Introduction by Barbara K. Mistick, D.B.A.

Dear Colleagues,

This week, the Department of Education announced it was launching a new “earnings indicator” tool as an element of the Free Application for Federal Student Aid (FAFSA) submission summary for first-year undergraduate students. Broadly, the tool will warn students if they indicate interest in an institution where graduates earn less than an adult with a high school diploma in the institution’s home state. 

The FAFSA was designed by the federal government to help determine student financial need and ensure aid is delivered effectively to students and families. Using the FAFSA for reasons beyond that purpose and intent raises important concerns and risks setting a precedent for applying the form in ways that it was never intended to be used. Earnings vary significantly across states, regions, career fields, and geographies and relying on a single metric risks oversimplifying the true value of a student’s educational experience. NAICU is working to identify and notify the institutions that may be affected by this new policy and is working with the Department to ensure that institutional and student impact is minimized.

In other news, on Wednesday, the Congressional Independent Colleges Caucus and the House Rural Caucus co-hosted a Capitol Hill briefing on the impact private, nonprofit colleges and universities have on rural communities. My thanks to Matthew Thompson, president, Kansas Wesleyan University and Burton Webb, president, University of Pikeville who came to Washington and told congressional staff about the impact their institutions and graduates have in their communities. I’d also like to thank CICC Co-Chairs, Reps. Ben Cline (R-VA) and Deborah Ross (D-NC) for attending and for their continued commitment to independent higher education and House Rural Caucus Co-Chairs Reps. Adrian Smith (R-NE) and Terri Sewell (D-AL) for co-hosting.

CICC serves as an informal group of Members of Congress dedicated to addressing the issues related to private, nonprofit colleges and universities and the students they serve. It is a bipartisan caucus of more than 60 members. If your representative is not on the caucus, please use this sample invitation letter to encourage them to join.

Soundbites

• Early bird registration for NAICU’s Annual Meeting & Advocacy Day closes today. Don’t miss your chance to take advantage of discounted rates. If you plan to attend, please remember to reserve your hotel room soon, the housing cutoff is January 8. Learn more and register: NAICU 2026 Annual Meeting & Advocacy Day.

• Workforce Pell Neg-Reg. The negotiated rulemaking for the Accountability in Higher Education and Access through Demand-driven Workforce Pell (AHEAD) Committee completed its first week on Friday covering the implementation of Workforce Pell and the cost of attendance Pell exclusion from reconciliation. The committee appears to be on track to reach consensus, which would settle the regulatory language going forward, but the final vote will not take place until December 12. NAICU will provide a more thorough analysis once negotiations are complete.

• College Cost Bills Marked Up. The House Committee on Education and Workforce marked up a series of higher education bills this week, including a bill that would impose new requirements on colleges regarding financial aid award letters and a bill that would increase transparency in college cost and value for consumers. NAICU signed on to a community letter sent to the committee leadership this week. A more detailed analysis will be included in next week’s Washington Update.

• NAICU-CIC New Presidents Webinar. NAICU and the Council of Independent Colleges recently hosted a webinar for new college presidents on the importance of effective advocacy on federal higher education policy. Our thanks to James Troha, president, Juniata College and Barbara Altmann, senior advisor and director, CIC for participating. 

I hope you have a pleasant weekend.