Join us to learn the regulatory impact for institutions arising from the Department of Education’s 2021-2022 rulemaking. Topics of note related to distance education include state authorization, professional licensure, online program managers (OPMs), and cap on hours for gainful employment programs leading to a license or certification.
In late 2021 and 2022, just when we thought oversight requirements were clear so that we could focus more narrowly on the development of distance learning programs, we learned that the U.S. Department of Education intended to pursue changes to very nuanced regulatory issues, through negotiated rulemaking, to address oversight related to distance education.
In this session we intend to share a very quick overview of the Biden Administration Department of Education rulemaking convenings. We will then narrowly focus on specific issues that could have an impact on institutions serving students by distance education. These specific issues include state authorization, professional licensure, online program managers (OPMs), and cap on hours for gainful employment programs leading to a license or certification.
It will be important for institutions to understand the components of the regulations, which we will share, and the timeline for which regulations could become effective and need to be implemented at the institutions. We will assess the knowledge of the attendees through polling and encourage questions to ensure that attendees are aware of important requirements and have access to resources for further context and understanding.
Some people may ask, wasn’t there a 2019 Trump administration negotiated rulemaking that came to consensus that addressed state specific oversight of institutions, reciprocity, and programs that lead to a license or certification? Those people would be correct! This is a bit of a déjà vu! However, this administration desires increased oversight to ensure student consumer protections and protect the integrity of the Title IV Financial Aid process when students participate in programs through distance education.
To facilitate increased protections, the Department determined that it should increase the responsibilities for the institution by adding items to the Program Participation Agreement (PPA). The PPA is the agreement between the institution and the Department to address the terms and conditions for which the institution must abide for its programs to be eligible to Title IV funds. With institutions signing off that they will comply with the terms and conditions, a breach of this agreement could have a significant effect on the institution’s Title IV eligibility.
We will address changes and similarities to effective professional licensure regulations to direct institutions to modifications that may need to occur for purposes of compliance as well as confirmation of current practices that may facilitate compliance with any new regulations that will become effective in the near future.
Additionally, this administration desires to ensure that online program managers (OPMs) are acting within Federal law that bans incentive compensation. Arrangements between institutions and OPM companies must meet Federal law, regulations, and Federal guidance by the Department. Early in 2022, the Department initially proposed additional oversight during Federal rulemaking with the modification of the definition of a non-profit institution within the rulemaking issue “Changes in Ownership and Changes in Control”.
The Department must adhere to a strict set of procedures and the Master Calendar. These procedures and dates will be addressed to learn of the Final Regulations and when those would become effective and thus obligations of the institution.
Finally, our presentation is intended to share direction with the attendees. Resources will be provided to the attendees to point them to the specific language of new regulations, analysis of these regulations, and next steps that can be taken to plan for any necessary changes at the institution.
Key learning objectives:
- Department of Education Rulemaking
- Quick summary of process and timeline for Department of Education rulemaking.
- Outcome of the issues affecting distance education
- Certification Procedures: 34 CFR 668.14 (Ensuring Approval in States when providing programs leading to a license or certification; reciprocity, cap on hours for gainful employment programs leading to license or certification.)
- Change of Ownership & Change in Control: 34 CFR 600.2 (Definition of nonprofit institution)
- What is next?
- How should institution’s address and participate in the law and rulemaking process
- Keep abreast of Department of Education announcements.
- Communicate with the Financial Aid Office at the institution.
- Use available resources: Join the State Authorization Network (SAN) and WCET.
- Questions and Discussion Time