The U.S. Department of Education negotiators reached consensus on a regulatory package that would apply an earnings test to every Title IV‑eligible postsecondary program, a move that could strip failing programs of federal student-aid eligibility. The AHEAD committee’s package ties program eligibility to graduates’ earnings relative to peers with a high-school diploma or bachelor’s degree, a stricter standard than current gainful-employment rules. The change, implemented under the One Big Beautiful Bill Act, consolidates multiple accountability measures and would require boards and presidents to monitor program-level outcomes or risk loss of federal loans and Pell eligibility. Governing boards, institutional financial officers, and enrollment leaders must prepare for new data, appeal processes, and potential program suspensions.
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