Federal Student Financial Aid Penalties for Drug Law Violations
Federal law requires institutions to notify students that drug law violations may affect eligibility for federal student financial aid.
Under the Higher Education Act, a student convicted of a drug-related offense during a period of enrollment while receiving federal student aid may become ineligible for Title IV aid, including federal grants, loans, and work-study. [ecfr.gov]
When a Drug Conviction Affects Aid Eligibility
A conviction impacts aid eligibility only if:
- The offense occurred during a period of enrollment, and
- The student was receiving federal student aid at the time
Convictions that are reversed, set aside, or removed from the student’s record do not count. Juvenile convictions do not count unless the individual was tried as an adult. [ecfr.gov]
Periods of Ineligibility
The length of ineligibility depends on whether the offense involved possession or sale of illegal drugs:
| Offense | Possession | Sale |
|---|---|---|
| 1st offense | 1 year from date of conviction | 2 years from date of conviction |
| 2nd offense | 2 years from date of conviction | Indefinite period |
| 3rd or more offenses | Indefinite period | Indefinite period |
If a student is convicted of both possession and sale, the longer period applies.
Regaining Eligibility
Students may regain eligibility for federal student aid by:
- Successfully completing a qualified drug rehabilitation program (including at least two unannounced drug tests), or
- Having the conviction reversed, set aside, or removed from their record, or
- Successfully completing required drug testing through a qualified program
Eligibility is restored once the student meets the requirements or the period of ineligibility ends.
Student Responsibility
Students who are convicted of a drug-related offense while receiving federal aid must:
- Notify the Financial Aid Office
- Understand that they may become ineligible for further federal student aid
Important Reminder
Federal regulations require this information to be provided to all students.
For complete details regarding eligibility, students are encouraged to contact the Financial Aid Office.