Harkin: Administration’s Student Aid Rule Will Protect Borrowers; Increase Accountability of Federal Education Funding

WASHINGTON, D.C. – Senator Tom Harkin (D-IA) today issued the following statement after the U.S. Department of Education proposed a broad set of rules and definitions to strengthen the federal student aid programs.  The Department is proposing, among the regulations, a requirement that proprietary institutions of higher education and postsecondary vocational institutions provide prospective students with their programs’ graduation and job placement rates, and that colleges provide the Department with information that will allow it to determine student debt levels and incomes after program completion.

“I am pleased to see the Department of Education releasing proposed regulations around for-profit higher education.  I look forward to the progress of this regulation, and anticipate the release of additional proposals in the coming weeks.  The federal government must ensure that the more than $20 billion in student aid that these schools receive is being well spent and students are being well informed and well served.  For-profit colleges must work for students and taxpayers, not just shareholders.  That is why I have recently announced a series of hearings to look closely at this sector.”

Earlier this month, Chairman Harkin announced that he plans to hold a series of hearings to examine federal education spending at for-profit higher education institutions.  The first oversight hearing is scheduled for June 24th.