Federal Regulation

Workforce Pell

Description

Federal regulations are being developed to implement Workforce Pell as directed by the One Big Beautiful Bill (OB3) Act. These regulations will outline key requirements for institutional eligibility, program quality, and oversight, including standards for short-term program design, accreditation expectations, reporting, and accountability measures to ensure the Workforce Pell program meets its statutory goals.

Consensus was reached by the negotiated rulemaking committee on December 12, 2025. Draft Consensus Language

Topic One: Ineligibility for Federal Pell Grants Due to Receipt of Non-Federal Financial Assistance
- § 690.5 Ineligibility due to assistance from non-Federal sources
- § 690.80 Recalculation of a Federal Pell Grant award
Topic Two: Workforce Pell Technical and Conforming Changes
- § 600.10 Date, extent, duration, and consequence of eligibility
- § 668.5 Written arrangements to provide educational programs
- § 668.8 Eligible program
- § 668.20 Limitations on remedial coursework that is eligible for Title IV, HEA program assistance
- § 668.32 Student eligibility
- § 690.2 Definitions
- § 690.6 Duration of student eligibility
- § 690.11 Concurrent Federal Pell Grant payments
Topic Three: Workforce Pell Definitions
- § 690.90 Scope and purpose
- § 690.91 Definitions
- § 690.92 Eligible workforce program
Topic Four: Governor Approval of Eligible Workforce Programs
- § 690.93 Components determined by Governors
Topic Five: Secretary of Education Approval of Eligible Workforce Programs
- § 690.94 Components determined by the Secretary
Topic Six: Value-Added Earnings Calculation
- § 690.95 Value-added earnings
Topic Seven: Losing and Regaining Eligibility
- § 690.96 Loss of eligibility
- § 690.97 Regaining eligibility

Action to be taken

Understand the effect of the process being developed to implement Workforce Pell opportunities and its impact on the institution.
Track the rulemaking process closely.
Share information across the institution to manage process developments and changes.
Coordinate with associations to provide joint public comments, ensuring that any sector-wide concerns are represented.

Effective Date

Negotiated Rulemaking began in December 2025.

Resources

Negotiated Rulemaking for Higher Education 2025 (AHEAD Committee)
New OB3 Federal Statute Title VIII Committee on Health Education, Labor and Pensions: SEC. 83002. EXTENDING FEDERAL PELL GRANT ELIGIBILITY OF CERTAIN SHORT-TERM PROGRAMS.
U.S. Department of Education Concludes Negotiated Rulemaking Session to Implement the New Workforce Pell Grant Program; ED Press Release; December 12, 2025.
AHEAD Week One Recap: Workforce Pell, State Roles, and Implications for Digital Learning; WCET Frontiers; December 18, 2025.
WCET Fact Sheet: Workforce Pell; January 2026 (WCET and SAN Member Only Resource)
- WCET Member Only Access
- SAN Member Only Access

Regulation progress: Step 3 of 8

Step 1 Notice of Intent to Establish a Rulemaking with Public Comment Period.
Step 2. Negotiated Rulemaking Committee Nominations and Schedule of Committee Meetings with Public Nominations.
Step 3. Negotiated Rulemaking Committee Meetings
Step 4 Office of Management & Budget, Office of Information and Regulatory Affairs Review of Proposed Regulations
Step 5 Notice of Proposed Rulemaking (NPRM) and Public Comment Period (release of proposed regulations)
Step 6 Office of Management & Budget, Office of Information and Regulatory Affairs Review of Final Regulations
Step 7 Release of Final Regulations
Step 8 Effective Date