In May 2002, President Bush signed in to law the Enhanced Border Security and Visa Reform Act (Public Law No. 107-173), which contains provisions that will affect foreign students and colleges and universities. In addition, the U. S. Immigration and Naturalization Service (INS) has implemented proposed and interim regulations that affect visa applications and change of status for foreign students. In Connecticut, the Department of Motor Vehicles (DMV) has also issued interim rules regarding the issuing of driver's licenses to nonresident aliens. This report presents a brief summary of these new provisions. Current and proposed federal laws and regulations may create challenges for foreign students and institutions of higher education in these areas: (1) increased difficulty in gaining visas; (2) limited ability to obtain visas from countries other than their own; (3) a limit to students' ability to change visa status after they arrive in the United States; (4) implementation of a new visa system; (5) ethical problems for institutions of higher education in deciding whether to ask students about their visa status; (6) changes in the relationship between institutions of higher education and foreign students; and (7) challenges for institutions of higher education in administering new policies. Institutions of higher education in Connecticut may need to establish a closer working relationship with the DMV to monitor progress in driver's license procedures. An appendix contains the Enhanced Border Security and Visa Entry Reform Act of 2002. (SLD)