NO AID FOR GHOST STUDENTS ACT OF 2026

On 2026-06-09, Representative Christian D. Menefee (D-TX-18) delivered a floor speech titled "NO AID FOR GHOST STUDENTS ACT OF 2026" in the House.

NO AID FOR GHOST STUDENTS ACT OF 2026

Congressional Record, Volume 172 Issue 97 (Tuesday, June 9, 2026) [Congressional Record Volume 172, Number 97 (Tuesday, June 9, 2026)] [House] [Pages H4037-H4044] From the Congressional Record Online through the Government Publishing Office [ www.gpo.gov ] NO AID FOR GHOST STUDENTS ACT OF 2026 Mr. WALBERG. Mr. Speaker, pursuant to House Resolution 1333, I call up the bill (H.R. 7892) to amend the Higher Education Act of 1965 to require to the Secretary of Education to use an identity fraud detection system to review each FAFSA to determine whether the FAFSA presents a reasonable suspicion of identity fraud, and ask for its immediate consideration in the House. The Clerk read the title of the bill. The SPEAKER pro tempore (Mr. Kennedy of Utah). Pursuant to House Resolution 1333, in lieu of the amendment in the nature of a substitute recommended by the Committee on Education and Workforce, printed in the bill, an amendment in the nature of a substitute consisting of the text of Rules Committee Print 119-31 is adopted and the bill, as amended, is considered read. The text of the bill, as amended, is as follows: H.R. 7892 Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, SECTION 1. SHORT TITLE. This Act may be cited as the ``No Aid for Ghost Students Act of 2026''. SEC. 2. IDENTITY FRAUD DETECTION SYSTEM. (a) Identity Fraud Detection System.--Section 483 of the Higher Education Act of 1965 (20 U.S.C. 1090) is amended by adding at the end the following: ``(e) Identity Fraud Detection System.-- ``(1) In general.--In addition to, or in conjunction with, other verification processes carried out under this title, the Secretary shall-- ``(A) use an identity fraud detection system to screen and assess each application submitted under this section on or after October 1, 2026, to determine whether the application presents a reasonable suspicion of identity fraud based on one or more indicators associated with suspected fraud risk; and ``(B) carry out notifications in accordance with paragraph (2). ``(2) Notification of reasonable suspicion of identity fraud.--If the Secretary determines that an application submitted under this section presents a reasonable suspicion of identity fraud, the Secretary shall-- ``(A) provide the applicant with notice-- ``(i) of such determination; ``(ii) that the information described in subparagraph (B) will be transmitted to each institution of higher education designated by the applicant in the application; and ``(iii) that the applicant is subject to additional identity verification requirements in accordance with section 487(a)(15)(B); and ``(B) transmit to each institution designated by the applicant in the application, a notice-- ``(i) that such application presents a reasonable suspicion of identity fraud; and ``(ii) that the applicant is subject to additional identity verification requirements to be carried out by the institution in accordance with section 487(a)(15)(B), before the institution may disburse Federal financial aid under this title to such applicant. ``(3) Congressional notices and report.-- ``(A) Notices.--The Secretary shall submit to the authorizing committees-- ``(i) not later than November 1, 2026, a written description of the identity fraud detection system required under this subsection; and ``(ii) not later than 30 days after implementing any substantial change to such system, a written description and rationale for such change. ``(B) Annual evaluation and report.--Not later than October 1, 2027, and annually thereafter, the Secretary shall conduct an evaluation of the effectiveness of the identity fraud detection system carried out under this subsection, and submit to the authorizing committees a report on the use and effectiveness of such system. ``(4) Rule of construction.--Nothing in this subsection shall be construed to prohibit the Secretary from meeting the requirements of paragraph (1), in whole or in part, through a capability or system used by the Secretary on or before the date of enactment of the No Aid for Ghost Students Act of 2026.''. (b) Additional Verification Requirements.-- (1) Amendments.--Section 487(a)(15) of the Higher Education Act of 1965 (20 U.S.C. 1094(a)(15)) is amended-- (A) by striking ``(15) The institution acknowledges'' and inserting ``(15)(A) The institution acknowledges''; and (B) by adding at the end the following new subparagraph: ``(B) Beginning on October 1, 2026, the institution will not disburse Federal financial aid under this title to an applicant with an application under section 483 that presents a reasonable suspicion of identity fraud under section 483(e), unless the institution, directly or through a contracted third-party service provider and in accordance with procedures established by the Secretary-- ``(i) before the disbursement of such aid-- ``(I) determines that a reasonable suspicion of identity fraud is not present by confirming the identity of such applicant using-- ``(aa) in-person identity verification; ``(bb) live, synchronous audiovisual identity verification; ``(cc) identity verification compliant with National Institute of Standards and Technology Identity Assurance Level 2 (NIST IAL2), or an equivalent successor; ``(dd) any additional identity verification method approved by the Secretary that provides a level of identity assurance that is equal to or greater than the level of assurance provided by an identify verification method described in items (aa) through (cc); or ``(ee) a combination of two or more of the verification methods described in items (aa) through (dd); and ``(II) notifies the Secretary that the identity of the applicant has been verified; and ``(ii) maintains a record of such identity verification.''. (2) Guidelines on institutional verification procedures.-- Not later than October 1, 2026, the Secretary of Education shall establish guidelines with respect to identity verification procedures to be carried out by institutions of higher education under subparagraph (B) of section 487(a)(15) of the Higher Education Act of 1965 (20 U.S.C. 1094(a)(15)), as amended by paragraph (1). SEC. 3. PROGRAM REVIEW PRIORITY CATEGORY. Section 498A(a)(2) of the Higher Education Act of 1965 (20 U.S.C. 1099c-1(a)(2)) is amended-- [[Page H4038]] (1) in subparagraph (E), by striking ``and'' at the end; (2) by redesignating subparagraph (F) as subparagraph (G); and (3) by inserting after subparagraph (E) the following: ``(F) institutions that have demonstrated a pattern of disbursing, on or after October 1, 2026, Federal financial aid under this title for an award year to students with an application under section 483 for such award year that presented a reasonable suspicion of identity fraud under section 483(e), except that the Secretary shall exclude any institution that demonstrates to the Secretary that the institution is in compliance with the requirements of section 487(a)(15)(B); and''. The SPEAKER pro tempore. The bill, as amended, shall be debatable for 1 hour, equally divided and controlled by the chair and ranking minority member of the Committee on Education and Workforce, or their respective designees. The gentleman from Michigan (Mr. Walberg) and the gentleman from Virginia (Mr. Scott) each will control 30 minutes. The Chair recognizes the gentleman from Michigan (Mr. Walberg). {time} 1910 General Leave Mr. WALBERG. Mr. Speaker, I ask unanimous consent that all Members may have 5 legislative days in which to revise and extend their remarks and to insert extraneous material on H.R. 7892. The SPEAKER pro tempore. Is there objection to the request of the gentleman from Michigan? There was no objection. Mr. WALBERG. Mr. Speaker, I yield myself such time as I may consume. Mr. Speaker, I rise in strong support of H.R. 7892, the No Aid for Ghost Students Act of 2026, a simple and commonsense piece of legislation to fight fraud in our Federal student aid system. This legislation, authored by Representative Burgess Owens, also includes key provisions from Representative Glenn ``GT'' Thompson's H.R. 7891, the Student Aid Fraud Oversight and Accountability Act of 2026, which further strengthens this important bill. Student aid should go to real students. This is simple but somehow contested, an idea that Republicans are committed to protecting. Over the past few years, it has become increasingly apparent that fraudsters are exploiting Federal programs at every level. Instead of helping children get meals or supporting students' educations, Americans' tax dollars have been lining criminals' pockets, helping fraudsters get rich while Americans suffer the consequences. At the Committee on Education and Workforce, Mr. Speaker, we have been examining this issue closely and working hard to expose the rampant fraud in our Federal assistance programs. While childcare and hospice care have dominated the headlines in recent months, our Federal student aid programs have also fallen victim to fraud. The most pressing threat comes from ghost students, fraudsters who use stolen or synthetic identities to submit the Free Application for Federal Student Aid, or FAFSA, and steal student aid dollars. These fraudsters commonly operate in foreign or domestic crime rings, submitting large numbers of FAFSAs to net huge amounts of cash. Until recently, these schemes were far too often successful. This was largely possible because the Biden-Harris administration removed critical, commonsense guardrails during the COVID-19 pandemic that weakened fraud prevention measures and made it easier than ever to loot our Federal student aid programs. Those foolish policies didn't help students. In fact, they did the opposite by creating more opportunities for fraudsters and criminals to endlessly exploit Federal student aid assistance programs and steal from taxpayers. The good news, Mr. Speaker, is that under Education Secretary Linda McMahon's leadership, the Department of 

Referenced legislation: HRES1333, HRES1333, HR7726, HR7891, HR7892, HR7893, HR8872