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.

  • 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

  • Build internal awareness - Align leadership on Workforce Pell as a policy shift, not just a new aid program.
  • Determine participation strategy - Decide whether the institution will offer Workforce Pell-eligible programs.
  • Identify candidate programs - Review existing workforce, certificate, and non-degree offerings for eligibility.
  • Engage at the state level - Track and participate in conversations shaping eligible occupations and programs.
  • Review data and reporting capabilities - Confirm systems can track enrollment, completion, employment outcomes, and required reporting elements.

Effective Date

July 20, 2026

Resources

Regulation progress: Step 7 of 8

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