TEACH Improvement Act of 2026
Sponsored By: Senator Grassley, Chuck [R-IA]
Introduced
Summary
Expands and reforms the TEACH Grant program to fund more teachers, tie aid to service in high‑need fields, and hold schools accountable. The bill raises grant levels, sets clear service rules, and creates conversion and institutional sanctions to reduce grant-to-loan failures.
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- Teacher candidates receive higher TEACH Grants, typically $4,000 to $5,000 per year depending on their track and enrollment status. Eligibility includes academic thresholds and designated shortage‑field pathways.
- Recipients must teach full time for at least 4 academic years within 8 years in eligible high‑need fields. Grants that are not satisfied convert to Federal Direct Stafford Loans, with a chance for reconsideration or reinstatement under defined procedures.
- Institutions face new accountability rules based on historical conversion rates. If 50% or more of recent recipients had grants converted, schools lose some TEACH Grant access for three award years. A 40% conversion rate triggers phased restrictions, extra counseling, and required improvement plans. The bill also requires regular program reporting and rules to hold servicers accountable for administrative failures.
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Bill Overview
Analyzed Economic Effects
4 provisions identified: 0 benefits, 1 costs, 3 mixed.
Service rules and loan conversion risks
If enacted, TEACH Grant recipients would have to sign an agreement to teach full time at least 4 academic years within 8 years after finishing their program and meet State certification rules. If you fail to meet the service, the bill would convert a prorated share of your TEACH Grant into Federal Direct Stafford Loan debt equal to the share of the four‑year obligation you did not complete. Converted amounts would not accrue interest until conversion. You could request reconsideration and the Secretary would have 90 days to reconsider. The Secretary would also make rules to oversee and penalize third‑party servicers to protect recipients. These rules would begin July 1, 2026.
Grant amounts, caps, and payment rules
If enacted, the bill would pay TEACH Grants of $4,000 per year for each of the first two undergraduate/post‑baccalaureate years and $5,000 for each of the next two years. Graduate and certain shortage‑field applicants would get $5,000 per year. Lifetime caps would be $18,000 for undergraduate/post‑baccalaureate recipients and $10,000 for graduate recipients. Grants could pay any part of your cost of attendance, but amounts would be reduced if you attend less than full time. The Secretary would pay eligible institutions and must advance at least 85% of funds to schools unless an alternative system is published. The bill would say ``such sums as may be necessary'' are available beginning July 1, 2008 to fund these grants. These rules would start July 1, 2026.
Who can get TEACH Grants
If enacted, the bill would create two TEACH Grant application tracks. Track A would be for Title IV eligible students who meet a Secretary-set GPA standard comparable to a 3.25 or score above the 75th percentile on an admissions test. Track B would cover graduate students, current teachers, retirees with expertise, and high-quality alternative-certification candidates in shortage fields. The bill would also define which colleges and post-baccalaureate programs qualify, allow certain remedial classes and approved study-abroad for eligibility, and require the Secretary to set filing dates for applications. These rules would take effect July 1, 2026.
School accountability for high conversion rates
If enacted, starting with the 2026–2027 award year the bill would sanction schools with high TEACH Grant conversion rates. If 50% or more of covered graduates had conversions over three years, the school would be ineligible for TEACH Grants to new students for three award years. If 40% or more converted, the school would, for three award years, not give grants to first‑year students, would have to require student teaching first, provide extra counseling, and form a task force with a reduction plan. Schools could apply to regain full eligibility after meeting reentry tests. The Secretary would provide technical help and best practices.
Sponsors & CoSponsors
Sponsor
Grassley, Chuck [R-IA]
IA • R
Cosponsors
Sen. Reed, Jack [D-RI]
RI • D
Sponsored 4/28/2026
Sen. Gallego, Ruben [D-AZ]
AZ • D
Sponsored 4/28/2026
Roll Call Votes
No roll call votes available for this bill.
View on Congress.gov