1

34 CFR § 600.2 Definitions

* * * * *

Additional location: A facility that is geographically apart from the main campus of the 

institution and at which the institution offers at least 50 percent of a program and may qualify as 

a branch campus.

A Federal, State, or local penitentiary, prison, jail, reformatory, work farm, juvenile justice 

facility or other similar correctional institution is considered to be an additional location as 

defined under 34 CFR 600.2 even if a student receives instruction primarily through distance 

education or correspondence courses at that location. 

* * * * * 

Confined or Iincarcerated studentindividual: means an student individual who is serving a 

criminal sentence in a Federal, State, or local penitentiary, prison, jail, reformatory, work farm, 

juvenile justice facility, or other similar correctional institution. An student individual is not 

considered incarcerated if that student individual is subject to or serving an involuntary civil 

commitment, in a half-way house or home detention, or is sentenced to serve only weekends. 

Juvenile justice facility: A public or private residential facility that is operated primarily for the 

care and rehabilitation of youth who, under State juvenile justice laws -

(1) Are accused of committing a delinquent act; 

(2) Have been adjudicated delinquent; or 

(3) Are determined to be in need of supervision

* * * * *

34 CFR § 600.7 Conditions of institutional ineligibility.

(a) General rule. For purposes of title IV of the HEA, an educational institution that otherwise 

satisfies the requirements contained in §§ 600.4, 600.5, or 600.6 nevertheless does not qualify as 

an eligible institution under this part if -

(1) For its latest complete award year -

* * * * *

(iii) More than twenty-five percent of the institution's regular enrolled students 

were incarcerated;

* * * * *

(c) Special provisions regarding incarcerated students -
2

(1) Waiver Exception. The Secretary may waive the prohibition contained in paragraph 

(a)(1)(iii) of this section, upon the application of an institution, if the institution is a 

nonprofit institution that provides four-year or two-year educational programs for which 

it awards a bachelor's degree, an associate degree, or a postsecondary diploma and has 

continuously provided an eligible prison education program approved by the Department 

under subpart P of 34 CFR part 668 for at least two years. The Secretary does not grant 

the waiver if -

(i) For a program described under paragraph (3)(ii) of this subsection, the 

program does not maintain a completion rate of 50 percent or greater; or

(ii) For an institution described under paragraphs (c)(2) or (3) of this subsection–

(A) The institution provides one or more eligible prison education 

programs that are not compliant with the requirements of subpart P of 34 

CFR part 668; or

(B) The institution is not administratively capable under 34 CFR 668.16 or 

financially responsible under 34 CFR Subpart L.

(2) Waiver for entire institution. If the nonprofit institution that applies for a waiver 

consists solely of four-year or two-year educational programs for which it awards a 

bachelor's degree, an associate degree, or a postsecondary diploma, the Secretary may 

waives the prohibition contained in paragraph (a)(1)(iii) of this section for the entire 

institution. 

(3) Other waivers. If the nonprofit institution that applies for a waiver does not consist 

solely of four-year or two-year educational programs for which it awards a bachelor's 

degree, an associate degree, or a postsecondary diploma, the Secretary may waives the 

prohibition contained in paragraph (a)(1)(iii) of this section on a program-by-program 

basis-

(i) For the four-year and two-year programs for which it awards a bachelor's 

degree, an associate degree or a postsecondary diploma; and 

(ii) For the other programs the institution provides, if the incarcerated regular 

students enrolled in those other programs have a completion rate of 50 percent or 

greater. 

(4) Waiver Limitations.

(i)

(A) For five years after the Secretary grants the waiver, the institution may 

not enroll more than fifty percent of the institution’s regular enrolled 

students as incarcerated students; and

(B) For the five years following the period described in subsection (A), the 

institution may not enroll more than seventy-five percent of the 

institution’s regular enrolled students as incarcerated students.

(ii) The limitations in subsection (i) do not apply if the institution is a public 

institution chartered for the explicit purpose of educating incarcerated students, as 

determined by the Secretary, and all students enrolled in a prison education 

Commented [HP1]: Is this statutory? If not, then it 

remains a concern.
3

program for the institution are located in the state in which the institution is 

chartered to serve.

(5) The Secretary limits or terminates the waiver described in this subsection if the 

Secretary determines the institution no longer meets the requirements established under 

(c)(1) of this subsection.

(6) If the Secretary limits or terminates an institution’s waiver under (c)(4) of this 

subsection, the institution ceases to be eligible for the title IV, HEA programs at the end 

of the award year that begins after the Secretary’s action unless the institution, by that 

time –

(i) Demonstrates to the satisfaction of the Secretary that it meets the requirements 

under (c)(1) of this subsection; and

(ii) The institution does not enroll any additional incarcerated students upon the 

limitation or termination of the waiver and reduces its enrollment of incarcerated 

students to no more than 25 percent of its regular enrolled students

* * * * *

34 CFR § 600.10 Date, extent, duration, and consequence of eligibility.

* * * * *

(c) Educational programs.

(1) An eligible institution that seeks to establish the eligibility of an educational program 

must obtain the Secretary’s approval -

(i) Pursuant to a requirement regarding additional programs included in the 

institution's program participation agreement under 34 CFR § 668.14, obtain the 

Secretary's approval; 

(ii) For a direct assessment program under 34 CFR 668.10, and for a

comprehensive transition and postsecondary program under 34 CFR 668.232, 

obtain the Secretary's approval; and 

(iii) For a first direct assessment program under 34 CFR 668.10, the first direct 

assessment program offered at each credential level, and for a comprehensive 

transition and postsecondary program under 34 CFR 668.232, obtain the 

Secretary's approval;.

(iv) For the first eligible prison education program under subpart P of 34 CFR part 

668 offered at the first two additional locations as defined under 34 CFR § 600.2 

at a Federal, State, or local penitentiary, prison, jail, reformatory, work farm, 

juvenile justice facility or other similar correctional institution.
4

(iv) For an undergraduate program that is at least 300 clock hours but less than 

600 clock hours and does not admit as regular students only persons who have 

completed the equivalent of an associate degree under 34 CFR § 668.8(d)(3).

* * * * *

34 CFR § 600.21 Updating application information.

(a) Reporting requirements. Except as provided in paragraph (b) of this section, an eligible 

institution must report to the Secretary in a manner prescribed by the Secretary no later than 10 

days after the change occurs, of any change in the following: 

* * * 

(12) Its addition of a second or subsequent direct assessment program. 

(13) Its establishment of a written arrangement for an ineligible institution or 

organization to provide more than 25 percent of a program pursuant to 34 CFR § 

668.5(c). 

(14) Its establishment or addition of an eligible prison education program at an additional 

location as defined under 34 CFR § 600.2 at a Federal, State, or local penitentiary, prison, 

jail, reformatory, work farm, juvenile justice facility or other similar correctional 

institution that was not previously included in the institution’s application for approval 

under as described under 34 CFR § 600.10.

* * * * *

34 CFR 668.8 Eligible Program 

(n) For Title IV, HEA program purposes, eligible program includes a direct assessment program 

approved by the Secretary under § 668.10, a comprehensive transition and postsecondary 

program approved by the Secretary under § 668.232, and an eligible prison education program 

under subpart P of this part. 

* * * * *

34 CFR § 668.32 Student eligibility - general.

* * * * *

(c)(2) For purposes of the Federal Pell Grant Program -

(i)

(A) Does not have a baccalaureate or first professional degree; or

(B) Is enrolled in a postbaccalaureate teacher certificate or licensing program as 

described in 34 CFR § 690.6(c); and
5

(ii) Is not incarcerated in a Federal or State penal institution; If the student is a confined 

or incarcerated individual as defined in 34 CFR § 600.2, is enrolled in an eligible prison 

education program as defined in 34 CFR § 668.236;

* * * * * 

34 CFR § 668.43 Institutional information.

(a) Institutional information that the institution must make readily available to enrolled 

and prospective students under this subpart includes, but is not limited to -

* * * * *

(5) The academic program of the institution, including -

(i) If an educational program is designed to meet educational requirements for a 

specific professional license or certification that is required for employment in an 

occupation, or is advertised as meeting such requirements, information regarding 

whether completion of that program would be sufficient to meet licensure 

requirements in a State for that occupation, including -

(A) A list of all States for which the institution has determined that its curriculum 

meets the State educational requirements for licensure or certification;

(B) A list of all States for which the institution has determined that its curriculum 

does not meet the State educational requirements for licensure or certification; 

and

(C) A list of all States for which the institution has not made a determination that 

its curriculum meets the State educational requirements for licensure or 

certification;

(ii) If a prison education program, as defined in 34 CFR 668.236, is designed to meet 

educational requirements for a specific professional license or certification that is 

required for employment in an occupation (as described in 668.236(g) and (h)), 

information regarding whether that occupation typically involves State or Federal 

prohibitions of the licensure or employment of formerly incarcerated individuals in any 

other State for which the institution has made a determination about State prohibitions on 

the licensure or certification of formerly incarcerated individuals.

* * * * *

34 CFR 668 Subpart P – Prison Education Programs

34 CFR § 668.234 Scope and Purpose 

This subpart establishes regulations that apply to an institution that offers prison education 

programs to confined or incarcerated individuals. A confined or incarcerated individual enrolled 
6

in an eligible prison education program is eligible for Federal financial assistance under the 

Federal Pell Grant program. Unless provided in this subpart, confined or incarcerated individuals 

and institutions that offer prison education programs are subject to the same regulations 

and procedures that otherwise apply to Title IV, HEA program participants.

34 CFR § 668.235 Definitions 

The following definitions apply to this subpart:

Additional location has the meaning given in 34 CFR § 600.2.

Advisory Committee is a group established by the oversight entity that provides nonbinding 

feedback to the oversight entity regarding the approval and operation of a Prison Education 

Program within the oversight entity’s jurisdiction. 

Confined or incarcerated individual has the meaning given in 34 CFR § 600.2.

Feedback Process is the process developed by the oversight entity to gather nonbinding input

from relevant stakeholders regarding the approval and operation of a Prison Education Program 

within the oversight entity’s jurisdiction. A feedback process may include an advisory 

committee.

Oversight entity means—

(1) The appropriate State department of corrections or other entity that is responsible for 

overseeing correctional facilities; or 

(2) The Federal Bureau of Prisons.

Relevant Stakeholders are individuals and organizations that provide input as part of a feedback 

process to the oversight entity regarding the approval and operation of a Prison Education 

Program within the oversight entity’s jurisdiction. These stakeholders must include

representatives of incarcerated students, organizations representing incarcerated individuals, state 

higher education executive offices, and accrediting agencies and may include additional 

stakeholders as determined by the oversight entity.

34 CFR § 668.236 Eligible Prison Education Program

An eligible prison education program means an education or training program that—

(a) is an eligible program under 34 CFR § 668.8 offered by an institution of higher education as 

defined under 34 CFR § 600.4, or a postsecondary vocational institution as defined under 34 

CFR § 600.6;

(b) is offered by an eligible institution that has been approved to operate in a correctional facility 

by the oversight entity;

(c) After an initial two-year approval, is determined by the oversight entity to be operating in the 

best interest of students as described by § 668.241;
7

(d) Offers transferability of credits to at least one institution of higher education (as defined in 

sections 34 CFR §§ 600.4 and 600.6) in the State in which the correctional facility is located, or, 

in the case of a Federal correctional facility, in the State in which most of the individuals 

confined or incarcerated in such facility will reside upon release, as determined by the institution 

based on information provided by the oversight entity;

(e) Is offered by an institution that has not been subject, during the five years preceding the date 

of the determination, to—

(i) any suspension, emergency action, or termination of programs under this title; 

(ii) any final accrediting action that is an adverse action as defined in 34 CFR § 602.3 by 

the institution’s accrediting agency or association; or 

(iii) any action by the State to revoke a license or other authority to operate;

(f) Is offered by an institution that is not subject to a current initiated adverse action—

(i) If an accrediting agency initiates an adverse action, the institution cannot begin its first 

or a subsequent prison education program unless and until the initiated adverse action has 

been rescinded; and

(ii) If the institution currently offers one or more prison education programs and is 

subject to an initiated adverse action the institution must submit a teach-out plan, as 

defined under 34 CFR § 600.2, to the institution's accrediting agency. 

(g) Satisfies any applicable educational requirements for professional licensure or certification, 

including licensure or certification examinations needed to practice or find employment in the 

sectors or occupations for which the program prepares the individual, in the State in which the 

correctional facility is located or, in the case of a Federal correctional facility, in the State in 

which most of the individuals confined or incarcerated in such facility will reside upon release, 

as determined by the institution not less than annually based on information provided by the 

oversight entity; and 

(h) Does not offer education that is designed to lead to licensure or employment for a specific 

job or occupation in the State if such job or occupation typically involves prohibitions on the 

licensure or employment of formerly incarcerated individuals in the State in which the 

correctional facility is located, or, in the case of a Federal correctional facility, in the State in 

which most of the individuals confined or incarcerated in such facility will reside upon release, 

as determined by the institution not less than annually based on information provided by the 

oversight entity. 

(1) In the case of state and local correctional facilities, the postsecondary 

institution does not enroll any student in a prison education program that any 

Federal law or State law in which the correctional facility is located, bans, bars, or 

prohibits licensure or employment based on any criminal conviction or specific 

types of criminal convictions; or 

(2) In the case of a Federal correctional facility, the postsecondary institution does 

not enroll any student in a prison education program that any Federal law or State 

law in which more than half of the individuals confined or incarcerated in such 

facility will reside upon release bans, bars, or prohibits licensure or employment 

based on any criminal conviction or specific types of criminal convictions.
8

(3) Prohibitions to offering education to a confined or incarcerated individual do 

not include local laws, screening requirements for good moral character or similar 

provisions, State or Federal laws that have been repealed, even if the repeal has

not yet taken effect or if the repeal occurs between assessments of the institution 

of higher education by the oversight entity, or other restrictions as determined by 

the Secretary.

34 CFR § 668.237 Accreditation Requirements

(a) A prison education program must meet the requirements of the institution's accrediting 

agency or State approval agency. 

(b) In order for any prison education program to qualify as an eligible program, the accrediting 

agency must have -

(1) Evaluated at least the first prison education program at the first two additional 

locations to ensure the institution's ability to offer and implement the program based on 

the agency's accreditation standards, and included it in the institution's grant of 

accreditation or pre-accreditation; 

(2) Evaluated the first additional prison education program offered by a new method of 

delivery to ensure the institution's ability to offer and implement the program based on 

the agency's standards, and included it in the institution's grant of accreditation or preaccreditation;

(3) Performed a site visit as soon as practicable but no later than one year after initiating 

the prison education program at the first two additional locations; and 

(4) Reviewed and approved the methodology for how the institution in collaboration with 

the oversight entity made the determination that the prison education program meets the 

same standards as substantially similar programs that are not prison education programs 

at the institutionoversight entity made the determination under § 668.241(a)(5-7) to 

ensure that the prison education program meets the same standards as substantially 

similar programs that are not prison education programs at the institution. 

(c) A prison education program that does not meet the requirements of the institution's 

accrediting agency or State approval agency is not an eligible program under § 668.236. 

34 CFR § 668.238 Application Requirements

(a) An institution that seeks to offer a prison education program must apply to the Secretary to 

have its first prison education program at the first two additional locations determined to be 

eligible programs for title IV, HEA program purposes. Following the Secretary's initial approval 

of a prison education program, additional prison education programs at the same location may be 

determined to be eligible without further approvals from the Secretary except as required by 34

CFR §§ 600.7, 600.10, 600.20(c)(1), or 600.21(a), as applicable, if such programs are consistent 

with the institution's accreditation or its State approval agency. 

(b) The institution's prison education program application must provide information satisfactory 

to the Secretary that includes -
9

(1) A description of the educational program, including the educational credential offered 

(degree level or certificate) and the field of study; 

(2) Documentation from the institution's accrediting agency or State approval agency 

indicating that the agency has evaluated the institution's offering of prison education 

program(s) and has included the program(s) in the institution's grant of accreditation and 

approval documentation from the accrediting agency or State approval agency;

(3) The name of the correctional facility and documentation from the oversight entity that 

the prison education program has been approved to operate in the correctional facility; 

(4) Documentation detailing the methodology including thresholds, benchmarks, 

standards, metrics, data, or other information the oversight entity used in making the 

determination that the program is in the best interest of students for all indictors under § 

668.241 of this part and how all the information was collected; 

(5) Information of about the types of services offered to admitted students including:

orientation, tutoring and academic and reentry counseling. If reentry counseling is 

provided by a community-based organization that has partnered with the eligible prison 

education program, institution, or correctional facility to provide reentry services, then 

information about the types of services that the community-based organization offers; 

(6) Affirmative acknowledgement that the Secretary can limit or terminate approval of an 

institution to provide a prison education program as described in § 668.237; 

(7) Affirmative agreement to submit the report to the Secretary as described in § 668.239; 

(8) Documentation that the institution has entered into an agreement with the oversight 

entity to obtain data about transfer and release dates of incarcerated individuals, which 

will be reported to the Department of Education; and

(9) Such other information as the Secretary deems necessary.

(c) For the second or subsequent eligible prison education program at a location, to fulfill 

requirements under § 600.21, an institution submits:

(1) Documentation from the institution's accrediting agency noting that the institution 

complies with § 668.236(f) and was not subject to any final accrediting action that is an 

adverse action by the institution’s accrediting agency or association in the last five years; 

(2) Documentation from the institution noting that the institution was not subject to any 

action by the State to revoke a license or other authority to operate in the last five years.; 

and

(3) Documentation that the institution has entered into an agreement with the oversight 

entity to obtain data about transfer and release dates of incarcerated individuals, which 

will be reported to the Department of Education;

34 CFR § 668.239 Reporting Requirements

(a) As requested by the Secretary in compliance with established procedures and deadlines 

provided by the Secretary and published in the Federal Register, the institutions submit reports as 

the Secretary requires. An institution must submit reports, in accordance with deadlines

established and published by the Secretary in the Federal Register.

(b) The institution reports such information as the Secretary requires, in compliance with 

procedures the Secretary describes.

Formatted: Font color: Dark Red
10

(bc) The institution reports information about transfer and release dates of incarcerated 

individuals, as required by the Secretary, through an agreement with the oversight entity.

34 CFR § 668.240 Limit or Termination of Approval

(a) The Secretary limits or terminates approval of an institution to provide an eligible prison 

education program if the Secretary determines that the institution violated any terms of this 

subpart or that the information that the institution submitted as a basis for approval to the 

Secretary, accrediting agency, state agency, State agency, or oversight entity was materially 

inaccurate. 

(b) If the Secretary initiates a limitation or termination action of an institution's approval to 

operate an eligible prison education program, the institution must submit a teach-out plan and, if 

practicable, a teach-out agreement(s) (as defined in § 600.2) to its accrediting agency upon 

occurrence of the event.

34 CFR § 668.241 Best Interest Determination

(a) An oversight entity, taking into account feedback from relevant stakeholders and an 

established advisory committee, must determine ’s determination that a prison education 

program is operating in the best interest of students by considering expectations for student

achievement and program educational objectives and the unique geographic and other constraints 

of prison education programs and incarcerated individuals, and may include an assessment of the 

following: —

(1)Recodify Below must include an assessment of all the following—

(1) (i) whether the rate of confined or incarcerated individuals continuing their education 

post-release, as determined by the percentage of students who reenroll in higher 

education reported by the Department of Education, meets thresholds established by the 

oversight entity with input from relevant stakeholders;

(2) (ii) whether job placementemployment rates in the relevant field for such individuals 

meet any applicable standards required by the accrediting agency of the institution or 

program, or a State in which the institution is authorized, or as defined by . If no job 

placement rate standard applies to prison education programs offered by the institution, 

the oversight entity and reported by the institution must define, and the institution must 

report, a job placement rate, with input from relevant stakeholders;

(3) (iii) whether the earnings for such individuals, or the median earnings for graduates of the 

same or similar programs at the institution, as measured by the Department of Education, 

exceed those of a typical high school graduate in the state;

(4) (iv) whether the experience, credentials, and rates of turnover or departure of instructors 

for a prison education program are substantially similar to other programs at the 

institution, accounting for the unique geographic and other constraints of prison 

education programs;

(5) (v) whether the transferability of credits for courses available to confined or incarcerated 

individuals and the applicability of such credits toward related degree or certificate 

programs is substantially similar to those at other similar programs at the institution,

accounting for the unique geographic and other constraints of prison education programs; 

Commented [HP2]: Consider language directly in the 

statute in areas where alignment exists with this and what is 

there with the additions that the subcommittee identified 

as a breadth of options that are meaningful to consider as 

part of the evaluation and assessment.

 ``(I

) rates of confined or 

 incarcer

ated individuals continuing 

their 

education post-release;

 ``(I

I) job placement rates for such 

 individu

als;

 ``(I

II) earnings for such 

 individu

als;

 ``(I

V) rates of recidivism for such 

 individu

als;

 ``(V

) the experience, credentials, 

 and 

rates of turnover or departure of 

instruct

ors;

 ``(V

I) the transferability of 

 credits 

for courses available to 

confined 

or incarcerated individuals and 

 the 

applicability of such credits toward 

 related 

degree or certificate programs; 

or

 ``(V

II) offering relevant academic 

 and 

career advising services to 

 particip

ating confined or incarcerated 

individu

als while they are confined or 

incarcer

ated, in advance of reentry, and 

upon 

release;
11

(6) (vi) whether the prison education program’s offering of relevant academic and career 

advising services to participating confined or incarcerated individuals while they are 

confined or incarcerated, in advance of reentry, and upon release, that is substantially 

similar to offerings to a student who is not a confined or incarcerated individual and who 

is enrolled in, and may be preparing to transfer from, the same institution, accounting for 

the unique geographic and other constraints of prison education programs;

(7)(vii) Wwhether the institution ensures that all formerly incarcerated students are able 

to fully transfer their credits and continue their programs at any location of the institution 

that offers a comparable program, including by the same mode of instruction, barring 

exceptional circumstances surrounding the student’s conviction; and

(8) (viii) whether the rates of completion reported by the Department of Education, which 

does not include any students who were transferred across facilities and which accounts

for the status of part-time students, meet thresholds set by the oversight entity with input 

from relevant stakeholders.

(2) may include an assessment of all the following—

(9) (i) whether the rates of recidivism, which do not include any recidivism by the student 

within a reasonable number of years of release and which only include new felony 

convictions as defined by United States Sentencing Guideline § 4A1.1(a) as “each 

sentence of imprisonment exceeding one year and one month,” meet thresholds set by the 

oversight entity; and

(10) (ii) other indicators pertinent to program success as collaboratively determined by 

the oversight entity, relevant stakeholders, and advisory committee.

(b) An oversight entity makes the best interest determination—

(1) Through a feedback process that considers input from relevant stakeholders; and

(2) In light of the totality of the circumstances. 

(c) If the oversight entity does not find a program to be in the best interest of students, it must 

allow for programs to re-apply within a reasonable timeframe.

(d) After the two years of initial approval under § 668.236, the institution must be determined by 

the oversight entity to be operating in the best interest of students, as defined in paragraph (a).

(e) Subsequent Evaluations

(1) After its initial determination that a program is operating in the best interest of 

students under paragraph (c) of this section, the institution must obtain subsequent final 

evaluations of each eligible prison education program from the responsible oversight 

entity not less than 120 calendar days prior to the expiration of each of the institution’s 

Program Participation Agreements, except that the oversight entity may make a 

determination between subsequent evaluations based on the oversight entity’s regular 

monitoring and evaluation of program outcomes.

(2) Each subsequent evaluation must—

(i) Include the entire period following the prior determination and be based on the 

factors described under paragraph (a) of this section for all students enrolled in 

the program since the prior determination; 
12

(ii) Include input from relevant stakeholders through the oversight entity’s 

feedback process; and

(ii) Be submitted to the Secretary no later than 30 days following completion of 

the evaluation.

(f) Records

(1) The institution must obtain and maintain documentation of the methodology by which 

the oversight entity made each determination under paragraph (a) of this section and § 

668.236(b) for review by the institution’s accrediting agency, submission of the 

application to the Department for the approval of the first program at the first 

two additional locations, the input of relevant stakeholders through the oversight entity’s 

feedback process described in paragraphs (b)(1) and (e)(2)(ii), reporting to the 

Department, and for public disclosure.

(2) The institution must maintain the documentation described in (1) for as long as the 

program is active or, if the program is discontinued, for three years following the date of 

discontinuance.

34 CFR § 668.242 Transition to Prison Education Program

For institutions operating eligible prison education programs in a correctional facility that is not a 

Federal or State penal institution:

(a) A confined or incarcerated student who otherwise meets the eligibility requirements to 

receive a Federal Pell Grant and is enrolled in an eligible program that does not meet the 

requirements under paragraph o of this subpart may continue to receive a Federal Pell Grant until 

the earlier of:

(1) July 1, 2029;

(2) the student reaches the maximum timeframe for program completion as defined under 

34 CFR § 668.34; or 

(3) the student has exhausted Pell Grant eligibility as defined under 34 CFR § 690.6(e). 

(b) An institution is not permitted to enroll a confined or incarcerated student on or after July 1, 

2023, who was not enrolled in an eligible program prior to July 1, 2023, unless the institution 

first converts the eligible program into an eligible prison education program as defined in § 

668.236. 

*****

34 CFR § 690.62 Calculation of a Federal Pell Grant.

(a) The amount of a student's Pell Grant for an academic year is based upon the payment and 

disbursement schedules published by the Secretary for each award year.

(b)(1)(i) For a confined or incarcerated individual enrolled in an eligible prison education 

program, no Federal Pell Grant shall exceed the cost of attendance (as defined in section 472 of 

the HEA) at the institution at which that student is in attendance.

(ii) If an institution determines that the amount of a Federal Pell Grant for that 

student exceeds the cost of attendance for that year, the amount of the Federal Pell 

Grant shall be reduced until the Federal Pell Grant does not exceed the cost of 
13

attendance at such institution and does not result in a Title IV credit balance under 

34 CFR § 668.164(h).

(2)(i) If a confined or incarcerated student’s Pell Grant, combined with any other 

financial assistance, exceeds the student’s cost of attendance, the financial assistance 

other than the Pell Grant must be reduced by the amount that the total financial assistance 

exceeds the student’s cost of attendance.

(ii) If the student’s other financial assistance cannot be reduced, the student’s Pell 

Grant must be reduced by the amount that the student’s total financial assistance 

exceeds the student’s cost of attendance.