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Office of Postsecondary Education - U.S. Department of Education

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Federal Register / Vol. 75, No. 209 / Friday, October 29, 2010 / Rules and Regulations66847WReier-Aviles on DSKGBLS3C1PROD with RULES2online and distance educationprograms, and hybrid programs withonline and in-class components. A fewcommenters believed that the proposedcredit-hour definition wouldparticularly suppress innovation <strong>of</strong>delivery methods because institutionswould be focused on ensuring they meetthe Federal definition <strong>of</strong> a credit hourand not on the desired academicoutcomes. These commenters believedthat institutions would not be able torespond to changing studentpopulations by diversifying deliverymethods. A few commenters noted thatminority students and nontraditionalstudents such as veterans, activemilitary personnel, and working adultswould be particularly harmed becausethey rely on programs <strong>of</strong>fered throughalternative delivery methods.Several commenters believed that theproposed credit-hour definition is notapplicable to alternative deliverymethods. A few commenters believedthat credit hours are not compatiblewith technological advancements ineducation. These commenters believedthat the proposed credit-hour definitionwould minimize the use <strong>of</strong> technologyin education. Some commentersbelieved that proposed paragraph (1)assumed a classroom or lecture basedmodel <strong>of</strong> instruction and was notapplicable to online or hybrid programs.A few commenters questioned how tomeasure direct faculty instruction withregard to an online or hybrid programwhen no physical classroom exists. Twocommenters noted that in distanceeducation and hybrid programs, theconcept <strong>of</strong> contact hours does not apply.The commenters recommendedexpanding paragraph (3) <strong>of</strong> the proposeddefinition to specifically address thatinstitutions <strong>of</strong>fering nontraditionalprograms including distance deliveryprograms and accelerated programs mayprovide institutionally establishedequivalencies for the amount <strong>of</strong> workrequired in paragraph (1) within thediscretion <strong>of</strong> the institution.Several commenters believed that theSecretary’s proposed credit-hourdefinition would negatively impact howearned credits are calculated for onlineand hybrid courses.One commenter believed that theSecretary’s proposed credit-hourdefinition represented an effort by theSecretary to reinstate a regulation thathad been removed in 2002 whichrequired higher education programs thatdid not operate in a standard semester,trimester, or quarter system to <strong>of</strong>fer aminimum <strong>of</strong> 12 hours <strong>of</strong> course workper week to maintain eligibility for titleIV, HEA program funds.Two commenters believed that theSecretary’s proposed credit-hourregulations would legitimizeinstitutions’ use <strong>of</strong> the Carnegie Unit,which generally consists <strong>of</strong> a ratio <strong>of</strong>two hours <strong>of</strong> work outside <strong>of</strong> class forevery hour <strong>of</strong> classroom time, andincrease scrutiny on institutions that donot currently use the Carnegie Unit.These commenters believed that underthe proposed regulations, aninstitutional credit system that is notcurrently based on the Carnegie Unitwould be undervalued because theseinstitutions would have a significantburden to develop and demonstratestudent achievement <strong>of</strong> learningoutcomes that their peers using theCarnegie Unit would not have.Discussion: We do not agree with thecommenters that the credit-hourdefinition in § 600.2 will limitinstitutions’ flexibility to creativelyrespond to innovations in educationaldelivery methods and changing studentneeds. A fundamental component <strong>of</strong> thecredit-hour definition in § 600.2provides that institutions mustdetermine the academic activity thatapproximates the amount <strong>of</strong> workdefined in paragraph (1) based oninstitutionally established learningoutcomes and verifiable studentachievement. The definition allowsinstitutions that have alternativedelivery methods, measurements <strong>of</strong>student work, or academic calendars todetermine intended learning outcomesand verify evidence <strong>of</strong> studentachievement.All institutions participating in titleIV, HEA programs have a responsibilityto ensure appropriate treatment <strong>of</strong>Federal funds, regardless <strong>of</strong> courseformat or educational delivery method.The definition in § 600.2 providesinstitutions with a baseline fordetermining the amount <strong>of</strong> student worknecessary for title IV, HEA programeligibility, but does not specify theparticular program formats or deliverymethods that institutions must use.The credit-hour definition is not areinstatement <strong>of</strong> the old ‘‘12-hour rule,’’that was removed from the <strong>Department</strong>’sregulations in 2002. The 12-hour rulerequired programs that did not operatein standard semester-, trimester-, orquarter-term systems to <strong>of</strong>fer aminimum <strong>of</strong> 12 hours <strong>of</strong> course workper week to maintain eligibility forFederal programs. The credit-hourdefinition in these final regulationsapplies to all institutions, regardless <strong>of</strong>whether they operate on a standard-termacademic calendar. In addition, whilethe old 12-hour rule required 12 hours<strong>of</strong> instruction, examination, orpreparation <strong>of</strong>fered by an institution perVerDate Mar2010 14:10 Oct 28, 2010 Jkt 223001 PO 00000 Frm 00017 Fmt 4701 Sfmt 4700 E:\FR\FM\29OCR2.SGM 29OCR2week, the credit-hour provisions in§ 600.2 require institutions to providestudents with an amount <strong>of</strong> workequivalent to the amount <strong>of</strong> workdescribed in paragraph (1) <strong>of</strong> the credithourdefinition.Changes: None.Comment: Several commentersobjected to proposed paragraph (3) <strong>of</strong>the credit-hour definition. A fewcommenters believed that paragraph (3)<strong>of</strong> the proposed credit-hour definition isvague regarding the entity responsiblefor determining ‘‘reasonableequivalencies.’’ A few commentersbelieved that the proposed credit-hourprovisions did not provide enoughguidance on what academic activitiesthe <strong>Department</strong> would accept asreasonable equivalencies for the amount<strong>of</strong> work defined in proposed paragraph(1). A few commenters believed that theterm ‘‘reasonable’’ put the <strong>Department</strong> inthe position <strong>of</strong> final arbiter on thedetermination <strong>of</strong> reasonableequivalencies.One commenter believed thatproposed paragraph (3) createduncertainty and the potential forlitigation related to whether aninstitution’s proposed equivalency forthe work defined in paragraph (1) isreasonable. This commenter expressedconcern that institutions would be liablefor using equivalencies that the<strong>Department</strong> viewed as unacceptable.One commenter asked for clarificationon the types <strong>of</strong> corrective actions thatthe <strong>Department</strong> can take to enforce theprovisions <strong>of</strong> the credit-hour definitionin proposed § 600.2.Discussion: Institutions have aresponsibility to ensure that the use <strong>of</strong>Federal program funds is in accordancewith applicable regulations. In addition,the <strong>Department</strong> has the oversightresponsibility to determine thatinstitutions are acting in accordancewith the definition <strong>of</strong> a credit hour inthese final regulations to ensure theappropriate use <strong>of</strong> Federal programfunds. It is therefore necessary andappropriate for the Secretary to reviewan institution’s assignment <strong>of</strong> credit forFederal purposes and an accreditingagencies’ or State agencies’ evaluations<strong>of</strong> an institution’s credit polices andtheir implementation to determinewhether an institution is assigningcredit hours for Federal programpurposes in accordance with these finalregulations. If an institution is found tobe out <strong>of</strong> compliance for Federalprogram purposes with the credit-hourdefinition in § 600.2, the amount orTitle IV, HEA funds awarded under theincorrect assignment <strong>of</strong> credit hoursmay be recalculated to establish arepayment liability owed by the

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