DHS Proposes $70,000 Fee for Foreign Students Seeking Work Authorization

The Department of Homeland Security (DHS) has proposed a new rule that would impose a $70,000 fee for international students seeking initial work authorization under the Optional Practical Training (OPT) program. Under the proposal, F-1 visa holders would face this substantial fee for the initial authorization and an additional $30,000 for any subsequent extension.

DHS stated that the Optional Practical Training program was not intended as a pathway for cheap labor or a means for individuals to exploit the system. "American workers should not have to compete against a program that has been turned into a pipeline for cheap foreign labor," a DHS spokesperson said.

The current OPT program allows eligible international students to work part-time while studying and full-time for a period after graduation, typically costing around $500. To participate, students must secure a job related to their major, gain a recommendation from a designated school official, and obtain employment authorization from U.S. Citizenship and Immigration Services (USCIS). Graduates in STEM fields are eligible for an additional 24-month extension.

According to DHS, the proposed fee increase is a response to widespread fraud and abuse identified within the Student and Exchange Visitor Program (SEVP). The agency cited instances where schools, designated school officials, employers, and F-1 students allegedly exploited existing regulations through illicit arrangements, including non-compliant work sites and visa schemes.

DHS contends that the rule change would compel educational institutions to exercise more rigorous oversight and selectivity before recommending students for the program. However, the proposal is anticipated to encounter legal challenges. Doug Rand, director of the Talent Mobility Fund, suggested on LinkedIn that DHS lacks the authority to implement such a fee, citing previous court rulings that struck down similar restrictive policies.

The proposed rule will undergo a public comment period before any final decision on its implementation.