Federal funding to boost mental health staff in low-income schools

What it does

This bill creates a $200 million annual grant program to help low-income school districts hire and train mental health professionals (counselors, psychologists, social workers). It pairs low-income districts with graduate schools to place student interns in schools, covers their training costs for up to 3 years after graduation, and offers up to $200,000 in student loan repayment to mental health providers who commit to 5 years of work in low-income schools.

Why we flagged it

The bill is a straightforward federal grant and loan-repayment program designed to address a documented shortage of school-based mental health providers in low-income districts. It combines workforce development (graduate training partnerships) with direct financial incentives (loan repayment) to increase supply and retention.

What the text implies

• Loan repayment benefit (up to $200k per person) may create incentive for providers to leave after 5-year commitment expires, unless districts can offer competitive salaries to retain them.
• Grant program success depends on graduate institutions' willingness to place students in low-income districts; no enforcement mechanism if institutions prioritize higher-paying districts.
• Bill allows individuals to stack this loan repayment with Public Service Loan Forgiveness (PSLF), potentially creating very large total benefits for a subset of providers; fiscal impact of stacking not quantified.
• Peer review panel composition is heavily weighted toward academic faculty and practitioners; no explicit representation of parents, students, or community members who would use the services.
• Study on shortage-area designation (Section 5) is due in 2 years but does not bind future program implementation; formula may never be adopted or enforced.

Section numbers refer to the bill text the analysis read — linked under Primary records below.

Who it affects

Low-income students gain access to mental health services in schools that currently lack adequate staffing (ratios far below professional recommendations). Providers receive meaningful debt relief for public-service work, creating a sustainable pipeline. The bill targets schools with highest concentrations of poverty and academic need.

Who stands to gain

• Graduate institutions offering school psychology, counseling, and social work programs
• Individual mental health providers (via loan repayment)
• Low-income school districts (via grant funding for hiring and training)

Named in the bill

U.S. Department of Education, Low-income local educational agencies, Graduate institutions (accredited in school psychology, counseling, social work), National Association of School Psychologists, American School Counselor Association, Council on Social Work Education, Bureau of Indian Education, State educational agencies

Where it stands

31 cosponsors: 29 Democrats, 2 Republicans.

• Nov 19, 2025 — Introduced · Congress.gov: “Introduced in House”
• Nov 19, 2025 — Referred to House Committee on Education and Workforce · Congress.gov: “Referred to the House Committee on Education and Workforce”

Dates and quoted wording are Congress.gov's action record; the timeline shows status changes, not every procedural step.

Money around this bill

1 lobbying clients named this bill on 2 disclosure filings across 2 quarters, Dec 2025 to Jun 2026. Those filings disclosed $120,000 in lobbying spend. A filing names 1 bills on average, so that figure is what each filing reported, not a share belonging to this bill.

More lobbying clients named this bill than 0% of bills with at least one filing.

Judy Chu, the sponsor, reported $421,000 in PAC receipts in the 2026 cycle.

• Space Exploration Technologies Corp. — $120,000 on 2 filings

Lobbying Disclosure Act filings through Jul 20, 2026. A filing shows who paid to lobby on a bill it names, not what changed.