DHS Proposes $70,000 OPT Fee: What's in the New ICE Rule

The Department of Homeland Security (DHS) and ICE have proposed a rule under which universities would pay $70,000 for a student’s first OPT recommendation and $30,000 for every later one — but for now this is only a draft that hasn’t taken effect.

In short

• DHS proposed a $70,000 fee for a student’s first OPT recommendation on an F-1 visa and $30,000 for every later one, including a STEM extension.
• The university is formally the payer, but the rule allows passing the cost to the student, to the entire student body, or to the employer.
• Changing employers on STEM OPT does not trigger a new fee if the student notifies the school and submits a new Form I-983.
• A fee already paid is not refunded, even if the student loses the job shortly after receiving the EAD.
• The rule was published on October 8 as a draft, the comment period closes in early next month — the current OPT program has no fees for now.

What DHS and ICE are proposing: how the $70,000 and $30,000 fees work

The rule was proposed by the Department of Homeland Security (DHS) together with ICE and applies to Optional Practical Training (OPT) for students on an F-1 visa. The structure is built around two amounts tied to the type of OPT recommendation.

The first recommendation carries an upfront fee of $70,000, paid by the university or school for each student it recommends for OPT. It doesn’t matter whether this is precompletion OPT (practical training before finishing studies) or postcompletion OPT (practical training after graduation) — whichever comes first for that student is the one charged $70,000.

Every subsequent recommendation for the same student costs less — $30,000. For example, if a student first gets precompletion OPT ($70,000), then applies for postcompletion OPT after graduating, the second stage is charged at $30,000. The same $30,000 rate applies to a STEM OPT extension request — another later recommendation for the same student.

When the $70,000 fee is charged only once

This is still only a proposal, not a final regulation, but its initial version sets the rule: the $70,000 fee is charged only once per student — for the first OPT recommendation. Every later recommendation for that same student costs less — $30,000 each.

The order is counted by recommendation, not by program type. An example from the proposed rule: the first recommendation is post-completion OPT at the bachelor’s level, the second is a STEM extension, and the third is OPT after completing a PhD. In this chain, $70,000 is charged only for the first recommendation, while the STEM extension and the later PhD-level OPT are each charged at $30,000.

Drafters considered an option under which OPT after earning a higher degree would again cost $70,000, but that idea was not included in the final draft rule. The resulting formula is simple: a university pays $70,000 for a student’s first OPT recommendation and $30,000 for every later one — regardless of whether it’s STEM OPT or a new post-completion OPT tied to a higher level of education.

Drafters considered an option under which OPT after earning a higher degree would again cost $70,000, but that idea was not included in the final draft rule.

Changing employers on STEM OPT: do you have to pay again

Changing employers while on STEM OPT does not trigger a new $30,000 fee — as long as the student notifies the university. The requirement is simple: the student reports the employer change to the school and submits a new Form I-983. This form records the training plan with the new employer, but on its own it does not trigger another payment.

The rule also works the other way: if a student received an EAD under OPT and lost the job shortly afterward, there’s no refund of the fee already paid. Money the university paid for the first recommendation is not returned, regardless of how long the student actually worked for the listed employer.

if a student received an EAD under OPT and lost the job shortly afterward, there’s no refund of the fee already paid

Who actually pays: the university, the student, or the employer

Formally, the university is required to pay the fee — it is the payer at the moment the DSO enters the OPT recommendation. But the draft regulation explicitly allows the school to pass that cost on to the recommended student or to the entire student body — who ultimately bears the expense is left open by the regulation.

Several scenarios are possible. Universities could simply raise program fees for international students, spreading the new cost across the whole student body rather than only those pursuing OPT. According to some commentators, some well-off families sending children to study abroad may be willing to pay $70,000 to secure the student’s transition from study to work. In some cases the employer may take on the fee — if the position involves a rare specialist whose skills are hard to find on the market.

Willingness among employers to pay is reportedly higher for the STEM extension: by that point the employee is already working at the company and has proven their value, so $30,000 is seen as a justified investment in a proven specialist rather than a cost tied to an unknown candidate.

Criticism of the proposal: is it fair to charge every F-1 student

DHS itself notes that not every F-1 holder uses OPT — according to figures cited in the rule, roughly 20% of students plan to stay in the US for OPT. This is the basis of the critics’ main argument: the fee is effectively collected from everyone who receives I-20 support for an F-1 visa, not just from those who actually use OPT.

The result is a two-sided unfairness. On one hand, it’s unfair to make every student pay for an opportunity only a fifth of them will use. On the other hand, if post-completion OPT access is limited to those whose families can afford a large fee, the program ends up serving not the most capable students, but the wealthiest ones.

if post-completion OPT access is limited to those whose families can afford a large fee, the program ends up serving not the most capable students, but the wealthiest ones

What happens to those already on OPT or planning a STEM extension

A student already on post-completion OPT when the rule takes effect is not required to pay the fee immediately. The obligation arises later — at the point when the DSO first enters an OPT recommendation after the rule takes effect. For such a student, that first recommendation is the STEM extension, and that’s when the $70,000 obligation kicks in.

An example from the discussion: a student currently on OPT who plans to apply for a STEM extension in summer 2027 falls into exactly this situation — the payment is tied not to current status, but to the date of the DSO’s next recommendation.

If the student is already employed by the time of the STEM extension, the employer may take on the cost: the employee has already proven themselves on the job by then, making it easier for the company to agree to an additional payment for a proven worker.

Status of the rule: will it take effect, and what should employers do now

The rule was published on October 8 and remains a draft: it has not taken effect, and the comment period closes in early next month. Until a final decision, the current OPT program applies — without the $70,000 and $30,000 fees. The proposal could also affect those who are simultaneously applying under the H-1B cap.

Lawyers commenting on the draft note that similarly high-fee rules have often been blocked by courts or withdrawn in the past, so final adoption isn’t guaranteed. Employers are advised not to scale back campus hiring of graduates, including international students, while watching closely how the situation develops.

At the same time, it’s worth doing three things:

• review current employees on OPT and STEM OPT and find out the timeline — when status expires, when an extension will be needed, and when the fee obligation might arise;
• calculate in advance what $70,000 or $30,000 would cost for specific candidates, and decide whether the company is willing to cover that amount;
• consider backup options for students not selected in the H-1B lottery: a previously discussed option is transferring such employees to a related office outside the US, with a later return on an L visa.

What employers should do right now

• Review current employees on OPT and STEM OPTrequiredfind out when their status expires and when an extension may be needed
• Determine when the fee obligation could ariserequiredthe date is tied to the next DSO recommendation
• Calculate the cost of $70,000 or $30,000 for specific candidatesrequiredon a case-by-case basis for each employee
• Decide whether the company is willing to cover the feerequiredor look for other funding sources
• Consider a transfer to an office outside the US with a return on an L visaa backup option for those not selected in the H-1B lottery
• Don’t scale back campus hiring of graduatesincluding international students

Frequently asked questions

Does a student have to pay for OPT out of pocket if the university refuses to cover the fee

The regulation does not name the student as the primary payer — formally, that’s the university. But the draft explicitly allows the school to pass the cost on to the recommended student or to the entire student body through higher program fees. So it’s worth checking with your school in advance about how it plans to cover this fee.

Can you skip OPT to avoid the fee and apply straight for H-1B

There’s no direct answer for this scenario, but the draft rule does link OPT and H-1B: the proposal could also affect those simultaneously applying under the H-1B cap. For students not selected in the lottery, a previously discussed alternative was transferring to a related office outside the US, with a later return on an L visa.

Does the fee apply to OPT for students on a visa other than F-1

There’s no direct answer to this — the proposal is described specifically in relation to the OPT program for students on an F-1 visa, and no other visa categories are mentioned in the discussion materials.