U.S. Department of Education Adds Earnings Data to FAFSA, Schedule of Negotiated Rulemaking Leaves Negotiators and Experts Scratching Their Heads, Fitch Ratings Joins Moody's in Outlook for Higher Education

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December 8, 2025

Leading the News this Week

According to the National College Attainment Network’s FAFSA Tracker, more than 27 percent of all high school seniors completed the Free Application for Federal Student Aid (FAFSA) form by November 28th. This amounts to a 6 percent increase compared to the class of 2023. The increase is attributed to launching the form earlier and a shorter completion time of about 15 minutes. However, students are able to see "low earnings" disclosure messages upon filing their forms. Continue on to the next section for more information. 

 

News in Higher Education

U.S. Department of Education Adds Earnings Data to FAFSA

To give students more transparency about their college choices, the U.S. Department of Education (ED) is amending the information screen that filers see after they submit the FAFSA form. It will now include an earnings measure comparing the earnings of graduates (as listed on the College Scorecard and adjusted for inflation) as compared to high school graduates aged 25-34. For colleges that have an average lower than that of the high school diploma only group, a flag will be added for "low earnings." Students can use this information to add or subtract colleges from their FAFSA if they choose. ACCT will be further examining the data released along with the announcement. Stay tuned!

Schedule of Negotiated Rulemaking Leaves Negotiators and Experts Scratching Their Heads

The U.S. Department of Education has released the proposed regulatory text along with the agenda and negotiators' list for this week's session for the Accountability in Higher Education and Access through Demand-Driven Workforce Pell (AHEAD) Committee. The outcomes of this negotiated rulemaking session will determine how Workforce Pell, as enacted by the H.R. 1, the One Big Beautiful Bill, will be implemented. 

With a short time frame to conduct the negotiated rulemaking process, the Department has opted to dedicate the first session, which runs from December 8th to the 12th, of the AHEAD Committee's work to Workforce Pell implementation, while the second session, which goes from January 5th to the 9th, would focus on the accountability provisions of the law. As a result, negotiators will vote at the end of each session, instead of taking one final vote at the end of both sessions. Critics have pointed out that this schedule for voting leaves no time between sessions for negotiators to fully consider the implications of how policies would be implemented or discuss the direction of the conversation with their constituencies.

Fitch Ratings Joins Moody's in Outlook for Higher Education

Based on a declining student base, uncertain state and federal support, and " expense escalation and shifting economic conditions.” Fitch Ratings deems that the higher education sector is facing a deteriorating outlook for 2026. The report further points to a decline in college enrollment from both international students as well as a demographic shift where the high school graduate population has reached a peak. This is in addition to federal activities such as faltering federal research grants and new caps on student loan limits. Enrollment recovery from the pandemic is mainly concentrated within the two-year institutions. Overall, Fitch's mirrors Moody's ratings, predicting a concerning year for higher education.   

Join Us in Advocacy

As a reminder, in this appropriations cycle, ACCT is advocating for members of Congress to fund programs such as Child Care Access Means Parents in School (CCAMPIS) and the Strengthening Institutions Program (SIP). These programs provide much-needed support for students and institutions.

To move forward with our advocacy and communicate with lawmakers the importance of CCAMPIS and SIP, we need your help! We urge you to please share with us how your campuses have benefited from CCAMPIS and SIP at publicpolicy@acct.org. 

Also, we call upon you to participate in our Action Campaign and let your member of Congress know the devastating effects should CCAMPIS and SIP no longer exist.  

     

    Grant Opportunities

    Please review the Office of Career, Technical, and Adult Education's Community College webpage for new grants community colleges are eligible for.

     
    • December 16: Preparing for Workforce Pell: Workforce Alignment
    • January 13: Preparing for Workforce Pell: Student Outreach
    • January 22: NLS aWebinar - Green Sheet Launch
    • February 8-11, 2026: National Legislative Summit
     

    Outreach Efforts

    Is your institution meeting or hosting an event with federal elected officials?

    We created a Congressional Contact Form that will help us track outreach efforts of community college leaders across our membership. By filling out the form, you are better informing ACCT's advocacy efforts and our advocacy team is able to continue those conversations with congressional staff in DC. 

     

    ACCT NOW is the go-to resource for issues affecting community colleges. Our new website features original reporting and research, as well as of-the-moment legislative updates. ACCT NOW also includes articles, reports, and research from outside sources that benefit the ACCT community. Read the Latest Articles on ACCT NOW:

    Scaling Up Dual Enrollment

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    Student Success from Coast to Coast and through the Heartland

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    FIPSE Funding Under the Second Trump Administration

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    Would you Like a Federal Update Session for Your Team?

    Both this new presidential administration and new Congress have brought with them a flurry of developments in the federal landscape that can make keeping up a monumental task. ACCT's Government Relations team is here to help by offering a 45-minute to an-hour federal update session to community college leadership teams who are ACCT members. To request a session, fill out this form and please email publicpolicy@acct.org with any questions.

    Have a Question?

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    Spread the Word.

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