Mississippi funds student aid and limits some new applications

The law provides up to $47,261,364 from the state General Fund and authorizes up to $9,642,660 from federal and other special funds for student aid programs and the Mississippi Office of Student Financial Aid. The funding supports scholarship, loan, and grant programs administered by the Mississippi Office of Student Financial Aid, as well as the office itself. The special-fund amount is limited to money collected or made available for these purposes. The $5.1 million from the Education Enhancement Fund is for three named grant programs; $3 million is for the FAITH Scholarship and teacher loan repayment programs. Up to $70,000 from the state funds is provided for the Speech-Language Pathologists Loan Forgiveness Program. A separate $500,000 reappropriation for the FAITH Scholarship and teacher loan repayment programs is limited to the unspent balance from the prior authorization and cannot change its original purpose. The funds are for the fiscal year from July 1, 2026, through June 30, 2027.

Funds under this act may not pay for seven listed aid programs for students who apply for the first time after July 1, 2026. It applies to students who first apply for assistance through one of the listed programs after July 1, 2026. The listed programs include the Southeast Asia POW/MIA Grant, Public Management Graduate Internship, state medical and dental education loans, two graduate or health care forgivable loans, and the Family Protection Specialist Social Worker Forgivable Loan. The restriction applies to first applications made after July 1, 2026.

The law directs that students eligible under Section 37-106-39 receive first priority when funds are allocated among the included aid programs. These directions concern allocation of funds among the student aid programs covered by this act. For the Higher Education Legislative Plan Grant, applicants must meet program requirements and a family income test: below $42,500 for a family with one child under 21, or below that amount plus $5,000 for each additional child under 21. A student may receive undergraduate grant aid from only one state-supported program in a term; if eligible for several, the program offering the larger award is selected.

The law requires students to show they remain eligible at the end of each regular academic term to continue receiving state-supported aid. It applies to students receiving state-supported aid. Eligibility must be shown at the end of each term during the regular academic year.