The fortunes of the for-profit higher education industry rise and fall with the political tides in the United States. During the 8 years of the George W
Bush Administration (Republican), the for-profit sector of US higher education prospered. The following two terms of the Obama Administration (Democrat) resulted in the loss of all the ground gained during Mr Bush’s two terms in office. Indeed, the US Department of Education, led by Secretary Arne Duncan, aggressively attacked the for-profit higher education providers. This attack took two very effective forms: the wielding of ‘gainful employment’ regulations to sever the eligibility of for-profit corporations to receive federal financial aid funding for admitted students, and the withdrawal of authority from the for-profit sector’s accrediting agency. This article argues that, if the past is predictive, the prospects for the for-profit higher education providers are bright under Mr Trump.
The Chronicle of Higher Education is reporting this afternoon that DOE Secretary DeVos just announced that the "gainful employment" regulations, that the Obama Administration fought so hard to put into place and defend against court challenges, will now be rolled back. The subsequent news release speaks for itself:
Secretary DeVos Announces Regulatory Reset to Protect Students, Taxpayers, Higher Ed Institutions
U.S. Department of Education sent this bulletin at 06/14/2017 12:06 PM EDT