New federal rule could have worst impact on small states


“At a certain point, you have to decide whether to withdraw from the state or jump through hoops,” he said. “This is an immensely complex situation that people are dealing with.”

Decision makers from colleges that offer strictly online classes to students nationwide said the new federal regulation could threaten online education’s business model by forcing presidents and deans to decide on which states to operate in, and which states to withdraw from.

“I don’t think it has sunk in for what this might actually mean for colleges,” said Henry van Zyl, vice provost for Thomas Edison State College, an online institution based in New Jersey. The rule “certainly has the potential to impact enrollment, and that’s a very scary thought.”

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