VirginiaHB12212026 Regular SessionHouseWALLET

Higher ed. financial aid programs; amends provisions, Va. Commonwealth Award established, report.

Sponsored By: Briana D. Sewell (Democratic)

Became Law

Summary

Public institutions of higher education; financial aid review and consolidation; Virginia Guaranteed Assistance Program and Fund; Virginia Commonwealth Award established; work group; report. Amends several provisions relating to higher education financial aid programs for the purpose of establishing the Virginia Commonwealth Award in the Code of Virginia and consolidating the Virginia Guaranteed Assistance Program and Fund with the Virginia Commonwealth Award. Currently, the Virginia Commonwealth Award is established and administered only in the Virginia Administrative Code. In consolidating and establishing such financial aid programs as the Virginia Commonwealth Award, the bill codifies several definitions and provisions relating to award eligibility and renewal for undergraduate students and graduate students. The bill also repeals a provision of law establishing the Virginia Guaranteed Assistance Fund. The bill directs the State Council of Higher Education for Virginia to promulgate emergency regulations for the administration of financial aid in accordance with the provisions of the bill by April 1, 2027. The bill also directs the Secretary of Education to (i) establish a work group to conduct a comprehensive review of higher education financial aid systems and processes in the Commonwealth and make recommendations on strategies for maximizing the efficacy and impact of state financial aid appropriations on accessibility and affordability of and student outcomes in higher education in the Commonwealth and (ii) submit to the chairs of the applicable committees of the General Assembly by July 1, 2027, a report on the work group's findings and recommendations. Finally, the bill provides for the gradual phase-out of the award of grants under the Virginia Guaranteed Assistance Program by (a) prohibiting any first-time students from being offered a grant under the Virginia Guaranteed Assistance Program beginning with first-time students enrolled in the fall semester of 2027 and (b) permitting any public institution of higher education to provide for the annual renewal of grant awards under such program for no more than three subsequent award years, or up to a total of four award years, to any student who receives a grant during the 2026–2027 school year and continues to meet the requirements for grant renewal set forth in applicable law. This bill is identical to SB 167.

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Bill Overview

Analyzed Economic Effects

5 provisions identified: 2 benefits, 2 costs, 1 mixed.

Commonwealth Award: caps and GPA rules

You get the grant for one award year. You can renew it for no more than three more years (four total at bachelor’s schools). At associate colleges, you can renew up to two years, and total aid cannot exceed four years. To renew, you must keep a 2.0 GPA, still show financial need, make satisfactory academic progress, and stay full-time for at least two semesters (or three quarters) each year unless the Council grants an exception for cause.

Old Guaranteed Assistance grants end in 2027

Starting with first-time students who enroll in fall 2027, new students cannot get grants under the old Virginia Guaranteed Assistance Program. Schools can renew awards for students who had a grant in 2026–2027, for up to three more years if they keep meeting the old renewal rules. The law also repeals an older code section tied to the prior aid system.

New need-based grants at Virginia colleges

The law creates the Virginia Commonwealth Award, a need-based grant for students at Virginia public colleges. Undergraduates qualify if they are at least half-time (or accepted full-time on or after the census date), meet Virginia domicile rules, and show financial need. They must meet selective service rules unless they show any failure to register was not knowing and willful; some Virginia high school grads and children of active-duty military have exceptions. Graduate students qualify when they are full-time on or after the census date and show financial need or meet their school’s criteria. Award amounts are based on your remaining need and costs like tuition, fees, and books, and are paid to your school.

Fast-track rules and aid review by 2027

The higher education council must adopt emergency rules for the new aid program by April 1, 2027. These rules are exempt from the normal process, but the Council must allow public comments. The Secretary of Education also sets up a work group to review aid and send recommendations to lawmakers by July 1, 2027.

School aid used first; upperclass get more

Your school must use its own undergraduate aid before Commonwealth Award dollars for students with the same remaining need. When students have equal need, the school’s grant must be larger than the Commonwealth Award. Among similarly needy students, higher class levels get larger grants than the next-lower class.

Sponsors & Cosponsors

Sponsor

  • Briana D. Sewell

    Democratic • House

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 270 • No: 100

Senate vote 3/10/2026

Finance and Appropriations Substitute receded by Senate

Yes: 39 • No: 0

House vote 3/6/2026

Senate substitute rejected by House

Yes: 3 • No: 94

Senate vote 3/4/2026

Finance and Appropriations Substitute agreed to

Yes: 0 • No: 0

Senate vote 3/4/2026

Passed Senate with substitute Block Vote

Yes: 40 • No: 0

Senate vote 3/3/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 3/3/2026

Reported from Finance and Appropriations with substitute

Yes: 14 • No: 0

Senate vote 3/3/2026

Constitutional reading dispensed Block Vote (on 2nd reading)

Yes: 40 • No: 0

Senate vote 2/19/2026

Reported from Education and Health and rereferred to Finance and Appropriations

Yes: 15 • No: 0

House vote 2/5/2026

Read third time and passed House

Yes: 91 • No: 6

House vote 1/30/2026

Reported from Appropriations

Yes: 21 • No: 0

House vote 1/28/2026

Subcommittee recommends reporting

Yes: 7 • No: 0 • Other: 1

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP0272)

    4/6/2026Governor
  2. Approved by Governor-Chapter 272 (effective 7/1/2026)

    4/6/2026Governor
  3. Fiscal Impact Statement from Department of Planning and Budget (HB1221)

    3/31/2026House
  4. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/31/2026Governor
  5. Enrolled Bill communicated to Governor on March 31, 2026

    3/31/2026House
  6. Signed by Speaker

    3/31/2026House
  7. Bill text as passed House and Senate (HB1221ER)

    3/30/2026House
  8. Enrolled

    3/30/2026House
  9. Signed by President

    3/30/2026Senate
  10. Finance and Appropriations Substitute receded by Senate (39-Y 0-N 0-A)

    3/10/2026Senate
  11. Senate substitute rejected by House (3-Y 94-N 0-A)

    3/6/2026House
  12. Fiscal Impact Statement from Department of Planning and Budget (HB1221)

    3/5/2026House
  13. Passed Senate with substitute Block Vote (40-Y 0-N 0-A)

    3/4/2026Senate
  14. Finance and Appropriations Substitute agreed to

    3/4/2026Senate
  15. Committee substitute printed 26109059D-S1

    3/4/2026Senate
  16. Engrossed by Senate - committee substitute

    3/4/2026Senate
  17. Read third time

    3/4/2026Senate
  18. Passed by for the day Block Vote (Voice Vote)

    3/3/2026Senate
  19. Constitutional reading dispensed Block Vote (on 2nd reading) (40-Y 0-N 0-A)

    3/3/2026Senate
  20. Rules suspended

    3/3/2026Senate
  21. Reported from Finance and Appropriations with substitute (14-Y 0-N)

    3/3/2026Senate
  22. Reported from Education and Health and rereferred to Finance and Appropriations (15-Y 0-N)

    2/19/2026Senate
  23. Referred to Committee on Education and Health

    2/6/2026Senate
  24. Constitutional reading dispensed (on 1st reading)

    2/6/2026Senate
  25. Read third time and passed House (91-Y 6-N 0-A)

    2/5/2026House

Bill Text

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