GOP ‘One Big Beautiful Bill Act’ threatens key services for students

Washington, D.C. —

Senate Republicans narrowly passed Donald Trump’s “big, beautiful bill” on Tuesday morning after an all-night filibuster. The vote was 51-50, with Vice President JD Vance breaking a tie. Republican Sens. Susan Collins of Maine, Rand Paul of Kentucky, and Thom Tillis of North Carolina joined Democrats and voted no.

The budget now heads to the House, with Republicans hustling to get it to the president’s desk by July 4.

The budget reconciliation bill, titled the One Big Beautiful Bill Act, has many education advocates sounding the alarm, with fierce criticism from education advocates, who warn that the proposals could drastically weaken support for students.

Historically, when Congress wants to enact major laws, legislators need 60 votes in the Senate to prevent a filibuster—a tactic used to delay or block a bill from being passed. Budget reconciliation lets them bypass this process and pass a budget bill with a simple majority of 51 votes. The One Big Beautiful Bill Act includes sweeping cuts to federal programs and policy changes that would impact everything from health services in schools to college affordability and civil rights protections. Here are seven of the most significant ways the legislation would harm students:

1. Medicaid Cuts Threaten School Health Services

Under the One Big Beautiful Bill Act, the proposed Medicaid cuts would significantly impact the 38 million children it covers, which is roughly 40% of U.S. children. Schools rely heavily on Medicaid to fund $7.5 billion worth of services annually, including access to psychiatric services or school-based services, such as regular vision and hearing screenings and youth behavioral health services.

The Senate version of the reconciliation bill imposes burdensome work reporting requirements on parents of children above the age of 14 as a condition for Medicaid coverage. In particular, cuts to Medicaid would have significant adverse effects on children living in rural communities. Not only would these cuts increase financial strain on rural hospitals and providers, but they would also directly impact children’s access to healthcare. A 2025 study by the Georgetown Center for Children and Families found that the vast majority of states (38 out of 48) have similar or larger shares of children covered by Medicaid in rural areas than in metro areas. Additionally, in six states—New Mexico, Louisiana, Arizona, Florida, South Carolina, and Arkansas—at least 50 percent of children living in rural communities are covered by Medicaid.

A 2025 survey found that 86% of schools use Medicaid funding for critical health staff, and many expect layoffs and service reductions if cuts proceed. College students, 3.5 million of whom are enrolled in Medicaid, would also face new hurdles, including stricter eligibility checks and reduced access to mental health services and assistive devices.

2. SNAP Reductions Could Strip Millions of Free School Meals

Under the One Big Beautiful Bill Act, both the House and Senate versions of the bill propose deep cuts to the Supplemental Nutrition Assistance Program (SNAP), with the House bill proposing the most significant reduction in its history, slashing $300 billion from the program. SNAP enrollment is directly tied to students’ eligibility for free and reduced-price meals. An estimated 7.5 million children, including over half a million with disabilities, could lose access to these meals if the bill passes. Reduced eligibility would also undercut schools’ ability to offer universal meals under the Community Eligibility Provision.

In addition, the Senate bill still shifts the costs of the Supplemental Nutrition Assistance Program, also known as SNAP, or food stamps, to some states. The program is currently entirely funded by the federal government.  The federal government will continue to fully fund benefits for states with an error payment rate below 6%, starting in 2028. States with error rates above 6% would be liable for 5% to 15% of the costs. States are also given some flexibility in calculating their share. 

However, Alaska and Hawaii would receive temporary exemptions from the cost-sharing requirement. Both states would receive a two-year reprieve if the Department of Agriculture determines they are “actively implementing a corrective action plan.” 

The package also aligns with the House version on age requirements for able-bodied adults to qualify for SNAP benefits. Currently, to be eligible, able-bodied adults between 18 and 54 must meet work requirements. Both the Senate and House bills would update the age requirement to 18-64, with some exemptions for parents and caregivers. 

Alaska and Hawaii could also receive waivers for the work requirements if it’s determined that they’re making a “good faith effort” to comply. 

3. Pell Grant Changes Could Block Disabled Students From College

The One Big Beautiful Bill Act proposes changes to Pell Grant eligibility that would eliminate support for students enrolled in fewer than half-time courses, disproportionately affecting students with disabilities. Nearly half of disabled students receive Pell Grants, and they are more likely to attend college part-time. The Senate bill does not include these changes, setting up a potential conflict in final negotiations. If the House provisions remain, advocates warn that higher education could become inaccessible to thousands of disabled students.

Under the House Republican plan, changes to Pell Grant eligibility would increase the cost of higher education for low- and moderate-income families and threaten tuition support for nearly 4.4 million students, about two-thirds of all Pell Grant recipients. The proposed eligibility changes would require students to be enrolled for at least 30 credits per academic year to receive their full award. They would eliminate funding for students enrolled less than half-time.”

The federal Pell Grant program is a keystone that alleviates the costs of higher education for low-income students; changes to eligibility would weaken the program’s effectiveness in supporting low-income students’ access to higher education.

4. Ban on State AI Regulation Risks Student Privacy, Equity

A lesser-known provision in the One Big Beautiful Bill Act would ban state and local governments from regulating artificial intelligence (AI) for a period of five to ten years. This preemption would prevent states from creating or enforcing laws to protect students from AI-related bias and surveillance. Advocates note that disabled students—who already face disproportionate discipline and oversurveillance—would be especially vulnerable. Without state oversight, schools could use biased AI tools that fail to account for students’ accommodations, jeopardizing their civil rights and privacy.

5. Private School Voucher Expansion Undermines Public Education

The One Big Beautiful Bill Act would also include versions of the Educational Choice for Children Act (ECCA), which would establish a national tax credit scholarship program. These vouchers would divert up to $5 billion annually from public schools to private institutions, many of which are not required to follow federal disability laws such as the Individuals with Disabilities Education Act (IDEA). Students using vouchers could lose access to certified special education teachers, due process protections, and the right to be educated in inclusive settings. Critics argue this effort favors wealthy donors and private schools at the expense of public school students, especially those with disabilities.

6. Endowment Tax for Small Colleges

Wealthy small colleges caught a break in the One Big Beautiful Bill Act, which now exempts those that have 3,000 students or fewer from a tax on their endowments.

In 2017, under the first Trump administration, the current 1.4 percent tax on investments only applies to a select few of the wealthiest colleges that had more than $500,000 in endowment value per student. However, under the first draft of the Senate bill, colleges would pay different rates depending on the value of their endowment per student, and some could pay as much as 8 percent. The tax applies to any college that receives federal financial aid and enrolls more than 500 students.

7. Holding Colleges Accountable

Senate Republicans on the HELP committee slightly changed their plan to hold colleges accountable in the One Big Beautiful Bill Act. The proposed measure—known as the “Do No Harm” standard—aimed to ensure a positive return on investment for college enrollees by comparing their median salaries to those of adults with a high school diploma.

In the first version of the bill, senators were using the earnings for all undergraduates four years after they stop taking classes, regardless of whether they completed their degree. However, under the latest version of the bill, the test would only apply to students who have graduated.

Graduate programs would also be evaluated under this new standard by comparing the incomes of their students to those of bachelor’s degree holders. Initially, the graduate comparisons would have been made six or 10 years after a student stopped taking classes, depending on the type of program. Now, it will be made four years after graduation.

Education advocates warn that if the Big Beautiful Bill is passed, it could roll back decades of progress in inclusive education. By cutting critical programs like Medicaid, SNAP, and Pell Grants, and reducing protections around AI and private school funding, the proposed bills would make it harder for students to access a free and appropriate public education.