State Authorization and Title IV Compliance: Why You Need to Act
The federal government’s attention to the state authorization rule — requiring colleges and universities delivering online education to obtain authorization in states from which they enroll students — has received a lot of attention over the past couple of years. Yet the level of urgency required from postsecondary institutions and the potential liabilities involved have not always been immediately clear to institution leaders. We spoke recently with John Ebersole, president of Excelsior College, and Paul H. Shiffman, executive director of the President’s Forum and assistant vice president for strategic and governmental relations at Excelsior College. Ebersole and Shiffman spoke with us at length about recent developments that affect the enforcement of the state authorization rule. A Quick Review: Recent Developments Most significantly, there have been three recent federal court rulings against the Department of Education, halting federal enforcement of the state authorization rules: the department lost in a lawsuit alleging that the department failed to use the negotiated rule-making process in good faith, the department appealed that decision and lost, and finally, the department lost in an additional suit against the “gainful employment” rule. Finally, last week, the Department of Education issued a statement that it would not enforce the […]
