Federal grants for colleges in poor neighborhoods to drive local economic growth
H.R. 5796 — BUILD Act · Filed by Jim Costa (D-CA) · 2 cosponsors · Introduced Oct 21, 2025 · Referred to committee
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What it does
This bill creates a federal grant program that gives money to colleges and universities located in economically distressed communities to plan and carry out economic development and community improvement projects. The Secretary of Education (or relevant agency) identifies eligible institutions based on income criteria, then awards planning grants and implementation grants to help these schools develop and execute projects that benefit their surrounding low-income areas.
Why we flagged it
The bill's core mechanism is a straightforward federal grant program targeting colleges in distressed areas for community economic development projects. The stated purpose and operative mechanism align clearly.
What the text implies
- The bill's success depends entirely on appropriations not yet specified in the excerpt; without funding levels, the program's real-world impact is uncertain.
- The definition of 'eligible projects' is not provided in the excerpt, leaving substantial discretion to the Secretary and potentially creating unequal access if guidance is opaque.
The full analysis lists 4 implications of this text.
Who stands to gain
institutions of higher education located in economically distressed communities; construction and development contractors hired by participating colleges; local businesses and workers in project areas