Q&A on the For-Profit College 90-10 RuleReport as inadecuate

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The 90-10 Rule is a federal law barring for-profit colleges from receiving more than 90% of their revenues from Department of Education federal student aid. It is modeled on the Department of Veterans Affairs' long-standing 85-15 Rule, which prohibits more than 85% of a program's students from receiving VA funding. It prevents for-profit colleges from being funded solely by federal taxpayers. If a college offers a quality education at a competitive price, someone other than the federal government will be willing to pay for it. This paper offers information on the for-profit college 90-10 Rule. (Contains 7 endnotes.)

Descriptors: Federal Government, Federal Legislation, Colleges, Proprietary Schools, Student Financial Aid, Funding Formulas, Income, Educational Finance, Educational Quality, Veterans, Veterans Education, Financial Support, Competition, Accountability

Project on Student Debt. Available from Institute for College Access & Success, 405 14th Street 11th Floor, Oakland, CA 94612. Tel: 5110-559-9509; Fax: 510-845-4112; e-mail: admin[at]ticas.org; Web site: http://www.projectonstudentdebt.org

Author: Project on Student Debt

Source: https://eric.ed.gov/?q=a&ft=on&ff1=dtySince_1992&pg=235&id=ED540082


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