Introduction by Barbara K. Mistick

Dear Colleagues:

This week, President-elect Trump nominated Linda McMahon to serve as his Education Secretary. McMahon, perhaps best known as the former CEO of World Wrestling Entertainment, served in Trump’s first term as director of the Small Business Administration and currently serves as co-chair of his transition team.

McMahon has been an active member of the Sacred Heart University campus community in Connecticut and is currently serving her second stint as a member of its board of trustees. I understand the institution is very enthusiastic about her service and contributions to the Sacred Heart community. Our team looks forward to learning more about her higher education priorities and working with her in this new role upon confirmation.

Some important news on the policy and regulatory front. Late last Friday, a Texas judge ruled that the Biden Administration’s final overtime rule exceeded the Department of Labor’s authority and struck it down (see our lede story below for more details). The judge’s ruling effectively nullifies the rule in its entirety.

Additionally, the Department of Education released the 2025-26 FAFSA yesterday, 10 days ahead of schedule (see our story below for more details). According to the Department, the online FAFSA form is available to all students and families and the agency is processing submissions and sending them to schools.

While there is considerable attention being paid to Trump’s nominees and the priorities of the incoming Republican-led Congress, we are keeping a keen eye on proceedings in the lame-duck Congress, especially related to the College Cost Reduction Act (CCRA). We are hearing that pressure is mounting in the House to pass the CCRA when Congress returns in December. It’s important that NAICU members continue to engage with their representatives on this issue. NAICU has received significant feedback from members that these conversations are having an impact.

As a reminder, I included CCRA talking points in last week’s Washington Update to help with these conversations.

Soundbites

• FVT/GE Clarifications. NAICU joined the higher education community in asking the Department of Education to clarify certain aspects of its reporting requirements under the Financial Value Transparency and Gainful Employment framework. Citing the fact that “numerous updates and unaccountable delays in providing sub-regulatory guidance” have rendered “compliance by Jan. 15 a major challenge,” the letter requests further explanation on several key points to help institutions meet the deadline. 

• Campus Resources for Responding to Sexual Violence. The Task Force on Sexual Violence in Education – a joint interagency task force under the Violence Against Women Act Reauthorization Act of 2022 – released recommendations for educational institutions on preventing and responding to sexual violence and dating violence on their campuses and resources to assist with these efforts.

• AI Guidance. The Department of Education issued guidance advising educational institutions on how to avoid the discriminatory use of artificial intelligence (AI). Noting that AI has the capability to improve educational opportunity but could also contribute to discrimination depending on how it is used, the guidance explores the legal standards that apply and provides examples of conduct that could trigger a civil rights investigation.

• 85/15 Veterans Affairs Update. In a letter sent to the Department of Veterans Affairs (VA) regarding its recent Information Collection Request that would require 85/15 data collection, monitoring and reporting by institutions with the 35% waiver, NAICU, along with others in the higher education community stressed that “the data collection proposed in the notice is not allowable under law.” The letter reminded the VA that current law “was explicit that exempt institutions are required to verify that they remain compliant with the exemption every two years but have no other requirements as it relates to the 85/15 data.” NAICU appreciates those who also wrote to the VA in response to this information request.

Washington Update will be on hiatus next week for Thanksgiving. I wish you and your campus community a safe, healthy, and joyous Thanksgiving break with friends and family.

I hope you have a pleasant weekend.

Regards,

Barbara

Barbara K. Mistick, D.B.A.
President, NAICU