As a condition of an institution’s Program Participation Agreement (PPA), colleges, universities and postsecondary schools are legally obligated comply with the statutory requirement to report on ownership/control by and gifts/contracts with foreign sources is found in HEA Sec. 117 [20 U.S.C. 1011(f)].
Section 117 requires institutions to report ownership and control by foreign sources as well as gifts from and contracts with foreign sources that have a value totaling $250,000 in a calendar year. If an institution receives a gift or contract equal to or greater than that amount it must report it to the Department of Education by January 31 and July 31 each year.
Institutions that are owned or controlled by a foreign source must file two disclosure reports per year—one no later than January 31 and the other no later than July 31. All other institutions that receive a gift from or enter into a contract with a foreign source, the value of which is $250,000 or more, considered alone or in combination with all other gifts from or contracts with that foreign source within a calendar year, must file a disclosure report no later than January 31 or July 31, whichever is sooner.
In a recent electronic announcement, the Department of Education reminded institutions that fail to comply might be referred to the Department of Justice for failing to meet their obligations.
As of June 2020, institutions must report Section 117 information using the new reporting system, available at https://partners.ed.gov/ForeignGifts. Institutions should no longer report foreign gifts or contracts on the E-App in question 71