Education

The bill is comprehensive and includes numerous provisions that will significantly impact education spending, both in terms of direct funding and policy changes affecting student aid, research, and other educational programs. Here’s a summary of the key ways it will influence education spending:

1. Extension and Increase of Funding for Education-Related Programs:

   • The bill extends funding authorizations for various education initiatives through fiscal year 2031, including:
     • Research programs (e.g., Foundation for Food and Agriculture Research, Specialty Crop Research Initiative, organic and emerging agricultural research).
     • Scholarships and grants (e.g., scholarships for students at 1890 land-grant institutions, organic certification cost-share programs).
     • Military education support (e.g., tuition assistance, child care fee assistance for military members).
     • Military and defense-related research and development that could indirectly benefit educational institutions involved in research.

2. Changes to Student Financial Aid and Loan Programs:

   • Loan Limits and Repayment: The bill proposes significant reforms to federal student loan programs, including:
     • Termination of subsidized loans for undergraduate students beginning July 1, 2026.
     • Cap on aggregate loan amounts for undergraduates at $50,000, and for graduate and professional students at higher levels, depending on the program.
     • Replacement of income-contingent repayment plans with income-based plans, and the sunset of certain repayment options.
     • New loan limits based on median college costs and cost of attendance, which could increase or decrease federal spending depending on how these are set.
   • Loan Eligibility Restrictions: Future restrictions on eligibility for PLUS loans (parent loans) and graduate/professional loans starting July 1, 2026, may reduce federal expenditure on these programs over time.

3. Policy Reforms Potentially Reducing Spending:

   • The bill terminates or phases out several programs and provisions, such as:
     • The National Education and Obesity Prevention Grant Program.
     • The Income Contingent Repayment Plan.
     • Certain adjustments to loan forgiveness and repayment options.
   • These reductions could lower future federal education spending, especially on loan forgiveness and certain grants.

4. Focus on Research and Development in Agriculture and Education:

   • The bill allocates substantial funds for agricultural research, which can support educational institutions involved in agricultural sciences.
   • Funding for extension services, innovation, and infrastructure will support educational and research institutions working in these areas.

5. Impact of Broader Policy Changes:

   • The bill's emphasis on fiscal discipline—such as sunset provisions and caps on certain programs—may lead to reductions in future education spending if programs are not renewed or if funding is capped.
   • Conversely, increased funding for research, scholarships, and military education support could lead to higher expenditures in these areas.

Overall Effect: - The bill is likely to increase overall federal education-related spending through extended and expanded research programs, scholarships, and military education support. - It also introduces significant reforms to student loan programs that might reduce future federal outlays related to loans and forgiveness, depending on how these reforms are implemented and how loan utilization changes. - The net impact will depend on the balance between new funding allocations and the scaling back or termination of certain existing programs.

In summary: The bill appears to favor increased investment in research, scholarships, and military educational support, while simultaneously implementing reforms that could limit or phase out some existing federal student aid programs, potentially reducing overall long-term education spending.