GRACE Act

The Guarding Religious And Career Education Act, or GRACE Act, proposes to eliminate the Office of Enforcement within the Department of Education's Office of Federal Student Aid (FSA). This specific office was reestablished in 2021 with the goal of increasing oversight and taking legal or administrative action against colleges and universities that participate in federal student aid programs, such as student loans, Pell Grants, and work-study.

If enacted, the bill would remove this centralized enforcement body, which currently investigates schools for potential misconduct or non-compliance with federal rules. This change could alter how the federal government monitors postsecondary institutions, including career-focused and religious schools, regarding their use of taxpayer-funded student aid. The bill has been introduced in the House but has not yet been reviewed by a committee, which is the stage where most legislation stops.