Federal financial aid bill is delayed
The reauthorization bill contains a provision that would provide equivalent financial aid treatment for 529 prepaid tuition plans and 529 savings plans. Under the existing law, prepaid tuition plans are treated more harshly and reduce aid eligibility on a dollar for dollar basis.
The House version of the HEA reauthorization is HR 609 and the Senate version is S 1614. Once passed in the House and Senate, these bills will have to be reconciled before final passage.