On October 8, 2026, the Department of Homeland Security (DHS) proposed a rule that could dramatically alter the Optional Practical Training (OPT) and STEM OPT landscape for international students, universities, and U.S. employers. 

If implemented, the proposal would require educational institutions to pay substantial fees before a Designated School Official (DSO) could recommend a student for OPT in SEVIS.  

What Is Being Proposed?  

Under the current system, F-1 students generally pay approximately $500 to apply for OPT employment authorization. Eligible students may typically work in the United States for up to 12 months through OPT, while those with qualifying degrees in science, technology, engineering, and mathematics (STEM) fields may be eligible for an additional 24-month STEM OPT extension. 

Under the proposed rule: 

• Schools would pay $70,000 when recommending an F-1 student for initial OPT participation.  
• Schools would pay an additional $30,000 for STEM OPT extensions or subsequent OPT participation.  
• The fee would be required before the student could receive the OPT recommendation needed to apply for work authorization.  
• DHS states that the proposal is intended to combat fraud and abuse within the OPT program and encourage participation by students pursuing qualifying employment directly related to their field of study.  

DHS further acknowledges that it expects the proposal to result in a smaller pool of OPT participants if the rule ultimately takes effect, as the new fee structure would represent a dramatic increase in the cost associated with participation in the OPT program. 

No Immediate Changes for Students or Employers 

Importantly, this proposal has not taken effect.  Current OPT and STEM OPT applications continue to be adjudicated under the existing regulations and fee structure. Students currently applying for OPT or STEM OPT are not affected by the proposed changes at this time.  

The proposal must proceed through the federal rulemaking process before becoming final. DHS has opened a public comment period and will be required to review and respond to submitted comments before issuing any final rule.  

Potential Impact on Universities and Employers 

Should the rule be finalized as proposed, the costs associated with OPT participation could increase substantially for educational institutions and, potentially, for employers that recruit international talent. 

OPT and STEM OPT programs have long served as an important bridge between academic study and employment in the United States, particularly in STEM fields. The proposal is expected to generate significant discussion among universities, employers, industry groups, and international education organizations regarding its potential impact on workforce development, talent retention, and international student enrollment.  

Foster’s Takeaway 

While the proposed fee increases are significant, it is important to remember that nothing has changed today. OPT and STEM OPT remain available under the current rules, and students may continue to pursue work authorization through existing processes. 

Given the potentially far-reaching implications of this proposal, universities and employers that rely on OPT and STEM OPT programs should closely monitor developments and consider participating in the public comment process. 

Foster will continue tracking this proposal and provide updates as additional information via Immigration Updates ©, articles, and blogs on our website at www.fosterglobal.com