KENTUCKY STATE UNIVERSITY Board of Regents

BACKGROUND:

Section 117 of the Higher Education Act of 1965

The U.S. Department of Education has notified institutions of higher education of obligations under section 117 of the Higher Education Act of 1965, requiring institutions defined in section 117(h)(4) to report gifts from, or contracts with, a foreign source in the amount of $250,000 or more in one year. The law also requires an institution owned or controlled by a foreign source to disclose ownership or control. The U.S. Department of Education has increased oversight and enforcement of the reporting requirement by institutions administering federal student financial aid programs covered by section 117 due to national security concerns from foreign entities.

Foreign Influence of University-Based Research

The U.S. Department of State issued a designation and determination of the Foreign Missions Act on October 15, 2019, requiring all Chinese members of the People's Republic of China's foreign missions in the United States to submit prior notification to the Office of Foreign Missions for any official visits to educational institutions in the United States.

SUMMARY OF PROGRAMS/ACTIVITIES: N/A

ALIGNMENT WITH STRATEGIC GOALS:

Goal 3: Increase the University's Financial Strength and Operational Efficiency.

PROGRAM IMPLICATIONS: N/A

FISCAL IMPLICATIONS: The U.S. Department of Education has conducted investigations across the United States to ensure proper compliance of Section 117 reporting. Institutions failing to comply will be subject to sanctions.

RECOMMENDATION: N/A

ATTACHMENTS: YES