S. 1123

Congressional Research Service summary, version: Introduced in Senate (Mar 25, 2025)

College Employment Accountability Act

This bill prohibits an institution of higher education (IHE) from receiving certain federal funds or participating in federal student aid programs if the IHE does not take certain actions to prohibit the employment at the IHE of non-U.S. nationals (aliens under federal law) who do not have work authorization.

Specifically, the bill prohibits an IHE from receiving federal funds for student assistance or institutional aid if the IHE employs unauthorized individuals in violation of a specified section of the Immigration and Nationality Act (INA). (The section prohibits an employer from knowingly hiring, recruiting or referring for a fee, or continuing to employ a non-U.S. national who lacks work authorization.)

Additionally, the bill requires an IHE that participates in federal student aid programs to participate in the E-Verify system. (This system allows employers and recruiters to verify an individual's eligibility for employment. The system is largely voluntary; however, federal employers, including federal contractors, must use E-Verify. Some IHEs currently participate in the system.)

The bill directs the Department of Homeland Security (DHS) to, every six months, monitor whether an IHE is participating in the E-Verify system. Further, DHS must notify the Department of Education within 10 days of finding that an IHE (1) employs unauthorized individuals in violation of the INA, or (2) is not participating in the E-Verify system.