WEEKLY UPDATE A Publication of the CGS Office of Public Policy and Government Affairs December 1, 2017

Inside the December 1st Issue:

➢ Advocacy Opportunity ➢ Congressional Update ➢ Department of Education News ➢ National Science Foundation News ➢ Reports and Studies ➢ CGS Update ➢ Miscellaneous ➢ Quips and Quotes ➢ Website Resources

Weekly Update will not be published next week during the CGS Annual Meeting. The newsletter will return on December 15.

Advocacy Opportunity

Congress continues its work on a tax bill. Once both chambers pass their different versions of the bill (see below), a conference to resolve the differences will be convened in the next few weeks. The conference provides an additional opportunity to advocate for changes. Connect with your government relations representative to make sure graduate education is part of their message. Use the resources and action items available on the CGS Tax Resources page, including a link to the Tax Reform and Higher Education website and the CGS Public Policy and Advocacy page.

Congressional Update

Tax Bill in the Senate

The Senate continues to debate its tax bill, with a vote on final passage expected soon. Unlike the House version, the Senate bill does not eliminate IRC Section 221, the deduction of interest paid on student loans; IRC Section 117(d)(5), deduction of qualified tuition reductions, such as waivers and/or remissions; IRC Section 127, deduction of employer-provided education assistance; and the Lifetime Learning Credit (LLC). It also makes no changes to current law with respect to the American Opportunity Tax Credit (AOTC).

An amendment offered by Senator James Lankford (R-OK) would allow non- itemizing taxpayers to deduct charitable donations up to one-third of the standard deduction threshold. There is concern that the House bill, by doubling the standard deduction, would discourage taxpayers from itemizing and reduce the amount of charitable giving, which could have significant implications for institutions of higher education. CGS signed onto a community letter in support of the amendment.

The House is expected to vote on Monday to go to conference with the Senate on the tax legislation.

The Congressional Budget Office (CBO) estimated that the Senate tax bill gives substantial tax cuts and benefits to individuals earning more than $100,000 a year, while those who are middle and lower-income would be worse off, with most people earning less than $75,000 a year seeing a tax increase by 2027. CBO also reported that the Alexander-Murray proposal to stabilize the insurance markets would not mitigate the projected impact of repealing the Affordable Care Act’s (ACA) individual mandate. The Joint Committee on Taxation also reported that, even with projections of economic growth, the Senate bill would add $1 trillion to the deficit over the next decade.

Additionally, because the Senate tax plan adds to the deficit, under budget rules it could trigger $150 billion in mandatory spending cuts every year for the next 10 years, which would include cuts to higher education, student loans, and research programs. Congress has typically waived these rules in the past, however that requires 60 votes in the Senate.

Congress Faces a List of Pass-Mass Items Before the End of the Year

In addition to completing work on tax reform, there are several items that Congress must address, including raising the budget caps, passing a FY 2018 spending package, a legislative fix for the Deferred Action for Childhood Arrivals (DACA) program, the Alexander-Murray bill to stabilize the private health insurance market, reauthorization of the Children's Health Insurance Program (CHIP), and an additional hurricane-relief package. Congress has until the spring to raise the debt ceiling.

Congressional leadership indicated that Congress will vote on a short-term continuing resolution next week, which will fund the government through December 22, while negotiations continue on a long-term spending package.

Last week, the Senate Appropriations Committee released drafts of its final FY 2018 spending bills:

• The Interior and Environment Appropriations bill provides a total of $32.6 billion, $250 million below the FY 2017 enacted level, and $4.8 billion above the president’s budget request. The Interior Department would receive $12.17 billion. The Environmental Protection Agency (EPA) is funded at $7.9 billion, a reduction of $ 149.5 million from the FY 2017 level, and $2.3 billion above the administration’s request. This includes $634 million for science and technology programs and initiatives. The bill also provides $149 million for each of the National Endowments for the Arts and Humanities, which is equal to FY 2017 levels. • The Defense Appropriations bill funds the Department of Defense at $581.3 billion, $15.4 billion above the President’s budget request. It provides $2.3 billion, $30 million above the President’s request, for basic research. • The Homeland Security Appropriations bill recommends $51.6 billion, $770 million above the budget request. $720 million are appropriated to support science and technology, which is $93 million above the President’s request. The bill also provides $1.6 billion for a southern border wall. • The Financial Services bill would transfer the Consumer Financial Protection Bureau’s (CFPB) accounts from the mandatory to the discretionary side.

None of the bills are expected to receive a markup prior to being pulled together into a single omnibus package.

Additionally, earlier this month, the White House sent a request to Congress for $44 billion in relief aid for Texas, Puerto Rico, the U.S. Virgin Islands and Florida, which are still recovering from the hurricanes that occurred this summer. To cover a portion of the funds, the plan would pull $3.9 billion from the Pell grant surplus and make cuts to conservation and research programs at the Department of Agriculture (USDA).

Congress Begins the HEA Reauthorization Process

The House Committee on Education and the Workforce released its proposal to reauthorize the Higher Education Act. The Promoting Real Opportunity, Success and Prosperity Through Education Reform (PROSPER) Act would make significant changes to student loan programs by placing cap on the amount graduate students can borrow to cover tuition and living expenses, eliminating loan origination fees, ending the Public Student Loan Forgiveness (PSLF) program, and altering the income-based repayment (IBR) program. The changes to PSLF and IBR will only impact new borrowers, while maintaining the status quo for current borrowers.

The legislation would also simplify the Free Application for Federal Student Aid (FAFSA), nearly double federal funding for work study programs, repeal gainful employment regulations, and maintain the ban on the student unit record. It would also require recipients of federal student loans to undergo annual financial aid counseling tailored to a borrower’s individual situation. The committee could markup the bill as early as next week.

On Tuesday, the Senate Health, Education, Labor, and Pensions (HELP) Committee held its first hearing in this Congress on HEA reauthorization. The focus of the hearing was the simplification of the FAFSA. Although most agree that simplification of the form is necessary, there are concerns about whether colleges and states will have enough information to evaluate students to determine eligibility for institutional and state aid. Witnesses discussed how the FAFSA has become a barrier to access, particularly for low-income, first generation students, and highlighted several fixes that can be made including linking various databases across the federal government that already contain applicants’ financial information. The impact of the tax bill on students was also part of the discussion. Chairman Lamar Alexander (R-TN) indicated that the committee will hold an HEA markup early next year.

Additionally, Rep.’s David Price (D-NC) and Susan Davis (D-CA) have introduced legislation to reauthorize Title VI of the HEA, which supports foreign language and international education programs. The bill would fund Title VI programs at $125 million in FY18; extend authorization; modernize, and streamline a variety of existing programs; and codify existing grant processes that prioritize qualified minority-serving institutions.

Bill Would Simplify Income-Driven Repayment

Congressman Drew Ferguson (R-GA) has introduced a bill (H.R. 4372) to consolidate income-driven repayment plans, using a borrower's discretionary income to calculate their monthly student loan payment and collapse all existing income-driven repayment plans into one. The bill would also retain a 10-year standard repayment plan, with interest accrual ending after 10 years, but there would be no time-based loan forgiveness.

Higher Ed Transparency Bill Reintroduced

Senator Ron Wyden (D-OR) reintroduced the Student Right to Know Before You Go Act. The updated bill would require institutions to provide information to prospective students such as graduation rates and debt levels, and require privacy- protecting technology designed to protect the sensitive information that goes into calculating the data.

Lawmakers Seek DACA Fix

Last week, a group of female Democratic senators led by Senator Catherine Cortez Masto (D-NV) sent a letter to Senate Majority Leader Mitch McConnell (R-KY) asking him to have a vote on the Dream Act by the end of the year.

Additionally, this week, more than two dozen House Republicans have signed onto a letter urging Speaker Paul Ryan to include a DACA fix in a year-end funding bill.

Agency Nominations Advance

On Wednesday, the Senate Health, Education, Labor, and Pensions (HELP) Committee held a confirmation hearing for Alex Azar to be the secretary of the Department of Health and Human Services. The implementation of the 21st Century Cures Act, as well as the Affordable Care Act (ACA), and healthcare more broadly were the main topics of discussion. The Finance Committee, which will ultimately vote to advance his nomination, has yet to schedule a hearing.

Also, this week, the Senate Environment and Public Works Committee reported out, along party-line votes, the nominations of Kathleen Hartnett White to head the White House Council on Environmental Quality, and of Andrew Wheeler to be deputy administrator of the Environmental Protection Agency (EPA).

Department of Education News

New Proposal to Modernize Student Aid System

The Education Department announced its plans for a new platform aimed at easing applications for student aid and helping borrowers manage loan payments. The department also plans to ask Congress to allow the IRS to share data, which would allow students to fill out a FAFSA once and have it set to automatically renew with updated information each year. A fact sheet and Q&A document on the proposal was also released.

Gainful Employment Neg Reg Set to Begin

The Education Department has released a series of discussion papers regarding the gainful employment regulations, in advance of the negotiated rulemaking panel meeting next week.

National Science Foundation News

Federal Funding for Research at Colleges and Universities Increases

According to the Higher Education Research and Development (HERD) Survey, federal funding of higher education research and development increased in FY 2016 for the first time in 5 years. Federally funded research at institutions of higher education increased by 1.4 percent between FY 2015 and FY 2016. More data from the survey can be found here.

New Board to Oversee Infrastructure Projects

As part of its implementation of the American Innovation and Competitiveness Act (AICA), the National Science Foundation (NSF) will create a Facilities Governance Board that will oversee its major research infrastructure projects at all stages of their lifecycles. The board will be chaired by a new senior facilities advisor and is intended to complement existing oversight panels.

Reports and Studies

Tenure-Track Jobs in Humanities Continue to Decline

A preliminary report from the Modern Language Association (MLA) found that job ads declined for a fifth straight year in 2016-17, reaching another new low. The MLA’s Job Information List included 11 percent fewer jobs in English than the year before, and the foreign language edition included 12 percent fewer jobs as compared to 2015-16. This list is considered a proxy for the tenure-track or full- time job market in English and foreign languages.

International Enrollment Since the Great Recession

According to a new report from the Pew Research Center, international student enrollment has significantly increased since the 2008 economic downturn. Between 2008 to 2016, the number of new international students at U.S. colleges and universities increased by 104 percent, far surpassing the overall enrollment growth rate of 3.4 percent. CGS will release its report on international admissions and enrollment in early 2018.

GAO Looks at Non-Tenure Faculty

A Government Accountability Office (GAO) report on adjunct and non-tenure-track faculty finds that non-tenure-track professors teach about 45 to 54 percent of all courses at four-year public institutions.

Benefits of Training Researcher’s in Grant Writing

A new study from Columbia University’s School of Nursing suggests that institutions benefit from helping researchers write better grants. According to the analysis, while many grant proposals are submitted without any kind of internal review, pilot grant applications that underwent an internal review were twice as likely as nonreviewed applications to receive funding.

Women and Minorities Still Lag in STEM Fields

According to a new report, although modest gains have been made in STEM degree attainment, women and minorities remain underrepresented in the fields. The report analyzes broad STEM degree attainment and employment trends and finds that women, African Americans, Hispanics and Native Americans are less likely to enter STEM occupations after earning a STEM degree.

Making Results of Federally Funded Research More Transparent

The Association of American Universities and the Association of Public and Land- grant Universities released a report this week with recommendations for universities and federal agencies aimed at facilitating public access to data from federally sponsored research.

CGS Update

New Market Analysis Resource

Various market factors can have an impact on graduate students and graduate programs. A new CGS document highlights a few of these market factor resources, including a brief description with links to access them.

Report Highlights Importance of Learning Outcomes in Graduate Education

This week, CGS released its latest report, Articulating Learning Outcomes in Doctoral Education, which finds that institutions and the graduate education community are paying closer attention to the intended learning outcomes of doctoral education, such as the knowledge, skills, attitudes, and competencies that a student can expect to attain by the end of a degree program.

Miscellaneous

Issue Brief on Origination Fees

A new issue brief from the National Association of Student Financial Aid Administrators (NASFAA) focuses on origination fees and stresses that eliminating them is important to increasing transparency and college affordability. Consolidation of multiple loan origination fees is included as one of the policy principles in the CGS Issue Brief on the reauthorization of the Higher Education Act.

Changes to Leadership at CFPB

Office of Management and Budget (OMB) Director Mick Mulvaney will serve as the interim head of the Consumer Financial Protection Bureau (CFPB). Mulvaney implemented a 30-day freeze on hiring and new regulations.

HHS Science Fraud Director Removed

Kathy Partin has been removed as the director of the Department of Health and Human Services Office of Research Integrity (ORI). Partin will begin a temporary assignment in the Office of the Vice President for Research at the Uniformed Services University of the Health Sciences on December 4. She reportedly plans to challenge the decision.

Appointments Made to Veterans Affairs Education Advisory Panel

Veterans Affairs Secretary David Shulkin has appointed 12 new members to the Department of Veterans Affairs’ (VA) Veterans Advisory Committee on Education. The panel will be chaired by former Senator Jim Webb. The committee advises the Secretary on existing, as well as new, VA education benefit programs.

Court Rules in Favor of Transgender Academic

Last week, a federal jury found that Southeastern Oklahoma State University discriminated against a faculty member based on her gender-identity in denying her tenure, and ordered the university to pay her $1.165 million. The case could have major implications for transgender rights under Title VII of the Civil Rights Act.

Quips and Quotes

The Week, The Chronicle of Higher Education, Buzzfeed, The Hill, Los Angeles Times, New York Daily News, and all wrote about the implications for graduate students of taxing tuition waivers.

The Chronicle of Higher Education, Inside Higher Ed, and the Los Angeles Times reported on the protests of the tax bill by graduate students across the country.

Inside Higher Ed wrote, “Disabled in Grad School: I, Too, Dread the Accommodations Talk.”

CBS News reported, “'s science office is a ghost town.”

The Daily Beast, Newsweek, The Huffington Post, and Modern Healthcare highlighted how the tax bill would hurt science, research, and innovation.

The Wall Street Journal focused on “Five Things on the House’s Higher Education Bill.”

The Hill, Forbes, Axios, The Atlantic, Politico, Inside Higher Ed, The Huffington Post, and U.S. News focused on the negative impacts of the tax bill on higher education.

Inside Higher Ed wrote, “Needed: A New Graduate Adviser-Advisee Relationship.”

The New York Times: “A Republican Tax Proposal Would Make Academia Even Whiter”

Education Dive asked “Will liberal arts institutions survive amid growing conservative skepticism of higher education?”

Politico: “How tech is winning the Trump era”

Inside Higher Ed asked “Would Public Universities Benefit From a Central Innovation Unit?”

U.S. News: “Discover How Student Loan Origination Fees Work”

Education Dive asked “How much of a boost should institutions give low-income students?”

Website Resources

For further information on specific Congressional issues or departmental activities, please check the following websites:

CGS Website

Public Policy Page - (which also contains advocacy resources that can be customized to use on your campuses and with policymakers and other constituents). To locate specific issues that are covered in the Weekly Update, you can use the general search function on the CGS website by entering the specific issue along with “Government Affairs Weekly Update” without any spaces, characters or other punctuation.

Congressional Websites

House of Representatives –; Senate – www.senate.gov Both sites provide links to individual members, committees and bill statuses.

Thomas (Library of Congress) site - http://thomas.loc.gov/home/thomas.php contains information on bills before Congress, including text, names of sponsors and status.

Department and Agency Websites

White House Office of Science and Technology Policy - http://www.whitehouse.gov/administration/eop/ostp

Federal Register - https://www.federalregister.gov/ provides a daily listing of most publications and public notices of federal departments and agencies, including requests for comments on proposed regulations and requests for proposals.

In general, most federal department and agency websites can be accessed by using Google and typing in the name of the agency.gov (e.g. nsf.gov)

Beth Buehlmann Vice President, Public Policy and Government Affairs [email protected]

Kenneth Polishchuk Manager, Public Policy and Government Affairs [email protected]

Council of Graduate Schools One Dupont Circle NW, Suite 230 Washington, DC 20036 202-223-3791 www.cgsnet.org