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Students at minority-serving colleges and universities are among the primary targets of a new $4.5-billion financial aid windfall. But the program's focus on merit-based aid--plus lingering concerns about implementation--may mean a bumpy ride ahead for students and colleges this year.

Congress last winter approved funding for the new Academic Competitiveness and SMART grants, which reward needy students with strong academic records. Competitiveness grants are open to freshmen and sophomores who received a "rigorous" curriculum while in high school, while SMART grants would go to juniors and seniors with a B average and a major in math, science, engineering or certain foreign languages.

While the target audience is low-income, Pell Grant-eligible students, critics say the …