The Trump administration is proposing a major new fee for international students seeking to work in the United States after completing their studies, potentially adding tens of thousands of dollars to the cost of participating in the Optional Practical Training program.
The Department of Homeland Security has proposed a $70,000 fee for each F-1 international student seeking initial OPT and a $30,000 fee for any subsequent OPT.
DHS said the proposed fees are aimed at reducing fraud and abuse in the OPT program, strengthening oversight and protecting American workers. The agency said the move is also intended to reduce what it describes as the use of OPT as a source of cheap foreign labor.
“Optional Practical Training was never meant to be a back door into the American workforce, a subsidy for cheap labor, or a prize for those who game the system,” a DHS spokesperson said.
“DHS is upskilling OPT to require foreign students to justify their worth to employers. American workers should not have to compete against a program that has been turned into a pipeline for cheap foreign labor,” the spokesperson added.
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OPT allows eligible F-1 students to gain temporary work authorization in the United States when the job is directly related to their field of study. Students can participate in OPT while completing their degree through pre-completion OPT or after graduation through post-completion OPT.
Under current rules, eligible students can receive up to 12 months of OPT at each education level. Students who graduate with degrees in science, technology, engineering or mathematics, commonly known as STEM fields, can qualify for an additional 24-month extension.
To participate, students must first receive a recommendation from a designated school official at their college or university. They then apply to U.S. Citizenship and Immigration Services for employment authorization.
DHS is now proposing to place a substantial new financial requirement on the schools involved in that process.
Under the proposed rule, a school certified by the Student and Exchange Visitor Program would have to pay the applicable fee before its designated school official can recommend a student for OPT in the Student and Exchange Visitor Information System, or SEVIS.
The payment would also have to be made before the student applies to USCIS for employment authorization. If the required fee has not been paid by the school, USCIS would not grant the student’s employment authorization.
Importantly, DHS said the proposed fee would not be linked to a particular employer. Instead, it would apply when a school recommends an F-1 student for any type of OPT.
The agency said the fees are being proposed after its Student and Exchange Visitor Program identified cases of fraud and abuse involving schools, designated school officials, employers and international students.
According to DHS, some of the schemes involved problematic worksites and so-called “pay-to-stay” arrangements, in which students allegedly use employment or school programs primarily to maintain their immigration status rather than for legitimate educational or professional purposes.
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DHS said the new fees could push schools to conduct greater oversight before recommending students for OPT. The agency believes this could help reduce fraudulent activity and ensure that the program is being used for its intended purpose.
The proposed rule is also part of a broader push by the administration to strengthen employment-based immigration programs and prioritize the interests of U.S. workers.
DHS said the fees would help fund oversight and enforcement while encouraging schools, students and employers to comply with OPT requirements.
If finalized, the rule could have a significant impact on international students who rely on OPT as a pathway to gain U.S. work experience after graduation. However, the proposed fee would be paid by SEVP-certified schools, rather than being directly imposed on students as an OPT application fee.
The money collected through the proposed fees would be deposited into the U.S. Treasury.
The proposal is not yet final. DHS will accept public comments from October 8 through November 9. The Paperwork Reduction Act section of the proposal will have a separate 60-day comment period.
After the comment period ends, DHS will review the submissions and could revise the proposal before issuing a final rule.