The Department of Homeland Security, through U.S. Immigration and Customs Enforcement (ICE), which runs the Student and Exchange Visitor Program, has proposed adding new fees to Optional Practical Training (OPT).
The program has long served as a bridge from student visa to American career. Under the proposed rule (91 FR 64566, Docket No. ICEB-2026-0100), published in the Federal Register on October 8, 2026, an initial OPT recommendation would carry a $70,000 fee. A later OPT recommendation would carry a $30,000 fee only after the school has paid the initial fee for that student.
In this article, we are going to answer the critical questions about what DHS has proposed, who would pay, and what comes next for students, schools, and employers.
What has DHS proposed?
The OPT program lets eligible F-1 students work temporarily in jobs directly related to their major.
The rule would set 2 fees in motion. The proposed fee of $70,000 would be applied to a student’s first OPT recommendation and $30,000 fee for any later recommendation, which includes STEM OPT recommendations, only if the school previously paid the initial $70,000 for that student.
DHS released the draft rule on October 7, and it was published in the Federal Register on October 8. Publication opened a 30-day public comment period, which closes on November 9, 2026, allowing students, schools, employers and others to weigh in before DHS decides whether to finalize the rule.
Who would pay the proposed fee?
Under the proposed rule, the school would pay the fee to DHS, although schools could pass the cost on to students or employers. The fees would apply to every F-1 student who participates in OPT through a school certified by the Student and Exchange Visitor Program. The school would have to pay the fee before formally recommending the student for OPT.
Until the school has paid the fees, a designated school official cannot enter an OPT recommendation in the federal student tracking system (SEVIS). Likewise, the USCIS would also not grant work authorization to any student whose school has not paid the required fee.
The rule does not limit the schools on how they raise the money, as long as they abide by other applicable laws.
DHS also states that the schools aren’t mandated to recommend students for OPT and can refrain from paying the fee for students who they do not consider strong candidates. If the student does not receive a work authorization document, the school can request a refund which SEVP would decide case by case. However, if the student does receive a work authorization document, the fee would not be refunded under any circumstances.
Is the fee in effect now?
No, the fee remains only a proposal at present. As a result, schools, students, and employers are not required to pay the fee and the current OPT participants remain unaffected until they request a future OPT recommendation after the rule’s effective date.
As mentioned above, the rule is open to a 30-day public comment period until November 9, 2026. After the comment period closes, DHS must review the comments before it can issue a final rule, and likewise it can then change the rule in response. An important note to remember is that there is no deadline for DHS to finalize the rule.
Even if DHS finalizes the rule, the fee would not apply immediately. As per DHS’ proposal the final rule would require 60 days after it is published in the Federal Register to take effect. Besides that, the fee would only be applied to schools prospectively. This means that the $70,000 fee would apply to students whose school recommendation for OPT is dated on or after the final rule's effective date. However, the protection would only cover the current OPT period.
Will the rule be challenged in court?
The rule could face legal challenges, although lawsuits against federal regulations are usually filed after a rule is finalized, and this one is still a proposal. The most likely challengers are universities, which could pay the fee directly, along with business groups and international students. Business groups have previously opposed a lawsuit against OPT, describing the program as vital to the STEM talent pipeline.
If a court blocks the rule, the fee could be delayed for months or years, or struck down entirely. Until the rule is finalized, nothing changes for current OPT participants.
What should universities and employers do?
Neither group is subject to any changes at present, as the fee is still a proposal. However, universities and employers both have strong reasons to prepare now, beginning with the comment period.
Both groups can weigh in during the comment period, as DHS is currently seeking inputs before finalizing it. According to DHS, the most useful comments address a specific part of the rule and explain the reasoning behind any recommended change.
Universities can plan for costs, as they would have the most immediate financial exposure. DHS expects the rule to have a significant economic impact on a substantial number of small entities. While schools will have to decide how they would cover the fee, DHS states that they can pass the cost on to F-1 students, to all students, or to employers. As per the agency, the schools must also bear the new budgeting, accounting, and audit burdens to pay and track the fees.
As for employers, they have time on their side for the current workers. The fee would apply only to students recommended for OPT after the rule takes effect. As a result, employees already on OPT wouldn’t be charged for their current authorization period. Employees planning to move from initial OPT to STEM OPT have more exposure. If the rule takes effect before that move, the school would owe a fee for the STEM recommendation, which could be $30,000 or possibly $70,000 under the current wording.
Conclusion
The recently proposed OPT fees are among the most significant changes to international student employment in years. If the rule is finalized, they would add up to $100,000 in new costs for a single student who uses initial OPT and a STEM extension and could shift who gets employed after graduation, since it would substantially raise the cost of hiring international graduates early in their careers.
Nothing has changed yet, and the rule could still be revised, delayed, or blocked. For now students, universities, and employers have a window of opportunity to influence the outcome during the comment period, and a way to plan for any possible changes before any fee takes effect.
Alma will share updates as the rule develops.
Disclaimer:
This article is for informational purposes only and does not constitute legal advice.
