US Plans $70,000 OPT Fee as Colleges Say They Cannot Payਅਮਰੀਕਾ ਵਿੱਚ OPT ਫ਼ੀਸ 70,000 ਡਾਲਰ, ਕਾਲਜਾਂ ਨੇ ਵਿਰੋਧ ਕੀਤਾ

American universities say they cannot afford the Trump administration's proposed $70,000 fee for each international student taking part in Optional Practical Training (OPT), the work programme letting foreign graduates work in the United States after their studies. A coalition of states led by California has urged the Department of Homeland Security to withdraw the rule, calling it an unlawful tax.

What is the proposed fee?

Under the rule published by the Department of Homeland Security on October 8, universities would have to pay $70,000 for each international student they initially recommend for OPT, and a further $30,000 for a subsequent recommendation, including a STEM extension. That adds up to $100,000 per student in some cases. The public comment period closed on Monday, November 9, drawing nearly 9,000 comments, and the department cited fraud schemes, in which students claim to work at companies that do not exist, as part of its rationale for the fee. OPT has historically been free for institutions to recommend, and it has allowed international graduates to work temporarily in their field of study since it was expanded in 2008.

Why colleges say they cannot pay

An analysis of comments from members of the Association of American Universities, reported by Inside Higher Ed, found that not even the best-resourced research universities feel they could afford the fees. Of the institutions that submitted comments and gave an estimate, the lowest annual bill was Tulane University at $13 million a year. Eight institutions said they would owe more than $100 million a year, including Arizona State University, which hosts the most international students of any American university. Lewis University, a private university with 870 international students, estimated its annual OPT fees at $46.8 million, about 30 percent of its yearly operating budget. The department itself estimated the total cost to institutions at between $8.7 billion and $16.9 billion. More than 294,000 international students took part in OPT in the 2024-25 academic year, and California's attorney general said keeping participation at that level could cost institutions $12.9 billion a year.

States push back

California Attorney General Rob Bonta on November 9 led a multistate coalition in submitting a comment letter opposing the rule. The coalition argues that the department has no congressional authority to impose what it calls a tax disguised as a fee, and that the rule would discourage international enrolment and damage state economies. Bonta noted his coalition had already fought the administration's $100,000 fee on new H-1B visa petitions, struck down by a court in June 2026. The American Council on Education, which represents universities, warned that the fee could even encourage fraud, since it creates a pay-to-play structure for a programme that was previously open to any qualified graduate.

What it means for Punjabi students

Indian students form the largest group of international students in the United States, and OPT is the main bridge from an American degree to American work experience. If universities cannot pay the fee, many are expected to stop recommending students for OPT altogether, which would leave graduates with no legal route to work after their studies. The proposal sits alongside other measures affecting the same students, including a plan to end the 60-day grace period that foreign workers get after losing a job. The rule is still only a proposal: the department must review the public comments before it can finalise it, and the states' legal challenge signals a court fight if it goes ahead.

What is OPT?

Optional Practical Training lets international students on F-1 visas work in their field of study in the United States after graduation, usually for up to a year, with a longer extension for science, technology, engineering and maths graduates.

How much would the fee be?

Universities would pay $70,000 for an initial OPT recommendation and $30,000 for a subsequent one, which can add up to $100,000 per student.

Is the fee final?

No. It is a proposed rule published on October 8, and the public comment period closed on November 9. The department must review comments before finalising it.

Who would pay the fee?

Universities would pay the Department of Homeland Security, but the proposal would let them seek reimbursement from students or employers.