Dear Colleagues:

The implications from the landmark Supreme Court decisions issued late last week on race-conscious admissions and the Biden Administration’s student loan forgiveness plan continue to dominate the policy conversations in higher education this week.
 
While I discussed the decision on race-conscious admissions in last week’s Washington Update, the decision on student loans was announced just hours after our message arrived in your inboxes.  As you know, the court ruled that the Biden Administration’s plan to use provisions of the HEROES Act to forgive student loan debt overstepped the Education Secretary’s authority.
 
Shortly after the decision was announced, President Biden and Education Secretary Miguel Cardona announced a Plan B, including: immediately initiating a new negotiated rulemaking process on debt relief with a public a hearing on July 18; a new repayment plan called Saving on a Valuable Education (SAVE), that offers the most favorable terms ever for borrowers; and a 12-month “on-ramp” to repayment that would provide borrowers assurances that they cannot fall into delinquency or default because of missed, partial or late payments once repayment starts this fall.

As I said in my statement last week following the decision, the broader policy question is what should the federal loan program look like moving forward. Both the Administration and members of Congress from both parties have proposals that would fundamentally reexamine the current terms and conditions of student loans, including forgiveness, repayment options, and borrowing costs. NAICU looks forward to this important conversation. In many ways, these questions have not been fully and holistically debated since the federal student loan program began in 1965.
 
As the ramifications of the decision on race-conscious admissions become clearer, NAICU will host a webinar on the admissions decision: Supreme Court Ruling: Race-Conscious Admissions (Register) on July 14 from 11:00 a.m. to Noon EDT with Art Coleman, managing partner and co-founder of EducationCounsel LLC. Coleman is one of the foremost national experts on this issue.
 
Finally, I am pleased to announce that Justin Monk has started as our new Director of Student and Institutional Aid Policy. Justin will be our lead policy expert on Title IV federal student assistance programs and the institutional aid programs found in Titles III and V of the Higher Education Act. He also is responsible for developing association policy positions on student and institutional aid, in conjunction with the association’s member college, university, and association presidents. Justin previously was the director of government affairs for the KIPP Foundation and director of policy at Student Veterans of America (SVA).  We are excited to welcome Justin to the NAICU Team!
 
Soundbites

• The Department of Education is seeking speakers, resources, and examples of best practices supporting transfer student success to highlight at an October summit. Part of the Department’s Raise the Bar initiative, the summit will focus on transfer and credit mobility policy and practices that equitably improve student outcomes.  The Department is particularly interested in exemplar states, systems, and institutions on topics related to: dual enrollment and prior learning assessment credit transfer; effective advising and support for students pre- and post-transfer; data- and technology-driven transfer solutions; reverse transfer, degree reclamation, and stackable credentials; transfer partnerships between 2- and 4-year institutions; and effective state and federal transfer policy. NAICU will compile and share the responses with the Department. Please submit your responses to justin@naicu.edu on Friday, July 14, by 5 p.m. EDT.
• Colleges and universities seeking to offer postsecondary programs to confined or incarcerated individuals should use a new application process launched June 30 by the Department of Education. Building on the success of the Second Chance Pell experiment, individuals enrolled in approved prison education programs (PEPs) will now be eligible for Federal Pell Grants. The Department will accept applications beginning on July 3, 2023, with approval on a rolling basis. As a resource, The Department has created a new Knowledge Center page for PEPs, which includes updated application guidance, and an earlier Dear Colleague letter explaining some of the changes to PEP eligibility criteria.  

Today’s Washington Update reviews the Supreme Court decisions on race-conscious admissions and the student loan forgiveness plan.

Regards,
   
Barbara
   
Barbara K. Mistick, D.M.
President, NAICU