Minnesota Colleges and Universities Weight Impacts of Changes in Senate Bill

Minnesota colleges and universities are bracing for change after the massive policy bill passed the U.S. Senate this week, including serious cuts and restrictions to federal student loan programs, expansions to Pell Grants to fund short-term or workforce training and a new accountability system for colleges based on their graduates’ earnings, ending federal loan eligibility if they fail.

The formerly named “One Big Beautiful Bill Act” also cuts repayment options for student loans, leaving just one income-based option. Loan payments will increase for many borrowers, especially those with lower incomes.