EDUCATION DEPARTMENT OFFERS GUIDANCE ON HIGHER EDUCATION ACT - Part 1 - Vol. 14 No. 220

Sep 28, 2026

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A “Dear Colleague” letter from assistant education secretary C. Ronald Kimberling and officials Dewey Newman and others provides institutional guidance on the Higher Education Amendments of 1986 (P.L. 99-498). The 26-page correspondence explains effective 1987-88 changes to student definitions, academic progress language, and “ability to benefit,” while outlining updates to Guaranteed Student Loan regulations. It also addresses planned communications to state loan guarantee agencies and lenders, sets expectations for an income contingent loan pilot in 1987-88, and clarifies concerns over reliance on third-party interpretations.

LanguageEnglish

CategoryExam

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Pages7

Reading Time18 min

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EDUCATION DEPARTMENT OFFERS GUIDANCE ON HIGHER EDUCATION ACT

Dear Colleague letter and guidance rollout

Program specifics and income contingent loan pilot

Vo1。14,No。220 Monday,November 17,1986 # EDUCATION DEPARTMENT OFFERS GUIDANCE ON HIGHER EDUCATION ACT Just a month after President Reagan signed the measure into law,the EducationDepartment has started sending postsecondary education associations its expla-nation of the Higher Education Amendments of 1986,P.L.99-498. The "Dear Colleague"letter,signed late Thursday by C。Ronald Kimberling,assistant education secretary for postsecondary education,and Dewey Newman,deputy assistant secretary for student assistance,will guide institutions inimplement ing the new law until ED can issue regulations. ED is in the midst of printing the letter,and Kimberling said institutionsshould start receiving copies in about 10 days.Soon after,Kimberling added,ED will begin distributing a separate letter to state loan guarantee agenciesand lenders involved in the Guaranteed Student Loan(GSL)program,highlightingpertinent information. Sifting And Sorting"We've really worked hard to get [the letter]out,"Kimberling said last week."There is no doubt that all elements of the highereducation community are going through a sifting and sorting process with re-gard to the Higher Education Amendments,and who knows when we'11 be able toget the final regulations out." The 26-page Dear Colleague letter includes ED's analysis of many of the majorinitiatives of P.L。99-498:the revised independent student definition;the newsatisfactory academic progress language;and the tightened "ability to benefit"provision,all of which are effective for the 1987-88 award year. In its cover letter,ED says that several higher education groups have distri-buted information concerning the law to their constituents,a practice thatconcerns some department officials. Associations Criticized"Unfortunately,we have received copies of thepublications that contain inaccurate and misleading information,"the lettersays."Institutions are reminded that the definitive interpretatfons are pro-vided by the Department of Education,and are therefore cautioned againstrelying solely upon interpretations received from others." The letter provides a lengthy explanation of the changes to the current GSLregulations,changes that supersede final regulations published by ED earlylast week.Several members of the student aid community have criticized ED forwaiting unti1 after the signing of P.L。99-498 to publish the GSL package,claiming that the timing of the regulations could confuse student aid admin-istrators(HED,Nov.12).(more) S # EDUCATION DEPARTMENT OFFERS GUIDANCE ON HIGHER EDUCATION ACT(Cont.) Kimberling disagrees with the critics,however.Prior to publishing the GSLregulations last week,ED_had not completely updated many of its regulationsin several years.Kimberling said the new GSL package incorporates the HigherEducation Act of 1980,the Omnibus Budget Act of 1981,the Department of De-fense Authorizing Act of 1982,the Student Financial Assistance TechnicalAmendments of 1982 and several other pieces of legislation for the first time. "We think the new regulation is going to be a better baseline regulation towork with,"Kimberling said."Our objective was to get a good baseline regula-tion out so we could start fairly fresh." Kimberling said that ED could have proposed a whole new set of regulations thatwould include P.L.99-498,but final approval of that batch could have takenseveral years."At one point we had to say enough is enough,"Kimberling said. Specifics IncludedIn addition to describing changes in the general pro-visions,such as the independent student definition and the ability to benefitrule,the Dear Colleague letter discusses information on specific programs.For example,it includes the award increases mandated by Congress,such as thehike in the Pell Grant and GSL maximum awards. The letter also describes ED's plans for the new“income contingent”loanprogram,which is set to begin in the 1987-88 award year. In the letter,EDsays that it will issue a proposed rule early

FAQs

What is the purpose of the “Dear Colleague” letter mentioned in the document?

It provides guidance to postsecondary education institutions on implementing the Higher Education Amendments of 1986 (P.L. 99-498), including how the Department plans to support institutions until regulations are issued.

Which 1987-88 provisions does the letter emphasize as taking effect?

The letter highlights revisions to the independent student definition, changes to the satisfactory academic progress language, and a tightened “ability to benefit” provision.

What loan-related program plans does the letter describe beyond the GSL updates?

It describes plans for an “income contingent” loan program set to begin in the 1987-88 award year, including a proposed rule early next year and participation for up to 10 institutions.

Sep 28, 2026

Uploaded by Liam