I 
119TH CONGRESS 
1ST SESSION H. R. 5532 
To direct the Secretary of Education to establish a program to facilitate 
the transition to tuition-free community college in certain States, and 
for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
SEPTEMBER 19, 2025 
Mr. SMITH of Washington introduced the following bill; which was referred to 
the Committee on Education and Workforce, and in addition to the Com-
mittee on Ways and Means, for a period to be subsequently determined 
by the Speaker, in each case for consideration of such provisions as fall 
within the jurisdiction of the committee concerned 
A BILL 
To direct the Secretary of Education to establish a program 
to facilitate the transition to tuition-free community col-
lege in certain States, and for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
TITLE I 
SECTION 101. TUITION-FREE COMMUNITY COLLEGE GRANT 
AND SUPPORT PROGRAM. 
(a) IN GENERAL.—The Secretary shall establish a 
program to provide grants to each State that submits a 
complete application under subsection (b) to— 
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(1) facilitate tuition-free community college for 
eligible students; 
(2) award subgrants to eligible institutions for 
the improvement of the capacity of institutions to 
provide supportive services; and 
(3) award subgrants to eligible institutions for 
the provision of direct grants to student to address 
non-tuition costs to meet the growing demand from 
employers for workers with postsecondary creden-
tials. 
(b) APPLICATION.—To be eligible for a grant under 
this section, a State shall submit to the Secretary an appli-
cation in such form, at such time, and containing such 
information as the Secretary determines appropriate, in-
cluding a State plan describing the following: 
(1) INTERAGENCY COMMITTEE.— 
(A) IN GENERAL.—A plan to formalize an 
interagency committee within such State to— 
(i) evaluate gaps and opportunities in 
the State workforce, higher education, 
childcare, and human services systems; and 
(ii) maximize Federal and State re-
sources to support pathway development 
that increases economic mobility and rec-
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ognized postsecondary credential attain-
ment. 
(B) MEMBERSHIP.—An assurance that 
such committee shall consist of members from 
the following entities: 
(i) State unemployment insurance 
agency. 
(ii) Office of the State higher edu-
cation executive officer and public college 
boards. 
(iii) State community college system. 
(iv) State departments of health and 
human services. 
(v) State departments of economic de-
velopment. 
(vi) Workforce development agencies. 
(vii) State or local housing authori-
ties. 
(viii) Students enrolled in community 
colleges in the State. 
(ix) Other relevant State agencies as 
determined by the State. 
(2) EDUCATION ALIGNMENT.—A plan to— 
(A) with respect to eligible individuals 
without a secondary school diploma or its recog-
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nized equivalent, facilitate the completion of 
such diploma or recognized equivalent at a com-
munity college; 
(B) ensure that credits received for Ad-
vanced Placement or International Bacca-
laureate classes are applied to an equivalent 
community college course; and 
(C) otherwise align the requirements be-
tween secondary schools and community col-
leges in order to increase the accessibility of 
community college for eligible individuals. 
(3) DEVELOPMENT.—A plan to— 
(A) improve career pathway development, 
with special attention to career pathways re-
lated to in-demand industry sectors or occupa-
tions identified under paragraph (14); 
(B) increase economic mobility of State 
residents; and 
(C) provide access to affordable postsec-
ondary education for State residents through a 
network of coordinated State and Federal sup-
port systems designed and implemented by 
State agencies in partnership with public insti-
tutions of higher education and public higher 
education systems. 
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(7) OUTREACH.—A plan to reach eligible indi-
viduals without a recognized postsecondary creden-
tial, including with respect to individuals who— 
(A) live in high-poverty areas; 
(B) are first-generation students; 
(C) are low-income students; and 
(D) identify as belonging to other under-
represented student groups. 
(8) RECOGNIZED POSTSECONDARY CREDENTIAL 
ENROLLMENT, PERSISTENCE, RETENTION AND COM-
PLETION.—A plan to increase enrollment, persist-
ence, retention, and credential completion by— 
(A) developing new, or expanding existing, 
degree and credential programs based on the 
needs of in-demand industry sectors or occupa-
tions identified under paragraph (14); 
(B) increasing the number of career coun-
selors and navigators; 
(C) ensuring that eligible students enrolled 
in community colleges— 
(i) are not charged tuition or fees; 
and 
(ii) are not required to apply Federal, 
State, or private financial assistance (in-
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cluding scholarships) to pay for the cost of 
tuition or fees; and 
(D) ensuring that the eligibility of an eligi-
ble student enrolled in community college for a 
Federal Pell Grant under subpart 1 of title IV 
of the Higher Education Act of 1965 (20 
U.S.C. 1070a et seq.) or other financial assist-
ance is not affected by funds provided under 
this Act or private scholarship awards unless 
the total amount of such student’s Federal Pell 
Grant, other financial assistance, and private 
scholarships exceeds the student’s annual cost 
of attendance. 
(9) COST ANALYSES.—Cost analyses for— 
(A) providing tuition-free community and 
technical college pathways to individuals who 
have not attained— 
(i) a secondary school diploma or its 
recognized equivalent; or 
(ii) a recognized postsecondary cre-
dential, up to and including a bachelor’s 
degree; and 
(B) expanding institutional capacity to 
meet an increased demand for recognized post-
secondary credentials by expanding supportive 
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services, including with respect to hiring addi-
tional— 
(i) career counselors; 
(ii) navigators; and 
(iii) other support staff. 
(10) DATA COLLECTION.— 
(A) IN GENERAL.—A plan for data collec-
tion efforts to measure program outcomes and 
evaluate 
program 
success, 
including 
by 
leveraging existing administrative data to track 
any change in participation in recognized post-
secondary credential programs at community 
colleges. 
(B) CONTENT.—An assurance that the 
State that awards subgrants under this title 
will collect the following data: 
(i) With respect to each public institu-
tion of higher education— 
(I) the number and percentage of 
students receiving emergency aid; and 
(II) the average grant amount 
for each student. 
(ii) With respect to each semester or 
quarter at a public institution of higher 
education— 
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(I) rate of retention; and 
(II) rate of completion of a rec-
ognized secondary credential. 
(iii) The grade point averages of stu-
dents receiving emergency aid subgrants. 
(iv) Other data reported by the State. 
(v) Other data required by the Sec-
retary. 
(11) DATA SHARING.—A State shall— 
(A) provide an interagency data-sharing 
agreement that facilitates statewide data collec-
tion efforts between— 
(i) State agencies that oversee the dis-
persal of State and Federal benefits; 
(ii) the State educational agency; 
(iii) the State higher education sys-
tem; 
(iv) the State board; and 
(v) other agencies determined by the 
Secretary to be necessary; and 
(B) detail how such agreement will pro-
mote cross-agency collaboration and improve 
recognized postsecondary credential completion. 
(12) TRANSFER AGREEMENTS.—A description 
of— 
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(A) transfer agreements between 2-year 
and 4-year public institutions of higher edu-
cation in such State; and 
(B) the ways in which the State will ex-
pand the number of transfer agreements, in-
cluding with respect to the facilitation and im-
provement of credit transfers between institu-
tions. 
(13) SUSTAINING FUNDS.—The State shall de-
scribe— 
(A) the ways in which such State will sus-
tain a tuition-free community college model; 
and 
(B) the amount of Federal assistance 
needed to sustain the model described in sub-
paragraph (A). 
(14) IN-DEMAND INDUSTRY SECTORS OR OCCU-
PATIONS.—A plan to— 
(A) identify in-demand industry sectors or 
occupations in such State; and 
(B) develop and provide access to path-
ways to credential and degree programs for jobs 
in such industries, giving priority to credential 
and degree programs that correspond to high- 
quality jobs in consultation with— 
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(i) the State board; 
(ii) the State health and human serv-
ices agency; 
(iii) the State board of higher edu-
cation; and 
(iv) business industry groups within 
the State. 
(15) FEDERAL PROGRAMS.— 
(A) IN GENERAL.—A description of how 
the State will use amounts under covered pro-
grams, to the extent otherwise permitted by 
law, to reduce eligibility and participation re-
quirement barriers in such programs in order 
to— 
(i) treat the pursuit of a recognized 
postsecondary credential as meeting any 
compliance, work participation, and core 
activity requirements for each such pro-
gram; and 
(ii) increase access to and completion 
of recognized postsecondary credential pro-
grams. 
(B) COVERED
PROGRAMS
DEFINED.—In 
this paragraph, the term ‘‘covered programs’’ 
means— 
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(i) the temporary assistance for needy 
families program under part A of title IV 
of the Social Security Act (42 U.S.C. 601); 
(ii) the Supplemental Nutrition As-
sistance Program Employment and Train-
ing Program under section 6 of the Food 
and Nutrition Act of 2008 (7 U.S.C. 
2015); 
(iii) the Child Care Development 
Fund under the Child Care and Develop-
ment Block Grant Act of 1990 (42 U.S.C. 
9858 et seq.); and 
(iv) housing assistance programs car-
ried out by the Secretary of Housing and 
Urban Development. 
(c) GRANT AMOUNTS.—The Secretary shall deter-
mine grant amounts under subsection (a) with respect to 
each State based on the following: 
(1) Statewide unemployment and underemploy-
ment rates that are 1 percentage point above the na-
tional average. 
(2) The number of local educational agencies in 
a State that elect to receive special assistance pay-
ments under section 11(a)(1)(F) of the Richard B. 
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Russell National School Lunch Act (42 U.S.C. 
1759a(a)(1)(F)). 
(3) A statewide official poverty rate that is 1 
percentage point above the national average. 
(4) As of the date on which the application is 
submitted under subsection (b), whether the State 
carries out a tuition-free community college pro-
gram. 
(d) FUNDS.— 
(1) TIMING.—A grant under this title shall be 
awarded for a period of 5 years, of which— 
(A) a maximum of 1 year may be used for 
planning; and 
(B) a minimum of 4 years shall be used 
for implementation. 
(2) FEDERAL COST SHARE.—The Federal cost 
share of facilitating tuition-free community college 
for eligible students pursuant to a grant awarded 
under subsection (a) shall be not less than 100 per-
cent for costs incurred during the 5-year grant pe-
riod described in paragraph (1). 
(e) GRANT USES.—An eligible State shall use grant 
funds awarded under this section— 
(1) to implement the State plan submitted as 
part of the application under subsection (b), includ-
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ing with respect to data collection and reporting in 
accordance with paragraph (10) of such subsection; 
and 
(2) to award subgrants to— 
(A) eligible institutions in accordance with 
section 102; and 
(B) eligible students in accordance with 
section 103. 
(f) ELIGIBLE STUDENT DEFINED.—In this section, 
the term ‘‘eligible student’’ means an individual who— 
(1) is at least 18 years of age; 
(2) does not have a postsecondary credential 
that is less than a bachelor’s degree; and 
(3) when used with respect to a State, is a resi-
dent of the State. 
SEC. 102. SUBGRANTS FOR INSTITUTIONAL CAPACITY AND 
WRAPAROUND SERVICES. 
(a) IN GENERAL.—A State that receives a grant 
under section 101 shall award subgrants to eligible institu-
tions for institutional capacity and wraparound services. 
(b) APPLICATION.—An eligible institution seeking a 
subgrant under this section shall submit to the State an 
application in such form, at such time, and containing 
such information as the State may require. 
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(c) SUBGRANT USES.—An eligible institution that re-
ceives a subgrant under this section shall use such 
subgrant funds for implementing activities and services 
that improve retention and completion of recognized post-
secondary credentials, including— 
(1) identifying and addressing the needs of stu-
dents, including affordable housing, childcare, trans-
portation, and food; 
(2) supporting the work of navigators, includ-
ing— 
(A) providing information to students with 
respect to eligibility for assistance under other 
Federal, State, and institutional assistance pro-
grams; and 
(B) connecting students with on-campus 
and off-campus supportive services; 
(3) hiring additional staff; 
(4) increasing access to supportive services by 
centralizing such services on-campus; 
(5) offering additional scheduling options for 
classes with respect to the day, time, and location of 
such classes; 
(6) improving the transfer of credits between 
institutions of higher education, including commu-
nity colleges; 
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(7) expanding pathways related to in-demand 
industry sectors or occupations; 
(8) providing access to technology, including— 
(A) digital literacy courses; 
(B) computers; 
(C) software; and 
(D) other equipment necessary to attain a 
recognized postsecondary credential; and 
(9) partnering with an entity selected by the 
State to provide technical assistance, including with 
respect to— 
(A) carrying out the State plan under sec-
tion 101; 
(B) awarding subgrants under section 103; 
(C) developing reports under section 104; 
(D) connecting students to public benefits; 
and 
(E) carrying out the activities described in 
paragraphs (1) through (8). 
(d) ELIGIBLE INSTITUTION DEFINED.—In this sec-
tion, the term ‘‘eligible institution’’ means an institution— 
(1) located in the State; and 
(2) that is— 
(A) a community college that is located in 
a geographic area that serves local educational 
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agencies that participate, through the commu-
nity eligibility provision authorized by the 
Healthy, Hunger-free Kids Act of 2010 (42 
U.S.C. 1758 note et seq.) in— 
(i) the national school lunch program 
under the Richard B. Russell National 
School Lunch Act (42 U.S.C. 1751 et 
seq.); and 
(ii) the school breakfast program 
under the Child Nutrition Act of 1966 (42 
U.S.C. 1771 et seq.); 
(B) a community college that is located in 
geographic areas with 40 percent of the popu-
lation at or below the Federal poverty line; 
(C) an institution of higher education with 
an admission rate of 50 percent or higher; or 
(D) an institution that is eligible to receive 
a grant under part A or B of title III or title 
V of the Higher Education Act of 1965 (20 
U.S.C. 1001 et seq.), including— 
(i) a historically Black college or uni-
versity; 
(ii) a Hispanic-serving institution; 
(iii) a Tribal college or university; 
(iv) a minority-serving institution; and 
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(v) a rural-serving institution of high-
er education. 
SEC. 103. SUBGRANTS FOR EMERGENCY AID TO STUDENTS. 
(a) IN GENERAL.—A State that receives a grant 
under section 101 shall award subgrants to eligible stu-
dents for emergency aid. 
(b) APPLICATION.— 
(1) IN GENERAL.—An eligible student seeking a 
subgrant under this section shall submit to the State 
an application in such form, at such time, and con-
taining such information as the State may require. 
(2) NOTIFICATION OF RECEIPT.—Upon receipt 
of an application from an eligible student under 
paragraph (1), the State shall notify such student of 
such receipt in a manner to be determined by the 
State. 
(3) APPEAL.—If an application submitted by an 
eligible student under paragraph (1) is denied by the 
State, such student may appeal such denial in a 
manner to be determined by the State. 
(c) TIMING.—A subgrant awarded under this section 
shall be for a period of 5 years. 
(d) CONTRACTS.—A State may award a contract to 
a scholarship-granting organization for purposes of— 
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(1) accepting applications from eligible students 
under subsection (b)(1); and 
(2) disbursing subgrant funds to eligible stu-
dents in accordance with subsection (e)(4). 
(e) FUNDS.— 
(1) ADMINISTRATION.—Not more than 20 per-
cent of funds awarded under this section may be 
used for the administration of emergency aid to eli-
gible students. 
(2) DIRECT AID.—Not less than 80 percent of 
funds awarded under this section shall be used to 
award emergency aid subgrants to eligible students. 
(3) SUBGRANT AMOUNTS.— 
(A) ELIGIBLE
STUDENTS
WITHOUT
DE-
PENDENTS.—With respect to an academic year, 
a subgrant awarded to an eligible student that 
does not have a dependent may not exceed 
$1,500. 
(B) ELIGIBLE STUDENTS WITH DEPEND-
ENTS.—With respect to an academic year, a 
subgrant awarded to an eligible student with a 
dependent may not exceed $2,500. 
(4) DISBURSEMENT OF FUNDS.—An institution 
shall disburse funds to eligible students in a timely 
manner, as determined by the State. 
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(5) FEDERAL TAXES.—A subgrant under this 
title may not be considered income for purposes of 
the Internal Revenue Code of 1986. 
(f) ELIGIBLE STUDENT DEFINED.—In this section, 
the term ‘‘eligible student’’ means a student enrolled at 
a public junior or community college in the applicable 
State and participating in the tuition-free program pursu-
ant to section 101, without regard to whether such student 
submits an application under section 483 of the Higher 
Education Act of 1965 (20 U.S.C. 1090), who is experi-
encing financial challenges that may affect the ability of 
such student to remain enrolled at such college, includ-
ing— 
(1) lack of access to or loss of— 
(A) employment (including a temporary 
loss of employment); 
(B) transportation; 
(C) child care; 
(D) utilities (including water and elec-
tricity); or 
(E) housing; 
(2) food insecurity; 
(3) with respect to a student or the dependent 
of such student, a medical condition or need, includ-
ing— 
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(A) pregnancy; and 
(B) mental health conditions; and 
(4) with respect to a student who is a depend-
ent— 
(A) the death of a parent or guardian; or 
(B) a parent or guardian with a medical 
condition that results in temporary or perma-
nent loss of employment of such parent or 
guardian. 
SEC. 104. REPORTS. 
(a) ANNUAL REPORT.— 
(1) IN GENERAL.—Not later than 1 year after 
receiving the reports required under subsection (b) 
for a year, and on an annual basis thereafter, such 
State shall submit to the Secretary a report describ-
ing— 
(A) the uses of funds under this title; 
(B) progress made in fulfilling the require-
ments of the grant; 
(C) with respect to participating commu-
nity colleges, rates of— 
(i) graduation; 
(ii) persistence; 
(iii) transfer; and 
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(iv) attainment of recognized postsec-
ondary credentials; 
(D) the institutional reports submitted 
under subsection (b); 
(E) the ways in which the State is commu-
nicating with institutions to— 
(i) understand the barriers of stu-
dents, with respect to eligibility and access, 
to public supports; and 
(ii) use the information described in 
subparagraph (A) to inform any changes; 
(F) the ways in which the State human 
services agency and State board are aligning 
the policy goals of such agencies with the policy 
goals of the State higher education agency; 
(G) changes in access to, and use of, public 
benefits; 
(H) changes in employment with respect to 
in-demand industry sectors and high-quality 
jobs; 
(I) changes in rates of unemployment and 
underemployment; 
(J) other data as provided by the State; 
and 
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(K) other data as required by the Sec-
retary. 
(2) DISAGGREGATION.—The information de-
scribed in subparagraphs (G) through (K) shall be 
disaggregated, to the extent practicable, by— 
(A) race; 
(B) ethnicity; and 
(C) income level. 
(b) INSTITUTION REPORT.—Not later than 1 year 
after receiving a subgrant under section 102 or 103, and 
on an annual basis thereafter, an institution shall submit 
to the State a report describing— 
(1) the uses of funds; 
(2) with respect to the period beginning on the 
date on which a subgrant was received and ending 
on the date on which the report is submitted, 
changes in rates of— 
(A) retention; and 
(B) graduation; 
(3) the ways in which such institution increased 
awareness of, and access to, public supports made 
available through State agencies; and 
(4) the ways in which such institution made im-
provements to tracking data with respect to— 
(A) the basic needs of students; 
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