Jobs to Compete Act

To amend the Higher Education Act of 1965 to extend Federal Pell Grant eligibility to certain short-term workforce programs. 1. Short title This Act may be cited as the Jobs to Compete Act 2. Workforce pell grants Section 401 of the Higher Education Act of 1965 ( 20 U.S.C. 1070a Public Law 116–260 (k) Workforce pell grants program (1) In general For award year 2025–2026 and each succeeding award year, the Secretary shall award grants (referred to as a Workforce Pell Grants (2) Eligible students To be eligible to receive a Workforce Pell Grant under this subsection for any period of enrollment, a student shall meet the eligibility requirements for a Federal Pell Grant under this section, except that the student— (A) notwithstanding the eligibility requirements with respect to the program of study, shall be enrolled, or accepted for enrollment, in an eligible workforce program described in section 481(b)(3), offered by an eligible institution of higher education (as defined in section 481(b)(3)(F)); and (B) notwithstanding the eligibility requirements with respect to the first undergraduate baccalaureate course of study under subsection (d)(1) may have completed such first undergraduate baccalaureate course of study, but shall not have received a postbaccalaureate degree. (3) Terms and conditions of awards The Secretary shall award Workforce Pell Grants under this subsection in the same manner and with the same terms and conditions as the Secretary awards Federal Pell Grants under subsection (b), except that a student who is eligible for a grant equal to less than the amount of the minimum Federal Pell Grant because the eligible workforce program in which the student is enrolled or accepted for enrollment is less than an academic year (in hours of instruction or weeks of duration) may still be eligible for a Workforce Pell Grant. (4) Prevention of double benefits No eligible student described in paragraph (2) may, for the same period of enrollment, receive both a grant under this subsection and a Federal Pell Grant under subsection (b) or (c). (5) Inclusion in total eligibility period Any period during which a student receives a Workforce Federal Pell Grant under this subsection shall be included in calculating the student’s period of eligibility for Federal Pell Grants under subsection (d), and the eligibility requirements regarding students who are enrolled in an undergraduate program on less than a full-time basis shall similarly apply to students who are enrolled in an eligible workforce program at an eligible institution of higher education on less than a full-time basis. . 3. Program eligibility for workforce pell grants (a) Eligible workforce programs Section 481(b) of the Higher Education Act of 1965 ( 20 U.S.C. 1088(b) (1) by redesignating paragraphs (3) and (4) as paragraphs (4) and (5), respectively; and (2) by inserting after paragraph (2) the following: (3) Eligible program for purposes of workforce pell grants (A) In general A program is an eligible program for purposes of the Workforce Pell Grants program under section 401(k) (referred to in this paragraph as an eligible workforce program (i) is at least 150 clock hours of instruction, but less than 600 clock hours of instruction (or an equivalent number of credit hours) offered during a minimum of 8 weeks, but less than 15 weeks; (ii) in a case in which the State in which the program is located, or a Federal agency, has established the minimum number of clock hours (or an equivalent number of credit hours) required for the training provided by such program, does not exceed by more than 50 percent such minimum number of clock hours (or credit hours); (iii) is a career and technical education program at an eligible institution of higher education; (iv) provides an education aligned with the requirements of high-skill, high-wage, or in-demand industry sectors or occupations (including in nontraditional fields) in the State or local area in which the program is provided, as determined by an accrediting agency or association recognized by the Secretary pursuant to section 496(a)(4)(C), after validation of such determination by— (I) the State board or local board that serves such State or local area; (II) the eligible agency for such State, on the basis of the sectors or occupations in such State that such eligible agency identifies under section 122(d)(13)(C) of the Carl D. Perkins Career and Technical Education Act of 2006; (III) the eligible agency for such State, on the basis of the results of the comprehensive needs assessment submitted to the agency under section 134(b)(1) of the Carl D. Perkins Career and Technical Education Act of 2006 with respect to the local area in which the program is provided; or (IV) an industry or sector partnership convened by or acting in partnership with the State board or local board that serves such State or local area; (v) is a program— (I) provided through an eligible training provider, as described under section 122(d) of the Workforce Innovation and Opportunity Act; and (II) subject to the reporting requirements of section 116(d)(4) of the Workforce Innovation and Opportunity Act, or would be subject to such requirements except for a waiver issued to a State under section 189(i) of the Workforce Innovation and Opportunity Act; (vi) has been determined by the eligible institution of higher education providing such program (after validation of that determination by at least one of the entities described in subclauses (I) through (IV) of clause (iv)) to provide academic content, an amount of instructional time, competencies, and a recognized postsecondary credential that are sufficient to— (I) meet the hiring requirements of potential employers in the sectors or occupations described in clause (iv); and (II) satisfy any applicable educational prerequisite requirement for professional licensure or certification in the State or States in which the program is offered, so that a student who completes the program and seeks employment is qualified to practice or find employment in such sectors or occupations that the program prepares students to enter, including, if applicable, being qualified to take any relevant licensure or certification examinations that may be needed to practice such employment; (vii) subject to subparagraph (E), provides a student, upon completion of the program, with a recognized postsecondary credential that is stackable and portable across multiple employers and geographical areas; (viii) not later than 18 months after the date the program has been approved as an eligible workforce program under this paragraph, has demonstrated that students who complete the program receive a median increase of 20 percent of median earnings as compared to median earnings of such students prior to enrolling in such program, in accordance with subparagraph (B); (ix) not later than 18 months after the date the program has been approved as an eligible workforce program under this paragraph, has demonstrated (on the basis of the data collected under section 131(i) and such other information as the Secretary may require) that the median earnings of students who complete such program, as calculated in accordance with subparagraph (B)(i)(II), exceed the median earnings for adults who are at least 25 years old, but younger than 35 years old, with only high school diploma (or a recognized equivalent) in the State in which the program is located, based on data from the Bureau of the Census and approved by the Secretary; (x) publishes prominently on the website of the institution, and provides a written disclosure to each prospective student prior to entering into an enrollment agreement for such program (which each such student shall confirm receiving through a written affirmation prior to entering such enrollment agreement) containing, at a minimum, the following information calculated, as applicable, in accordance with section 131(i), including— (I) the required tuition and fees of the program; (II) the difference between required tuition and fees described in subclause (I) and any grant aid (which does not need to be repaid) provided to the student; (III) the completion rate of the program; (IV) the employment rates of students who complete the program, measured at approximately 6 months and 1 year, respectively, after completion of the program; (V) median earnings of students who complete the program, as calculated in accordance with subparagraph (B)(i)(II)); (VI) median earnings of students who do not complete the program, calculated based on earnings approximately 6 months after ceasing enrollment in the program; (VII) the ratio of the amount that is the difference between required tuition and fees and any grant aid provided to the student described in subclause (II) to the median earnings of students described in subclause (V); (VIII) an explanation, in clear and plain language that shall be specified by the Secretary, of the ratio described in subclause (VII); and (IX) in the case of a program that prepares students for a professional licensure or certification examination, the share of such students who pass such examinations; (xi) prepares students to pursue one or more related certificate or degree programs at one or more institutions of higher education (which may include the eligible institution of higher education providing the eligible workforce program), including— (I) by ensuring the acceptability of the credits received under the workforce program toward meeting such certificate or degree program requirements (such as through an articulation agreement as defined in section 486A); and (II) subject to subparagraph (B), by ensuring that a student who completes noncredit coursework in the workforce program, upon completion of the workforce program and enrollment in such a related certificate or degree program, will receive academic credit for such noncredit coursework that will be accepted toward meeting such certificate or degree program requirements; (xii) is not offered exclusively through distance education or a correspondence course, except as determined by the Secretary to be necessary, on a temporary basis, in connection with a— (I) major disaster or emergency declared by the President under section 401 or 501 of the Robert T. Stafford Disaster Relief and Emergency Assistance Act (42 U.S.C. 5170 and 5191); or (II) national emergency declared by the President under section 201 of the National Emergencies Act ( 50 U.S.C. 1601 et seq. (xiii) includes counseling for students to— (I) support each such student in achieving the student’s education and career goals; and (II) ensure that each such student receives information on— (aa) the sectors or occupations described in clause (iv) for which the eligible workforce program provides training (including the median earnings of students who have completed the program, as calculated in accordance with subparagraph (B)(i)(II), and are employed in such sectors or occupations); (bb) the related certificate or degree programs described in clause (xi) for which the workforce program provides preparation; and (cc) other sources of financial aid or other assistance for any component of the student’s cost of attendance (as defined in section 472); (xiv) meets requirements that are applicable to a program of training to prepare students for gainful employment in a recognized occupation; (xv) has been offered by an institution for not less than 1 year prior to a determination by such agency or association under this paragraph; (xvi) has a verified completion rate of at least 70 percent, calculated so as to ensure that a student shall be counted as a completion if the student completes the program within 150 percent of the normal time for completion; (xvii) has a verified a employment placement rate of at least 70 percent, as determined in accordance with the regulations of the Secretary; (xviii) submits to the Secretary, for each institutional fiscal year, disclosures on the expenditures of the program; and (xix) in the case of a program that has been approved for not less than 4 years as an eligible workforce program under this paragraph, for each of the 3 most recent fiscal years for which the institution submits the disclosures under clause (xviii), the amount expended by the program for educational spending is greater than or equal to an amount equal to 1⁄2 of the amount of revenue for such program derived from tuition and fees for such program. (B) Median earnings increase requirement (i) In general Subject to clauses (ii) and (iii), the Secretary shall, using the data collected under section 131(i) and such other information as the Secretary may require, determine whether a workforce program meets the requirements of subparagraph (A)(viii) with respect to whether the students who complete the program receive a median increase of 20 percent of such students’ median earnings. For the purposes of this paragraph, the Secretary shall determine such percentage increase by calculating the difference between— (I) the median earnings of students who enroll in such program, calculated based on earnings approximately 6 months prior to enrollment; and (II) the median earnings of students who complete such program, calculated based on earnings approximately 6 months after completing such program, subject to clause (ii). (ii) Exclusion An eligible institution of higher education offering a program has been approved as an eligible workforce program under this paragraph may exclude from the calculation under clause (i)(II) any students who are enrolled in any eligible program (as such term is defined in this subsection) at the time that earnings are evaluated under clause (i)(II). (iii) Date of effect The requirement under this paragraph shall take effect beginning on the date that is 18 months after the date the program has been approved as an eligible workforce program under this paragraph. (C) Appeals process The Secretary shall establish an appeals process to permit any program has been approved as an eligible workforce program under this paragraph to submit alternate earnings data to comply with subparagraph (A)(ix) or subparagraph (B), provided that such data are statistically rigorous, accurate, comparable, and representative of students who receive a Workforce Pell Grant, and enroll in and complete the program. (D) Approval by the secretary (i) Initial eligibility (I) In general In the case of a program that is seeking to establish initial eligibility as an eligible workforce program under this paragraph, the Secretary shall make a determination whether the program meets the requirements of this paragraph not more than 120 days after the date on which such program is submitted for consideration as an eligible workforce program. If the Secretary determines the program meets the requirements of this paragraph, the Secretary shall grant an initial period of approval of 2 years. (II) Additional state assurance The Secretary shall not determine that a program is an eligible workforce program in accordance with subclause (I) unless the Secretary receives a certification from the State in which the eligible workforce program is provided, containing an assurance that the program meets the requirements of clauses (iv) through (vi) of subparagraph (A). (ii) Renewal of approval by the secretary An eligible workforce program that desires to continue eligibility as an eligible workforce program after the period of initial approval described in clause (i), or the subsequent period described in this clause, shall submit a renewal application to the Secretary (with such information as the Secretary may require), not more than 270 days and not less than 180 days before the end of the previous approval period. If the Secretary determines the program meets such requirements, the Secretary shall grant another period of approval for 3 years. (iii) Revocation of approval by the secretary If at any time the Secretary determines that a program previously approved under clause (i) or (ii) is no longer meeting any of the requirements of an eligible workforce program described in this subsection, the Secretary— (I) shall deny a subsequent renewal of approval in accordance with clause (ii) for such program after the expiration of the approval period; (II) may withdraw approval for such program before the expiration of the approval period; (III) shall ensure students who enrolled in such programs have access to transcripts for completed coursework without a fee or monetary charge and without regard to any balance owed to the institution; and (IV) shall prohibit such program and any substantially similar program, from being considered an eligible workforce program described in this subsection for a period of not less than 5 years. (E) Exceptions for certain programs The requirements of subparagraph (A)(ix)(II) and the requirement that a program be stackable (as described in subparagraph (A)(vii)) shall not apply to any program seeking approval as an eligible workforce program under this paragraph with respect to which at least one of the entities described in subclauses (I) through (IV) of subparagraph (A)(iv) determines— (i) prepares students for employment in an occupation for which there is only one recognized postsecondary credential; and (ii) provides students with such a credential upon completion of such program. (F) Eligibility for participation in federal direct loan program A program that has been approved as an eligible workforce program under this paragraph is an eligible program for purposes of part D only if such program consists of at least 300 clock hours of instruction, but less than 600 clock hours of instruction (or an equivalent number of credit hours) offered during a minimum of 10 weeks, but less than 15 weeks. (G) Definitions In this paragraph: (i) Career and technical education The term career and technical education (ii) Educational spending (I) In general The term educational spending (II) Exclusions The term educational spending (iii) Eligible institution of higher education The term eligible institution of higher education (I) is approved by an accrediting agency or association that meets the requirements of section 496(a)(4)(C); and (II) has not been subject, during any of the preceding 5 years, to— (aa) any suspension, emergency action, or termination of programs under this title; (bb) any adverse action by the institution’s accrediting agency or association; or (cc) any action by the State to revoke a license or other authority to operate. (iv) Median earnings The term median earnings (v) WIOA definitions The terms industry or sector partnership in-demand industry sector or occupation recognized postsecondary credential local board State board . (b) Sunset of loan eligibility for certain short-Term programs Section 481(b)(2) of the Higher Education Act of 1965 ( 20 U.S.C. 1088(b)(2) (C) No program may be determined eligible under this paragraph on or after the date that is 60 days after the date on which the Secretary approves the first workforce program for purposes of the Workforce Pell Grants Program under section 401(k). . 4. Data collection and dissemination related to workforce pell Section 131 of the Higher Education Act of 1965 ( 20 U.S.C. 1015 (i) Interagency data coordination and data collection related to workforce pell (1) Interagency data coordination The Secretary shall coordinate with the Secretary of Labor to ensure access to data necessary to implement this subsection that is not otherwise available to the Secretary, including such data related to indicators of performance collected under section 116 of the Workforce Innovation and Opportunity Act. (2) Data on eligible workforce programs Except as provided under paragraph (3), the Secretary, in coordination with the National Center for Education Statistics, the Secretary of Labor, and each institution of higher education offering an eligible workforce program for which the Secretary awards Workforce Federal Pell Grants under section 401(k), shall, on an annual basis and using, to the greatest extent practicable, data otherwise available to the Secretary, collect, verify, and make publicly available on the College Scorecard, or any similar successor website, information with respect to such eligible workforce program, including, at a minimum, the following: (A) the length of the program (as measured in clock hours, credit hours, or weeks); (B) the number and demographics of students who enroll in the program during the most recent academic year for which data is available, disaggregated by— (i) sex; (ii) race and ethnicity; (iii) classification as a student with a disability; (iv) income quintile, as defined by the Secretary; (v) military or veteran benefit status; (vi) status as a first-time student or transfer student from another institution; (vii) status as a first generation college student; (viii) status as parent or guardian of 1 or more dependent children; (ix) status as a confined or incarcerated individual, as defined under section 484(t)(1)(A); and (x) status as a recipient of a Workforce Federal Pell Grant; (C) the number and demographics, disaggregated by the categories listed in subparagraph (B), of students who— (i) complete the program within 150 percent of the normal time for completion of such program; and (ii) do not complete the program; (D) the required tuition and fees of the program; (E) the median earnings (as defined in section 481(b)(3)(F)) of students, disaggregated by the categories listed in subparagraph (B), who— (i) complete the program, calculated based on earnings approximately 6 months after completing such program; and (ii) do not complete the program, calculated based on earnings approximately 6 months after ceasing enrollment in such program; and (F) outcomes of the students who complete the program, disaggregated by the categories listed in subparagraph (B), with respect to— (i) the median time for completion of such students; (ii) the employment rates of such students— (I) 6 months after completion of such program; and (II) 1 year after completion of such program; (iii) in the case of a program that prepares students for a professional licensure or certification examination, the percentage of such students who pass such examinations; (iv) the percentage of such students who enroll in a certificate or degree program at the institution of higher education offering the program within 1 year of completing such program; (v) the percentage of such students who transfer to another institution of higher education within 1 year of completing such program; and (vi) the percentage of such students who complete a subsequent certificate or degree program at any institution of higher education within 6 years of completing such program. (3) Exceptions Notwithstanding any other provision of this subsection— (A) if disclosure of any data under paragraph (1) is prohibited from disclosure due to applicable privacy restrictions under State or Federal privacy laws or regulations, the Secretary may take such steps as the Secretary determines necessary to provide meaningful disaggregated student demographic or outcome information, including combining categories; (B) an institution may submit, and the Secretary may publish, data required to be collected under paragraph (2) that is obtained through a State Unemployment Insurance Agency or through other supplemental means, in lieu of any additional data collection, provided that such data are statistically rigorous, accurate, comparable, and representative; (C) to the extent that another provision of this Act, or any regulation prescribed under this Act, requires the same reporting or collection of data that is required under paragraph (2), the Secretary may consider the reporting under such provision or regulation to satisfy the requirements of paragraph (2); and (D) the Secretary, in consultation with the Secretary of Labor, may modify or waive the requirements to disaggregate data by the categories listed in paragraph (2)(B) for data described in subparagraphs (E) and (F)(iii) of paragraph (2) to align with the reporting requirements of section 116(d)(4) of the Workforce Innovation and Opportunity Act, streamline reporting requirements, and minimize reporting burdens. . 5. Accrediting agency determination of eligibility requirements for the workforce pell grants program (a) Recognition of accrediting agency or association Section 496(a)(4) of the Higher Education Act of 1965 ( 20 U.S.C. 1099b(a)(4) (1) in subparagraph (A), by striking and (2) in subparagraph (B)(ii), by inserting and (3) by adding at the end the following: (C) if such agency or association has or seeks to include within its scope of recognition the evaluation of the quality of institutions of higher education offering an eligible workforce program for purposes of the Workforce Federal Pell Grant program under section 401(k), such agency or association shall, in addition to meeting the other requirements of this subpart, demonstrate to the Secretary that, with respect to such eligible workforce programs— (i) the agency or association’s standards include a process for determining if the institution has the capability to effectively offer an eligible workforce program; and (ii) the agency or association requires a demonstration that the program— (I) has identified each recognized postsecondary credential offered in the relevant industry in the State or local area where the industry is located; and (II) provides academic content, an amount of instructional time, competencies, and a recognized postsecondary credential sufficient to satisfy any applicable educational requirement for professional licensure or certification in the State or States in which the program is offered, so that a student who completes the program and seeks employment is qualified to practice or find employment in the sectors or occupations that the program prepares students to enter, including, if applicable, being qualified to take any relevant licensure or certification examinations that may be needed to practice such employment. . (b) Additional NACIQI review meetings For the purpose of preparing for the implementation of the Workforce Pell Grant program under section 401(k) of the Higher Education Act of 1965 (as added by section 4), in addition to the meetings required under section 114(d)(1) of the Higher Education Act of 1965 ( 20 U.S.C. 1011c(d)(1) (c) Interim accreditation authority (1) Notification Beginning on the date of enactment of this Act, a qualified accrediting agency or association which seeks to include within its scope of recognition the evaluation of the quality of institutions offering eligible workforce programs for the purposes of the Workforce Pell Grants program, may include within its scope of recognition the evaluation of such institutions if the accrediting agency or association— (A) submits to the Secretary a notification of the agency’s or association’s intent to add the evaluation of such institutions to its scope of recognition; and (B) includes with such notification an explanation of how the agency or association intends to meet the criteria under section 496(a)(4)(C) of the Higher Education Act of 1965 (as added by subsection (a)) with respect to the evaluation of institutions for purposes of the Workforce Pell Grants program. (2) Review of scope of changes Upon receipt of a notification from an accrediting agency or association under paragraph (1), the Secretary shall direct the National Advisory Committee on Institutional Quality and Integrity (as established by section 114 of the Higher Education Act of 1965 ( 20 U.S.C. 1011c (3) Termination of interim authority The interim authority under this subsection for an agency or association to include within its scope of recognition the evaluation of the quality of institutions offering eligible workforce programs for the purposes of the Workforce Pell Grants program shall terminate on the earlier of— (A) the date that is 5 years after the date of enactment of this Act; or (B) the date on which the Secretary determines whether such agency or association meets the criteria under section 496(a)(4)(C) of the Higher Education Act of 1965 (as added by subsection (a)). (4) Definitions In this subsection: (A) Qualified accrediting agency or association The term qualified accrediting agency or association 20 U.S.C. 1099b (B) Workforce pell grants program The term Workforce Pell Grants program 6. Workforce innovation and opportunity act amendment (a) In general (1) Eligible training provider reports Section 116(d)(4) of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3141(d)(4) (A) in subparagraph (E), by striking and (B) in subparagraph (F), by striking the period and inserting ; and (C) by adding at the end the following: (G) for programs of study of an eligible provider participating in the Workforce Federal Pell Grant program under section 401(k) of the Higher Education Act of 1965 such information related to employment and earnings as may be required under section 481(b)(3), including information relating to the total earnings increase under section 481(b)(3)(B), except that the sanctions for failure to report under subsection (f)(1)(B) of this section shall not apply to this subparagraph. . (2) Interagency data coordination Section 116(i) of the Workforce Innovation and Opportunity Act ( 29 U.S.C. 3141(i) (4) Interagency data coordination for workforce federal pell grant program The Secretary of Labor shall coordinate with the Secretary of Education to ensure access to data necessary to implement sections 401(k) and 481(b)(3) of the Higher Education Act of 1965 ( 20 U.S.C. 1070a(k) .

Summary: Jobs to Compete Act This bill expands student eligibility for Pell Grants by establishing the Workforce Pell Grants Program. Specifically, the bill requires the Department of Education (ED) to award Workforce Pell Grants to students enrolled in eligible short-term programs. The bill outlines eligibility requirements for programs seeking to offer their students these Workforce Pell Grants. An eligible program is one that provides at least 150 clock hours of instruction, but less than 600 clock hours of instruction, during a minimum of 8 weeks, but less than 15 weeks; provides an education aligned with the requirements of high-skill, high-wage, or in-demand industry sectors or occupations in the state or local area of the program (as determined by an accrediting agency or association recognized by ED); provides a student with a recognized postsecondary credential that is stackable and portable across multiple employers and geographical areas; has a verified completion rate of at least 70%; has a verified employment placement rate of at least 70%; and meets other eligibility criteria. ED shall have the final determination of whether a program meets the bill's eligibility requirements. Additionally, the bill requires ED and the Department of Labor to coordinate and collect data related to these workforce programs. ED must annually collect and publish information on the College Scorecard regarding each eligible program, including job outcomes. The College Scorecard is a comparison tool for information on school sizes, settings, graduation rates, average costs, and salary ranges per field of study.