Update on Federal Student Aid Guidance
The University of Dayton is issuing an update regarding potential federal loan eligibility increases for new students in two graduate level programs following legal decisions related to the One Big Beautiful Bill Act (OB3).
On June 23, 2026 a federal court order stayed, or temporarily halted, key parts of the U.S. Department of Education's narrowed professional degree definition. While the department is appealing the ruling, it issued guidance clarifying how schools can treat professional degree programs for loan limit purposes. The guidance includes an updated list of programs temporarily eligible for higher professional degree program loan limits.
Two University of Dayton programs not impacted by the original rule change are now included as professional degree programs – the doctor of physical therapy program and the master's of physician assistant practice. Although these programs are now temporarily eligible for higher loan limits, the University is closely monitoring the legal proceedings before increasing federal loan eligibility for new students in these academic programs.
While we understand concerns about federal funding eligibility, the University made this decision because of legal uncertainty about the new guidance and the risk of future harm for student borrowers and the University if final court rulings affirm the original professional degree definition. Under the original OB3, a program was not classified as a professional degree program if graduates were required to work under another professional's supervision.
Current and prospective students should continue working with their program and financial aid offices regarding financial aid planning. Because the litigation is ongoing, additional developments are possible in the coming weeks and months.