Earl N. Williams, Sr., First Chance Act

Basic and emergency grants for students

If enacted, this bill would let colleges that run Student Support Services (SSS) give two small cash grants to current SSS participants. One grant would cover expected living costs to finish a student's first bachelor's academic year. The other would cover unplanned emergency costs needed to stay in school that year. For academic year 2027–2028, the emergency grant per student would be capped at $500. In later years, that cap would rise by the Education Department's estimated annual change in the Consumer Price Index. Schools would set how much each eligible student gets and how funds are split, but must allocate some money to both grants. Schools could use up to 2% of their SSS (Section 402D) funds for these grants, must consult their financial aid office when making awards, and must use these funds to supplement (not replace) non-Federal student support spending. Grants could pay any part of a student's cost of attendance, extra dependent care or transportation beyond standard allowances, and other personal items. These grants would not count in Title IV need calculations, except that total Title IV aid for a year could not exceed a student's cost of attendance by more than that year's emergency grant cap.