Legislation sponsored by Rep. Alma Adams (D-NC) that would help HBCUs with federal funding passed the House on July 11. The Historically Black College and University (HBCU) Capital Financing Improvements Act (H.R. 5530) was passed by the House on Monday night and moves on to consideration in the Senate.
“I am excited to be a part of the solution for HBCUs. Access to federal funding is a challenge that most HBCUs are faced with, but under the HBCU Capital Financing Program the playing field is leveled. This program will allow HBCUs to better respond to localized needs and support their students,” Rep. Adams said in a statement.
According to a release from Adams’ office: “HBCUs participating in the Capital Financing Program currently pay a fee that is assembled into an “escrow account” to pay for any loan defaults or delinquencies. This change would allow more public institutions to participate in the program. The legislation also, “provides additional support to institutions interested in participating, but unable to meet the program’s financial requirements. The bill will also allow the Department of Education to offer financial counseling, in addition to the technical assistance already provided.”