A Pell Grant is a subsidy the U.S. federal government provides for students who need it to pay for college. Federal Pell Grants are limited to students with financial need, who have not earned their first bachelor's degree, or who are enrolled in certain post-baccalaureate programs, through participating institutions. Originally known as a Basic Educational Opportunity Grant, it was renamed in 1980 in honor of Democratic U.S. Senator Claiborne Pell of Rhode Island. A Pell Grant is generally considered the foundation of a student's financial aid package, to which other forms of aid are added. The Federal Pell Grant program is administered by the United States Department of Education, which determines the student's financial need and through it, the student's Pell eligibility. The U.S. Department of Education uses a standard formula to evaluate financial information reported on the Free Application for Federal Student Aid (FAFSA) for determining the student's Expected Family Contribution (EFC). Pell Grants were created by the Higher Education Act of 1965. These federal funded grants are not like loans, and need not be repaid. Students may use their grants at any one of approximately 5,400 participating postsecondary institutions. These federally funded grants help about 5.4 million full-time and part-time college and vocational school students nationally. As of the 2017–2018 academic year, three of the top ten colleges by total Pell Grant money awarded were for-profit colleges, the largest of which was the University of Phoenix. In August 2022, President Biden announced that up to $20,000 of debt would be canceled for Pell Grant recipients. History Today, the Pell Grant program assists undergraduates of low-income families, who are actively attending universities and or other secondary institutions. However, before the Pell Grant became what it is today, it went through numerous changes. In 1965, Congress passed the Higher Education Act of 1965 (HEA). President Lyndon B. Johnson implemented the HEA as a part of his administration's agenda to assist and improve higher education in the United States. It was the initial legislation to benefit lower- and middle-income students. The HEA program included not only grants but also low-interest loans to students who did not qualify for grants. Universities and other institutions, such as vocational schools, benefited as well from the HEA program, by receiving federal aid to improve the quality of the education process. Student aid programs administered by the US Department of Education are contained in Title IV