For-profit colleges under attack in California

As I've written previously, for-profit colleges, such as Kaplan and ITT, are more nimble than traditional schools, which makes them better prepared to educate students seeking new jobs and careers. The federal government is threatening these schools, also known as career colleges, with yanking student loan money from their students with its capricious "gainful employment" rule--which does not cover not-for-profit schools.

While not singling out for-profits, California's SB70 punishes them. When SB70 took effect last fall, nearly 5,000 students applying for a Cal Grant immediately became ineligible for this program, or they were offered just a partial grant if they were already enrolled, according to the California Student Aid Commission, the San Francisco Chronicle is reporting. Why? These for-profits have slightly higher than average student loan default rates.

That commission lost track of most of the students, but at least 597 switched schools or withdrew from their career college.

Back to the feds: The Chronicle bolsters the anti-career college case by speaking with Robert Shireman, the former deputy undersecretary of education in the Obama administration who utilized that position to attack for-profits with the gainful employment rule.

Many members of the Obama administration, including the president, were formerly employed by not-for-profit colleges. Some have since returned to academia.

Shouldn't students have the freedom to choose their own colleges?

As for the for-profits, they educate more women and poor people than traditional colleges. And because Boston Brahmans typically don't attend not-for-profit schools, their loan default will be higher.

Related posts:

Not-for-profit state colleges not very good at managing money
For-profit schools a good bargain in tough times--especially for veterans
Kentucky Dem's lame attack on for-profit colleges
Report from the bloggers' conference call on Dept of Ed's gainful employment rule for career colleges
McHenry County College's gainful disaster of a scholarship program
Minority business leaders speak up in favor of for-profit colleges
Soros, liberal groups aiding Obama's war on career colleges
Dept. of Ed. arranging one-sided "conversation" about for-profit colleges
Issa investigating allegations that GAO destroyed evidence from sloppy for-profit college investigation
Short-seller talked to Education Department about "gainful employment" rule
Washington Post Co. CEO: Proposed Dept of Ed rules on for-profit schools will harm low income students
Vet and student speaks up for career colleges
Campus Progress reports on career college issue--while fighting for-profit schools
War on for-profit colleges' Jayson Blair exposed by Gawker
Sun-Times: Feds shouldn't punish career colleges
Don't punish career colleges
Issa's oversight committee to look at GAO report on career colleges
Tom Harkin attacks career colleges
GAO revises its negative report about for-profit schools
The Department of Education's war on career colleges
Idiotic edu-crats attacking for-profit colleges



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