Title III Strengthening Institutions Program Released for Fiscal Year 2026
Prepared by: Lena Heier
n her role as a Higher Education Senior Research Analyst, Lena Heier supports Directors and Managing Directors by identifying and researching federal and foundation funding opportunities for clients. She also assists with various other funding research and coordination needs of the Higher Education Practice.
On May 21, 2026, the Department of Labor (DOL) on behalf of the Department of Education (ED) released the long-awaited solicitation for the Title III Strengthening Institutions Program (SIP), due June 23, 2026.
The quick turnaround time means institutions need to move quickly to take advantage of this unique opportunity.
Title III SIP was created by the Higher Education Act of 1965, supporting countless colleges and universities across the country in the 60 years since. Typically run on a two-year competition cycle, Title III SIP funds institutions seeking to better support low-income students and build institutional capacity. Commonly funded activities include personnel hiring, infrastructure, improved enrollment management and retention systems, and capital improvements.
In order to be eligible for Title III SIP, an institution must serve a student body with at least 50% receiving student financial assistance through Pell grants, Supplemental Education Opportunity Grants, College Work Study, and/or Perkins Loans and have low average educational and general expenditures per full-time equivalent undergraduate student. If this requirement is not met, an institution may also qualify for a waiver from the ED. The waiver process is closed for fiscal year 2026 (FY26), though not all institutions have received a decision. ED advised that all waiver decisions will be made prior to funding decisions, but possibly not before the competition deadline.
Unprecedented Federal Agency Higher Education Funding Availability
ED forecasted an eye-popping 600 estimated awards for the FY26 competition. This is an unprecedented move from the agency compared to FY23’s 107 awards made.
The maximum award amount increased by 33%, to $3,000,000 over 5 years.
Both of these changes result from a much larger total estimated available funding pool of over $365 million, nearly 10 times the total budget of the FY23 competition. Notably, the solicitation explicitly encourages applicants to “maximize expenditures in year one of the grant,” referencing the instability of funding for this program.
Higher Education Priorities in the Trump Era
More predictably, ED updated the Title III SIP Competitive Preference Priorities (CPPs). The competition includes 4 CPPs:
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Career Pathways and Workforce Readiness
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Advancing Artificial Intelligence in Education
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Developing high-quality, short-term programs that meet Workforce Pell Grant requirements
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Applications from Rural Institutions of Higher Education (IHEs)
What does this mean for other funded programs?
Following months of rumors, ED confirmed on Thursday the agency is reprogramming all funds from several other Title III and Title V funding programs to this single competition. This means there will be no competition for the Developing Hispanic-Serving Institutions Program (DHSI), Asian American and Native American Pacific Islander-Serving Institutions Program (AANAPISI), and others this year.
In the FY26 Labor, Health and Human Services, Education, and Related Agencies appropriations bill, Congress specifically allocated $493 million for all programs under Title III-A and Title V. ED is seizing on this flexibility, allowing them to redirect funding for Minority-Serving Institutions (MSIs) to a more general pool for a second straight year.
Learn About Our Title III Coaching and Proposal Development Service
McAllister & Quinn’s Title III Coaching and Proposal Development Service is designed to help your institution assess readiness, refine strategy, and execute under a compressed timeline. We will help position applicants—including those who have drafted Title V applications who want to transition to a Title III—to compete confidently and successfully.

