Colleges’ Compliance With and Use of Federal CARES Act Emergency Grants: A Look at 100 Colleges – The Institute for College Access & Success
In the face of a global health and economic crisis, Congress quickly provided colleges with resources to support students facing unexpected costs stemming from sudden campus closures. This analysis finds that many colleges are not compliant with requirements to post information about how resources are being spent, and highlights variation in how funds are being spent at colleges where information is available.
The onset of the COVID-19 pandemic wreaked havoc on college students and the colleges that enrolled them. On March 27, Congress provided emergency grants through the CARES Act for postsecondary education students and institutions across the country. These emergency grants known as the Higher Education Emergency Relief Fund (HEERF) provided almost $14 billion in direct support to colleges, a little less than half of which ($6.28 billion) was specifically allocated for emergency grants to help students cover unexpected expenses related to any disruptions to their education due to the campus closures triggered by COVID-19. To receive the student aid funding, colleges were first required to submit an application and receive approval from the U.S. Department of Education (Department).
According to the Department, the vast majority of funds earmarked for emergency aid were allocated to colleges in April. With very few restrictions imposed by Congress – with the exception of the Department imposing widely criticized eligibility restrictions that are being challenged legally – institutions have had a great deal of flexibility with how they allocate HEERF grants.