students at community colleges in the 
                State or at 2-year Tribal Colleges and Universities of 
                the eligible Indian entity; and
                    ``(B) to eliminate tuition and required fees for 
                working class and middle class eligible students, as 
                described in subsection (d)(3), at public 4-year 
                institutions of higher education in the State or 4-year 
                Tribal Colleges and Universities of the eligible Indian 
                entity.
            ``(2) Additional funding.--Once tuition and required fees 
        have been eliminated pursuant to paragraph (1), a State or 
        eligible Indian entity that receives a grant under this section 
        shall use any remaining grant funds and non-Federal share funds 
        required under this section to reduce the cost of attendance 
        and increase the quality of instruction and student support 
        services at public institutions of higher education in the 
        State or at Tribal Colleges and Universities of the eligible 
        Indian entity by carrying out any of the following:
                    ``(A) Providing additional non-loan aid to 
                students, which may include need-based student 
                financial aid, to reduce or eliminate the cost of 
                attendance for a public institution of higher education 
                or a Tribal College or University beyond eliminating 
                tuition and required fees.
                    ``(B) Expanding academic course offerings and high-
                quality occupational skills training programs to 
                students.
                    ``(C) Increasing the number and percentage of full-
                time instructional faculty, including full-time tenure 
                and tenure-track instructional faculty.
                    ``(D) Providing all faculty with professional 
                supports to help students succeed, such as professional 
                development opportunities, office space, and shared 
                governance in the institution.
                    ``(E) Compensating part-time faculty for work done 
                outside of the classroom relating to instruction, such 
                as holding office hours.
                    ``(F) Strengthening and ensuring all students have 
                access to student support services such as academic 
                advising, counseling, and tutoring.
                    ``(G) Expanding access to dual or concurrent 
                enrollment programs and early college high school 
                programs.
                    ``(H) Establishing prison education programs in 
                partnership with local or State correctional 
                facilities.
                    ``(I) Any other additional activities that improve 
                instructional quality and academic outcomes for 
                students as approved by the Secretary through a peer 
                review process.
            ``(3) Prohibition.--A State or eligible Indian entity that 
        receives a grant under this section may not use grant funds or 
        non-Federal share funds required under this section--
                    ``(A) for the construction of a nonacademic 
                facility, such as a student center or stadium;
                    ``(B) for merit-based student financial aid;
                    ``(C) for need-based student financial aid (except 
                to the extent funds available under subsection (c)(5) 
                are used to carry out paragraph (2)(A));
                    ``(D) to pay the salaries or benefits of school 
                administrators;
                    ``(E) for capital outlays or deferred maintenance; 
                or
                    ``(F) for expenditures on athletics other than 
                activities open to all members of the campus community.
    ``(g) Authorization of Appropriations.--
            ``(1) In general.--There are authorized to be appropriated, 
        and there are appropriated, to carry out this section--
                    ``(A) such sums as may be necessary for the fourth 
                quarter of fiscal year 2021; and
                    ``(B) such sums as may be necessary for each of the 
                fiscal years 2022 through 2030.
            ``(2) Availability of funds.--Funds made available pursuant 
        to paragraph (1)(A) shall be available for obligation from 
        October 1, 2021 to September 30, 2022. Funds made available 
        pursuant to subparagraph (B) or (C) of paragraph (1) shall be 
        available for obligation through September 30 of the fiscal 
        year succeeding the fiscal year for which such sums were 
        appropriated.

``SEC. 902. GRANT PROGRAM FOR PRIVATE HISTORICALLY BLACK COLLEGES AND 
              UNIVERSITIES AND PRIVATE MINORITY-SERVING INSTITUTIONS.

    ``(a) Definitions.--Except as otherwise provided, in this section:
            ``(1) Community college.--The term `community college' has 
        the meaning given the term in section 901.
            ``(2) Eligible institution.--
                    ``(A) In general.--Except as provided in 
                subparagraph (D), the term `eligible institution' means 
                a private, nonprofit 2-year institution or 4-year 
                institution that--
                            ``(i) is--
                                    ``(I) a part B institution (as 
                                defined in section 322);
                                    ``(II) a Hispanic-serving 
                                institution (as defined in section 
                                502);
                                    ``(III) a Tribal College or 
                                University (as defined in section 316) 
                                whose entity responsible for the 
                                governance, operation, or control of 
                                the College or University has not 
                                received a grant under section 901;
                                    ``(IV) an Alaska Native-serving 
                                institution or a Native Hawaiian-
                                serving institution (as defined in 
                                section 317(b));
                                    ``(V) a Predominantly Black 
                                institution (as defined in section 
                                371(c));
                                    ``(VI) an Asian American and Native 
                                American Pacific Islander-serving 
                                institution (as defined in section 
                                371(c)); or
                                    ``(VII) a Native American-serving 
                                nontribal institution (as defined in 
                                section 371(c));
                            ``(ii) ensures that tuition and required 
                        fees for eligible students enrolled in the 
                        institution are eliminated during any period 
                        for which the institution receives a grant 
                        under this section;
                            ``(iii) maintains expenditures on 
                        instruction per a full-time equivalent eligible 
                        student at levels that meet or exceed the 
                        expenditures on instruction per a full-time 
                        equivalent eligible student for award year 
                        2019-2020;
                            ``(iv) maintains expenditures on need-based 
                        financial aid programs for students enrolled at 
                        the institution at a level that meets or 
                        exceeds the level of such support for award 
                        year 2019-2020;
                            ``(v) provides an assurance that the 
                        institution will increase the amount of 
                        instruction provided by tenured or tenure-track 
                        faculty; and
                            ``(vi) does not adopt policies to reduce 
                        enrollment.
                    ``(B) 2-year institution.--The term `2-year 
                institution' means an institution at which the 
                credential that is predominantly awarded to students is 
                at the sub-baccalaureate level.
                    ``(C) 4-year institution.--The term `4-year 
                institution' means an institution that is not a 2-year 
                institution.
                    ``(D) Exception.--
                            ``(i) In general.--An eligible institution 
                        as described in subparagraph (A) shall not be 
                        an eligible institution for purposes of this 
                        section for the period described in clause (ii) 
                        if such institution was a for-profit 
                        institution at any time that converted to a 
                        nonprofit institution.
                            ``(ii) Period of ineligibility.--An 
                        institution described under clause (i) shall 
                        not be an eligible institution for purposes of 
                        this section for a period of 25 years from the 
                        date the institution converted from a for-
                        profit institution to a nonprofit institution 
                        or 25 years after the date of enactment of this 
                        Act, whichever period is longer.
            ``(3) Eligible student.--
                    ``(A) In general.--The term `eligible student' 
                means a student enrolled in an eligible institution who 
                has not obtained a baccalaureate degree or a higher 
                degree and--
                            ``(i) for the first award year of the 
                        program under this section, if the student--
                                    ``(I) is a dependent student, the 
                                student's parents' adjusted gross 
                                income for the taxable year that is 1 
                                year prior to the taxable year that 
                                ends immediately prior to the beginning 
                                of the award year is equal to or less 
                                than $125,000; or
                                    ``(II) is an independent student, 
                                the student's adjusted gross income for 
                                the taxable year that is 1 year prior 
                                to the taxable year that ends 
                                immediately prior to the beginning of 
                                the award year is equal to or less than 
                                $125,000; and
                            ``(ii) for each award year after the first 
                        award year of the program under this section, 
                        if the student--
                                    ``(I) is a dependent student, the 
                                student's parents' adjusted gross 
                                income for the taxable year that is 1 
                                year prior to the taxable year that 
                                ends immediately prior to the beginning 
                                of the award year is equal to or less 
                                than the applicable amount; and
                                    ``(II) is an independent student, 
                                the student's adjusted gross income for 
                                the taxable year that is 1 year prior 
                                to the taxable year that ends 
                                immediately prior to the beginning of 
                                the award year is equal to or less than 
                                the applicable amount.
                    ``(B) Applicable amount.--
                            ``(i) In general.--In this paragraph, the 
                        term `applicable amount' means an amount equal 
                        to, for any award year beginning after the 
                        calendar year that precedes the calendar year 
                        in which the first award year of the program 
                        under this section begins, the greater of--
                                    ``(I) the amount determined under 
                                this subparagraph for the preceding 
                                award year, or
                                    ``(II) an amount equal to the 
                                product of--
                                            ``(aa) $125,000, and
                                            ``(bb) the ratio of--

                                                    ``(AA) the national 
                                                average wage index (as 
                                                defined in section 
                                                209(k)(1) of the Social 
                                                Security Act (42 U.S.C. 
                                                409(k)(1))) for the 
                                                calendar year preceding 
                                                the calendar year in 
                                                which the applicable 
                                                award year begins, to

                                                    ``(BB) the national 
                                                average wage index (as 
                                                so defined) for 2020.

                            ``(ii) Rounded.--If any amount determined 
                        under clause (i) is not a multiple of $100, 
                        such amount shall be rounded to the nearest 
                        multiple of $100.
            ``(4) Full-time equivalent eligible students.--The term 
        `full-time equivalent eligible students' means the sum of the 
        number of eligible students projected to enroll full time at an 
        institution for an award year, plus the full-time equivalent of 
        the number of eligible students projected to be enrolled part 
        time (determined on the basis of the quotient of the sum of the 
        credit hours of all part-time eligible students divided by 12) 
        at such institution, for such award year.
            ``(5) Public 4-year institution of higher education.--The 
        term `public 4-year institution of higher education' has the 
        meaning given the term in section 901.
    ``(b) Authorization of Grant Program.--
            ``(1) In general.--From amounts appropriated under 
        subsection (e), the Secretary shall award grants, from 
        allotments under paragraph (2), to eligible institutions having 
        applications approved under subsection (c), to enable the 
        eligible institutions to eliminate tuition and required fees 
        for eligible students.
            ``(2) Allotments.--Subject to paragraph (3), the Secretary 
        shall allot, for each award year, to each eligible institution 
        having an application approved under subsection (c), an amount 
        that is equal to the product of--
                    ``(A) tuition and required fees for eligible 
                students at the eligible institution for the award 
                year, and
                    ``(B) the number of full-time equivalent eligible 
                students projected to enroll in the eligible 
                institution for the award year.
            ``(3) Limitations.--
                    ``(A) Limitations on institutional allotments.--In 
                making allotments under paragraph (2) for an award 
                year, the Secretary shall not award an allotment that 
                is--
                            ``(i) with respect to an eligible 
                        institution that operates in a State that has 
                        eliminated tuition and required fees as 
                        described in paragraphs (2) and (3) of section 
                        901(d) for the preceding award year, more than 
                        the amount equal to the product of--
                                    ``(I) the number of projected full-
                                time equivalent eligible students for 
                                the award year; and
                                    ``(II) the expenditures per full-
                                time equivalent eligible student, 
                                including the Federal allotment and 
                                non-Federal share, under section 901 
                                for the preceding award year for the 
                                State (or, in the case of a State that 
                                did not receive a grant under such 
                                section for the preceding award year, 
                                the amount needed to eliminate tuition 
                                and required fees for full-time 
                                equivalent eligible students in the 
                                State, calculated in the same manner as 
                                such amount is calculated under section 
                                901(c) for the preceding award year for 
                                the State), at--
                                            ``(aa) if the eligible 
                                        institution is a 2-year 
                                        institution, community colleges 
                                        in the State in which the 
                                        institution operates; or
                                            ``(bb) if the eligible 
                                        institution is a 4-year 
                                        institution, public 4-year 
                                        institutions of higher 
                                        education in the State in which 
                                        the institution operates; and
                            ``(ii) with respect to an eligible 
                        institution that operates in a State that has 
                        not eliminated tuition and required fees as 
                        described in paragraphs (2) and (3) of section 
                        901(d) for the preceding award year, more than 
                        the amount equal to the product of--
                                    ``(I) the number of projected full-
                                time equivalent eligible students for 
                                the award year; and
                                    ``(II) the average tuition and 
                                required fees for the preceding award 
                                year at--
                                            ``(aa) if the eligible 
                                        institution is a 2-year 
                                        institution, public 2-year 
                                        institutions of higher 
                                        education in the State in which 
                                        the institution operates; or
                                            ``(bb) if the eligible 
                                        institution is a 4-year 
                                        institution, public 4-year 
                                        institutions of higher 
                                        education in the State in which 
                                        the institution operates.
                    ``(B) Limitations on tuition hikes.--
                            ``(i) First award year.--For the first 
                        award year for which an eligible institution 
                        applies for a grant under this section, such 
                        eligible institution shall not increase tuition 
                        and required fees at a rate that is greater 
                        than any annual increase in tuition and 
                        required fees at the eligible institution for 
                        the 5 years preceding such first award year.
                            ``(ii) Succeeding award years.--
                                    ``(I) In general.--For each award 
                                year after the first award year for 
                                which an eligible institution receives 
                                a grant under this section, such 
                                eligible institution shall not increase 
                                tuition and required fees for eligible 
                                students from the preceding award year 
                                at a rate that is greater than the 
                                percentage increase in the Employment 
                                Cost Index for the award year for which 
                                the grant is received, as compared to 
                                the Employment Cost Index for the award 
                                year preceding the award year for which 
                                the grant is received.
                                    ``(II) Employment cost index.--In 
                                this subparagraph, the term `Employment 
                                Cost Index', when used with respect to 
                                an award year, means the Employment 
                                Cost Index for total compensation for 
                                private industry workers by bargaining 
                                status and census region and division 
                                (not seasonally adjusted) of the 
                                division in which the eligible entity 
                                is located, as provided by the Bureau 
                                of Labor Statistics of the Department 
                                of Labor, that is provided for the 
                                December that immediately precedes the 
                                start of the award year.
            ``(4) Actual enrollment figures.--
                    ``(A) In general.--By not later than November 1 of 
                the second award year for which an eligible institution 
                receives a grant under this section, such eligible 
                institution shall report to the Secretary its actual 
                full-time equivalent eligible students figure for the 
                preceding award year.
                    ``(B) Adjustments.--If the actual full-time 
                equivalent eligible students figure for the preceding 
                award year reported under subparagraph (A)--
                            ``(i) exceeds the projected enrollment that 
                        was used for determining the allotment under 
                        subparagraph (2)(B) for the preceding award 
                        year, notwithstanding any other provision of 
                        this Act, the allotment for the award year in 
                        which the November 1 date falls for the 
                        eligible institution shall be increased to 
                        reflect such actual enrollment, which figure 
                        shall be increased by the Gross Domestic 
                        Product Price Index of the State in which the 
                        eligible institution operates; or
                            ``(ii) is below the projected enrollment 
                        that was used for determining the allotment 
                        under subparagraph (2)(B) for the preceding 
                        award year, notwithstanding any other provision 
                        of this Act, the allotment for the award year 
                        in which the November 1 date falls for the 
                        eligible institution shall be decreased to 
                        reflect such actual enrollment, which figure 
                        shall be increased by the average interest rate 
                        on 5-year United States Treasury securities 
                        issued during the preceding award year.
    ``(c) Application.--An eligible institution that desires to receive 
a grant under this section shall submit to the Secretary an application 
at such time, in such manner, and containing such information as the 
Secretary may require.
    ``(d) Prohibition.--An eligible institution that receives a grant 
under this section may not use grant funds under this section--
            ``(1) for the construction of a nonacademic facility, such 
        as a student center or stadium;
            ``(2) for merit-based or need-based student financial aid;
            ``(3) to pay the salaries or benefits of school 
        administrators;
            ``(4) for capital outlays or deferred maintenance; or
            ``(5) for expenditures on athletics other than activities 
        open to all members of the campus community.
    ``(e) Authorization of Appropriations.--There are authorized to be 
appropriated, and there are appropriated, to carry out this section--
            ``(1) such sums as may be necessary for the fourth quarter 
        of fiscal year 2021; and
            ``(2) such sums as may be necessary for each of the fiscal 
        years 2022 through 2031.''.

               TITLE II--FEDERAL PELL GRANT IMPROVEMENTS

SEC. 201. FEDERAL PELL GRANT IMPROVEMENTS.

    (a) Mandatory Funding.--Section 401 of the Higher Education Act of 
1965 (20 U.S.C. 1070a) is amended--
            (1) in subsection (a)(1), by striking ``through fiscal year 
        2017'';
            (2) in subsection (b)--
                    (A) by striking paragraph (1);
                    (B) by striking subparagraph (A) of paragraph (2);
                    (C) by redesignating subparagraph (B) of paragraph 
                (2) as paragraph (2);
                    (D) by inserting before paragraph (2) (as 
                redesignated by subparagraph (C)) the following:
    ``(1) Amount.--The amount of the Federal Pell Grant for a student 
eligible under this subpart shall be--
            ``(A) the maximum Federal Pell Grant described in paragraph 
        (7); less
            ``(B) the amount equal to the amount determined to be the 
        expected family contribution with respect to such student for 
        such year.'';
                    (E) in paragraph (4), by striking ``maximum amount 
                of a Federal Pell Grant award determined under 
                paragraph (2)(A)'' and inserting ``maximum Federal Pell 
                Grant described in paragraph (7)'';
                    (F) in paragraph (5), by striking ``maximum amount 
                of a Federal Pell Grant award determined under 
                paragraph (2)(A)'' and inserting ``maximum amount of a 
                Federal Pell Grant award described in paragraph (7)'';
                    (G) by striking paragraph (7) and inserting the 
                following:
            ``(7) Maximum federal pell grant.--
                    ``(A) Award year 2021-2022.--For award year 2021-
                2022, the maximum Federal Pell Grant shall be--
                            ``(i) in the case of an eligible student 
                        who is in attendance at an institution of 
                        higher education described in section 101 or a 
                        Tribal College or University described in 
                        section 316(b)(3), $12,990; or
                            ``(ii) in the case of an eligible student 
                        who is in attendance at an institution of 
                        higher education not described in clause (i), 
                        $6,495.
                    ``(B) Subsequent award year.--For award year 2022-
                2023, the maximum Federal Pell Grant shall be equal to 
                the total maximum Federal Pell Grant for award year 
                2021-2022 (applicable to the institution at which the 
                eligible student is in attendance) under this 
                paragraph--
                            ``(i) increased by the annual adjustment 
                        percentage for the award year for which the 
                        amount under this subparagraph is being 
                        determined; and
                            ``(ii) rounded to the nearest $5.
                    ``(C) Definition of annual adjustment percentage.--
                In this paragraph, the term `annual adjustment 
                percentage,' as applied to an award year, is equal to 
                the estimated percentage increase 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.''; and
                    (H) in paragraph (8)(B), by striking ``may exceed'' 
                and all that follows through the period and inserting 
                ``may exceed the maximum Federal Pell Grant available 
                for an award year.'';
            (3) in subsection (c)(5)--
                    (A) by striking ``shall not exceed 12 semesters, or 
                the equivalent of 12 semesters, as determined by the 
                Secretary by regulation'' and inserting ``shall not 
                exceed 7 years and 6 months''; and
                    (B) by striking ``only that same fraction of such 
                semester or equivalent'' and inserting ``only that same 
                fraction of such year'';
            (4) in subsection (e), by striking ``Any disbursement 
        allowed to be made by crediting the student's account shall be 
        limited to tuition and fees and, in the case of institutionally 
        owned housing, room and board. The student may elect to have 
        the institution provide other such goods and services by 
        crediting the student's account.'' and inserting ``Payments 
        under this section may be used by the student for living and 
        non-tuition expenses.'';
            (5) in subsection (f)--
                    (A) in paragraph (1), by striking the matter 
                preceding subparagraph (A) and inserting the following: 
                ``After receiving an application for a Federal Pell 
                Grant under this subpart, the Secretary (including any 
                contractor of the Secretary processing applications for 
                Federal Pell Grants under this subpart) shall, in a 
                timely manner, furnish to the student financial aid 
                administrator at each institution of higher education 
                that a student awarded a Federal Pell Grant under this 
                subpart is attending, the expected family contribution 
                for each such student. Each such student financial 
                administrator shall--''; and
                    (B) in paragraph (3)--
                            (i) by striking ``after academic year 1986-
                        1987''; and
                            (ii) in paragraph (3), by striking ``the 
                        Committee on Appropriations of the Senate, the 
                        Committee on Appropriations of the House of 
                        Representatives, and'';
            (6) by striking subsections (g) and (h);
            (7) by redesignating subsections (i) and (j) as subsections 
        (g) and (h), respectively; and
            (8) by adding at the end the following:
    ``(k) Appropriation of Funds.--There are authorized to be 
appropriated, and there are appropriated, out of any money in the 
Treasury not otherwise appropriated, such sums as may be necessary for 
fiscal year 2021 and each subsequent fiscal year to provide the maximum 
Federal Pell Grant for which a student shall be eligible under this 
section during an award year.''.
    (b) Repeal of Scoring Requirement.--Section 406 of H. Con. Res. 95 
(109th Congress) is amended--
            (1) by striking subsection (b); and
            (2) by striking ``(a) In General.--Upon'' and inserting the 
        following: ``Upon''.
    (c) Amendment to the FAFSA Simplification Act.--
            (1) In general.--Section 401 of the Higher Education Act of 
        1965, as amended by section 703 of the FAFSA Simplification Act 
        (title VII of division FF of Public Law 116-260), is amended--
                    (A) in subsection (b), by striking paragraphs (5), 
                (6), and (7) and inserting the following:
            ``(5) Maximum federal pell grant.--
                    ``(A) In general.--For award year 2023-2024, and 
                each subsequent award year, the total maximum Federal 
                Pell Grant shall be equal to the total maximum Federal 
                Pell Grant for the preceding award year (applicable to 
                the institution at which the eligible student is in 
                attendance)--
                            ``(i) increased by the annual adjustment 
                        percentage for the award year for which the 
                        amount under this subparagraph is being 
                        determined; and
                            ``(ii) rounded to the nearest $5.
                    ``(B) Definition of annual adjustment percentage.--
                In this paragraph, the term `annual adjustment 
                percentage,' as applied to an award year, is equal to 
                the estimated percentage increase 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.
            ``(6) Appropriation of funds.--There are authorized to be 
        appropriated, and there are appropriated, out of any money in 
        the Treasury not otherwise appropriated, such sums as may be 
        necessary for fiscal year 2023 and each subsequent fiscal year 
        to provide the maximum Federal Pell Grant for which a student 
        shall be eligible under this section during an award year.
            ``(7) No effect on previous appropriations.--The amendments 
        made to this section by the FAFSA Simplification Act shall 
        not--
                    ``(A) increase or decrease the amounts that have 
                been appropriated or are available to carry out this 
                section for fiscal year 2017, 2018, 2019, 2020, 2021, 
                or 2022 as of the day before the effective date of such 
                Act; or
                    ``(B) extend the period of availability for 
                obligation that applied to any such amount, as of the 
                day before such effective date.'';
                    (B) in subsection (d)(5)(A), by striking ``shall 
                not exceed 12 semesters, or the equivalent of 12 
                semesters, as determined by the Secretary by 
                regulation'' and inserting ``shall not exceed 7 years 
                and 6 months'';
                    (C) in subsection (f), by striking ``Any 
                disbursement allowed to be made by crediting the 
                student's account shall be limited to tuition and fees, 
                and food and housing if that food and housing is 
                institutionally owned or operated. The student may 
                elect to have the institution provide other such goods 
                and services by crediting the student's account.'' and 
                inserting ``Payments under this section may be used by 
                the student for living and non-tuition expenses.'';
                    (D) by striking subsections (g) and (h); and
                    (E) by redesignating subsections (i) and (j) as 
                subsections (g) and (h), respectively.
            (2) Effective date.--The amendments made by paragraph (1) 
        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 subject to the effective date of section 701(b) of 
        such Act.
    (d) Federal Pell Grant Eligibility for Dreamer Students.--
            (1) In general.--Section 484 of the Higher Education Act of 
        1965 (20 U.S.C. 1091) is amended--
                    (A) in subsection (a)(5), by inserting ``, or be a 
                Dreamer student, as defined in subsection (u)'' after 
                ``becoming a citizen or permanent resident''; and
                    (B) by adding at the end the following:
    ``(u) Dreamer Students.--
            ``(1) In general.--In this section, the term `Dreamer 
        student' means an individual who--
                    ``(A) was younger than 16 years of age on the date 
                on which the individual initially entered the United 
                States;
                    ``(B) has provided a list of each secondary school 
                that the student attended in the United States; and
                    ``(C)(i) has earned a high school diploma, the 
                recognized equivalent of such diploma from a secondary 
                school, or a high school equivalency diploma in the 
                United States or is scheduled to complete the 
                requirements for such a diploma or equivalent before 
                the next academic year begins;
                    ``(ii) has acquired a degree from an institution of 
                higher education or has completed not less than 2 years 
                in a program for a baccalaureate degree or higher 
                degree at an institution of higher education in the 
                United States and has made satisfactory academic 
                progress, as defined in subsection (c), during such 
                time period;
                    ``(iii) at any time was eligible for a grant of 
                deferred action under--
                            ``(I) the June 15, 2012, memorandum from 
                        the Secretary of Homeland Security entitled 
                        `Exercising Prosecutorial Discretion with 
                        Respect to Individuals Who Came to the United 
                        States as Children'; or
                            ``(II) the November 20, 2014, memorandum 
                        from the Secretary of Homeland Security 
                        entitled `Exercising Prosecutorial Discretion 
                        with Respect to Individuals Who Came to the 
                        United States as Children and with Respect to 
                        Certain Individuals Who Are the Parents of U.S. 
                        Citizens or Permanent Residents'; or
                    ``(iv) has served in the uniformed services, as 
                defined in section 101 of title 10, United States Code, 
                for not less than 4 years and, if discharged, received 
                an honorable discharge.
            ``(2) Hardship exception.--The Secretary shall issue 
        regulations that direct when the Department shall waive the 
        requirement of subparagraph (A) or (B), or both, of paragraph 
        (1) for an individual to qualify as a Dreamer student under 
        such paragraph, if the individual--
                    ``(A) demonstrates compelling circumstances for the 
                inability to satisfy the requirement of such 
                subparagraph (A) or (B), or both; and
                    ``(B) satisfies the requirement of paragraph 
                (1)(C).''.
            (2) Amendment to the fafsa simplification act.--
                    (A) In general.--Section 484 of the Higher 
                Education Act of 1965, as amended by section 
                702(n)(1)(A) of the FAFSA Simplification Act (title VII 
                of division FF of Public Law 116-260), is amended by 
                adding at the end the following:
    ``(u) Dreamer Students.--
            ``(1) In general.--In this section, the term `Dreamer 
        student' means an individual who--
                    ``(A) was younger than 16 years of age on the date 
                on which the individual initially entered the United 
                States;
                    ``(B) has provided a list of each secondary school 
                that the student attended in the United States; and
                    ``(C)(i) has earned a high school diploma, the 
                recognized equivalent of such diploma from a secondary 
                school, or a high school equivalency diploma in the 
                United States or is scheduled to complete the 
                requirements for such a diploma or equivalent before 
                the next academic year begins;
                    ``(ii) has acquired a degree from an institution of 
                higher education or has completed not less than 2 years 
                in a program for a baccalaureate degree or higher 
                degree at an institution of higher education in the 
                United States and has made satisfactory academic 
                progress, as defined in subsection (c), during such 
                time period;
                    ``(iii) at any time was eligible for a grant of 
                deferred action under--
                            ``(I) the June 15, 2012, memorandum from 
                        the Secretary of Homeland Security entitled 
                        `Exercising Prosecutorial Discretion with 
                        Respect to Individuals Who Came to the United 
                        States as Children'; or
                            ``(II) the November 20, 2014, memorandum 
                        from the Secretary of Homeland Security 
                        entitled `Exercising Prosecutorial Discretion 
                        with Respect to Individuals Who Came to the 
                        United States as Children and with Respect to 
                        Certain Individuals Who Are the Parents of U.S. 
                        Citizens or Permanent Residents'; or
                    ``(iv) has served in the uniformed services, as 
                defined in section 101 of title 10, United States Code, 
                for not less than 4 years and, if discharged, received 
                an honorable discharge.
            ``(2) Hardship exception.--The Secretary shall issue 
        regulations that direct when the Department shall waive the 
        requirement of subparagraph (A) or (B), or both, of paragraph 
        (1) for an individual to qualify as a Dreamer student under 
        such paragraph, if the individual--
                    ``(A) demonstrates compelling circumstances for the 
                inability to satisfy the requirement of such 
                subparagraph (A) or (B), or both; and
                    ``(B) satisfies the requirement of paragraph 
                (1)(C).''.
                    (B) Effective date.--The amendment made by 
                subparagraph (A) shall take effect as if included in 
                section 702(n)(1)(A) of the FAFSA Simplification Act 
                (title VII of division FF of Public Law 116-260) and 
                subject to the effective date of section 701(b) of such 
                Act.
    (e) Full Exclusion From Gross Income for Pell Grants.--
            (1) In general.--Section 117(b) of the Internal Revenue 
        Code of 1986 is amended by adding at the end the following new 
        paragraph:
            ``(3) Special rule for pell grants.--Amounts received under 
        a Federal Pell Grant under subpart 1 of part A of title IV of 
        the Higher Education Act of 1965 (20 U.S.C. 1070a et seq.) 
        shall be treated as an amount received as a qualified 
        scholarship notwithstanding whether such amount was used for 
        qualified tuition and related expenses.''.
            (2) Effective date.--The amendment made by this subsection 
        shall apply to amounts received in taxable years beginning 
        after the date of the enactment of this Act.

                        TITLE III--EQUITY GRANTS

SEC. 301. PELL BONUS.

    Title III of the Higher Education Act of 1965 (20 U.S.C. 1051a et 
seq.) is amended by adding at the end the following:

                        ``PART H--EQUITY GRANTS

``SEC. 399A. EQUITY GRANTS.

    ``(a) In General.--The Secretary shall award grants to eligible 
institutions to enable the eligible institutions to invest in support 
programs with the goal of improving student outcomes.
    ``(b) Eligible Institutions.--In this section:
            ``(1) In general.--The term `eligible institution' means--
                    ``(A) an under-funded institution; or
                    ``(B) a--
                            ``(i) part B institution (as defined in 
                        section 322);
                            ``(ii) Hispanic-serving institution (as 
                        defined in section 502);
                            ``(iii) Tribal College or University (as 
                        defined in section 316);
                            ``(iv) Alaska Native-serving institution 
                        (as defined in section 317(b));
                            ``(v) Native Hawaiian-serving institution 
                        (as defined in section 317(b));
                            ``(vi) Predominantly Black Institution (as 
                        defined in section 318);
                            ``(vii) Asian American and Native American 
                        Pacific Islander-serving institution (as 
                        defined in section 320(b)); or
                            ``(viii) Native American-serving, nontribal 
                        institution (as defined in section 319).
            ``(2) Under-funded institution.--The term `under-funded 
        institution' means a public 2-year institution of higher 
        education or public 4-year institution of higher education that 
        receives less than the national average State appropriations 
        per full-time equivalent students.
    ``(c) Applications.--An eligible institution that desires to 
receive a grant under this section shall submit an application to the 
Secretary at such time, in such manner, and accompanied by such 
information as the Secretary may require, including, if the eligible 
institution is an under-funded institution--
            ``(1) an assurance that the State in which the institution 
        is located will provide a non-Federal share of funds for an 
        award year from non-Federal sources in an amount that is equal 
        to 25 percent of the amount required to carry out the 
        activities described in this section; and
            ``(2) a description of how the State in which the 
        institution is located will prioritize spending for under-
        funded institutions in the State and close gaps in State 
        appropriations per full-time equivalent students in 
        institutions in the State described in subsection (b)(1)(B).
    ``(d) Grant Amounts.--The Secretary shall award a grant under this 
section to an eligible institution in an amount based on the number of 
students enrolled at the institution who receive a Federal Pell Grant.
    ``(e) Use of Grant Funds.--An eligible institution that receives a 
grant under this section shall use the grant funds exclusively to 
invest in support programs with the goal of improving student outcomes 
such as attendance, grades, and graduation rates, including through--
            ``(1) making investments in reforming remedial education;
            ``(2) making investments in academic advisors, mental 
        health counselors, trauma-informed care, and tutors; and
            ``(3) reducing class sizes.
    ``(f) Goals.--The Secretary shall set goals on student outcomes for 
eligible institutions that receive grants under this section.
    ``(g) Progress.--The Secretary shall track progress in improving 
student outcomes for eligible institutions that receive grants under 
this section, including conducting independent evaluations of support 
programs funded under this section.
    ``(h) Supplement, No Supplant.--An eligible institution that 
receives a grant under this section shall use the grant funds to 
supplement, and not supplant, any non-Federal funds available to 
improve student outcomes.
    ``(i) Authorization of Appropriations.--There are authorized to be 
appropriated to carry out this section--
            ``(1) such sums as may be necessary for the fourth quarter 
        of fiscal year 2021;
            ``(2) $10,000,000,000 for fiscal year 2022; and
            ``(3) such sums as may be necessary for each of the 
        following fiscal years.''.

               TITLE IV--INCREASING SUPPORT FOR STUDENTS

SEC. 401. INCREASING SUCCESS FOR LOW-INCOME AND FIRST GENERATION 
              STUDENTS.

    (a) Authorization of Appropriations for Federal TRIO Programs.--
Section 402A(g) of the Higher Education Act of 1965 (20 U.S.C. 1070a-
11(g)) is amended by inserting after the first sentence the following: 
``For the purpose of making grants and contracts under this chapter, 
there are authorized to be appropriated $3,000,000,000 for fiscal year 
2022, and such sums as may be necessary for each of fiscal years 2023 
through 2031.''.
    (b) Authorization of Appropriations for GEAR UP Programs.--Section 
404H of the Higher Education Act of 1965 (20 U.S.C. 1070a-28) is 
amended by striking ``$400,000,000'' and all that follows through the 
period and inserting ``$736,000,000 for fiscal year 2022, and such sums 
as may be necessary for each of fiscal years 2023 through 2025.''.

                          TITLE V--SNYDER ACT

SEC. 501. RULE OF CONSTRUCTION REGARDING THE SNYDER ACT.

    Nothing in this Act, or an amendment made by this Act, shall be 
construed to change or abrogate the Federal Government's 
responsibilities under the Act of November 2, 1921 (commonly known as 
the ``Snyder Act'') (25 U.S.C. 13).
                                 <all>
College for All Act of 2021
A bill to amend the Higher Education Act of 1965 to ensure College for All.
College for All Act of 2021
Sen. Sanders, Bernard