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Aid at risk for California students receiving Pell Grants
Gulf Today
|July 01, 2025
Thousands of Bay Area students could soon face a new hurdle when it comes to paying for college: deep cuts to federal financial aid. Republican lawmakers in Washington, D.C., are considering proposals to cap some federal loans and dramatically limit Pell Grants, which have for years served as a lifeline for low-income students.

More than 700,000 California students rely on the Pell Grant, which does not need to be repaid. “What is being proposed goes against pretty much all of the evidence about college affordability and college access,” said Christopher Nellum, executive director of the Oakland-based education research and advocacy group EdTrust-West. “We're bracing for fewer students enrolling in college in the state. In particular the Bay Area, given what the data tells us, we'll see fewer students of colour. We're going to see fewer low-income students, perhaps fewer parenting students.”
While the exact local impact of the proposals is unclear, leaders from the California State University, University of California, California Community Colleges and Association of Independent California Colleges and Universities wrote to Congress this week imploring lawmakers to reject cuts to the program and prioritise funding for students. A bill passed by the Republican-led US. House would cap graduate student loans, cut income-driven loan repayment options and eliminate schools’ aid if students’ earnings fall below a certain threshold. The bill also includes deep cuts to the Pell Grant program and makes part-time students ineligible for the funds.
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