DHS proposes $70,000 fee for international students' work program
In short
The Department of Homeland Security proposed on Wednesday a rule requiring schools to pay $70,000 for each international student's initial Optional Practical Training work authorization, plus $30,000 for each renewal. DHS says the fee targets fraud and abuse in a program it calls a pipeline for cheap foreign labor; higher-education groups say it would drive away talent. The proposal is subject to a 60-day public comment period and could face legal challenges.
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The Department of Homeland Security proposed on Wednesday a rule requiring schools certified to enroll foreign students to pay $70,000 for each student's first Optional Practical Training recommendation and $30,000 for each subsequent recommendation, including eligible extensions, according to the documents. Schools would not be able to recommend OPT until a payment is made. Under current rules, eligible F-1 students may receive up to 12 months of temporary work authorization in their field of study, and graduates with qualifying STEM degrees may be eligible for an additional 24-month extension. [ 1 , 2 , 3 , 4 ]
DHS said the increased fees are necessary to combat fraud, fund the agency that delivers immigration benefits and ensure the growth of the U.S. economy, Newsweek reported. A DHS spokesperson said in a press release that “Optional Practical Training was never meant to be a back door into the American workforce, a subsidy for cheap labor, or a prize for those who game the system,” adding that “American workers should not have to compete against a program that has been turned into a pipeline for cheap foreign labor.” The AP reported that DHS described the fee as a response to fraud and abuse of the visa program. [ 1 , 2 , 3 , 4 ]
The AP reported that the change would represent a blow to American colleges and universities that heavily recruit students from overseas as a source of tuition revenue, as well as to tech companies and other industries that hire many international students for technical roles. Fanta Aw, CEO of NAFSA, an association that represents international education, said the OPT program lets international students gain hands-on experience and fill labor shortages in high-demand STEM fields. “Driving away the talents, perspectives, and aspirations of international students will only hurt American innovation, economic growth, workforce development, and global leadership,” Aw said in a written statement. Newsweek reported that immigration advocates have argued OPT is a vital bridge that allows American companies to hire young talent, while critics of the F-1 visa have long argued it is used as a backdoor for immigrants to remain in the U.S. beyond their original purpose of study. [ 1 , 2 , 3 , 4 ]
The AP reported that the public has 60 days to comment on the proposal before DHS can finalize it and put it into effect, and that the proposal could face legal challenges from higher education groups or business associations that could delay it. [ 2 , 3 , 4 ]
Why it matters
The proposal would raise costs for U.S. colleges and universities that recruit international students for tuition revenue and for tech and other industries that hire them, according to the documents. If finalized, it would restrict a route hundreds of thousands of foreign students use to work in the United States after graduation. The documents also note the rule is not yet in effect and could be delayed by litigation.
Key facts
- DHS proposed on Wednesday a $70,000 fee for each international student's initial Optional Practical Training application and $30,000 for each renewal, to be paid by schools. [ 1 , 2 , 3 , 4 ]
- Under current rules, eligible F-1 students may receive up to 12 months of OPT work authorization, with a further 24-month extension for qualifying STEM graduates. [ 1 , 2 , 3 ]
- Schools would not be able to recommend OPT until a payment is made, according to the proposal. [ 1 ]
- DHS said the fee is needed to combat fraud, fund the agency that delivers immigration benefits and ensure U.S. economic growth. [ 1 ]
- A DHS spokesperson said the program was never meant to be a back door into the American workforce or a subsidy for cheap labor. [ 1 ]
- NAFSA CEO Fanta Aw said driving away international students' talents would hurt American innovation, economic growth, workforce development and global leadership. [ 2 , 3 , 4 ]
- The public has 60 days to comment before DHS can finalize the rule, which could also face legal challenges from higher education groups or business associations. [ 2 , 3 , 4 ]
Confirmed by several sources
- DHS proposed a $70,000 fee for each international student's initial OPT authorization and $30,000 for each renewal, payable by schools. [ 1 , 2 , 3 , 4 ]
- Eligible F-1 students may currently receive up to 12 months of OPT work authorization, plus a 24-month extension for qualifying STEM graduates. [ 1 , 2 , 3 , 4 ]
- DHS described the fee as a response to fraud and abuse and called the visa program a pipeline for cheap foreign labor. [ 1 , 2 , 3 , 4 ]
- The proposal is open for 60 days of public comment before DHS can finalize it, and could face legal challenges. [ 2 , 3 , 4 ]
Still unclear
- Whether the rule will be finalized and take effect. The documents say only that the proposal must pass a 60-day comment period and could be delayed by legal challenges; no decision is reported.
- Whether the fee covers work during study as well as after graduation. The AP report says OPT allows students to work in jobs related to their major 'during or after' their time in school, while Newsweek describes the fee as applying to graduates; the documents do not resolve the difference.
- The full scope of the rule beyond the headline fee figures. Newsweek's article text is truncated, ending mid-sentence at 'and U.S. …', so further details it may have contained are unavailable.