NAICU Washington Update

Senator Renews Effort to Protect Veterans

July 01, 2015

Sen. Thomas Carper (D-DE) has introduced a bill to count payments from military and veteran education programs toward the limit on Federal revenues that for-profit higher education institutions are allowed to receive under the 90/10 rule.

Introduced on June 24, 2015, bill S.1664 remedies a loophole in current law that restricts to 90 percent of total revenues a for-profit institution’s revenue from the Education Department’s federal student aid programs. The bill would also count student aid funding from the Veterans’ Affairs and Defense Departments under the 90 percent cap of total revenue.

Veterans and service persons have been targeted by some unscrupulous for-profit schools because of the generous education benefits that have become available to these students in recent years. Sen. Carper’s efforts were strongly supported by Senators Dick Durbin (D-IL) and Richard Blumenthal (D-CT) at a news conference on June 24. The bill has 25 co-sponsors.

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