New Federal Bill Mandates Immigration Status Checks for All Public College Students Receiving Tuition Breaks

The aptly named Put American Students First Act aims to shut down state practices that currently allow undocumented students to pay in-state tuition rates at public colleges. The core of the bill is simple: If you are not "lawfully admitted for permanent residence," you cannot receive any state-provided financial benefit for public postsecondary education, including the resident tuition rate.

This isn't just about tuition; it covers all "postsecondary education benefits," meaning any tuition reduction, fee waiver, scholarship, or grant provided by the state or local government. The bill explicitly states that public colleges must charge these students the full out-of-state tuition rate, regardless of how long they have lived in the state (SEC. 3).

The New Paperwork Trail: Annual Status Checks

For anyone currently receiving any kind of tuition break—even a small state scholarship—get ready for a new annual requirement. The bill mandates that every public college must verify the immigration status of every student receiving a benefit using the Department of Homeland Security’s Systematic Alien Verification for Entitlements (SAVE) program (SEC. 3). This is a significant administrative lift for colleges and a new layer of scrutiny for students.

This verification process applies to all new students enrolling after the bill is enacted. But here’s the kicker: it also applies to students already enrolled. If the annual status check determines that a currently enrolled student is not lawfully admitted for permanent residence, they immediately lose their benefit for the next academic year (SEC. 3).

Financial Fallout: The Reimbursement Clawback

This is where the bill gets punitive for students. If a public college is found to have provided an in-state tuition rate or benefit to an ineligible student, the college must immediately seek reimbursement from that student for the difference between the lower in-state rate they paid and the full out-of-state rate they should have paid (SEC. 3).

And it’s not just the difference in tuition; the college must also charge interest at the rate applicable to a Federal Direct Unsubsidized Stafford Loan. If the student doesn't pay up within 90 days, the college is barred from allowing them to enroll in any future terms until the debt is settled. For a student who has been paying in-state rates for several years, this could mean an immediate and massive bill that effectively ends their education.

The State-Level Enforcement Hammer

This legislation isn't asking states nicely; it’s using federal funding as leverage. The bill amends the Higher Education Act to create two major enforcement mechanisms. First, any state that the Secretary of Education determines has violated this new rule will be ineligible for certain federal education grants for the following fiscal year (SEC. 3). This is a serious financial threat that could force states to comply, even if they prefer their current policies.

Second, to participate in any federal student loan program (like Pell Grants or federal student loans), public colleges must agree to comply with all the new status verification and benefit denial requirements. For virtually every public college in the country, this is non-negotiable, as losing access to federal student aid programs would cripple their enrollment and finances.

In short, this bill creates a mandatory federal standard that eliminates in-state tuition for undocumented students, imposes a heavy administrative burden on public colleges, and places a substantial financial risk on students who previously benefited from state policies.