A bill to reinstate Federal Pell Grant eligibility for individuals incarcerated in Federal and State penal institutions, and for other purposes.

Restoring Education And Learning Act of 2016 or the REAL Act of 2016 This bill amends title IV (Student Assistance) of the Higher Education Act of 1965 to eliminate the provision that prohibits Pell Grant eligibility for individuals incarcerated in a federal or state penal institution and for sex offenders subject to civil commitment following incarceration. This amendment takes effect in academic year 2016-2017.