Notice Inviting Postsecondary Educational Institutions To Participate in Experiments Under the Experimental Sites Initiative; Federal Student Financial Assistance Programs Under Title IV of the Higher Education Act of 1965, as Amended, 23779-23783 [2019-10811]
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Federal Register / Vol. 84, No. 100 / Thursday, May 23, 2019 / Notices
DEPARTMENT OF EDUCATION
Notice Inviting Postsecondary
Educational Institutions To Participate
in Experiments Under the Experimental
Sites Initiative; Federal Student
Financial Assistance Programs Under
Title IV of the Higher Education Act of
1965, as Amended
Federal Student Aid,
Department of Education.
ACTION: Notice.
AGENCY:
The Secretary invites
institutions of higher education
(institutions) that participate in the
Federal Work-Study (FWS) Program
authorized under title IV of the Higher
Education Act of 1965, as amended
(HEA), to apply to participate in a new
institutional experiment under the
Experimental Sites Initiative (ESI).
DATES: Letters of interest to participate
in the experiment described in this
notice must be received by the
Department no later than July 8, 2019 to
ensure that the Department considers
the institution for participation in the
experiment. Institutions that submit
letters that are received after July 8,
2019 may, at the discretion of the
Secretary, be considered as additional
future participants on a rolling periodic
basis.
ADDRESSES: Letters of interest must be
submitted by electronic mail to the
following email address:
experimentalsites@ed.gov. For format
and other required information, see
‘‘Instructions for Submitting Letters of
Interest’’ under SUPPLEMENTARY
INFORMATION.
FOR FURTHER INFORMATION CONTACT:
Warren Farr, U.S. Department of
Education, Federal Student Aid, 830
First Street NE, Washington, DC 20002.
Telephone: (202) 377–4380. Email at:
Warren.Farr@ed.gov.
If you use a telecommunications
device for the deaf (TDD) or a text
telephone (TTY), call the Federal Relay
Service (FRS), toll free, at 1–800–877–
8339.
SUMMARY:
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SUPPLEMENTARY INFORMATION:
Instructions for Submitting Letters of
Interest: Letters of interest must be
submitted as an attachment in a Portable
Document Format (PDF) to an email
message sent to the email address
provided in the ADDRESSES section of
this notice. The subject line of the email
should read ‘‘ESI 2019—Federal WorkStudy Experiment.’’ The text of the
email should include the name and
address of the institution. The letter of
interest must be on institutional
letterhead and be signed by the
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institution’s president or chancellor.
The letter must include the institution’s
official name, its Office of
Postsecondary Education Identification
(OPEID) number, and the name of a
contact person at the institution, along
with a mailing address, email address,
and telephone number of a contact
person at the institution. The letter
should also include the information
described in the ‘‘Application and
Selection’’ section in this notice. The
letter must explain which offices or
departments from the institution will
participate in this experiment, and what
role each will play. Upon receipt of a
letter of interest, the Department will
notify the institution by email that its
letter of interest was received. This
notification should be kept in the
institution’s records.
Background: Under the ESI, the
Secretary has authority to grant waivers
of certain title IV, HEA statutory or
regulatory requirements to allow a
limited number of institutions to
participate in experiments to test
alternative methods of administering the
title IV, HEA programs. The alternative
methods of title IV, HEA administration
that the Secretary is permitting under
this ESI experiment are designed to test
how the following changes will increase
partnerships between institutions and
industry, improve student retention and
completion, reduce student debt levels,
and yield strong post-graduation
employment outcomes: (1) Removing
limits on the portion of an institution’s
FWS funds that may support students
employed by private-sector companies;
(2) increasing the number of hours per
week an FWS student who is enrolled
in a work-based learning program may
work; (3) reducing the share of wages
that must be covered by private-sector
employers; and (4) allowing institutions
to pay low-income students for work
experiences required by their program,
such as student teaching and clinical
rotations. The Department is also
interested in determining whether using
FWS funds to supplement wages for
private-sector employment will
stimulate the creation or strengthening
of employer-institution partnerships
that engage employers in curriculum
development and program evaluation,
expand the number and kinds of offcampus job opportunities made
available to students, and increase the
number of formal work-based learning
opportunities (such as apprenticeships)
available to students. The Department
also seeks to understand how FWS
opportunities created under the
experiment align with the academic
programs or career goals of the student
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participants, including among students
in liberal arts or humanities programs
that may use an FWS to explore
potential career options.
Apprenticeships, internships, and
other work-and-learn opportunities can
be beneficial to students, employers,
and institutions. We wish to understand
if, and to what extent, students who
participate in program-related, paid,
work experience enjoy improved
graduation outcomes, accumulate less
debt, and enjoy better post-graduation
employment opportunities. In addition,
students who earn wages while enrolled
in a work-based learning program may
be more likely to retain Pell eligibility
if a portion of their wages are FWS
wages since those earnings are not
considered in the determination of a
student’s financial need.
Work-based learning programs benefit
employers by helping them develop a
pipeline of qualified workers and by
engaging them in curriculum
development or review to ensure that
students graduate with strong workplace
competencies. Employers also benefit
when FWS wages offset a portion of the
cost of work-based learning
opportunities, thus reducing barriers to
entry for employers that wish to start
apprenticeship programs.
Institutions benefit from improved
partnerships with business leaders, who
can help inform academic programs and
curricula to ensure that students are
graduating with workplace
competencies in addition to the subject
matter expertise gained through their
studies. These partnerships may also
reduce the need for institutions to
purchase expensive equipment or build
specialized facilities, since privatesector companies may already have the
equipment and facilities needed to
instruct students.
The Department expects employers
and institutions participating in this
experiment to work together to
coordinate schedules and minimize
conflict between academic and
employment activities. In addition, to
the maximum extent possible, FWSsupported private-sector employment
should be academically relevant, as
required by section 443(c)(4) of the HEA
and support the students’ career goals.
Employers must avoid the displacement
of employed workers or the impairment
of existing contracts for services and
may not use funds made available under
this experiment to pay any employee
who would otherwise be employed by
the organization. However, this does not
prevent an employer who is engaged in
apprenticeship from paying the student
for hours worked in addition to the
FWS-supported work if the
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apprenticeship requires more on-the-job
training than FWS wages can support or
the employer wishes to pay wages to
apprentices for the time they spend
engaged in classroom learning. The
Department also encourages sponsors of
work-based learning programs to rely
on, and provide financial support for,
credit-bearing classroom instruction
provided by colleges and universities
for the classroom portion of those
programs.
FWS is one of the oldest Federal
Student Aid programs. Currently, it
provides students with part-time
employment to help pay higher
education expenses, but institutions
must navigate complicated requirements
that limit the percentage of funds that
can be used to support private sector
employment. Current regulations also
require private-sector employers to pay
a higher proportion of wages as
compared to on-campus employment or
off-campus employment at non-profit
organizations. Meanwhile, it is possible
that smaller employers and start-up
companies have fewer resources than
well-established and well-supported
non-profit organizations to provide paid
learning opportunities for students.
While FWS could be an important
means by which colleges and
universities provide students with
relevant program-related work
experiences that could improve their
subject matter expertise, enhance their
classroom learning, and improve their
job prospects after graduating, there is
little indication the program is being
used sufficiently in such a manner.
Studies have shown that FWS jobs are
often unrelated to a student’s career
goals or majors.1 In addition, although
campuses are permitted to use up to 10
percent of their FWS funds or $75,000
to support job development
opportunities, few institutions use the
available resources to pursue such
opportunities for students.
As shown in Table 1, colleges and
universities rarely provide students
with employment opportunities that are
located off-campus, despite the fact that
few college graduates are destined to
seek employment at an institution of
higher education; instead most will
work for private, for-profit firms.2
During award year 2016–2017, over
3,000 colleges and universities provided
over 600,000 students with FWS
opportunities. In that year, 92 percent of
FWS dollars supported students in oncampus employment, while less than
one-tenth of one percent supported offcampus employment with private-sector
employers.
TABLE 1—DISTRIBUTION OF FWS EARNINGS BY EMPLOYER TYPE
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[2016–17]
On-campus
Off-campus nonprofit/government
Off-campus for-profit
$995,961,457 (91.76%) ...................................................................
$88,702,919 (8.17%)
$726,208 (0.07%)
Nearly all students believe that by
earning a college credential, they will
improve their employment
opportunities and earnings.3 While
surveys show that students and faculty
believe that college graduates are well
prepared to enter the workforce,
employers see things differently.4 Many
employers do not believe that college is
preparing graduates to succeed in the
workforce, and some are looking more
carefully at an individual’s work
experience when making hiring
decisions since degrees alone may no
longer adequately signal an individual’s
intellectual capacity, resilience, and
grit.5 Therefore, it is important to
expand the number and kinds of
opportunities available to students so
that they can gain experience in privatesector employment prior to graduation.
Internships, apprenticeships, and
other work-and-learn opportunities
provide high-quality educational
opportunities that can serve as a
primary or ancillary learning
opportunity where theory and
application are coordinated to lead to
higher level competencies. However,
there are insufficient numbers of
apprenticeship opportunities available
to students, especially in fields where
apprenticeship has not historically been
a common career pathway. Internship
opportunities may be more plentiful,
but many are low-paying or unpaid,
meaning that these valuable
opportunities are foreclosed to lowerincome students who may need to earn
wages to help pay for their education
and other living expenses. Similarly,
lower-income students may face
tremendous challenges paying tuition
and supporting themselves while
engaged in required clinical rotations,
externships, or student teaching, since
outside work may be prohibited or
discouraged during those times, or the
student may simply not have enough
time for both. As a result, these
experiences, which should improve
learning and lead to better career
outcomes, can be detrimental to lowerincome students by negatively affecting
their educational outcomes, lengthening
their time to completion, or increasing
their reliance on loans.
Apprenticeships are especially
effective in combining classroom and
workplace learning in an interrelated
and coordinated fashion. We are
encouraged by the growing number of
apprenticeship programs that rely on
colleges and universities to provide
classroom instruction that supports
learning in the workplace. However,
much more needs to be done to expand
the number and kinds of apprenticeship
programs available. Institutions that
participated in the Department of
Labor’s American Apprenticeship
Initiative grant program frequently
reported at project meetings and
accelerator sessions that despite strong
letters of support from employers when
developing their proposals, it was
challenging to get employers to commit
when it came time to develop structured
workplace curricula or implement a full
apprenticeship program. At those same
meetings, employers often complained
about the high cost of paying tuition and
fees for apprentices to complete their
classroom learning on a college campus.
On the other hand, employers who
participated on the President’s Task
Force on Apprenticeship Expansion
explained that they find it difficult to
identify institutions that are willing to
provide classes at times and on a
1 www.insidehighered.com/views/2019/04/26/
change-federal-work-study-program-so-itencourages-useful-work-opinion;www.clasp.org/
sites/default/files/public/resources-andpublications/publication-1/CPES_Federal
WorkstudyFINAL.pdf; and compact.org/initiatives/
federal-work-study/community/.
2 www.bls.gov/opub/ted/2018/nonprofits-accountfor-12-3-million-jobs-10-2-percent-of-private-sectoremployment-in-2016.htm; www.bls.gov/emp/tables/
employment-by-major-industry-sector.htm.
3 www.newamerica.org/education-policy/
edcentral/varying-degrees-2018/.
4 www.insidehighered.com/news/2018/02/23/
study-students-believe-they-are-preparedworkplace-employers-disagree.
5 https://chronicle-assets.s3.amazonaws.com/5/
items/biz/pdf/Employers%20Survey.pdf.
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schedule that does not interfere with
workplace learning, or at a cost that is
reasonable for an employer to cover.6
We wish to test in this experiment
whether the opportunity to access FWS
funds to pay or subsidize wages, and to
allow students to be employed for more
than 10 hours per week, provides the
needed incentive to attract more
businesses to participate in
apprenticeships, and to do so in
partnership with colleges and
universities.
The President’s Task Force on
Apprenticeship Expansion pointed out
during their deliberations and in their
final report that employers may be
reticent to engage in apprenticeship due
to the cost of wages and classroom
instruction, coupled with loss of
productivity among the most qualified
workers who divert time and energy
from their primary job function in order
to serve as mentors and instructors, and
the possibility that another employer
will ‘‘poach’’ well-prepared workers
after the apprenticeship is over.7 The
Task Force called upon the Federal
government to examine current
workforce development programs to
identify funding opportunities that
would better support apprenticeship
expansion. In its efforts to be responsive
to the recommendations of the Task
Force, the Department has identified
FWS as an ideal candidate to provide
such support.
There are additional ancillary benefits
to consider. For example, since FWS
funds are not included in the Federal
need analysis calculation, a student
engaged in paid work-based learning
will be less likely to lose Pell eligibility
if the wages are paid through the FWS
program. In addition, since FWS funds
are available only to students in creditbearing programs, we believe that
employers will be incentivized to
require institutions to offer courses that
yield college credit rather than relying
on non-credit offerings at the institution
to support employer-supported higher
education. The Department also hopes
that by off-setting a portion of wages,
employers will be more likely to pay
some or all of the costs of associated
classroom learning, including if it takes
place at an institution.
By leveraging FWS funds to support
the creation or expansion of educationrelated jobs, paid internships,
apprenticeships, student teaching,
externships, and work-and-learn
opportunities the Department seeks to
6 www.dol.gov/apprenticeship/docs/task-forceapprenticeship-expansion-report.pdf.
7 www.dol.gov/apprenticeship/docs/task-forceapprenticeship-expansion-report.pdf.
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ascertain whether this initiative should
be considered for broader application.
Broader application of the initiative
could be justified if one or more of the
following can be demonstrated: (1) The
number and kinds of private-sector job
and work-based learning opportunities,
including apprenticeships, made
available to FWS students increase; (2)
student completion rates increase or
time to degree completion decreases
among FWS students who work in
private-sector jobs or among students
who receive FWS wages while
completing required externships,
clinical rotations, or student teaching; or
(3) fewer Pell eligible students whose
wages for work-based learning programs
are paid for, or subsidized, with FWS
funds lose their Pell eligibility.
The Experiment
Description
Institutions are permitted to utilize
FWS funds to pay wages to students
employed in on-campus, off-campus,
and private sector jobs; however, over
90 percent of FWS wages are paid to
students employed in on-campus jobs.
This may be because of the added cost
and complexity to institutions of
cultivating private-sector FWS
employment opportunities or complying
with program regulations when private
sector employment is involved,
challenges in coordinating work and
school schedules when off-campus
employers are involved, the limitations
on the number of hours an FWS student
is permitted to work, and the higher
percentage of wages that private-sector
employers must pay as compared to
non-profit or campus employers.
In addition, while students engaged in
required externships, clinical rotations,
or student teaching are clearly engaged
in work-based learning, historically,
institutions have not been permitted to
pay FWS wages to students involved in
these activities. This can be detrimental
to low-income students who may have
to resort to student loans in order to pay
tuition and support themselves during
periods of full-time non-paid work.
This experiment aims to determine
whether, by reducing the difficulty to
institutions of paying FWS wages to
students employed by private-sector
companies, increasing the number of
hours an FWS student is permitted to
work, and removing restrictions on
allocations to on-campus, off-campus,
and community service jobs,
institutions can cultivate additional
private-sector opportunities for
employment of FWS students. In
addition, the experiment aims to
determine whether off-campus, private-
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sector FWS jobs improve student
completion rates, reduce student
borrowing, reduce time to degree
completion, or lead to improved
employment outcomes.
The experiment is also designed to
assess whether paying FWS wages to
students engaged in required
externships, clinical rotations, student
teaching, or similar work-based learning
opportunities increases completion
rates, reduces borrowing, and improves
employment outcomes among FWSeligible students.
The experiment also seeks to explore
whether increased levels of Job Location
and Development (JLD) funds enable
institutions to develop more
partnerships with employers that result
in private-sector FWS opportunities,
including apprenticeships. An
institution is allowed to use part of the
Federal funds it receives under the FWS
Program to establish, administer, or
expand a JLD Program. The JLD Program
locates and develops off-campus job
opportunities for students who are
currently enrolled and who want jobs
regardless of financial need. This means
that jobs may be located and developed
under the JLD Program for FWS and
non-FWS eligible students. JLD jobs
may be part-time or full-time, for either
a for-profit or nonprofit employer.
In addition, an institution is
permitted to use JLD funds to identify
apprenticeship opportunities and help
employers develop them, including the
classroom and work-based learning
components. An institution may use up
to 10 percent of its annual FWS
allocation, but no more than $75,000, to
support its JLD Program. FWS funds can
be used to pay up to 80 percent of the
allowable costs to operate a JLD
Program, such as staff salaries, supplies,
and travel. The remaining costs (20
percent) are paid by an institution either
in cash or in services. Institutions may
enter into written agreements with other
institutions or apprenticeship
intermediaries to establish, fund, and
operate a JLD Program for students
enrolled at those institutions. Under
such agreements, institutions may
combine available JLD funds and
resources.
Despite the availability of the JLD
Program to assist institutions in
developing off-campus employment
opportunities for students, relatively
few institutions take advantage of it.
During Award Year 2016–2017, 338
institutions reported using about $11
million, or less than 1 percent, of their
FWS allocations for JLD programs.
Institutions participating in this
experiment will be encouraged to
collaborate with local governments,
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companies, trade and industry groups,
non-profit organizations, unions, joint
labor-management organizations,
apprenticeship intermediaries, and
others to develop relevant careerfocused experiences for students. A
particular emphasis will be placed on
developing apprenticeships.
Participating institutions may be
required to submit information to the
Department or its contractor for an
evaluation of the experiment (see
Reporting and Evaluation section
below).
Waivers
Institutions selected for this
experiment will be granted flexibility in
implementing the FWS and JLD
programs. The following statutory and
regulatory provisions would be waived:
• 34 CFR 675, to the extent it restricts
students in FWS programs to part-time
employment. We propose waiving these
restrictions to enable full-time
employment opportunities related to the
student’s academic program (e.g.,
relevant apprenticeships, clinical
rotations, or student teaching).
• 34 CFR 675.23, which limits the
amount of an institution’s FWS
allocation and re-allocation for an award
year to pay the compensation of FWS
students employed by a private forprofit organization to 25 percent. We
propose waiving this restriction entirely
for institutions selected to participate in
the experiment.
• 34 CFR 675.26(a)(3), which limits
the Federal share of the compensation to
a student employed by a private forprofit organization to 50 percent. We
propose increasing the Federal share
amount to 75 percent for a small
business, as defined in 13 CFR 121,
which is the amount permitted for most
non-profit or community service
employment.
• HEA section 442(a)(4)(A) and (B),
which permits the Secretary to allocate
to eligible institutions up to 10 percent
of the amount appropriated for FWS in
excess of $700 million in any fiscal year.
To encourage institutions to participate
in the experiment in sufficient numbers
to derive meaningful conclusions, we
propose to use this authority to provide
additional FWS funding to institutions
participating in the experiment. This
includes waiving the condition that they
meet the statutory requirements for
graduation or transfer of Pell Grant
recipients since we believe that workand-learn programs and apprenticeship
programs can significantly improve
graduation rates among low-income
students.
• 34 CFR 675.32, which caps the
amount of an institution’s FWS
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allocation to support a JLD Program at
the lesser of $75,000 or 10 percent. We
propose allowing an increase in the
amount, in order to enable institutions
to hire a coordinator or for other
functions to further encourage
institutions and employers to establish
and expand paid internships,
apprenticeships, and other work-andlearn opportunities. The institution’s
specific request for additional flexibility
under this section must be detailed in
its application and approved by the
Department.
• 34 CFR 675.18(g), which requires an
institution to use at least seven percent
of the sum of its initial and
supplemental FWS allocations for an
award year to compensate students
employed in community service
activities, including at least one reading
tutoring project that employs one or
more FWS students as reading tutors for
children who are preschool age or are in
elementary school or a family literacy
project that employs one or more FWS
students in family literacy activities. We
propose waiving this requirement to
provide maximum flexibility to
institutions.
All other provisions and regulations
of the title IV, HEA student assistance
programs will remain in effect.
Reporting and Evaluation
The Department is interested in
rigorously assessing the effectiveness of
using FWS funds to expand privatesector job opportunities, including
apprenticeships, and to support
students engaged in program-required
externships or student teaching. To
meet this objective, the Department may
randomly select from among all
interested institutions a group of
institutions that will be allowed to
participate in the experiment. This
random selection would take into
account institutional characteristics
such as total enrollment or the number
of students participating in FWS, as
well as the institutional priorities stated
elsewhere. The institutions not selected
may be invited to join the experiment in
a subsequent academic year. This
approach would allow the Department
to assess the effects of the experiment by
comparing the experiences and
outcomes of students in participating
versus non-participating institutions or
in early- versus later-participating
institutions.
Alternatively, the Department may
require participating institutions to
randomly assign certain parts of the
waivers to eligible students; for
example, to allow FWS to fund half
(instead of all) of the eligible students
engaged in program-required
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externships or student teaching or to
give the higher Federal wage share for
private-sector jobs to half (instead of all)
of the eligible students who might seek
one. This approach would enable the
Department to rigorously assess the
effects of those particular waivers on
students’ experiences and outcomes,
even while the potential benefits of the
experiment’s other waivers would be
available institution-wide.
Participating institutions will be
required to collect, maintain, and report
information about students involved in
the experiment and to participate in the
Department’s evaluation. Information
needed for the evaluation may include:
(1) The identity of students eligible for
FWS and those who choose to take
advantage of the opportunities provided
through the experiment, and (2) the
characteristics associated with each
student’s FWS job or program-required
work-based learning, including the
number of hours worked (including
hours not supported by FWS wages), the
wages paid (including for non-FWS paid
work with the same employer), and the
identity of the employer. This
information would likely come from
databases institutions maintain to
administer FWS and complete the Fiscal
Operations Report and Application to
Participate (FISAP) form annually. The
Department may also require
participating institutions to use a
common form, provided by the
Department at a later time, to collect
qualitative information from students
annually about their FWS-supported
work opportunities.
Participating institutions will be
required to respond to annual surveys or
interviews that collect information
about job development activities
relevant to FWS students, including
institutions with JLD funds, and any
unforeseen challenges or opportunities
identified in conjunction with
administering the experiment. The
Department’s evaluation will also
include information reported by
institutions through the Department’s
regular data collection systems
regarding the enrollment, completion,
and withdrawal of students who receive
title IV funds while enrolled at the
institution during the student’s
participation in the experiment. In
addition, the Department may obtain
data on students’ employment and
earnings from other Federal agencies,
such as the Internal Revenue Service, to
better understand the effects of the
experiment on students both before and
after graduation.
The Department will finalize the
specific evaluation and reporting
requirements prior to the start of the
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experiment in consultation with the
Department’s Institute of Education
Sciences.
Application and Selection
Institutions are invited to apply to
participate in the experiment described
in this notice. From the institutions that
submit letters of interest, the Secretary
will select a limited number of
institutions to participate in this
experiment. When selecting institutions
for participation in this experiment, the
Secretary will consider—
1. Evidence that demonstrates a strong
record in the administration of the title
IV, HEA programs;
2. Evidence that demonstrates strong
standards of financial responsibility,
including that the institution’s
independent auditor does not express
doubt as to the institution’s ability to
operate as a going concern or indicate
an adverse opinion or a finding of
material weakness related to financial
stability;
3. The percentage of students enrolled
at the institution who are Pell eligible or
FWS eligible, such that institutions
serving the largest percentage of these
students will be given priority to
participate in this experiment; and
4. The types of private-sector job
opportunities, work-and-learn programs,
or required externships or student
teaching experiences that will be
targeted by the institution as a result of
the experiment and how the paid
training experiences being targeted will
be incorporated into the academic
programs of study and the extent to
which the experience is well structured
and academically relevant to the
student’s program of study. The
institution’s commitment to target
opportunities for students in high-need
employment areas (based on State or
local determinations or indications by
the Department of Labor that an
occupation is a ‘‘bright outlook’’
occupation 8).
In the event that the Department must
limit the number of institutions invited
to participate, priority will be based on
whether the institution proposes to
identify or expand work-and-learn
opportunities in communities certified
by the Internal Revenue Service as
Opportunity Zones authorized under
the Tax Cuts and Jobs Act of 2017 and
the proportion of enrolled students that
are Pell Grant recipients, the level of
demonstrated employer interest, and
whether the institution proposes workand-learn opportunities in academic
programs that have higher than average
non-completion rates.
8 www.onetonline.org/help/bright/.
VerDate Sep<11>2014
16:40 May 22, 2019
Jkt 247001
The Secretary’s selection of
institutions will be guided by the
purpose of the experiment, which is to
evaluate whether FWS funds can be
used effectively to: Provide more
private-sector FWS opportunities to
students; develop work-and-learn
programs such as apprenticeships, to
improve completion rates and reduce
borrowing among students enrolled in
required externships or student teaching
activities; and improve completion rates
and post-graduation employment
outcomes for students involved in the
experiment. If a selected institution
consists of more than one location (e.g.,
the institution has additional locations
or branch campuses), the institution or
the Secretary may limit the experiment
to a single location.
The Department will finalize the
application and selection requirements
prior to the start of the experiment. The
Secretary will consult with those
institutions that have been invited to
participate in the experiment on the
final design of the experiment through
webinars or other outreach activities.
Institutions selected for participation
in an experiment will have their
Program Participation Agreement (PPA)
with the Secretary amended to reflect
the specific statutory or regulatory
provisions that the Secretary has waived
for participants in the experiment. The
institution must acknowledge its
commitment to adequately establish the
procedures necessary to successfully
administer the experiment. The
amended PPA will also document the
agreement between the Secretary and
the institution about how the
experiment will be conducted and will
specify the evaluation and reporting
requirements for the experiment.
Administration of the experiment is
the responsibility of an institution’s
senior leaders since it is likely that
multiple departments within an
institution will need to collaborate to
develop high-quality opportunities for
students. The institution’s president or
chancellor will be required to
acknowledge the institution’s
commitment to properly administer the
experiment and to involve all
departments, faculty, and staff required
to support successful implementation.
Accessible Format: Individuals with
disabilities can obtain this document in
an accessible format (e.g., Braille, large
print, audiotape, or compact disc) on
request to the contact person listed
under FOR FURTHER INFORMATION
CONTACT.
Electronic Access to This Document:
The official version of this document is
the document published in the Federal
Register. You may access the official
PO 00000
Frm 00030
Fmt 4703
Sfmt 4703
23783
edition of the Federal Register at
www.govinfo.gov. At this site you can
view this document, as well as all other
documents of this Department
published in the Federal Register, in
text or PDF. To use PDF you must have
Adobe Acrobat Reader, which is
available free at the site.
You may also access documents of the
Department published in the Federal
Register by using the article search
feature at www.federalregister.gov.
Specifically, through the advanced
search feature at this site, you can limit
your search to documents published by
the Department.
Program Authority: 20 U.S.C.
1094a(b).
Mark A. Brown,
Chief Operating Officer, Federal Student Aid.
[FR Doc. 2019–10811 Filed 5–22–19; 8:45 am]
BILLING CODE 4000–01–P
DEPARTMENT OF ENERGY
Federal Energy Regulatory
Commission
[Project No. 2114–301]
Public Utility District No. 2 of Grant
County; Notice of Application
Accepted for Filing and Soliciting
Comments, Motions To Intervene, and
Protests
Take notice that the following
hydroelectric application has been filed
with the Commission and is available
for public inspection:
a. Application Type: Shoreline
Management Plan Update.
b. Project No: 2114–301.
c. Date Filed: April 18, 2019.
d. Applicant: Public Utility District
No. 2 of Grant County (Grant PUD).
e. Name of Project: Priest Rapids
Hydroelectric Project.
f. Location: The project is located on
the mid-Columbia River, in portions of
Grant, Yakima, Kittitas, Douglas,
Benton, and Chelan Counties,
Washington.
g. Filed Pursuant to: Federal Power
Act, 16 U.S.C. 791a–825r.
h. Applicant Contact: Shannon
Lowry, Lands and Recreation Resources
Manager, Grant PUD, PO Box 878,
Ephrata, WA 98823; (509) 754–5088 ext.
2191 or slowry@gcpud.org.
i. FERC Contact: Hillary Berlin, (202)
502–8915, Hillary.berlin@ferc.gov.
j. Deadline for filing comments,
motions to intervene, and protests: June
18, 2019.
The Commission strongly encourages
electronic filing. Please file comments,
motions to intervene, and protests using
E:\FR\FM\23MYN1.SGM
23MYN1
Agencies
[Federal Register Volume 84, Number 100 (Thursday, May 23, 2019)]
[Notices]
[Pages 23779-23783]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2019-10811]
[[Page 23779]]
=======================================================================
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DEPARTMENT OF EDUCATION
Notice Inviting Postsecondary Educational Institutions To
Participate in Experiments Under the Experimental Sites Initiative;
Federal Student Financial Assistance Programs Under Title IV of the
Higher Education Act of 1965, as Amended
AGENCY: Federal Student Aid, Department of Education.
ACTION: Notice.
-----------------------------------------------------------------------
SUMMARY: The Secretary invites institutions of higher education
(institutions) that participate in the Federal Work-Study (FWS) Program
authorized under title IV of the Higher Education Act of 1965, as
amended (HEA), to apply to participate in a new institutional
experiment under the Experimental Sites Initiative (ESI).
DATES: Letters of interest to participate in the experiment described
in this notice must be received by the Department no later than July 8,
2019 to ensure that the Department considers the institution for
participation in the experiment. Institutions that submit letters that
are received after July 8, 2019 may, at the discretion of the
Secretary, be considered as additional future participants on a rolling
periodic basis.
ADDRESSES: Letters of interest must be submitted by electronic mail to
the following email address: [email protected]. For format and
other required information, see ``Instructions for Submitting Letters
of Interest'' under SUPPLEMENTARY INFORMATION.
FOR FURTHER INFORMATION CONTACT: Warren Farr, U.S. Department of
Education, Federal Student Aid, 830 First Street NE, Washington, DC
20002. Telephone: (202) 377-4380. Email at: [email protected].
If you use a telecommunications device for the deaf (TDD) or a text
telephone (TTY), call the Federal Relay Service (FRS), toll free, at 1-
800-877-8339.
SUPPLEMENTARY INFORMATION:
Instructions for Submitting Letters of Interest: Letters of
interest must be submitted as an attachment in a Portable Document
Format (PDF) to an email message sent to the email address provided in
the ADDRESSES section of this notice. The subject line of the email
should read ``ESI 2019--Federal Work-Study Experiment.'' The text of
the email should include the name and address of the institution. The
letter of interest must be on institutional letterhead and be signed by
the institution's president or chancellor. The letter must include the
institution's official name, its Office of Postsecondary Education
Identification (OPEID) number, and the name of a contact person at the
institution, along with a mailing address, email address, and telephone
number of a contact person at the institution. The letter should also
include the information described in the ``Application and Selection''
section in this notice. The letter must explain which offices or
departments from the institution will participate in this experiment,
and what role each will play. Upon receipt of a letter of interest, the
Department will notify the institution by email that its letter of
interest was received. This notification should be kept in the
institution's records.
Background: Under the ESI, the Secretary has authority to grant
waivers of certain title IV, HEA statutory or regulatory requirements
to allow a limited number of institutions to participate in experiments
to test alternative methods of administering the title IV, HEA
programs. The alternative methods of title IV, HEA administration that
the Secretary is permitting under this ESI experiment are designed to
test how the following changes will increase partnerships between
institutions and industry, improve student retention and completion,
reduce student debt levels, and yield strong post-graduation employment
outcomes: (1) Removing limits on the portion of an institution's FWS
funds that may support students employed by private-sector companies;
(2) increasing the number of hours per week an FWS student who is
enrolled in a work-based learning program may work; (3) reducing the
share of wages that must be covered by private-sector employers; and
(4) allowing institutions to pay low-income students for work
experiences required by their program, such as student teaching and
clinical rotations. The Department is also interested in determining
whether using FWS funds to supplement wages for private-sector
employment will stimulate the creation or strengthening of employer-
institution partnerships that engage employers in curriculum
development and program evaluation, expand the number and kinds of off-
campus job opportunities made available to students, and increase the
number of formal work-based learning opportunities (such as
apprenticeships) available to students. The Department also seeks to
understand how FWS opportunities created under the experiment align
with the academic programs or career goals of the student participants,
including among students in liberal arts or humanities programs that
may use an FWS to explore potential career options.
Apprenticeships, internships, and other work-and-learn
opportunities can be beneficial to students, employers, and
institutions. We wish to understand if, and to what extent, students
who participate in program-related, paid, work experience enjoy
improved graduation outcomes, accumulate less debt, and enjoy better
post-graduation employment opportunities. In addition, students who
earn wages while enrolled in a work-based learning program may be more
likely to retain Pell eligibility if a portion of their wages are FWS
wages since those earnings are not considered in the determination of a
student's financial need.
Work-based learning programs benefit employers by helping them
develop a pipeline of qualified workers and by engaging them in
curriculum development or review to ensure that students graduate with
strong workplace competencies. Employers also benefit when FWS wages
offset a portion of the cost of work-based learning opportunities, thus
reducing barriers to entry for employers that wish to start
apprenticeship programs.
Institutions benefit from improved partnerships with business
leaders, who can help inform academic programs and curricula to ensure
that students are graduating with workplace competencies in addition to
the subject matter expertise gained through their studies. These
partnerships may also reduce the need for institutions to purchase
expensive equipment or build specialized facilities, since private-
sector companies may already have the equipment and facilities needed
to instruct students.
The Department expects employers and institutions participating in
this experiment to work together to coordinate schedules and minimize
conflict between academic and employment activities. In addition, to
the maximum extent possible, FWS-supported private-sector employment
should be academically relevant, as required by section 443(c)(4) of
the HEA and support the students' career goals. Employers must avoid
the displacement of employed workers or the impairment of existing
contracts for services and may not use funds made available under this
experiment to pay any employee who would otherwise be employed by the
organization. However, this does not prevent an employer who is engaged
in apprenticeship from paying the student for hours worked in addition
to the FWS-supported work if the
[[Page 23780]]
apprenticeship requires more on-the-job training than FWS wages can
support or the employer wishes to pay wages to apprentices for the time
they spend engaged in classroom learning. The Department also
encourages sponsors of work-based learning programs to rely on, and
provide financial support for, credit-bearing classroom instruction
provided by colleges and universities for the classroom portion of
those programs.
FWS is one of the oldest Federal Student Aid programs. Currently,
it provides students with part-time employment to help pay higher
education expenses, but institutions must navigate complicated
requirements that limit the percentage of funds that can be used to
support private sector employment. Current regulations also require
private-sector employers to pay a higher proportion of wages as
compared to on-campus employment or off-campus employment at non-profit
organizations. Meanwhile, it is possible that smaller employers and
start-up companies have fewer resources than well-established and well-
supported non-profit organizations to provide paid learning
opportunities for students.
While FWS could be an important means by which colleges and
universities provide students with relevant program-related work
experiences that could improve their subject matter expertise, enhance
their classroom learning, and improve their job prospects after
graduating, there is little indication the program is being used
sufficiently in such a manner. Studies have shown that FWS jobs are
often unrelated to a student's career goals or majors.\1\ In addition,
although campuses are permitted to use up to 10 percent of their FWS
funds or $75,000 to support job development opportunities, few
institutions use the available resources to pursue such opportunities
for students.
---------------------------------------------------------------------------
\1\ www.insidehighered.com/views/2019/04/26/change-federal-work-study-program-so-it-encourages-useful-work-opinion;www.clasp.org/sites/default/files/public/resources-and-publications/publication-1/CPES_Federal WorkstudyFINAL.pdf; and compact.org/initiatives/federal-work-study/community/.
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As shown in Table 1, colleges and universities rarely provide
students with employment opportunities that are located off-campus,
despite the fact that few college graduates are destined to seek
employment at an institution of higher education; instead most will
work for private, for-profit firms.\2\ During award year 2016-2017,
over 3,000 colleges and universities provided over 600,000 students
with FWS opportunities. In that year, 92 percent of FWS dollars
supported students in on-campus employment, while less than one-tenth
of one percent supported off-campus employment with private-sector
employers.
---------------------------------------------------------------------------
\2\ www.bls.gov/opub/ted/2018/nonprofits-account- for-12-3-
million-jobs-10-2-percent-of-private-sector-employment-in-2016.htm;
www.bls.gov/emp/tables/employment-by-major-industry-sector.htm.
Table 1--Distribution of FWS Earnings by Employer Type
[2016-17]
----------------------------------------------------------------------------------------------------------------
On-campus Off-campus nonprofit/government Off-campus for-profit
----------------------------------------------------------------------------------------------------------------
$995,961,457 (91.76%)................. $88,702,919 (8.17%) $726,208 (0.07%)
----------------------------------------------------------------------------------------------------------------
Nearly all students believe that by earning a college credential,
they will improve their employment opportunities and earnings.\3\ While
surveys show that students and faculty believe that college graduates
are well prepared to enter the workforce, employers see things
differently.\4\ Many employers do not believe that college is preparing
graduates to succeed in the workforce, and some are looking more
carefully at an individual's work experience when making hiring
decisions since degrees alone may no longer adequately signal an
individual's intellectual capacity, resilience, and grit.\5\ Therefore,
it is important to expand the number and kinds of opportunities
available to students so that they can gain experience in private-
sector employment prior to graduation.
---------------------------------------------------------------------------
\3\ www.newamerica.org/education-policy/edcentral/varying-degrees-2018/.
\4\ www.insidehighered.com/news/2018/02/23/study-students-believe-they-are-prepared-workplace-employers-disagree.
\5\ https://chronicle-assets.s3.amazonaws.com/5/items/biz/pdf/Employers%20Survey.pdf.
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Internships, apprenticeships, and other work-and-learn
opportunities provide high-quality educational opportunities that can
serve as a primary or ancillary learning opportunity where theory and
application are coordinated to lead to higher level competencies.
However, there are insufficient numbers of apprenticeship opportunities
available to students, especially in fields where apprenticeship has
not historically been a common career pathway. Internship opportunities
may be more plentiful, but many are low-paying or unpaid, meaning that
these valuable opportunities are foreclosed to lower-income students
who may need to earn wages to help pay for their education and other
living expenses. Similarly, lower-income students may face tremendous
challenges paying tuition and supporting themselves while engaged in
required clinical rotations, externships, or student teaching, since
outside work may be prohibited or discouraged during those times, or
the student may simply not have enough time for both. As a result,
these experiences, which should improve learning and lead to better
career outcomes, can be detrimental to lower-income students by
negatively affecting their educational outcomes, lengthening their time
to completion, or increasing their reliance on loans.
Apprenticeships are especially effective in combining classroom and
workplace learning in an interrelated and coordinated fashion. We are
encouraged by the growing number of apprenticeship programs that rely
on colleges and universities to provide classroom instruction that
supports learning in the workplace. However, much more needs to be done
to expand the number and kinds of apprenticeship programs available.
Institutions that participated in the Department of Labor's American
Apprenticeship Initiative grant program frequently reported at project
meetings and accelerator sessions that despite strong letters of
support from employers when developing their proposals, it was
challenging to get employers to commit when it came time to develop
structured workplace curricula or implement a full apprenticeship
program. At those same meetings, employers often complained about the
high cost of paying tuition and fees for apprentices to complete their
classroom learning on a college campus. On the other hand, employers
who participated on the President's Task Force on Apprenticeship
Expansion explained that they find it difficult to identify
institutions that are willing to provide classes at times and on a
[[Page 23781]]
schedule that does not interfere with workplace learning, or at a cost
that is reasonable for an employer to cover.\6\
---------------------------------------------------------------------------
\6\ www.dol.gov/apprenticeship/docs/task-force-apprenticeship-expansion-report.pdf.
---------------------------------------------------------------------------
We wish to test in this experiment whether the opportunity to
access FWS funds to pay or subsidize wages, and to allow students to be
employed for more than 10 hours per week, provides the needed incentive
to attract more businesses to participate in apprenticeships, and to do
so in partnership with colleges and universities.
The President's Task Force on Apprenticeship Expansion pointed out
during their deliberations and in their final report that employers may
be reticent to engage in apprenticeship due to the cost of wages and
classroom instruction, coupled with loss of productivity among the most
qualified workers who divert time and energy from their primary job
function in order to serve as mentors and instructors, and the
possibility that another employer will ``poach'' well-prepared workers
after the apprenticeship is over.\7\ The Task Force called upon the
Federal government to examine current workforce development programs to
identify funding opportunities that would better support apprenticeship
expansion. In its efforts to be responsive to the recommendations of
the Task Force, the Department has identified FWS as an ideal candidate
to provide such support.
---------------------------------------------------------------------------
\7\ www.dol.gov/apprenticeship/docs/task-force-apprenticeship-expansion-report.pdf.
---------------------------------------------------------------------------
There are additional ancillary benefits to consider. For example,
since FWS funds are not included in the Federal need analysis
calculation, a student engaged in paid work-based learning will be less
likely to lose Pell eligibility if the wages are paid through the FWS
program. In addition, since FWS funds are available only to students in
credit-bearing programs, we believe that employers will be incentivized
to require institutions to offer courses that yield college credit
rather than relying on non-credit offerings at the institution to
support employer-supported higher education. The Department also hopes
that by off-setting a portion of wages, employers will be more likely
to pay some or all of the costs of associated classroom learning,
including if it takes place at an institution.
By leveraging FWS funds to support the creation or expansion of
education-related jobs, paid internships, apprenticeships, student
teaching, externships, and work-and-learn opportunities the Department
seeks to ascertain whether this initiative should be considered for
broader application. Broader application of the initiative could be
justified if one or more of the following can be demonstrated: (1) The
number and kinds of private-sector job and work-based learning
opportunities, including apprenticeships, made available to FWS
students increase; (2) student completion rates increase or time to
degree completion decreases among FWS students who work in private-
sector jobs or among students who receive FWS wages while completing
required externships, clinical rotations, or student teaching; or (3)
fewer Pell eligible students whose wages for work-based learning
programs are paid for, or subsidized, with FWS funds lose their Pell
eligibility.
The Experiment
Description
Institutions are permitted to utilize FWS funds to pay wages to
students employed in on-campus, off-campus, and private sector jobs;
however, over 90 percent of FWS wages are paid to students employed in
on-campus jobs. This may be because of the added cost and complexity to
institutions of cultivating private-sector FWS employment opportunities
or complying with program regulations when private sector employment is
involved, challenges in coordinating work and school schedules when
off-campus employers are involved, the limitations on the number of
hours an FWS student is permitted to work, and the higher percentage of
wages that private-sector employers must pay as compared to non-profit
or campus employers.
In addition, while students engaged in required externships,
clinical rotations, or student teaching are clearly engaged in work-
based learning, historically, institutions have not been permitted to
pay FWS wages to students involved in these activities. This can be
detrimental to low-income students who may have to resort to student
loans in order to pay tuition and support themselves during periods of
full-time non-paid work.
This experiment aims to determine whether, by reducing the
difficulty to institutions of paying FWS wages to students employed by
private-sector companies, increasing the number of hours an FWS student
is permitted to work, and removing restrictions on allocations to on-
campus, off-campus, and community service jobs, institutions can
cultivate additional private-sector opportunities for employment of FWS
students. In addition, the experiment aims to determine whether off-
campus, private-sector FWS jobs improve student completion rates,
reduce student borrowing, reduce time to degree completion, or lead to
improved employment outcomes.
The experiment is also designed to assess whether paying FWS wages
to students engaged in required externships, clinical rotations,
student teaching, or similar work-based learning opportunities
increases completion rates, reduces borrowing, and improves employment
outcomes among FWS-eligible students.
The experiment also seeks to explore whether increased levels of
Job Location and Development (JLD) funds enable institutions to develop
more partnerships with employers that result in private-sector FWS
opportunities, including apprenticeships. An institution is allowed to
use part of the Federal funds it receives under the FWS Program to
establish, administer, or expand a JLD Program. The JLD Program locates
and develops off-campus job opportunities for students who are
currently enrolled and who want jobs regardless of financial need. This
means that jobs may be located and developed under the JLD Program for
FWS and non-FWS eligible students. JLD jobs may be part-time or full-
time, for either a for-profit or nonprofit employer.
In addition, an institution is permitted to use JLD funds to
identify apprenticeship opportunities and help employers develop them,
including the classroom and work-based learning components. An
institution may use up to 10 percent of its annual FWS allocation, but
no more than $75,000, to support its JLD Program. FWS funds can be used
to pay up to 80 percent of the allowable costs to operate a JLD
Program, such as staff salaries, supplies, and travel. The remaining
costs (20 percent) are paid by an institution either in cash or in
services. Institutions may enter into written agreements with other
institutions or apprenticeship intermediaries to establish, fund, and
operate a JLD Program for students enrolled at those institutions.
Under such agreements, institutions may combine available JLD funds and
resources.
Despite the availability of the JLD Program to assist institutions
in developing off-campus employment opportunities for students,
relatively few institutions take advantage of it. During Award Year
2016-2017, 338 institutions reported using about $11 million, or less
than 1 percent, of their FWS allocations for JLD programs.
Institutions participating in this experiment will be encouraged to
collaborate with local governments,
[[Page 23782]]
companies, trade and industry groups, non-profit organizations, unions,
joint labor-management organizations, apprenticeship intermediaries,
and others to develop relevant career-focused experiences for students.
A particular emphasis will be placed on developing apprenticeships.
Participating institutions may be required to submit information to
the Department or its contractor for an evaluation of the experiment
(see Reporting and Evaluation section below).
Waivers
Institutions selected for this experiment will be granted
flexibility in implementing the FWS and JLD programs. The following
statutory and regulatory provisions would be waived:
34 CFR 675, to the extent it restricts students in FWS
programs to part-time employment. We propose waiving these restrictions
to enable full-time employment opportunities related to the student's
academic program (e.g., relevant apprenticeships, clinical rotations,
or student teaching).
34 CFR 675.23, which limits the amount of an institution's
FWS allocation and re-allocation for an award year to pay the
compensation of FWS students employed by a private for-profit
organization to 25 percent. We propose waiving this restriction
entirely for institutions selected to participate in the experiment.
34 CFR 675.26(a)(3), which limits the Federal share of the
compensation to a student employed by a private for-profit organization
to 50 percent. We propose increasing the Federal share amount to 75
percent for a small business, as defined in 13 CFR 121, which is the
amount permitted for most non-profit or community service employment.
HEA section 442(a)(4)(A) and (B), which permits the
Secretary to allocate to eligible institutions up to 10 percent of the
amount appropriated for FWS in excess of $700 million in any fiscal
year. To encourage institutions to participate in the experiment in
sufficient numbers to derive meaningful conclusions, we propose to use
this authority to provide additional FWS funding to institutions
participating in the experiment. This includes waiving the condition
that they meet the statutory requirements for graduation or transfer of
Pell Grant recipients since we believe that work-and-learn programs and
apprenticeship programs can significantly improve graduation rates
among low-income students.
34 CFR 675.32, which caps the amount of an institution's
FWS allocation to support a JLD Program at the lesser of $75,000 or 10
percent. We propose allowing an increase in the amount, in order to
enable institutions to hire a coordinator or for other functions to
further encourage institutions and employers to establish and expand
paid internships, apprenticeships, and other work-and-learn
opportunities. The institution's specific request for additional
flexibility under this section must be detailed in its application and
approved by the Department.
34 CFR 675.18(g), which requires an institution to use at
least seven percent of the sum of its initial and supplemental FWS
allocations for an award year to compensate students employed in
community service activities, including at least one reading tutoring
project that employs one or more FWS students as reading tutors for
children who are preschool age or are in elementary school or a family
literacy project that employs one or more FWS students in family
literacy activities. We propose waiving this requirement to provide
maximum flexibility to institutions.
All other provisions and regulations of the title IV, HEA student
assistance programs will remain in effect.
Reporting and Evaluation
The Department is interested in rigorously assessing the
effectiveness of using FWS funds to expand private-sector job
opportunities, including apprenticeships, and to support students
engaged in program-required externships or student teaching. To meet
this objective, the Department may randomly select from among all
interested institutions a group of institutions that will be allowed to
participate in the experiment. This random selection would take into
account institutional characteristics such as total enrollment or the
number of students participating in FWS, as well as the institutional
priorities stated elsewhere. The institutions not selected may be
invited to join the experiment in a subsequent academic year. This
approach would allow the Department to assess the effects of the
experiment by comparing the experiences and outcomes of students in
participating versus non-participating institutions or in early- versus
later-participating institutions.
Alternatively, the Department may require participating
institutions to randomly assign certain parts of the waivers to
eligible students; for example, to allow FWS to fund half (instead of
all) of the eligible students engaged in program-required externships
or student teaching or to give the higher Federal wage share for
private-sector jobs to half (instead of all) of the eligible students
who might seek one. This approach would enable the Department to
rigorously assess the effects of those particular waivers on students'
experiences and outcomes, even while the potential benefits of the
experiment's other waivers would be available institution-wide.
Participating institutions will be required to collect, maintain,
and report information about students involved in the experiment and to
participate in the Department's evaluation. Information needed for the
evaluation may include: (1) The identity of students eligible for FWS
and those who choose to take advantage of the opportunities provided
through the experiment, and (2) the characteristics associated with
each student's FWS job or program-required work-based learning,
including the number of hours worked (including hours not supported by
FWS wages), the wages paid (including for non-FWS paid work with the
same employer), and the identity of the employer. This information
would likely come from databases institutions maintain to administer
FWS and complete the Fiscal Operations Report and Application to
Participate (FISAP) form annually. The Department may also require
participating institutions to use a common form, provided by the
Department at a later time, to collect qualitative information from
students annually about their FWS-supported work opportunities.
Participating institutions will be required to respond to annual
surveys or interviews that collect information about job development
activities relevant to FWS students, including institutions with JLD
funds, and any unforeseen challenges or opportunities identified in
conjunction with administering the experiment. The Department's
evaluation will also include information reported by institutions
through the Department's regular data collection systems regarding the
enrollment, completion, and withdrawal of students who receive title IV
funds while enrolled at the institution during the student's
participation in the experiment. In addition, the Department may obtain
data on students' employment and earnings from other Federal agencies,
such as the Internal Revenue Service, to better understand the effects
of the experiment on students both before and after graduation.
The Department will finalize the specific evaluation and reporting
requirements prior to the start of the
[[Page 23783]]
experiment in consultation with the Department's Institute of Education
Sciences.
Application and Selection
Institutions are invited to apply to participate in the experiment
described in this notice. From the institutions that submit letters of
interest, the Secretary will select a limited number of institutions to
participate in this experiment. When selecting institutions for
participation in this experiment, the Secretary will consider--
1. Evidence that demonstrates a strong record in the administration
of the title IV, HEA programs;
2. Evidence that demonstrates strong standards of financial
responsibility, including that the institution's independent auditor
does not express doubt as to the institution's ability to operate as a
going concern or indicate an adverse opinion or a finding of material
weakness related to financial stability;
3. The percentage of students enrolled at the institution who are
Pell eligible or FWS eligible, such that institutions serving the
largest percentage of these students will be given priority to
participate in this experiment; and
4. The types of private-sector job opportunities, work-and-learn
programs, or required externships or student teaching experiences that
will be targeted by the institution as a result of the experiment and
how the paid training experiences being targeted will be incorporated
into the academic programs of study and the extent to which the
experience is well structured and academically relevant to the
student's program of study. The institution's commitment to target
opportunities for students in high-need employment areas (based on
State or local determinations or indications by the Department of Labor
that an occupation is a ``bright outlook'' occupation \8\).
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\8\ www.onetonline.org/help/bright/.
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In the event that the Department must limit the number of
institutions invited to participate, priority will be based on whether
the institution proposes to identify or expand work-and-learn
opportunities in communities certified by the Internal Revenue Service
as Opportunity Zones authorized under the Tax Cuts and Jobs Act of 2017
and the proportion of enrolled students that are Pell Grant recipients,
the level of demonstrated employer interest, and whether the
institution proposes work-and-learn opportunities in academic programs
that have higher than average non-completion rates.
The Secretary's selection of institutions will be guided by the
purpose of the experiment, which is to evaluate whether FWS funds can
be used effectively to: Provide more private-sector FWS opportunities
to students; develop work-and-learn programs such as apprenticeships,
to improve completion rates and reduce borrowing among students
enrolled in required externships or student teaching activities; and
improve completion rates and post-graduation employment outcomes for
students involved in the experiment. If a selected institution consists
of more than one location (e.g., the institution has additional
locations or branch campuses), the institution or the Secretary may
limit the experiment to a single location.
The Department will finalize the application and selection
requirements prior to the start of the experiment. The Secretary will
consult with those institutions that have been invited to participate
in the experiment on the final design of the experiment through
webinars or other outreach activities.
Institutions selected for participation in an experiment will have
their Program Participation Agreement (PPA) with the Secretary amended
to reflect the specific statutory or regulatory provisions that the
Secretary has waived for participants in the experiment. The
institution must acknowledge its commitment to adequately establish the
procedures necessary to successfully administer the experiment. The
amended PPA will also document the agreement between the Secretary and
the institution about how the experiment will be conducted and will
specify the evaluation and reporting requirements for the experiment.
Administration of the experiment is the responsibility of an
institution's senior leaders since it is likely that multiple
departments within an institution will need to collaborate to develop
high-quality opportunities for students. The institution's president or
chancellor will be required to acknowledge the institution's commitment
to properly administer the experiment and to involve all departments,
faculty, and staff required to support successful implementation.
Accessible Format: Individuals with disabilities can obtain this
document in an accessible format (e.g., Braille, large print,
audiotape, or compact disc) on request to the contact person listed
under FOR FURTHER INFORMATION CONTACT.
Electronic Access to This Document: The official version of this
document is the document published in the Federal Register. You may
access the official edition of the Federal Register at www.govinfo.gov.
At this site you can view this document, as well as all other documents
of this Department published in the Federal Register, in text or PDF.
To use PDF you must have Adobe Acrobat Reader, which is available free
at the site.
You may also access documents of the Department published in the
Federal Register by using the article search feature at
www.federalregister.gov. Specifically, through the advanced search
feature at this site, you can limit your search to documents published
by the Department.
Program Authority: 20 U.S.C. 1094a(b).
Mark A. Brown,
Chief Operating Officer, Federal Student Aid.
[FR Doc. 2019-10811 Filed 5-22-19; 8:45 am]
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