Will Universities Pass Proposed $70,000 OPT Fee to F-1 Students Seeking STEM OPT Extension?

The Department of Homeland Security’s proposal would let universities shift some or all of a new OPT charge to students, employers or the wider campus, while leaving the school responsible for paying the government. The proposed $70,000 OPT fee would not automatically become a $70,000 bill for every student. That distinction shapes the question facing […]

The Department of Homeland Security’s proposal would let universities shift some or all of a new OPT charge to students, employers or the wider campus, while leaving the school responsible for paying the government. The proposed $70,000 OPT fee would not automatically become a $70,000 bill for every student.

That distinction shapes the question facing colleges. The university would pay DHS before issuing an OPT recommendation, then decide whether to absorb the expense or recover it elsewhere, according to Yale’s summary of the proposal.

The proposal names several possible payers. A school could charge an individual, spread the expense through tuition or campus fees, or seek payment from an employer.

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Will Universities Pass Proposed ,000 OPT Fee to F-1 Students Seeking STEM OPT Extension?
Will Universities Pass Proposed $70,000 OPT Fee to F-1 Students Seeking STEM OPT Extension?

No campus-wide price is prescribed. The choices could produce different costs across universities and student circumstances.

A second recommendation could add $30,000

The proposed charge would be $70,000 for a student’s first OPT recommendation, whether the request covers pre-completion or post-completion OPT. A later recommendation would carry a separate $30,000 charge.

That second tier includes a 24-month STEM OPT extension. A student who receives initial OPT and later seeks the extension could therefore lead the university to pay a combined $100,000 under the proposal.

The trigger would be the school’s recommendation, not a student’s choice of employer. Switching jobs by itself would not create another fee, but seeking a new recommendation could.

That structure puts the university between the federal payment and the student’s work authorization. A student could face no direct bill if a school covers the expense or collects it another way. The proposed rates, however, give schools a large cost to account for when deciding whom to recommend.

Each campus could choose who bears the cost

Universities could bill the individual, fold the expense into charges paid more broadly, or arrange for an employer to cover it. Those approaches could also be combined rather than applied uniformly.

Sarah Spreitzer of the American Council on Education said it was “highly unlikely” institutions would absorb the fee outright. She said universities would probably pass it to students through tuition and fees, according to the council.

A school could also restrict how many students it recommends, favor applicants whose employers contribute, or include expected costs in international tuition. It could decide against making a recommendation when it cannot justify the financial risk.

Those possibilities are choices described in the proposal, not a single required campus policy. Some schools could transfer the full cost to an individual; others could divide it among tuition, student charges and employer contributions.

No uniform student bill is set

The proposal does not direct every university to charge each student $70,000. A student’s eventual cost could depend on the school, program, student category and any arrangement with an employer.

The contrast with the current expense is stark. International students generally pay the USCIS employment-authorization application fee, reported at approximately $500, rather than a university charge of this scale.

The proposal also describes a refund if a student ultimately does not receive an OPT employment authorization document. That provision could shape whether a university collects money in advance and how it handles a student’s payment if authorization does not follow.

The possible effects extend beyond billing. Schools could combine higher tuition, direct OPT charges and employer payments, or respond by recommending fewer students. Reduced international enrollment is another possible outcome identified in the proposal’s implications.

The proposal still needs to clear rulemaking

The fee is not in effect. DHS must complete federal rulemaking, including a public-comment period, before the proposal can become final.

If the government finalizes the rule, it would apply to recommendations made on or after the effective date. Existing authorizations and recommendations issued earlier would not face a retroactive charge.

A later request could still fall under the new schedule. That includes a subsequent recommendation for a STEM OPT extension, even when a student received an earlier recommendation before the effective date.

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Priya Nair

Priya Nair is VisaVerge.com's Work Visa Correspondent, specializing in employment-based immigration — H-1B, L-1, O-1, TN, OPT, and the PERM and green-card process. She breaks down lottery odds, prevailing-wage rules, and employer obligations for the skilled professionals who navigate them every year. Priya's guides help workers and employers make confident, well-informed decisions about building a career in the United States.