Introduction by Barbara K. Mistick
Dear Colleagues:
As the dust settles on the 2024 elections, Republicans have flipped the Senate and now control both Chambers of Congress with slim majorities. This week, Republicans elected Sen. John Thune (R-SD) as Senate Majority Leader and re-elected Rep. Mike Johnson (R-LA) as House Speaker.
One of the next important next steps for Congress will be the committee assignments and who is named chair and co-chair of the committees that have the most impact on our students and institutions.
News outlets have also been reporting on the higher education priorities of the new Congress and the incoming Trump Administration. One thing we are certain of is there will be a profound emphasis on issues of accountability and accreditation, among others. Also, the College Cost Reduction Act (CCRA), introduced by Rep. Virginia Foxx (R-NC), could be taken up in the House next week though it is not expected to pass the Senate during this lame-duck session. If you’re meeting with your representatives or their staff, here, as a reminder, are the talking points and background information on CCRA I included in the October 25 Washington Update:
- Oppose any last-minute efforts to impose student loan risk-sharing rules on institutions via the CCRA or proposals to pay for Pell Grant expansions for short-term programs. For example, the student loan risk-sharing proposals in the CCRA and the House proposed pay-fors for Workforce Pell make institutions liable for federal student loan costs (such as loan forgiveness and interest rate charges) established by the federal government and would target the private college sector. There are positive components in the CCRA and other proposals from both parties, but the process should be more deliberative and should not decimate one sector to the benefit of others.
Note: The House Committee on Education & the Workforce made public its analysis of the risk-sharing provisions, which includes a database where you can search your institution to see the impact of the proposal. Please note that the committee analysis only reflects the potential cost five years into implementation, but student loan repayments last 10-15 years, so the payment amounts in this analysis would double by year 10 as more cohorts of graduates enter repayment.
NAICU is tracking all the updates related to the incoming Trump Administration and the 119th Congress and their legislative policies and will keep you informed about their impact on private, nonprofit higher education and how you can be engaged in the advocacy process.
In a nod toward the idiom that “all politics is local,” I was informed this week by Biola University President Barry Corey that Sen. Thune and his wife are both proud Biola graduates. In a statement to the campus community, President Corey said, “Biola alumnus Senator John Thune has long embodied an honorable character and remarkable wisdom. I am confident these good and godly traits will continue as he leads in his newly elected role as Senate Majority Leader.”
To reiterate what I wrote last week, every new administration and new Congress brings change. As we always do, we will have to adapt to these changes, keep our focus on our students and institutions, and continue to make our voices heard on the priorities and issues that matter to our communities.
Soundbites
- Overtime Rule. NAICU joined 72 other employer organizations representing the Partnership to Protect Workplace Opportunity in sending a letter to Jessica Looman, administrator of the Wage and Hour division of the Department of Labor, asking for a delay in the next overtime salary threshold increase. The letter asks that in light of the pending legal challenges, the next increase to the overtime threshold amount issued by the Biden Administration should be moved from January 1, 2025, to May 1, 2025, so employers don’t have to quickly implement significant changes that might not survive judicial review. Last week, there was a hearing held in the Eastern District of Texas on summary judgement in the business community’s challenge to the Department of Labor’s final overtime rule. The judge in that case has yet to rule and NAICU is watching these proceedings closely.
- FAFSA Updates. The Department of Education made two significant announcements this week. The first is that the batch corrections for the FAFSA will be available by the end of the first quarter of 2025 for both the 2024-25 and 2025-26 FAFSA cycles. Additionally, the Department announced that there will be a new expanded Beta 4 testing phase before the final release of the 2025-26 form. This new phase will be open to all students and serve as a final stress test for the FAFSA system prior to its formal release. If there are no new critical errors found, the Department believes the new form will be available before December 1.
- Stop Campus Hazing Act. NAICU signed on to a letter to Senate leadership addressing some of the higher education community’s concerns with the Stop Campus Hazing Act. The bill, which has a good chance of passage in the lame-duck Congress, has been significantly improved since its introduction. However, as the letter highlights, the bill still contains some definitions and reporting requirements that may pose implementation challenges for colleges and universities.
- SNAP Eligibility. The Department of Agriculture’s Food and Nutrition Service (FNS) and the Department of Education’s office of Federal Student Aid (FSA) announced a joint agreement to strengthen access to the Supplemental Nutrition Assistance Program (SNAP) for college students most in need by utilizing FAFSA data-sharing to ensure these students are aware of their potential eligibility. The FNS-FSA agreement is a follow up to Department of Education guidance on how institutions and state grant agencies can use FAFSA data for outreach to students about SNAP.
- Webinar Reminder. NAICU is co-hosting a webinar with ACE covering visa processing this fall, as well as expected trends for the 2025-2026 academic year. The webinar will be held on Friday, November 15 at 11:00 a.m. ET and features Kate Drenning and Sarah Stewart of the Bureau of Consular Affairs at the State Department. The webinar will not be recorded and is closed to the media, off the record, and open to members of the hosting associations, which include NAICU. You can register and submit questions for the webinar
I hope you have a pleasant weekend.
Regards,
Barbara
Barbara K. Mistick, D.B.A.
President, NAICU