Government Affairs

Election Outcomes: Proposed Distance Ed Rules and Incentive Compensation Changes Unlikely to Proceed | Policy Matters (November 2024)

November 27, 2024

Major Updates

Recently Proposed Distance Education Regulations, Changes to Third-Party Servicers, Incentive Compensation, Are Unlikely to Move Forward
The Department of Education’s recent negotiated rulemaking session aimed to revise key regulations, including those related to distance education. However, consensus among stakeholders wasn’t reached, leaving the Department to decide on proposed language. While some, like distance education, were selected for advancement by the Biden Administration, others—such as state authorization and accreditation—were postponed for future rulemaking.

The Department missed the November 1st federal calendar deadline to release the final distance education rules, which if released by then could have been implemented by July 1, 2025, however missing that deadline means if the rules are to be released, any potential implementation would not occur until July 1, 2026. A separate set of rules were imagined to be worked through by the outgoing administration earlier this summer, including reworking third-party servicers and incentive compensation. Although the Biden administration could still finalize these rules before leaving office, the incoming Trump administration would likely want to overturn them through executive or congressional action.

Had the election gone differently, these regulations might have been prepared for implementation. However, under the current political landscape, their chances of being finalized, and then also their eventual survival are slim. Still, taking note of these proposals remains crucial, as their potential impacts could resurface in future discussions. Other policies like Gainful Employment (GE) and Financial Value Transparency (FVT) could also be on the chopping block. 

 

Linda McMahon Nominated as Trump’s Pick for Education Secretary

Donald Trump has announced Linda McMahon, Chair of the Board at the America First Policy Institute (AFPI), as his nominee for Secretary of Education. Previously, McMahon served as Administrator of the Small Business Administration under Trump from 2017 to 2019. Earlier in her career, she was President and CEO of World Wrestling Entertainment (WWE). If confirmed, McMahon’s policy priorities may reflect AFPI’s recent work in higher education, which can be explored here. Notably, she authored a September op-ed advocating for Pell grants to support short-term training programs, which may indicate where her efforts in the incoming administration will be focused. Read more.


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Kristen Brown, University of Louisville, Chair
Bridget Beville, University of Phoenix
Corina Caraccioli, Loyola University New Orleans
Abram Hedtke, St. Cloud State University

George Irvine, University of Delaware
Craig Wilson, University of Arizona


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