This vote was on an amendment by Ted Kennedy, D-Mass., that would boost funding for a grant program for the neediest college students established by the underlying bill (known as "Promise grants"). The underlying bill would, in essence, take nearly $19 billion in federal subsidies away from student loan lenders and instead redirect that money into new student loans. Additionally, the bill would boost the maximum Pell grant by $700, establish new "Promise grants" for the neediest Pell Grant recipients, and cap student loan repayments at 15 percent of a debtor's discretionary income.

Pell grants themselves are grants, rather than loans, for students who work and whose family makes less than $30,000 annually. These new Promise grants would be allocated for the neediest among those eligible for Pell grants. Kennedy's amendment would boost the amount of funding for the Promise grants allocated in the underlying bill from $3.2 billion in 2017 to $3.7 billion, rising to $4.2 billion by 2017.

There was virtually no debate on the amendment itself, but the White House has spoken against the bill in general. When the bill was considered in the House, the Bush administration threatened a veto. However, when the Senate took up the House bill, the White House expressed concern with the bill, but stopped short of re-issuing its veto threat. The administration dislikes portions of the bill that would establish certain loan caps and forgive loans over time for some public service employees.

By a vote of 52-45, the Senate adopted Kennedy's amendment. All but four Republicans who voted cast a no vote. All but two Democrats who voted cast a yes vote (the two nays were Kent Conrad of North Dakota and Ben Nelson of Nebraska). Thus, the measure went forward with language that would boost funding for a new grant program for the neediest college students.