ED Announces Guidance for Third-Party Servicers with Comments Due March 30
Published March 10, 2023
By AACOM Government Relations
Federal Policy Higher Education OME Advocate
- On February 15, 2023, the U.S. Department of Education (ED) published a Dear Colleague Letter that significantly expands its interpretation of the definition of “third-party servicers” (TPS).
- Under the expanded definition, vendors providing student recruiting and retention services, certain software products and services linked to Title IV Federal Student Aid administration activities and educational content and instruction would have to register and comply with TPS rules.
- Hospitals and clinics that host rotations for osteopathic medical students may be classified as TPS under the new definition.
- The guidance is set to take effect on September 1, 2023, and the deadline to comment to ED is March 30, 2023. If you have recommendations or your organization is planning to comment, please let us know at aacomgr@aacom.org.