Major Updates

Department of Education Warns Institutions on Misleading Representations, Urges Compliance
The US Department of Education’s Federal Student Aid (FSA) recently released an announcement bulletin that highlights activities that could indicate institutions are engaging in substantial misrepresentations—such as misleading claims about program costs, job placement, or licensure—and as such, face serious penalties. The bulletin emphasizes that institutions must avoid false or unsubstantiated statements to potential students, as violations can result in fines or restrictions on federal financial aid participation. Institutional staff should carefully review marketing materials and statements to ensure compliance and avoid misleading representations that could harm students and the institution’s standing. Please share this information with your institutional leadership and marketing teams, and be sure to also note our brand new resource below—Marketing Considerations Through the Lens of Regulations, Policies and Compliance.

The following are, according to the Department, “examples of instances observed by FSA in its oversight activities that could result in non-compliance. This is not an exhaustive list and other conduct not included may constitute actionable substantial misrepresentations.

• Schools have compared their job placement rates to that of peer institutions without sufficient and demonstrable substantiation.

• Schools have stated or implied that their degrees or certificates will help students become licensed in a field that does not require licensure.

• Schools have made unsubstantiated claims about their “ranking” compared to other schools, for example by claiming without any basis that they are the number one liberal arts college in the country.

• Schools have marketed certain characteristics of their faculty that are inaccurate or unrepresentative.

• Schools have made statements that may mislead prospective students into thinking they are a public school or a non-profit school.

• Schools have advertised or published documents stating a program’s cost of attendance or net price that are inaccurate or pertain only to a minority of students.”

For more details, you can access the full announcement here.

Marketing Considerations Through the Lens of Regulations, Policies and Compliance – NEW Primers and Insights Resource

Introducing a new resource tailored for higher education marketers and recruiters: Marketing Considerations Through the Lens of Regulations, Policies and Compliance. This guide provides an introduction to regulations that can impact marketing in online and professional education. It provides key insights on compliance essentials, as well as highlights the risks of noncompliance and strategies for navigating these laws and regulations. Whether you want to assess or refine existing campaigns or launching new initiatives, this resource is designed to help ensure your marketing practices are transparent, effective, and aligned with regulatory requirements. Explore it now to boost your compliance and marketing success! Access our new Policy Matters: Primers and Insights – Marketing Considerations Through the Lens of Regulations, Policies and Compliance.

Unimplemented Third Party Servicers Guidance To Get Officially Withdrawn – Negotiated Rulemaking on Topic Still To Come

The US Department of Education has announced it will formally withdraw its proposed guidance to regulate third-party servicers (TPS), which had aimed to extend oversight to companies contracting with colleges, including online program managers (OPMs). Originally issued in February 2023, the guidance faced pushback from higher ed groups, including UPCEA, citing negative impacts to institutions. The Department delayed the guidance, and then announced it would be replaced, and it never officially took effect. The withdrawal will be finalized within weeks, but the potential for change still is looming, as the department shifts its focus to a formal negotiated rulemaking process for updating TPS regulations. Read more.

Other News

• Stress Testing the FAFSA (Inside Higher Ed)

• ED Releases Proposed Student Loan Debt Forgiveness Regulations for Borrowers Experiencing Hardship (NASFAA)

• Under Borrower Defense, Ed Dept. Forgave $17.2B in Student Loans (Inside Higher Ed)

• Revised Draft NSLDS FVT GE Completers List Available by Oct. 28, 2024 (Federal Student Aid)

Major Updates

Reporting Deadline on GE and FVT Pushed to 2025
The Department of Education (ED) has announced a further delay in the reporting deadline for Gainful Employment (GE) and Financial Value Transparency (FVT) until early 2025. Initially extended to October 1, 2024, the deadline has now been pushed to January 15, 2025. This follows a series of calls from institutions and organizations including UPCEA, as well as a recent letter from a group of bipartisan senators asking for additional clarification and time to implement this reporting, especially given issues with FAFSA. ED aims to release the first complete GE/FVT results in time for the next award year to guide students’ college decisions. Read more.

A Collection of FAFSA Updates and Resources

• The Long-Awaited FAFSA Autopsy Is Here (Inside Higher Ed)
  • “A government watchdog’s investigation into last year’s rollout of the new Free Application for Federal Student Aid found that Education Department officials failed to properly test and prepare the form and launched it despite signs that it was not ready for wide release—an oversight that proved disastrous.
    
    The department’s missteps are detailed in two documents from the U.S. Government Accountability Office released Tuesday. Their findings were at the center of a House higher education subcommittee hearing Tuesday that featured testimony from two GAO officials, where lawmakers on both sides of the aisle pressed for answers about who was to blame for the failures and called for accountability.” Read more.

• Secretary’s Cover Letter: A Focus on Improving the FAFSA Experience (US Department of Education)

Other News

• Putting the Basic Needs of Today’s Students on the Map: A Landscape Analysis of Policies and Strategies Across 37 States (Today’s Students Coalition)

• Lawsuit Takes Aim at Education Department’s Incentive Compensation Guidance (Inside Higher Ed) 

Major Updates

New Distance Education Regulations Proposed by ED Includes Required Attendance-Taking, Additional Reporting – Public Comment Open Until August 23

UPCEA Members Take Note, and Make a Comment!
The US Department of Education recently released the proposed regulations for Distance Education, Return to Title IV, and TRIO. In another major announcement, they signaled in a blog post that other topics including State Authorization, cash management, and accreditation will be published by next year. The Department also updated the community that Third-Party Servicers would have its own negotiated rulemaking session and Incentive Compensation Ban would have revised guidance by the end of the year as well. Quite the substantive blog post for higher education policy wonks!

The Distance Education, Return to Title IV, and TRIO proposed regulations are available here. The public comment period runs until August 23. We encourage you to share with your institutional administration and discuss how you’d like to respond to the various proposed regulations. Those changes which are most important to the UPCEA community include:

• Require Attendance-Taking in 100% Distance Education Courses – Mandatory attendance-taking for each student for 100% distance education courses, except for dissertation research courses within doctoral programs. This is to track if federal financial aid should be returned to the ED if the student withdraws from the course or institution. If so, the institution must document the last day of attendance for that student, and if the student does not engage in a course for 14 days, must withdraw the student from the course and document that date.
  • To the Department, this requirement is not achieved by a user simply logging in to the LMS, they must take some other form of academic engagement, such as taking a test, engaging with a discussion post, etc.
  • While the Department estimates institutions can “often easily determine when students stop attending because a school’s systems can often identify when students submit assignments or interact with instructors and students during lectures and course discussions, and students are often continuously monitored to track academic engagement,” we at UPCEA estimate that this will likely require your institutions to develop and track attendance in ways that you have not previously, and may require coordination of disparate systems to make it happen.

• Additional Virtual Location for 100% Distance Education/Correspondence Programs – The Department is proposing that a new institutional location apply to all of an institution’s 100% distance education and correspondence programs. The Department’s goals with this new virtual location category is to capture data about an institution’s distance education programs to better measure outcomes of these programs, provide better oversight through program reviews, and determine the states where federal financial aid students are located. It also has suggested this provision for if an institution stops offering all distance education courses, as well as if an institution stops offering in-person instruction, but still has distance programs. In the Department’s words, this is to “provide greater protection for students if an institution offering both distance education and in-person instruction suspends coursework in one modality but maintains the other. Students whose modality has been discontinued and who may not wish to, or may not be able to, continue in the alternative modality, would be eligible for closed school discharges”. The Department notes the additional locations are still 100% distance education even if requirements for students to complete on-campus or residential periods of 90 days or less exist.

• Reporting on Title IV Student Enrollment in Distance Education or Correspondence Courses – The Department is proposing additional data to be collected on distance education and correspondence courses, which would be a much broader set of data than institutions have provided on these students and courses to this point. The Department indicated they would be collecting more data, but they indicated the specific details of that reporting have not yet been determined, but wanted to establish the general requirement ahead of releasing those details and indicated it could include program oversight audits, outcome metrics, College Scorecard program-level data, debt earnings, completion rates, the amount of Title IV funds expended on distance education programs, and the State in which the distant student is located while enrolled. They have indicated the effective date of this provision would be July 1, 2026.

• Disallowing Asynchronous Distance Education Clock-Hour Programs – While different from credit-hour programs that are offered on most UPCEA member institutional campuses, clock-hour programs are a measurement of the student’s minute-by-minute work on their learning. Since 2020, the Department has allowed for asynchronous clock hour instruction, but are now proposing that it be pulled back, because they believe the flexibility has been abused by providers.

• New Definition for 100% Distance Education Course – The Department has proposed a new definition for a Distance Education Course: “A course in which instruction takes place exclusively as described in the definition of distance education in this section notwithstanding in-person non-instructional requirements, including orientation, testing, academic support services, or residency experiences.”

These are not final regulations, and still have the opportunity for the community to shape the final rules. We encourage our membership to review the draft regulations and provide their insights and comments to the Department before August 23. Your analysis and feedback are crucial for shaping the final regulations. Share this information with your distance education program administrators. This will certainly also require the review of your institutional government affairs/legal counsel and those who are involved with administering financial aid, reporting, or teaching distance education at your institution.

Take time, and make a comment before August 23. The Department is asking that your comments do the following:

• Be concise but support your claims.
• Explain your views as clearly as possible and avoid using profanity.
• Refer to specific sections and paragraphs of the proposed regulations throughout your comments, particularly in any headings that are used to organize your submission.
• Explain why you agree or disagree with the proposed regulatory text and support these reasons with data-driven evidence, including the depth and breadth of your personal or professional experiences.
• Where you disagree with the proposed regulatory text, suggest alternatives, including regulatory language, and your rationale for the alternative suggestion.

Work with your institutional government affairs team if you will be commenting on behalf of your organization. We also note that anyone can also submit comments as an individual citizen, separate from representing your institution.

If these regulations are released in their final form before November 1 of this year, they could take effect July 1, 2025.

• Read the regulations and submit a comment here.
• Read our extended CORe posting on the topic and leave a comment with how you and your institution are replying

Supreme Court Chevron Decision Erodes Administrative Regulatory Framework

In a landmark decision, the US Supreme Court voted 6-3 to significantly curtail the Chevron doctrine, a long-standing principle since 1984 that allowed federal agencies considerable leeway in interpreting ambiguous laws, and instructed lower courts to defer to agencies on regulatory and decision making. This shift, which restricts the power of agencies including the Department of Education, could have profound implications for higher education, and the broader US regulatory landscape. The ruling states that future regulatory changes by agencies cannot take part in interpreting laws set by Congress and gives more power to both the original legislative language, but more so with the judicial branch in setting regulatory affairs. Higher education regulations could face a period of uncertainty as courts take a more active role in interpreting statutes directly, potentially leading to a vastly different regulatory environment, with potential benefits as well as pitfalls for institutions. This change may affect everything from distance education, to accreditation standards, and we encourage colleges and universities to closely monitor and adapt to changing educational regulations. Read more.

Other News

• Latest FAFSA hiccup could delay financial aid disbursements this fall (Washington Post)
  

• Federal Report | Supplemental Nutrition Assistance Program: Estimated Eligibility and Receipt among Food Insecure College Students (US GAO – Government Accountability Office)

Major Updates

ED Sends Distance Ed, R2T4, TRIO Rules to OIRA for Final Review Before Release and Public Comment
The US Department of Education has advanced a set of proposed regulations to the Office of Management and Budget’s Office of Information and Regulatory Affairs (OIRA) for review. This submission marks the final procedural step before the proposed rules are made available for public comment. The proposed regulations encompass several key areas previously addressed during negotiated rulemaking sessions earlier this year, specifically focusing on Distance Education, Return of Title IV (R2T4), and TRIO Programs.

Absent from this submission are the topics of State Authorization, Cash Management, and Accreditation. We anticipate those topics’ proposed regulatory changes should be released at a future date. We continue to monitor the situation closely, particularly to see if any of our recommendations, noted below, which were submitted earlier this month in collaboration with other organizations, are incorporated into the proposed distance education regulations. We will provide updates as new information becomes available, including when the regulations are released, and open for public comment.

Coalition Letter on Proposed Distance Education Regulations, Offering Alternatives 

We joined a letter to the Department of Education addressing proposed regulations that would affect distance education programs. In this letter, we expressed our concerns regarding the recent proposed changes to: 

• Enact mandatory attendance-taking in all distance education courses 
• Not allowing distance education for clock hour courses

We are worried about the institutional burdens as well as how it will affect students’ outcomes, especially for marginalized communities. With our peer organizations (WCET, OLC, QM, DEAC, and AACC) we proposed thoughtful alternatives within the letter. We all are committed to ensuring that any new regulations strengthen—rather than weaken—student access to high-quality distance education programs. There also were a number of provisions proposed which we support, and highlighted those and a few caveats within the letter. We encourage you to share with your institutional administration as well as contact elected officials and share our letter and continue to stay informed. 

Other News

• Minnesota First State to Ban Tuition Sharing with OPMs (Whiteboard Advisors)

• US Department of Education Opens Applications for Basic Needs for Postsecondary Students program (Federal Register)
  Applications for new awards are due by August 5th. The program provides grants to eligible institutions of higher education (IHEs), or a consortia or system of such institutions, to advance systemic and sustainable solutions to student basic needs insecurity through support programs that address the basic needs of students and to report on practices that improve outcomes for students. 

Major Updates

• UPCEA Co-Signs Request to Congress on FAFSA Fix Proposal
  In a letter led by the American Council on Education (ACE), UPCEA joined with other organizations to seek legislation for crucial adjustments to the FAFSA process to enhance its efficiency and fairness. Key proposals include ensuring institutions are not held liable for discrepancies in determining student aid eligibility, extending the ability to transfer unspent Federal Work-Study funds, establishing an earlier statutory deadline for the FAFSA release, requiring comprehensive assessments of recent changes affecting students’ financial aid, among many others. Read the full letter.
  

• State Authorization Reciprocity Proposals | Take Action and Read Our Letter to the Department of Education
  Along with our esteemed partners, UPCEA this month joined with WCET, QM, OLC, NACUBO and American Association of Community Colleges to send a letter to the US Department of Education about recent proposals on State Authorization reciprocity expressing our concerns. This letter dives deep into the issues impacting students and institutions that these proposed regulations would create.

  The Department of Education is planning to implement new regulations that will profoundly impact online education and the future of our students. The proposed rules could alter state authorization reciprocity agreements for institutions participating in SARA, particularly affecting those with over 500 students in another state. The proposed regulations also may impose new requirements to abide by laws related to closure in each state. We encourage you to reach out to your federal and state officials, as well as institutional leadership. Please read, share, and utilize this letter as a basis for your outreach. Your voice is crucial in shaping the future of online education. Read our letter.

• Ricky LaFosse Joins UPCEA as Senior Policy Fellow
  Ricky LaFosse has been appointed as the new Senior Policy Fellow at UPCEA, further strengthening our commitment to excellence in policy and compliance in online and professional education. With over 10 years of experience in higher education and online learning compliance, LaFosse brings a wealth of knowledge and expertise to the role. LaFosse currently serves as the Associate Director of Compliance and Policy at the University of Michigan’s Center for Academic Innovation. His extensive background in higher education policy, including serving as an advisor to multiple national organizations and former chair of UPCEA’s Policy Committee, prepared him for the fellowship at UPCEA. His deep understanding of accreditation processes, compliance issues, and government relations will be invaluable in developing and implementing strategies to advance UPCEA’s policy priorities. We look forward to seeing the positive impact of his fellowship on our organization and the broader higher education community we serve.

Other News

• Public Comment Period for Gainful Employment and Fiscal Value Transparency Reporting Open Until June 17 (Federal Register)

• How can public colleges prepare for ADA digital accessibility requirements? (Higher Ed Dive)

• Bipartisan Senate AI Working Group Releases Roadmap for AI Policy | Driving U.S. Innovation in Artificial Intelligence (US Senate)

Major Updates

Urgent: Take Action on Proposed State Authorization Reciprocity Regulations
The Department of Education is set to introduce new regulations that could significantly alter state authorization reciprocity agreements, critically affecting online education and our students’ futures. Following the lack of consensus in recent negotiated rulemaking sessions, the forthcoming rules are expected to impose stricter criteria on institutions (those taking part in reciprocity via SARA): particularly those with over 500 students in another state; and require adherence to state laws regarding closure. This will increase operational constraints and compliance costs. We believe these changes could not only hinder the growth and quality of online education of all students but also disproportionately impact marginalized communities by increasing educational costs and limiting program availability.

We are sending a letter to the Department with our colleagues at WCET, QM, OLC, NACUBO and AACC detailing our major concerns, and which goes more in depth on the specific issues raised by this proposed regulation. We encourage you to read and share this letter, and feel free to utilize it as a framework for your own outreach, both internally and externally.

As these regulations are likely to reshape the landscape of higher education, your proactive engagement is essential. We urge you to communicate with your institutional administration and state and federal government officials to share your concerns and propose balanced regulatory measures. This effort is crucial to ensuring regulations support rather than hinder the provision of high-quality online education. This is the time to spread awareness and to influence these impending regulations to ensure they fairly represent the interests and needs of our education communities. Many of us remember a time before State Authorization reciprocity, where a patchwork of approvals and state processes weighed down our institutional budgets and online operations.

It is crucial to express how these proposed regulations could negatively impact not only your institution but also the students you serve. We are committed to supporting your advocacy efforts and will continue to provide updates and resources through our Policy Matters newsletters.

Updates to Gainful Employment Regulations

• Important Update: Gainful Employment/Financial Value Transparency Reporting Deadline Extended to October 1, 2024

In a significant move, the Department of Education has acknowledged the additional time institutions need to effectively compile the necessary data for reporting for the new Financial Value Transparency (FVT) and Gainful Employment (GE) regulations, and have decided to extend the timing for required data reporting. 

• • Institutions will have the ability to start reporting FVT/GE data through the National Student Loan Data System (NSLDS) starting July 1, 2024.
  • Institutions will have until October 1, 2024 to provide all required reporting. The Department is providing institutions additional time to report such information by allowing institutions to submit the information that was previously due by July 31, 2024 to be submitted by no later than October 1, 2024.

This extension comes after recent feedback from various educational organizations, including UPCEA, which emphasized the need for additional time to implement these complex regulations effectively. For more insights and guidance, we encourage you to review the announcement on the FSA website and the comprehensive ‘Dear Colleague’ letter. 

• Implementation of Program Length Restrictions for Gainful Employment (GE) Programs
  The Department of Education announced responses to questions from institutions related to Certification Procedures regulations from October 2023 as it relates to Gainful Employment (GE) programs. These responses may have significant impacts to institutions’ GE programs. The Department clarified there is now set a cap on the allowable hours in GE programs, to “limit the number of hours in a GE program to the greater of the minimum number of clock hours, credit hours, or the equivalent required for training in the recognized occupation for which the program prepares the student, as established by the state in which the institution is located or, in some cases, another state.” This may necessitate a reduction in credit or clock hours for some institutions to maintain eligibility for Title IV funding. Additionally, certain GE programs might lose their eligibility for the Federal Pell Grant. To continue participation in the William D. Ford Direct Loan program, these programs must meet specific placement and completion rate criteria. Read more.

Other News

• New Title IX Rules Released – Implemented August 1, 2024 (US Department of Education)
• Request for Information: Developing a Postsecondary Student Success Award Program for Institutions of Higher Education – Comments due by May 28, 2024 (US Department of Education)

Major Updates

Negotiated Rulemaking Does Not Reach Consensus on Distance Education, State Authorization, Accreditation, and Other Topics

The recent session of negotiated rulemaking at the Department of Education on Program Integrity and Institutional Quality concluded without reaching a consensus on several pivotal Issue Papers. The discussions were marred by considerable disagreement on key topics such as revisions to Distance Education, State Authorization, and Accreditation protocols. There were a few topics which caused disagreement, including: the mandate for recording attendance in fully online courses to accurately determine withdrawal dates for virtual learners; the cash management change compelling institutions to adopt an “opt-in” approach rather than “opt-out” for students to approve bundling textbooks with tuition and fees—also known as “inclusive access”. There also was much disagreement about oversight of online education programs and the intricacies of state authorization changes, including concerns about reciprocity agreements, complaint processes, application of state laws related to closure and additional direct authorization thresholds, including a new 500 student threshold which would require direct authorization from any state where an institution enrolls more than 500 students in the two most recent years.

Given the impasse, the Department of Education now possesses the authority to draft proposed regulatory changes independently. This means the Department is likely to formulate and present its regulatory proposals for public scrutiny and comment within the next few months. This must be done before they evolve into final regulations, which if finalized before November 1 of this year, some may be implemented as soon as July 1, 2025. Ahead of this proposal being released, we encourage institutions to discuss these proposed changes and activities that occurred during negotiated rulemaking with their institutional government affairs offices. They may also consider talking with state officials as it relates to the state authorization proposals which could significantly impact how institutions deliver education across state lines, and how states would need to deal with authorization processes. View the negotiated rulemaking sessions and view the proposal papers.

Bipartisan Competency-Based Education Bill Introduced in House of Representatives
In a significant step towards reforming higher education, a bipartisan group of the House of Representatives, Glenn Grothman (R-WI), Brittany Pettersen (D-CO), and Burgess Owens (R-UT) have introduced the Empowering Learners Through Competency-Based Education Act. This bipartisan bill is designed to support universities in adopting competency-based education (CBE) models, which prioritize learning outcomes over traditional seat-time benchmarks. The bill would: define CBE programs; require the Department of Education to collect, verify, and make publicly available important program outcomes information on CBE programs; and establish a CBE demonstration project at the Department of Education to assist institutions in developing CBE programs. CBE allows students to advance upon mastering course material, potentially accelerating their path to degree completion and entry into the workforce with reduced debt burdens. The bill received endorsements from notable institutions like Western Governors University and Southern New Hampshire University’s Center for Higher Education Policy and Practice. Read more.

Gainful Employment/Financial Value Transparency Reporting Public Comment Due April 22

The Department of Education has opened a public comment period regarding the Gainful Employment/Financial Value Transparency reporting requirements. With a deadline of April 22, institutions, stakeholders, and the public are invited to provide feedback to the Department on these reporting requirements. This includes providing input on the Department’s data usage, and suggestions for minimizing reporting burdens. The regulations, negotiated in 2022 and finalized in 2023, are applicable to both gainful employment (GE) and non-GE programs. Engagement in this comment period is a vital opportunity for educational institutions to influence the development of policies that will shape a significant regulatory change which goes into effect July 1, 2024. Your input can help the Department understand and refine the collection process. Read more and submit a public comment here.

Other News

• Federal spending bill keeps higher ed funding flat (Inside Higher Ed)

• Education Department plans to ramp up transmission of FAFSA data to colleges (Higher Ed Dive)

Major Updates

Negotiated Rulemaking on State Authorization, Distance Education, Accreditation and Other Topics Continues
In early February a session was held in continuation of the US Department of Education’s crucial Negotiated Rulemaking on Program Integrity and Institutional Quality, with the second of three sessions running from February 5-8, and the third and final session scheduled March 4-7. Following a kickoff in early January, stakeholders reconvened to further explore and refine proposed regulatory changes across key areas of higher education. These include state authorization, distance education, accreditation, and more. Noteworthy proposals under discussion entail stricter accreditation requirements for new programs as well as visits to all locations; modifications to state authorization including a complaint process and governance requirements for reciprocity agreement organizations; as well as significant adjustments to distance education practices including requiring of taking attendance in all fully online courses. These proposals are the Department’s stance for negotiators to continue to refine and change during rulemaking. Each of the sessions allows for public comment periods, allowing for broader community engagement. Participants and interested parties are encouraged to engage in this vital process, with further details and registration information for the public virtual session attendance available on the Department’s Negotiated Rulemaking site. Learn more. 

Unclear on what federal negotiated rulemaking entails? Check out our newly released Policy Matters: Primers and Insights brief: An Introduction to Negotiated Rulemaking for Higher Education.

Bipartisan Workforce Pell Bill Considered Before the US House of Representatives

This week, the US House of Representatives is scheduled to vote on the Bipartisan Workforce Pell Bill, marking a significant step towards reforming education and workforce development financial aid. This bill seeks to expand the Pell Grant program, traditionally aimed at providing financial aid for undergraduate students and longer-term programs, to now include short-term job training programs. The bipartisan support for this bill underscores a more recent recognition of the evolving needs of the American workforce and students. By extending Pell Grants to cover short-term workforce training programs, the legislation aims to open new pathways to high-quality employment for millions of Americans, addressing the skills gap in many industries. There have been some concerns about how the bill is paid for and how certain institutions are categorized to help cover the costs of the bill. These concerns and other details are being closely monitored by those in the Senate who are considering their own legislation and actions on workforce Pell. 

Webinar Recording | Navigating Regulatory Changes in Higher Education
Hosted by the UPCEA Policy Committee and the Online Administration Network

Designed specifically for academic leaders, administrators, and legal and compliance officers, this session delves into the critical regulatory changes set to reshape online and professional continuing education beginning July 1, 2024. Our experts guide you through the intricacies of licensure notifications, financial responsibility standards, administrative capabilities, certification processes, and the latest in gainful employment guidelines. Additionally, gain insights into the current US Department of Education negotiated rulemaking sessions, focusing on state authorization, distance education, and accreditation. Equip your institution with the knowledge to navigate and adapt to the significant regulatory updates impacting online education. Discover the keys to successfully navigating the evolving regulatory landscape in higher education with our webinar recording.

Other News

• Public Comment Due April 22 – Gainful Employment/Financial Value Transparency Reporting Requirements (Federal Register) 
• Education Dept. to help universities with FAFSA processing (EdScoop) 
• U.S. Eyes Debt Relief for Borrowers Facing Hardship (Inside Higher Ed) 

Major Updates

Negotiated Rulemaking Session on Program Integrity and Institutional Quality Begins 

The U.S. Department of Education has started a Negotiated Rulemaking Session focused on Program Integrity and Institutional Quality. The first session took place January 8–11. The second session will occur from February 5–8, and the final session is scheduled for March 4–7. These sessions will delve into pivotal areas of higher education regulation on the following topics State Authorization, Distance Education, Return to Title IV, Cash Management, and Accreditation, among others which can be found under the “Materials” section on the Department’s Negotiated Rulemaking site. A TRIO Subcommittee meeting also occurred January 12 and is slated for February 9. The Department has released their second round of issue papers on their Negotiated Rulemaking site (linked via the topics above). Some notable suggestions the Department has proposed to change in regulation which are relevant to the UPCEA community are: 

• Accreditation changes including:
  • Requiring institutional accreditor approval if the institution adds any non-degree or degree-granting program at a level not previously offered by the institution
  • Requiring institutional accreditor approval if the program that the agency has previously approved to operate achieves or exceeds a 50 percent threshold for distance education offerings (means that at least 50 percent of the institution’s students are enrolled in at least one course offered through distance education; or offers at least 50 percent of its courses through distance education.)
  • Requiring accreditors to visit and approve all physical and branch campus locations of an institution.

• State Authorization alterations including: 
  • Requiring reciprocity agreements to require institutions to have a system to report student complaints to the State in which the student resides, and to provide those complaints to the organizations that administer the agreement.
  • Requiring State authorization reciprocity agreements governing boards only include representation from State employees – including regulatory bodies, enforcement agencies, attorneys general, and licensing bodies – and members of the public.
  • Allowing that, outside of educational authorization, for reciprocity agreements to not prohibit states to apply general education laws to institutions.

• Distance Education alterations including:
  • Removing the allowance for clock-hour programs provided via distance education to be offered through asynchronous learning.
  • Creating a virtual location for institutions that includes all students who are being instructed primarily through distance education.
  • Specifying in the definition of “a week of instructional time” that asynchronous coursework via distance education is limited to credit-hour programs.
  • Requiring schools to take attendance for fully distance education courses for purposes of Return to Title IV. During the first rulemaking session, the Department clarified that for fully distance education students, merely logging in is not a form of academic attendance, but would need to be paired with some sort of other activity. They also clarified that for those programs that are hybrid, they would not require all in-person courses related to this provision to be attendance-taking.

• Other changes including: 
  • Eliminating the provision allowing institutions to include the cost of books and supplies as part of tuition and fees, unless there is a compelling health or safety reason to do so. This change could impact “inclusive access”. Current regulations permit schools to automatically charge students for books and supplies as part of tuition and fees, without student authorization, even when the materials can be obtained from a source other than the institution. The regulations permit these charges if the school has a contract with a third-party publisher or retailer, offers the books “below competitive market rates,” and gives students a way to opt out, so long as the student can obtain the books and supplies by the seventh day of the payment period. 

These proposals represent the Department’s suggested regulatory edits, which negotiators will scrutinize and potentially revise over the next two sessions. Each day of the full committee sessions will conclude with a 30-minute public comment period, with the exception of the final day. The subcommittee sessions, however, will not include a public comment segment. Interested parties wishing to provide public comments are advised to email [email protected] with their name and organizational affiliation, indicating their desire to participate in these crucial discussions. Registration is required to view the virtual sessions, and links to this registration, a list of the negotiators, and other resources are included below. 

• Registration to watch the sessions. 
• List of negotiators.
• Department of Education Negotiated Rulemaking Landing Page.

UPCEA Policy Matters: Primers and Insights Launched with Intro to Online Regulatory Landscape and Overview of Negotiated Rulemaking

We are excited to introduce our latest resources, “Policy Matters: Primers and Insights,” designed to guide you through the complex policy frameworks crucial to higher education in the United States. In an era where online and professional continuing education programs are at the forefront of educational innovation, understanding the regulatory landscape is vital. “Policy Matters: Primers and Insights” offers a comprehensive introduction to foundational topics in federal legislation and regulations that have a significant impact on online and professional continuing education. This series is more than just a resource; it’s a roadmap to navigating the intricacies of policy that govern higher education. Whether you’re an administrator, educator, or policy maker, these insights will empower you to make informed decisions and contribute to the long-term success of your programs.

Our first two Primers and Insights are:

• Introduction to the Online Learning Regulatory Landscape
• An Introduction to Negotiated Rulemaking for Higher Education

Stay ahead in the dynamic world of higher education. Embrace the opportunity to deepen your understanding of the policies shaping our programs and institutions. Learn more.

Upcoming Policy Webinars

• February 7, 2024 | 11:00 AM-12:00 PM ET
  Webinar | Advancing Racial Equity in Higher Education Through Federal Policy for Today’s Students
  Join the Today’s Students Coalition (TSC) for a webinar where we will present the newly-released Equity Now Toolkit. The TSC’s Equity Now Toolkit builds on this critical work, a resource designed to guide and support our country’s advocates and leaders in addressing racial disparities in higher education. The reforms in this toolkit offer a wide array of changes that can help bridge racial equity gaps in postsecondary student access, success, and completion.
  Register.
  

• February 21, 2024 | 2:00-3:00 PM ET
  Webinar | Navigating Regulatory Changes in Higher Education
  Hosted by the UPCEA Policy Committee + Online Administration Network
  Join us for a session focusing on the latest regulatory changes impacting online and professional continuing education taking effect July 1, 2024. This event will address key areas such as licensure notifications, financial responsibility standards, administrative capability, certification processes, and updated gainful employment guidelines. A quick update on current U.S. Department of Education negotiated rulemaking sessions focused on state authorization, distance education, and accreditation, as well as consideration of the regulatory landscape generally, will also be provided.
  
  The target audience for the webinar: academic leaders, administrators, and legal and compliance officers. The information offered will allow institutions to prepare for significant regulatory changes that will impact online education.
  Register.

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