Economic Stimulus Includes a Huge Increase in Funds for Pell Grants

The huge economic stimulus package enacted into law last week included nearly $7.2 billion in extra funds for the Pell Grant program for low-income college students. This is a huge 40 percent increase in funds allocated to the program for the current fiscal year.

California will receive an extra $755 million in Pell Grant allocations. Texas, New York, and Florida will all benefit from an additional $400 million or more in Pell Grant allocations. Every state except Alaska will get at least $10 million in additional money for Pell Grant awards.