The new aid, known as short-term or workforce Pell Grants, expands the long-running federal Pell Grant program, which provides need-based aid to college students for tuition and living costs. For the first time, federal grants will be available for students in certain short-term workforce programs, including fields such as automotive technology and computer training, many of which last about 10 weeks.

Both public and private institutions may qualify. Federal officials have not finalized all details, but the average student is expected to receive between $1,000 and $3,000.

The change could have significant implications for California community colleges, including those across Southern California and the Inland Empire, where many students pursue career technical education in health care, skilled trades, technology and public safety. But state officials say California does not yet have the systems in place to administer the new aid smoothly.

Daisy Gonzales, executive director of the California Student Aid Commission, has said in legislative hearings and in an interview with CalMatters that students likely will not receive the grants until weeks or possibly months after the federal start date. She described financial aid systems as “extremely complex” and said California lacks the infrastructure needed to meet the federal timeline.

Creating a new financial aid program requires coordination between federal officials, the state, colleges and local districts. California must build new administrative systems, enter into agreements with schools and ensure programs meet federal requirements before students can receive funds.

The grants are part of a bipartisan national push to better connect higher education with workforce needs. Supporters say the money could help students quickly train for jobs without taking on debt. But critics and policy experts warn that short-term job training programs have produced uneven results, especially when public dollars flow to programs that lead to low wages or unstable work.

In 2024, CalMatters reported on how California job centers used federal funds to help low-income and unemployed adults attend short-term training programs, including at for-profit schools. Public subsidies supported training for truck drivers and nursing assistants, occupations that can involve low pay, difficult working conditions and high turnover. Some for-profit schools were under investigation for various violations while enrolling students. CalMatters also found that most truck-driving schools had little oversight, and some nursing assistants earned less than $30,000 after completing their programs.

The new short-term Pell Grants include federal rules intended to limit those risks. Eligible programs must show that graduates earn more than the federal poverty level in a high-demand occupation, and only certain accredited schools will qualify. California lawmakers are also weighing a proposal that would further narrow which programs can receive the new funding.

Because neither the state nor the federal government closely tracks short-term workforce training programs, it remains unclear how many programs exist or how many students could benefit. The California Community Colleges Chancellor’s Office told CalMatters in an email that it is too early to provide estimates.

Gonzales pointed to Cal Grant C, a state program for students enrolled in career training programs that last at least 15 weeks, as one indication of potential demand. This year, about 225,000 students were potentially eligible for Cal Grant C. But the program has a relatively small budget and serves just under 7,800 students annually. The new federal Pell expansion could eventually bring billions of dollars in federal spending nationally.

In San Diego County, Southwestern College President Mark Sanchez said the grants could be especially important for students who work full time but still struggle to cover basic living expenses. At the Chula Vista campus, he said, some students, including U.S. citizens, live in Tijuana because housing is more affordable and cross the border each day to attend classes in California.

Sanchez has promoted the new Pell Grants to state and local officials, arguing they could help students move into better-paying careers. Southwestern College estimated that about 1,500 students could qualify across roughly 50 programs, ranging from music to accounting.

To participate, schools will have to work with state and federal agencies to prove that at least 70% of graduates from eligible programs are employed and earning wages above the federal poverty threshold. But education and workforce data are often scattered, incomplete or not collected at all, said Su Jin Jez, executive director of California Competes, an education policy nonprofit.

State records may show, for example, that a college graduate works for a school district and how much that person earns, Jez said. But the data may not show whether the graduate is working as a teacher, secretary, attorney or custodian.

“Our state invests billions in aligning higher education with the labor market, and we don’t have a good way of knowing whether those investments are paying off,” Jez said.

California Competes is sponsoring two bills this year. One, by state Sen. Christopher Cabaldon, D-Napa, would require state workforce agencies to collect more data. The other, by Assemblymember Jacqui Irwin, D-Thousand Oaks, would regulate which programs qualify for the new short-term Pell Grants. Assemblymember Juan Alanis, R-Modesto, is a co-author of Irwin’s bill, and the Institute for College Access & Success is a co-sponsor.

The governor’s office has separately drafted emergency legislation that includes proposed regulations for the new grants. The California Student Aid Commission does not take formal positions on pending bills, but Gonzales has publicly praised Irwin’s legislation and criticized the governor’s proposal, saying it risks creating a fragmented system.

State officials are also looking to avoid the mistakes of a recent financial aid program that failed to gain traction. During the COVID-19 pandemic, Gov. Gavin Newsom and the Legislature created the Learning-Aligned Employment Program, intended to provide millions of dollars in aid to working students and help them secure jobs related to their fields of study.

Gonzales, who was then vice chancellor of the community college system, said the program fell short. It relied on one-time funding and had only three years to succeed, she said, but lacked the professional development and technical assistance needed to help colleges and students use it effectively.

“You can’t just introduce a new tool and say, ‘Students, apply,’” Gonzales said.

By the end of the three-year period, few students had applied, and state lawmakers chose to cancel the program. Nicole Kangas, a spokesperson for the Student Aid Commission, said in an email to CalMatters that the Learning-Aligned Employment Program should serve as a warning as California implements the new Pell Grants.

Congress approved the Pell expansion last summer, but the U.S. Department of Education did not finalize its rules until last month, leaving states less than two months before the July 1 launch. California now must complete a long list of administrative and regulatory steps, including agreements between the state and each participating college district or university.

When the Student Aid Commission created similar agreements with colleges for the Middle Class Scholarship, the contracts ran 60 to 120 pages and took about nine months to complete, Gonzales said.

“We are really behind,” she said, adding that several other states have already passed legislation related to the new grants. Measures such as Irwin’s bill, she said, could give California “an opportunity to catch up.”

For Sanchez at Southwestern College, the challenge will not end once the grants are available. Colleges will still have to make sure current and prospective students know the aid exists and are encouraged to apply.

Many community college students face financial hardship, including some who are homeless, but large numbers either are unaware of financial aid, hesitate to apply or submit incomplete applications. Fewer than half of California community college students applied for financial aid last year, and state data show that even fewer received it.

Original source: CalMatters

The post California Moves to Launch New Financial Aid Grants for Short-Term Job Training appeared first on The Hemet & San Jacinto Chronicle.

The U.S. Department of Education is expected to expand Pell Grants beginning July 1 to cover certain short-term workforce training programs — courses that often last about 10 weeks and prepare students for jobs in fields such as automotive technology, information technology, health care, skilled trades and public safety. The change could affect students at community colleges and other eligible institutions across California, including campuses throughout Southern California and the Inland Empire.

But the California Student Aid Commission, the state agency responsible for administering financial aid, says the state does not yet have the systems in place to launch the program on the federal timeline.

Daisy Gonzales, the commission’s executive director, has said in legislative hearings and in an interview with CalMatters that students likely will not see the new grants until weeks or possibly months after the July 1 start date. Financial aid systems are highly complicated, she said, and California lacks the infrastructure to move that quickly.

The new awards, known as short-term Pell Grants or workforce Pell Grants, are an expansion of the long-running federal Pell Grant program, which provides need-based aid to low-income college students for tuition and living expenses. Until now, students in many brief job training programs generally have not qualified for federal student aid.

Under the new program, eligible students are expected to receive roughly $1,000 to $3,000, though final details are still being worked out. Public and private institutions may qualify if their programs meet federal requirements.

The grants are part of a broader bipartisan effort to connect higher education more directly with employers’ workforce needs. Supporters say the aid could help students quickly gain skills for better-paying jobs. But California’s past experience with publicly funded workforce training has also raised concerns about oversight, job quality and whether students benefit enough from the programs.

CalMatters previously examined how California job centers used federal funds to help low-income and unemployed adults enroll in short-term training programs at for-profit colleges. Public money supported training for careers such as truck driving and nursing assisting, fields that can be associated with low wages, difficult working conditions or high turnover. Some schools receiving students were under investigation for violations, and oversight of many truck-driving schools was limited. Some nursing assistants earned less than $30,000 after completing their programs.

The new federal Pell Grants include rules intended to prevent those problems. Programs must show that graduates earn wages above the federal poverty line and are entering fields considered in demand. Schools also must meet verification requirements. California lawmakers are considering additional restrictions on which programs should be allowed to participate.

A major challenge is that neither state nor federal officials have a comprehensive accounting of short-term workforce programs. That makes it difficult to know how many programs exist or how many students could benefit.

California’s 116 community colleges are likely to be among the main participants because they already offer many job-focused certificate and training programs. But the California Community Colleges Chancellor’s Office told CalMatters it is too early to estimate how many students might qualify.

One point of comparison is Cal Grant C, a state program for students in career education programs lasting at least 15 weeks. About 225,000 students were potentially eligible this year, according to state data. But Cal Grant C is much smaller than the new federal effort, serving fewer than 7,800 students annually.

In Southern California, college leaders say the aid could be especially important for students facing high housing and living costs.

At Southwestern College in Chula Vista, President Mark Sanchez said many students work full time but still struggle to cover basic expenses. Some students, including U.S. citizens, live across the border in Tijuana because housing is more affordable there and commute to campus in San Diego County.

Sanchez has urged state and local officials to support the new grants, saying they could help students move into higher-paying work. Southwestern College officials estimate about 1,500 students could be eligible across roughly 50 programs, from musicianship to accounting.

To qualify for the grants, colleges will need to prove to state and federal agencies that at least 70% of graduates from eligible programs are employed and earning above the federal poverty line. That requirement could be difficult because the necessary employment and wage data are scattered, incomplete or not collected in some cases.

Su Jin Jez, chief executive of the education nonprofit California Competes, said the state lacks the tools to fully evaluate whether workforce education investments are producing good results. For example, state data may show that a graduate works for a school district and how much that person earns, but not whether the graduate is employed as a teacher, secretary, attorney or custodian.

California Competes is sponsoring two bills this year aimed at improving workforce education accountability. One bill, by Sen. Christopher Cabaldon, D-Napa, would require state workforce agencies to collect more data. Another, by Assemblymember Jacqui Irwin, D-Thousand Oaks, would regulate which programs can qualify for the new short-term Pell Grants. Assemblymember Juan Alanis, R-Modesto, is a co-author of Irwin’s bill, and The Institute for College Access & Success is a co-sponsor.

The governor’s office also has proposed emergency legislation with regulations for the new grants. The California Student Aid Commission does not take formal positions on bills, but Gonzales has praised Irwin’s proposal and criticized the governor’s plan, saying it could create a fragmented system.

State officials say they are trying to avoid repeating the problems of a pandemic-era financial aid initiative known as the Learning-Aligned Employment Program. Created by Gov. Gavin Newsom and the Legislature, that program was intended to provide aid to working students and help them find jobs connected to their studies.

Gonzales, who was then deputy chancellor of the community college system, called the program a failure. It relied on one-time funding and had only three years to succeed, she said, but lacked the professional development and technical support needed to make it work. Few students applied, and lawmakers eventually cut the program.

Nicole Kangas, a spokesperson for the Student Aid Commission, said in a statement that the experience should serve as a warning for the rollout of workforce Pell Grants.

Although Congress approved the expanded Pell Grants last summer, the U.S. Education Department finalized its regulations only last month, leaving states less than two months to prepare before the July 1 launch date. California officials and colleges still must complete a lengthy list of administrative steps, including agreements between the state and individual college districts and universities.

When the Student Aid Commission created similar agreements with universities for the Middle Class Scholarship, Gonzales said, the contracts ran 60 to 120 pages and took about nine months to finalize.

“We really are behind,” Gonzales said, noting that several other states have already adopted legislation. She said new state regulations, including Irwin’s bill, could help California catch up.

Even after the grants become available, college leaders say another hurdle remains: making sure students know the money exists and helping them apply.

Sanchez said Southwestern College will need to reach both current and prospective students with information about the new aid. Many community college students face serious financial hardship, including homelessness, but either do not know about financial aid, are reluctant to apply or submit incomplete applications.

State figures show that less than half of California community college students applied for financial aid last year, and fewer ultimately received it.

Original source: CalMatters

The post California Moves to Launch New Grants for Short-Term Job Training appeared first on The Hemet & San Jacinto Chronicle.