Financial Value Transparency & Gainful Employment (FVT/GE) FAQs

Latest Additions/Updates: The most recent FAQs additions and/or major changes.

Legislation

What is the Financial Value Transparency and Gainful Employment (FVT/GE) Act?

It is new legislation enacted to create a transparency and accountability framework by which the Department of Education (ED) can assess “whether career programs meet the statutory requirement of preparing students for gainful employment in a recognized occupation.” Per ED’s fact sheet:

“Under the GE program accountability framework, the Department [of Education] assesses whether career programs meet the statutory requirement of preparing students for gainful employment in a recognized occupation using two separate and independent metrics…a debt-to-earnings rate and a new earnings premium test.”

The Financial Value Transparency (FVT) scope expands reporting requirements well beyond those programs identified as Gainful Employment (GE) programs. Under the July 1, 2024, regulation, institutions will be required to report all programs that share the same four-digit CIP code and have had 30 or more completers in total over the four most recent award years for both GE and non-GE programs. This includes the total number of recipients and non-recipients of Title IV and HEA funds enrolled in the program as well as student-level data for all recipients of Title IV and HEA funds. These reporting requirements are a significant expansion over the 2014 GE regulations that were rescinded July 1, 2019.

What is the difference between the FVT and GE regulations?

“The FVT regulations are designed to improve the quality and availability of information provided directly to students about the costs, sources of financial aid, and outcomes of students enrolled in all title IV, HEA (Title IV) eligible programs. These regulations establish two measures: the debt-to-earnings measure and the earnings premium measure. The regulations also establish performance benchmarks for each measure to determine whether the program may have adverse financial consequences to students. These requirements apply to both Gainful Employment Programs (GE Programs) and Eligible Non-GE Programs, but do not affect program eligibility for Non-GE programs.

The GE regulations establish an accountability framework for GE Programs that uses the same earnings premium and debt-to-earnings measures to determine whether a GE program remains eligible for Title IV funds. These requirements can affect program eligibility and apply only to GE Programs. The GE regulations do not apply to Eligible Non-GE Programs.”

Where are the federal regulations for FVT and GE?

How does FVT/GE impact my institution?

Even if your institution does not offer ANY programs classified as GE-eligible under the new regulations, you must report any non-GE programs and the students attending those programs, including all recipients of Title IV and HEA funds. Essentially, this means that nearly EVERY participating Clearinghouse institution will be impacted by the FVT/GE legislation reporting requirements and should anticipate having to meet the reporting requirements by the January 15, 2025* deadline.

The FVT/GE act requires institutions to report extensive financial aid and institutional cost data elements during a time when they have no resources to spare to build and support complex new compliance processes. As your partner, the Clearinghouse is committed to alleviating your administrative burden for complying with the FVT/GE reporting requirements through a new and free solution that will enable low-effort data submission/extraction, data access, benchmarking, evaluation, and outcomes reporting.

The Clearinghouse’s Free Solution

What will the Clearinghouse’s free FVT/GE reporting solution include?

Activating the Clearinghouse Solution

How do I sign up for the FVT/GE service?

Watch our on-demand webinar, “FVT/GE: Sign up for Success with the Clearinghouse,” which will walk you through our FVT/GE service activation. Register for the webinar now.

How soon after you receive our signed amendment will you contact us?

Our Activations team will connect with you within 3-5 business days after we receive your signed amendment to start the activation process and assist you throughout the process.

Will there be dedicated role types for FVT/GE administrators at our institution and, if so, who will assign them?

Yes. The new role types are “Financial Aid Officer” and “Financial Aid Viewer.” These role types can be assigned to one or more administrators at your institution by your Clearinghouse User Administrator after your institution is active on FVT/GE with the Clearinghouse. Both roles require a Web user ID.

You will also need the Submission Data or Submission Data Alternate roles for your FVT/GE service in order to make corrections to your Completers List.

Do I need to update my TG mailbox on the NSLDS site?

The Clearinghouse Activations team will work with you after you have signed and returned the amendment to get your TG Mailbox updated with the Central Processing System (CPS) and NSLDS.

What if my school has not yet been activated with the Clearinghouse FVT/GE service and we receive the Completers List in our TG Mailbox on the NSLDS site?

You should start reviewing your Completers List to ensure your graduated students are included. Once your service is activated, our Clearinghouse Activations team will instruct you on how to request an ad hoc Completers list.

How does FVT/GE impact my enrollment reporting to the Clearinghouse?

Corrections to your Completers List are driven directly by updates to the enrollment data you provide to the Clearinghouse and, subsequently, by the data the Clearinghouse provides to the NSLDS on your behalf. You will have multiple opportunities to address discrepancies on your Completers list by updating the data via our Enrollment Reporting service.