In March 2020, Congress passed the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a stimulus package designed to address the nationwide financial crisis created by the global COVID-19 pandemic. In addition to providing payments to individuals, business loans, and support to state and local governments, the CARES Act introduced the Higher Education Emergency Relief Fund (HEERF), which gave grants to institutions with the requirement that they spend 50 percent of these funds on direct grants to students for their expenses related to the disruption of campus operations due to COVID-19.
This report from the National Association of Student Financial Aid Administrators provides details on how the emergency financial aid dispersed from HEERF helped colleges and universities support students. According to the study, the monies enabled students to stay enrolled in classes, provided stress relief, and improved academic outcomes.