Category Archives: Federal Money
Pell Grants and Student Loans
Secretary of Education Betsy DeVos Delivers on Promise of Year Round Pell and Increased Flexibility for Students
For more Details, click here.
This is a good article of ideas to help schools and thus students to keep from defaulting on their loans. I believe most schools do most of these, a helpful reminder never hurt.
10 Ways to Avoid Students Defaulting on Payment Plans By Sean Steinmarc, TFC Tuition Financing – Career Education Review
While the US Dept of Ed has announced a revisit to the Gainful Employment Rule and a delay on the new Borrower Defense rule, both are still currently in force. Schools must still comply with all of the regulations as they pertain to them.
Presently, schools who have programs that have not met GE standards are required to have disclosures available to students since February 2017. An article published by the DeLuca Law Firm does a good job on explaining the new disclosure template and the deadlines on the Career Education Review website.
For more details, you can read the article Career Education Review – 2017 Changes to GE Disclosure article.
I have been asked this question too many times to count. My usual response is “It depends.” So many factors go into the choice of a school for students. But it appears that some are trying to find out.
A new study seems to want to see if they can find some answers to this question. And while, the authors stated they to do not advocate for any type of school, their findings may start a new twist on an old conversation.
Link to Story: The Unheralded Mettle of For-Profit Students (The Chronicle of Higher Ed)
The Trump administration is defending, at least for now, the Obama Education Department’s decision last year to yank federal recognition from the nation’s largest accreditor of for-profit colleges. Government attorneys representing Education Secretary Betsy DeVos wrote in court papers over the weekend that the Obama administration acted appropriately when it revoked recognition of the Accrediting Council for Independent Colleges and Schools, known as ACICS. The department accused the accreditor of routinely approving too many discredited for-profit schools and failing to take action against dishonest institutions.
– The Trump administration wrote in the filing that the decision to nix ACICS was “reasonable and supported by ample evidence in the administrative record.” Attorneys representing the department argued the decision followed proper procedures and regulations for terminating an accreditor. ACICS argues the Obama administration acted arbitrarily and unfairly. The judge overseeing the case in the U.S. District Court in Washington, D.C. is now turning to the substance of the case after twice rejecting the accreditor’s efforts to obtain emergency and preliminary orders blocking the decision. Read the latest DeVos filing here.
– What to watch next: The judge has previously said he’ll let a handful of Democratic state attorneys general weigh in before approving any settlement between the Trump administration and ACICS. Those AGs had pressed the Education Department to terminate the accreditor and they have sought to intervene in the lawsuit challenging the termination. But it’s possible that in the meantime, ACICS could also re-apply for federal recognition before the Trump administration.
– The legal battle over ACICS’s fate comes as deadlines approach for the hundreds of colleges that relied on the accreditor’s stamp to access federal grants and student loans. The colleges, most of which are for-profit and collectively enrolled nearly 600,000 students last year, have to find another accreditor to keep federal funding flowing to their campuses. Under a timeline established by the Obama administration, the schools have to apply for accreditation elsewhere by June 12 and make progress on those applications by Oct. 10 to remain fully eligible for federal student aid. Those deadlines could be changed by the Trump administration.
Original Source: Politico.com
So much is hanging on a very tightrope within our industry these days. With the recertification of ACICS coming up next week, the GE requirements, and the recent release of new rulemaking items yesterday, the proprietary sector has a great deal on its plate. However, I know that it can persevere the rough waters. I have attend several conferences these past few months with professionals from all areas of post-secondary education.
I’ve found that many folks are concerned, but like myself, know that if we focus on those individuals attending our institutions, this too shall past. In an effort of assist in keeping everyone up on current media stories, below are links to a few of the most recent items.
As today (Friday, March 18th) is to be the last scheduled meeting by the Department on Rulemaking, more information is surfacing on plans to increase the triggers for letters of credit by the proprietary sector.
This requirement could be significant!
Read More: Getting Ready for Another Corinthian by Michael Stratford
Everyone is wondering if the US department of Ed can prevent another set of problems like are occurring with Corinthian Colleges, Inc. While all of this is subjective, many in Congress wonder if the US DOE is doing enough monitoring the financial stability of the for-profit sector. There are lots of theories and suggestions, but no real answers these questions.
Read More on the ideas being presented:
Preventing Another Corinthian by Michael Stratford and Paul Fain Inside Higher Ed
The battle over Gainful Employment begins… All comments on Gainful Employment will end today. With that, APSCU has begun they battle over the usefulness of the rule with a report stating the proposal as “flawed, arbitrary, and biased”. This looks to begin a legal challenge in the making.
Read more detail in these articles:
Negotiations for Rule-Making by the US Department of Education have ended without a consensus on two key issues: Debit Cards for students and State Authorization. Without a consensus, the Department of Education can now proceed with language they deem appropriate on these issues. The issue of state authorization for distance education programs has long been a contention for higher education. The debate will most likely end up debated in the court system before it is official.
To read more: