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

Dear Colleagues,

Today marks the third day of the government shutdown, and we are gaining a better understanding of its impact, especially on issues related to higher education. I know there is significant uncertainty, particularly around federal student aid, research funding, and support for campus operations.

Earlier this week, I sent a Presidents’ Network message that included a table with eight Department of Education operations and their expected status during the shutdown. Based on NAICU’s analysis, there are three key takeaways:

1. Students will continue receiving Pell Grants and loans, and institutions will retain access to existing federal funds.
2. Delays in regulatory actions, oversight, and civil rights enforcement are likely to be the most noticeable effect of the shutdown.
3. The longer the shutdown, the greater the risk of slower response times from the Department, which will have limited staffing throughout.

NAICU will be monitoring the shutdown and its impact closely and will keep you apprised of activity that may have consequences for our sector.

In other news, the Reimagining and Improving Student Education (RISE) negotiated rulemaking panel continued its work through the first days of the shutdown and will complete its first session later today. As a reminder, the panel is tackling the higher education provisions of the One Big Beautiful Bill Act, including the definition of “professional” graduate degree programs for purposes of loan eligibility, the phase-out of the Grad PLUS program, and the establishment of new annual and lifetime loan limits.

We will provide an update on the negotiations in next week’s Washington Update. 

Soundbites

• Guidance on Use of Federal Tax Information Released. The Department of Education released long-awaited guidance on the proper use of Federal Tax Information (FTI) data contained in the Free Application for Federal Student Aid (FAFSA). The guidance explains which data is considered FAFSA data, non-FAFSA data, and FTI, and the usage rules for each under the Higher Education Act, Internal Revenue Code, and Family Education Rights and Privacy Act.

• Cassidy Seeks Feedback on Transparency and Costs. Senator Bill Cassidy (R-LA), chair of the Senate Committee on Health, Education, Labor, and Pensions (HELP), has issued a request for information seeking feedback from colleges and universities on bipartisan solutions to improve transparency regarding college pricing, value, and financial aid awards. The HELP Committee is specifically requesting insight into the pros and cons of various federal transparency initiatives like net price calculators and the College Scorecard. NAICU plans to submit its own comments and encourages institutions to do so as well. Comments should be emailed to the committee at ValueTransparency@help.senate.gov by October 24.

• RFI Issued for Redesigning IES. The Department of Education published a request for information (RFI) for feedback on redesigning the Institute of Education Sciences (IES). The RFI asks for input on how the agency can improve data collection, research funding, the timeliness and accuracy of data, and better meet the needs of state and local stakeholders, among many others. The deadline to submit comments is October 15, 2025. NAICU will be submitting comments to the Department.

• NAICU Comments on Duration of Status Proposal. NAICU joined ACE and others in the higher education community in submitting comments to the Department of Homeland Security in response to the administration’s Proposed Rule on how long international students could study in the U.S. The proposal would limit F and J students visas to a fixed period of four years and 30 days, instead of the current open-ended Duration of Status. The comment letter cites the many reasons such a limit would be both unfair and unworkable for students, particularly those enrolled in graduate and medical programs.

NAICU Resources. NAICU has updated its summary of Executive Orders Affecting Higher Education to reflect recent activities.

2026 Annual Meeting & Advocacy Day. 2026 marks NAICU’s 50^th year. Fittingly, our theme for next year’s Annual Meeting & Advocacy Day (Feb. 1-4, 2026) is 50 Years of Impact: Charting the Future of Independent Higher Education. For more details, including registration and hotel information, please visit our conference webpage. 

I hope your schedule will allow you to join us in Washington to advocate for our institutions and the students and communities we serve.

I hope you have a pleasant weekend,

Regards

Barbara

Barbara K. Mistick, D.B.A.

For more information, please contact:
Barbara K. Mistick, D.B.A.