Protect Economic and Academic Freedom Act of 2026

Overview

This bill amends the Higher Education Act of 1965 to restrict federal funding eligibility for colleges and universities that engage in commercial boycotts of countries designated as 'major strategic partners' of the United States, which in practice refers to Israel. It also requires institutions to certify annually that they do not obstruct student and faculty participation in academic exchange programs with such countries.

Key Provisions

• Prohibits institutions participating in Title IV federal student aid programs from engaging in a 'nonexpressive commercial boycott' of a major strategic partner of the United States, defined by reference to countries listed under a specific existing law (Public Law 113-296, which currently designates Israel).
• Defines 'nonexpressive commercial boycott' as a commercial action, like refusing to deal or terminating business, that limits commercial relations without a valid business reason, excluding actions covered by existing anti-boycott law exceptions.
• Requires institutions of higher education to submit an annual certification by July 31 confirming they allow students and faculty to participate in academic programs (conferences, exchanges, joint research, study abroad, etc.) with the major strategic partner on the same terms as with other countries.
• Institutions that fail to submit this certification become ineligible for Title VI funds under the Higher Education Act for the following fiscal year.
• Includes a non-binding 'sense of Congress' statement that limiting academic cooperation with major strategic partners does not serve U.S. security, stability, or economic interests.

Potential Impact

If enacted, colleges and universities could lose access to certain federal funding (including student aid eligibility and Title VI funds) if they engage in commercial boycotts of Israel or restrict academic exchange programs with Israeli institutions, potentially affecting campus policies related to boycott movements and international academic partnerships. The bill's definitions, such as what counts as a 'valid business reason' or 'unreasonably obstructed,' may require further regulatory clarification and could be subject to legal interpretation.