Introduction by Barbara K. Mistick

Dear Colleagues:

As I wrote in the Action Alert I sent on Wednesday, NAICU is hearing that the College Cost Reduction Act (CCRA) could hit the floor of the House of Representatives for a vote in the very near future. There are now rumors circulating that the bill’s author, Rep. Virginia Foxx (R-NC), may be close to having the votes she needs to pass the bill in the House.

It is critically important that you contact your U.S. Representative as soon as possible and urge them to oppose the risk-sharing proposal included in the CCRA. The Action Alert includes talking points, a sample letter, and a Congressional Directory to help with your outreach. 

As a reminder, the bill includes federal student loan cost sharing for colleges with a formula that has a particularly negative effect on private, nonprofit colleges and universities, and, therefore, on the ability of students to select the school that best meets their educational needs. 

NAICU Webinar: NAICU is hosting a webinar on Monday, December 9, from 4:30-5:30 EST on the Road Ahead: Federal Policy Outlook for Private, Nonprofit Higher Education (Register). Sarah Flanagan, NAICU’s vice president for government relations and policy development, and I will highlight the top issues, potential issues, and proposals that could directly affect your campus and all of private, nonprofit higher education in the weeks and months ahead. I hope you and others from your team can join and participate.

NAICU is also co-hosting a webinar the following day with CIC, the Association of Catholic Colleges and Universities, and the Council for Christian Colleges and Universities that will highlight post-election takeaways for institutional planning, federal funding trends, and anticipated legislative and policy changes that may affect campus operations. The webinar is on December 10, 12:30-1:30 p.m. EST.

Finally, this week I had the opportunity to meet with Rep. James McGovern (D-MA), a longstanding member of the Congressional Independent Colleges Caucus (CICC) whose district is home to eight private, nonprofit colleges and universities. McGovern is this month’s CICC Member in the Spotlight. We had an opportunity to discuss the myriad challenges our institutions are facing and the legislative outlook for the 119^th Congress. McGovern will continue as the Ranking Member of the powerful House Rules Committee in the new Congress—and thus may play a pivotal role in determining the timing and content of legislation that makes it to the House floor.

Soundbites

• VA 85/15 Correction. The Department of Veterans Affairs (VA) issued a correction to its Information Collection Request (ICR) regarding institutions with the 35% waiver needing to monitor, collect, and report 85/15 data on GI Bill recipients. The Department, in response to the higher education community comments sent last month, clarified that the ICR was intended for non-accredited institutions only. NAICU appreciates those who also wrote to the VA on the issue and helped secure this important relief for institutions that serve our nation’s veterans.

• Paper FAFSA Fix. The Department of Education announced a fix to a long-running issue with paper Free Application for Federal Student Aid (FAFSA) submissions that incorrectly rejected applications under reject code 9, comment code 023. The submissions were being improperly flagged as missing crucial demographic information, which prevented the forms from being processed.

• Guidance on Change in Ownership Process. The Department of Education released clarifying guidance on reporting and documentation requirements for the change in ownership process for institutions. While the guidance does not contain new information, it does expound on the many procedural hurdles that institutions must clear under the new two-step process. Despite not having legal “owners,” private, nonprofit institutions of higher education are subject to a number of change in ownership provisions, including new provisions that went into effect on July 1, 2024. All institutions should be aware of how these new rules can affect their institution, including new reporting requirements for boards of trustees and other “related parties.” 

I hope you had a safe and restful Thanksgiving break and that you have a pleasant weekend ahead.

For more information, please contact:
Barbara K. Mistick