Reporter’s notebook

DOL unveils $145M for performance-based apprenticeships

The U.S. Department of Labor (DOL) on Friday opened applications for $145 million in performance-based grants to grow established apprenticeship programs in six key industries, with a focus on shipbuilding and the defense industry.

The new Pay-for-Performance Incentive Payments Program offers incentive payments to program sponsors based on the attainment of certain thresholds. DOL plans to award up to five cooperative agreements to scale or expand newly developed registered apprenticeship programs and substantially grow existing programs.

The designated industries are:

  • Shipbuilding and defense industrial base
  • Artificial intelligence, semiconductor and nuclear energy infrastructure
  • Information technology
  • Healthcare
  • Transportation
  • Telecommunication

The department will award up to five cooperative agreements ranging from $10 million to $40 million. Community colleges are eligible to apply. The application deadline is April 3. DOL will hold a pre-recorded webcast for prospective applicants on Feb. 20.

The new program is part of the Trump administration’s effort to create 1 million apprenticeships. It builds on the recently announced American Manufacturing Apprenticeship Incentive Fund, a $35.8 million initiative with Arkansas to expand registered apprenticeships in advanced manufacturing.

ED seeks to drop ‘regional’ from accrediting agencies

The U.S. Education Department on Friday issued a proposed rule that urges recognized accrediting agencies to stop describing themselves as “regional,” saying that the term is confusing and misleading.

The proposed interpretive rule clarifies that institutional accreditors should describe their scope as national or institutional. ED said in a release that it eliminated the concept of “regional” accreditors from its regulations in 2019, but some accreditors, colleges and universities, states and professional licensure boards still use it.

“Continued use of the term contributes to confusion among students and families, drives up the cost of higher education – including through discriminatory transfer credit policies – and may limit graduates’ access to professional licensure opportunities,” ED said.

The department also noted that accreditors have an obligation to ensure their member institutions accurately represent their accreditation status to prospective and current students and the public, including in admissions and marketing materials and transfer-of-credit policies.

Send comments on the proposed rule by March 19 at www.regulations.gov.

ED opens public comment on FAFSA form

The U.S. Education Department is now accepting public comment on ways to improve the 2027-28 Free Application for Federal Student Aid (FAFSA) form, which is the first stage in the FAFSA development process.

The feedback opportunity is required by the Paperwork Reduction Act to ensure the collection of financial data is necessary, accurate and minimizes burden on students.

Submit comments on the 2027-28 FAFSA form, which are due by April 14, at www.regulations.gov.

What a growing Pell shortfall could mean for students

The Congressional Budget Office (CBO) on Friday released new baseline projections for the Pell Grant program. According to its estimates, the program is expected to face a $5.45 billion shortfall by the end of fiscal year 2026 (FY 26). That shortfall is expected to grow to $11.5 billion by FY 27.

Despite the maximum Pell Grant award remaining flat for several years, program costs have increased significantly. The FAFSA Simplification Act – signed into law as part of the Consolidated Appropriations Act, 2021 – expanded eligibility and increased the number of students eligible for the maximum award amount. The new, simplified FAFSA has also led to more students successfully filing, further increasing participation in the program.

While Congress infused $10.5 billion to shore up the Pell Grant program as part of last year’s One Big Beautiful Bill Act, it hasn’t been enough to put the program back on safe financial footing.

The new CBO projections will prompt difficult conversations for congressional authorizers and appropriators. As a semi-entitlement, Congress is obligated to fund Pell Grants for all eligible students. The only mechanisms to decrease program costs are to reduce the maximum award amount or to restrict program eligibility.

The Trump administration’s FY 26 budget request proposed lowering the maximum Pell Grant to $5,710 to address the shortfall. In their reconciliation proposal, the House proposed eliminating Pell Grant eligibility for students enrolled less than half-time. Advocacy from community colleges helped defeat these proposed cuts and secure additional funding.

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