DHS Shifts $100K OPT Work Fee Burden to Universities

Key points

• DHS proposed a $70,000 fee for initial OPT participation and $30,000 for extensions, totaling $100,000 for STEM graduates.
• Universities, not students, would be responsible for paying these fees to USCIS.
• The move follows a similar $103,265 fee proposal for H-1B visas and aims to restrict post-graduation work authorization.
• Critics argue the fee will decimate the STEM talent pipeline and hurt American innovation.
• The proposal faces a 60-day public comment period and potential legal challenges from education and business groups.

Background

This proposal is part of a broader Trump administration strategy to restrict foreign worker access to the US labor market. Previous measures included a four-year stay limit for F-1 students and a $100,000 fee for H-1B visas, which was blocked by courts. The OPT program has historically been a key driver for international enrollment and a bridge to H-1B visas.

How outlets are covering it

DHS officials framed the fee as a necessary measure to combat fraud and prevent OPT from becoming a 'back door' for cheap foreign labor, arguing it forces students to justify their worth to employers. Conversely, education leaders and business groups, including NAFSA and the American Council on Education, warned that the fee would decimate the STEM talent ecosystem and hurt innovation. Former USCIS adviser Doug Rand predicted the fee would be struck down in court, similar to the blocked H-1B fee, while immigration lawyer Steven Brown described it as a design to kill the program without formally abolishing it. The Times of India noted the fee would be paid by schools, not students, and that the proposal had cleared White House review.

Why it matters

The proposal could significantly reduce international student enrollment, which is a major source of tuition revenue for US colleges. It may also disrupt the pipeline for high-skilled workers in STEM fields, potentially affecting US innovation and economic growth. The shift of the fee burden to universities could lead to reduced support for international students or higher tuition costs.

What to watch

The public has 60 days to comment on the proposal before DHS can finalize it. The rule could face legal challenges from higher education and business associations, which may delay its implementation. The outcome of these challenges and the finalization of the fee will determine its impact on international student enrollment and the US labor market.