Hundreds of thousands of California Community College students are eligible for federal Pell Grants but never apply for them, according to a new study by Institute for College Access and Success.

The unclaimed grants leave up to $500 million unclaimed in 2009-10, institute policy associate Laura Szabo-Kubitz said.

These grants are worth up to $5,350 each and can help students pay for textbooks, housing, food and transportation plus tuition and fees.

"The fact is almost 500,000 community college students in California were likely able to get the grants but didn't," Szabo-Kubitz said.

The grants are particularly helpful for low-income students, but also help pump money into the state economy, she added.

The federal data the institute used to reach its conclusion found that only one-third of community college students apply for federal financial aid.

That figure is low compared to other states in which nearly half the students apply for the grants.

The Federal Pell Grant Program provides need-based grants to low-income undergraduate and certain