Federal Education Aid Cut Off for Those Without Legal Immigration Status

The U.S. Department of Education has issued new guidance that bars illegal aliens from participating in federally funded postsecondary education programs, reversing a long-standing interpretation dating back to 1997.

The announcement, made on Thursday, July 10th, introduces a revised interpretive rule clarifying that federal education benefits, such as career training, technical instruction, and adult education, must comply with eligibility restrictions under the Personal Responsibility and Work Opportunity Reconciliation Act (PRWORA). That law limits access to most federal public benefits to U.S. citizens, lawful permanent residents, and certain other legal immigrants.

The new interpretation nullifies a 1997 “Dear Colleague” letter that allowed some education programs to bypass PRWORA’s requirements. It will now apply to programs supported through the Higher Education Act (HEA), the Carl D. Perkins Career and Technical Education Act (Perkins V), and Title II of the Adult Education and Family Literacy Act, as amended under the Workforce Innovation and Opportunity Act (WIOA).

Education Secretary Linda McMahon defended the policy shift, stating that taxpayer dollars should not be used to subsidize education for those who are not legally present in the country.

The guidance, published in the Federal Register, instructs states and local education providers to verify eligibility before delivering federally supported services. While not legally binding, the rule outlines the Department’s current enforcement approach and will influence oversight moving forward.

The update follows Executive Order 14218, part of a broader federal push to limit government-funded services for undocumented immigrants. The policy takes effect August 9, 2025.