604-12-1 Higher Education Act

Title:	Higher Education Act (HEA) Section 487 (a)(20)
Owner:	VP Academic and Regulatory Operations
Last Update/Revised:	07/31/2024

Policy: The University follows the Higher Education Act (HEA) Section 487 (a)(20) which prohibits Title IV eligible institutions from providing incentive compensation to employee or third parties entities for their successes in securing student enrollments. Incentive compensation includes commissions, bonus payments, merit salary adjustments, and promotion decisions based solely on success in enrolling students. These regulations do not apply to the recruitment of international students residing in foreign countries who are not eligible to receive federal financial aid.

Purpose: The university is bound to follow a code of ethics and federal law in relation to recruitment practices. This includes following the Higher Education Act.

Scope. This applies to the university as a whole, including admissions, recruitment, enrollment, and financial aid departments.